Summary of Results of
Fiscal Year ended January 2015

March 4, 2015

(Securities code: 7956)

President & COO

Shigeru Yamashita© All rights reserved by PIGEON Corporation

Contents
Title, Contents

1-2

5th Medium-Term Business Plan

3-6

Results of Term Ended Jan. 2015

7 - 19Forecasts for Term Ending Jan. 2016

20 - 27

Approach to Enhance Corporate Value

28 - 37© All rights reserved by PIGEON Corporation2

5th Medium-Term Business Plan
（February 2015 to January 2017)
Medium-term Business Policy© All rights reserved by PIGEON Corporation3

Medium-term Business Policy(1) Slogan

Pursuing world classbusiness excellence,
think globally, plan agilely,
and implement locally.

© All rights reserved by PIGEON Corporation3

Medium-term Business Policy(2) Vision 2016

1. Strengthening of Brand Power (The No.1 Baby Care Products Manufacturer
in the World)
・Expansion of sales shares of baby bottles and baby bottle nipples in the major
markets
・Gain of competitive advantage in the markets by developing new products on
the basis of basic research and consumer behavior observation
・Strengthening of the global Pigeon brand

2. Strengthening of Management Structure for Sustainable Business Expansion
・Strengthening of the function of Global Head Office (GHO) to develop and execute
the global-wide group strategies
・Establishment of organizational structure enabling prompt decision-makings andactions in each location
・Establishment of functional head office structure enabling to support each locationfrom the viewpoint of total optimization

3. Enhancement of Management Quality by Focusing on Cash Flows・Investment in new markets and business・Improvement focusing on profitability and efficiency of the existing markets andbusiness
・Improvement of CCC to maximize cash, enhancement of ROIC, and, more
importantly,
establishment of the “Global Cash Management”※ GHO: Global Head Office; CCC: Cash Conversion Cycle; ROIC: Return On Invested Capital（NOPAT/Capital Invested, calculated with a tax rate of 40.7%)© All rights reserved by PIGEON Corporation

4

Medium-term Business Policy(2) Vision 2016

4. Development of Global Human Resources, Establishment of Global Personnel
Management System, and Implementation of System to Facilitate Employees’
Success・Development of global human resources, execution of flexible personnel assignment,
and establishment of global personnel management to realize the above
・Cultivation of company culture allowing each employee to enhance productivity oneach job, to feel “pride" in working at Pigeon and to continue to work at Pigeon fora long time

5. Further Improvement of Enterprise Value・Further improvement of enterprise value by continuously providing the services
and products that make customers smile
・Efforts to bring smiles to all stakeholders including our customers

We will achieve “Vision 2016” within the years
under the 5th Medium-Term Business Plan

© All rights reserved by PIGEON Corporation

5

Results of Term Ended Jan. 2015

© All rights reserved by PIGEON Corporation

1

Financial Highlights (Consolidated)
Jan. 2014(¥ millions)
AmountYoY ChangeJan. 2015
Revised
Forecast

AmountYoY Change% ofForecast

Net sales

77,465119.0%

83,70084,113108.6%

100.5%

Operating income

10,365146.3%

12,10012,780123.3%

105.6%

Ordinary income

11,002148.9%

12,30013,299120.9%

108.1%Net income

6,985

152.7%

7,800

8,451

121.0%

108.4%Net assets

39,981123.5%―

47,297118.3%―

Total assets

57,955

119.4%―

72,367124.9%―EPS (¥)

174.53152.7%―

211.65121.3%―BPS (¥)

977.50123.5%―

1,156.39

118.3%

―

ROA

20.7%

―

―

20.4%

―

―

ROE

19.7%

―

―

19.8%

―

―

※ ROA= Ordinary income ÷ Total assets; ROE = Net income ÷ Equity (in both cases, denominators are averaged between beginning and year-end figures)© All rights reserved by PIGEON Corporation

7

Statements of Income (Consolidated)(¥ millions)
Net sales
Cost of sales

Jan. 2014

Jan. 2015

Amount% of Total

Amount% of Total

YoY Change

77,465100.0%

84,113100.0%

108.6%

43,00055.5%

45,817

54.5%

Remarks

106.5%■ Main changes in SG&A
expenses

Gross profit

34,46444.5%

38,29645.5%

111.1%

Personal expenses:+ ¥496m

SG&A expenses

24,09831.1%

25,51530.3%

105.9%

Sales Promotion expenses:+ ¥511m

Operating income

10,365

13.4%

12,78015.2%

123.3%

Delivery expenses:+ ¥318m

Non-operating
income (expenses)

636

0.8%

518

0.6%

81.4%

Ordinary income

11,002

14.2%

13,29915.8%

120.9%

Extraordinary
income (loss)

(15)

0.0 %

(159)

(0.2%)―■ Main changes in
non-operating income(expenses)

Less: Minority Interest in Net
Income of Consolidated
Subsidiaries

217

0.3%

185

0.2%

85.1%

Foreign exchange gains:¥(247m)

6,985

9.0%

8,451

10.1%

121.0%Net income© All rights reserved by PIGEON Corporation

Advertising expenses:¥(411m)8

Net Sales by Business Segment (Consolidated)
Jan. 2014(¥ millions)Jan. 2015

Gross
MarginSegment
ProfitAmountYoY
ChangeGross
MarginSegment
Profit

77,465 100.0%

44.5%

10,365

84,113 100.0% 108.6%

45.5%

12,780

Domestic Babyand Mother Care
Business

24,451

31.6%

45.8%

3,411

24,432

29.0%

99.9%

46.0%

3,752

Child-rearing
Support Services

6,599

8.5%

11.5%

176

6,722

8.0% 101.9%

11.2%

189

Health Care andNursing Care
Business

6,721

8.7%

29.8%

212

6,761

8.0% 100.6%

28.7%

260

Overseas
Business

20,305

26.2%

53.1%

4,152

23,373

27.8% 115.1%

53.7%

4,969

China
Business

21,980

28.3%

42.9%

6,041

26,301

31.3% 119.7%

43.7%

7,525

Other

1,151

1.5%

20.5%

204

1,276

1.5% 110.8%

16.6%

173

Consolidated
net sales

Amount

% of
Total

% of
Total

※ Segment profit in the consolidated amount has been adjusted (all non-allocable operating expenses) and posted as operating income in the consolidated statements of income.
※ The consolidated amount recorded has been posted as the sum resulted from eliminating intersegment transactions in the overseas and China businesses.
© All rights reserved by PIGEON Corporation

9

Overseas Business Sales by Region(incl.
Hong Kong)

Local currency basis: 109.1％(¥millions)44,900Local currency basis: 108.7％

38,492※ [Currency rates] Jan. 2015: US$1 = ¥105.78, 1 yuan = ¥17.17; Jan 2014: US$1 = ¥97.72, 1 yuan = ¥15.91© All rights reserved by PIGEON Corporation

10

Key Priorities for Year to Jan. 2015
 Domestic Baby and Mother Care Business

Steady growth and expansion of large merchandise by launching new products
Enhancement of our approach to maternity care
Improvement of profitability of the existing business by managing selling, general andadministrative expenses in an effective and efficient manner Child-rearing Support Services


Further improvement in child-rearing quality and improvement of business profitability

 Health Care and Nursing Care BusinessStrengthening of marketing activities based on facility routes, maintenance of the functionalityof sales and marketing
Increase in operating profits by establishing an efficient business operation system(reduction in selling, general and administrative expenses)

 Overseas BusinessEurope and America: Secure success in nursing bottles and nipples business andcontinuous growth in sales of existing products
Market expansion: Activities paving the way for advancement into the Brazilian market

 China Business

Steady growth of new businesses (disposable diapers, baby food)
Further strengthening of brand penetration and promotion activities in hospitals
Establishment of a structure for the production cost containment and stable supply system© All rights reserved by PIGEON Corporation

11

Domestic Baby and Mother Care Business Status
 Large merchandiseBaby strollers “Mahalo laule’a” and "Runfee"
December 2014: Launch of new model of baby stroller "Runfee" & CM presentation

 Other new productsElectric Breat pump "First Class", "Baby Skin Care Series", "Puti-gurt","Animal Mini-pancakes", etc.

 Direct communication

40 maternity events held with about 2,120 participants"Breast feeding Seminar" for expecting mothers, "Working Women Meetings for Pregnancy
Training“ for women preparing for pregnancy, etc.

Market Share by Product (Jan. 2015)

Main new products to be launched during
this spring (1st half of 2015)

100%
80%
60%
40%
20%
0%

※ Source: POS Nationwide Drugstore Growth Estimates, INTAGE Inc. (monthly data)© All rights reserved by PIGEON Corporation

Baby wipes with a soft thick texture (up)Breastfeeding Power-Plus (left)

Baby wipes without rubbing boobs (down)

Breastfeeding Power-Plus Tablets (right)
12Child-rearing Support Services /Health Care and Nursing Care Business Status
Child-rearing Support Services

 Pigeon Hearts[New additions of facilities
Four child-care facilities in-company establishments → Total 190 facilities
managed] (including those of the National Hospital Organization)
The mathematical its launch experience program called "Math Program" has been receiving
favorable feedback since in April

Health Care and Nursing Care Business Pigeon TahiraNew products: "KARURU" underwear with urine leakage absorption features and"No Spread Sheet" against urine and loose feces leakage

 Pigeon Manaka

Users of the Day Service Center "SANSAN" have increased smoothly
Training courses were held for nursing care personnel
October 2014: Received a next generation certification logo "Kurumin"

Habinurse"No Spread Sheet"© All rights reserved by PIGEON Corporation

Pigeon Manaka's Day Service
SANSAN Center's staff

Training courses for nursing care personnel
13Overseas Business Status
 Europe and AmericaNorth America: Increased market share for our top products (nipple care cream, breast pads)
Europe: Increase of new store count and expansion of our product range to the existing stores
While continuing to expand our product categories, further enhancement of our brand power asa breastfeeding support company that can offer total support for Expressing breast milk →Storing → Feeding New marketsIndia: Completion of a local factory in November 2014, and preparations underway to launch
production of nursing bottles and nipples
Russia: Seminars on breastfeeding and maternity for medical personnel
Brazil: New subsidiary established to support our operations debut in the Brazilian market

 Overall marketWe held the Pigeon Global Partners Conference 2014 in Hawaii(attended by representatives from our regional agents, in 14 countries)

North America: 'Lansinoh' Corner© All rights reserved by PIGEON Corporation

India: Local factory

Russia: Seminars for health care
professionals

14China Business Status About Product Sales
 Strong sales in our main products, including nursing bottles and nipples, baby wipes,
baby skin care products, etc.
 Disposable diapers: Ongoing measures to reinforce its over-the-counter sales
 Increase of the number of Pigeon Corner establishments

 Branding and Breastfeeding Awareness Programs

Further strengthening of our branding activities and also application of Pigeon Net Members plan
Our awareness program related to caring for breastfed infants conducted jointly with China's
Ministry of Health is continually being implemented⇒ Seminars in the maternity- and general-hospital industries, establishment of breastfeeding
consultation offices, etc.

Pigeon Corner© All rights reserved by PIGEON Corporation

Seminars in the maternity- andgeneral-hospital industries

Breastfeeding consultation offices

15

Reference: Consolidated Balance Sheet (Highlights)
Jan. 2014

Jan. 2015(¥ millions)

AmountAmountYoY Change(Amount)

YoY Change(%)

Cash and deposits

13,102

21,590+8,488164.8%

Notes and accounts
receivable

12,56915,278+2,709121.6%

Inventories

8,052

8,498

+446

105.5%

Notes and accounts
payable

4,518

4,462

(55)

98.8%

Borrowings

3,411

8,018

+4,606235.0%Net assets

39,98147,297+7,315118.3%

Total assets

57,95572,367+14,411124.9%

Equity ratio

67.5%

63.8%

－

(3.7 pt)© All rights reserved by PIGEON Corporation

16

Reference: Cash Flow(¥ millions)
10,135(3,134)
1,637

21,590

(150)
7,930

(3,794)

Acquisition of PPE:¥(2,682m)(Jan. 2014: ¥(3,223m))(3,163)
1,556

13,102

13,102

10,574
Income before income taxes:¥13,140m(Jan. 2014: ¥10,986m)
Decrease (increase)in trade receivables:

Payment of cash dividends: ¥(3,995m)(Jul. 2014: ¥(2,740m))¥(1,312m)(Jan. 2014: ¥(587m))

January 2015

January 2014
Balance at Operating

Investing

Financing TranslationA Balance atBiginnig

Activities

Activities

Activities

djustment

End

10,574

7,930(3,794) (3,163)

1,556

13,102© All rights reserved by PIGEON Corporation

Loan income/repayments:¥4,385m(Jul. 2014: ¥(350m))

Balance at Operating

Investing

Financing TranslationA Balance atBiginnig

Activities

Activities

Activities

djustmentEnd

13,102

10,135(3,134)

(150)

1,637

21,59017

Reference: Investment-Related Indicators (Consolidated)(¥ millions)Jan. 2014
Interim(Results)

Full Year(Results)

Jan. 2015
Interim(Results)

Full Year(Results)

Capital investment ※1

2,092

3,091

1,672

3,204

Depreciation(tangible fixed assets)

733

1,663

780

1,705

Research and development ※2

820

1,730

938

1,932

※1 Refers to purchase of tangible fixed assets.
※2 Refers to total R&D expenditures, including personnel-related.

© All rights reserved by PIGEON Corporation18

Forecasts for Term Ending Jan. 2016

© All rights reserved by PIGEON Corporation

9

Jan. 2015 Results and Jan. 2016 Forecast (Consolidated)
Jan. 2015(¥ millions)

AmountJan. 2016% of Total

YoY
ChangeForecast% of Total

YoY
ChangeNet sales

84,113100.0%

108.6%

92,000100.0%

109.4%

Operatingincome12,78015.2%

123.3%

13,90015.1%

108.8%

Ordinary
income13,29915.8%

120.9%

14,00015.2%

105.3%Net income

8,451

10.1%

121.0%

8,900

9.7%

105.3%Net assets

47,297―118.3%

48,900―103.4%

Total assets

72,367―124.9%

72,000―99.5%

EPS (¥)

211.65―121.3%

222.94―105.3%BPS (¥)

1,156.39―

118.3%

1,226.25―

106.0%

ROA

20.4%

―

―

19.4%

―

―

ROE

19.8%

―

―

19.0%

―

―

※ ROA= Ordinary income ÷ Total assets; ROE = Net income ÷ Equity (in both cases, denominators are averaged between beginning and year-end figures)© All rights reserved by PIGEON Corporation

20

Results and Forecast by Segment (Consolidated)
Jan. 2015 (Results)(¥ millions)

Amount% of
Total

Jan. 2016 (Forecast)Gross
MarginSegment
ProfitAmountChangeGross
MarginSegment
Profit

% of
Total

YoY

Consolidated
net sales

84,113 100.0%

45.5%

12,78092,000 100.0% 109.4%

45.8%

13,900

Domestic Babyand Mother Care
Business

24,432

29.0%

46.0%

3,752

25,60027.8% 104.8%

44.0%

3,818

Child-rearing
Support Services

6,722

8.0%

11.2%

189

6,500

7.1%

96.7%

11.4%

202

Health Care andNursing Care
Business

6,761

8.0%

28.7%

260

7,200

7.8% 106.5%

31.5%

376

Overseas
Business

23,373

27.8%

53.7%

4,969

23,80025.9% 101.8%

55.9%

5,236

China
Business

26,301

31.3%

43.7%

7,525

35,00038.0% 133.1%

41.4%

8,814

Other

1,276

1.5%

16.6%

173

1,000

1.1%

13.4%

95

78.4%

※ Segment profit in the consolidated amount has been adjusted (all non-allocable operating expenses) and posted as operating income in the consolidated
statements of income.

© All rights reserved by PIGEON Corporation

21

Key Priorities for Year to Jan. 2016
 About China Business & Overseas BusinessReinforcement of locally-oriented sales system⇒ Maintenance of a sales and marketing system to cope with Group-wide revisions ofcommercial distribution⇒ Allocation of functions in Japan's jurisdiction to China Business and Lansinoh[Up to Previous Term]

China Business(China)Overseas BusinessJapan’s jurisdiction(Korea+Central and SouthAmerica+Hong Kong
+Taiwan+others)[From Current Term]

China Business(China+Korea+Hong Kong+Taiwan+others)

Overseas BusinessCentral and South America is in Lansinoh's
jurisdiction

Net Sales & Profit by Business Segment to be disclosed are also
subject to this classification starting from the current term.
© All rights reserved by PIGEON Corporation

22

Overseas Business Sales by Region(incl. Hong Kong)countries(¥ millions)

Local currency basis: 114.0%

51,675

Local currency basis: 105.5%

44,900※ [Assumed rates] Jan. 2016: US$1 = ¥110.00; 1 yuan = ¥18.00[Actual rates] Jan. 2015: US$1 = ¥105.78; 1 yuan = ¥17.17© All rights reserved by PIGEON Corporation

23

Key Priorities for Year to Jan. 2016
 China Business

Building of a business management system including our Korean subsidiary
Sales policy review in line with business expansion
Steady growth in the disposable diapers business based on our commitment to secure gains

 Overseas Business (except China)Growth centered on five key categories (nursing bottles and nipples, breast pumps,
skin care products, breast pads, and pacifiers)Europe and America: Sales expansion of our core products - nursing bottles and nipples
Expansion of selling functions in areas of Central and South America
by changing the commercial distribution
Business expansion and system maintenance in Europe

Asia: Review of business operation system (sales, marketing, SCM system rebuilding) and
improvement of operating results in Singapore
Raise in earnings by starting operations at a new factory in IndiaNew markets: Continuation of activities paving the way for advancement into the Brazilian
market© All rights reserved by PIGEON Corporation

24

Key Priorities for Year to Jan. 2016
 Domestic Baby and Mother Care BusinessReliable growth of large merchandise by launching competitive new products
Enhancement of brand loyalty through strategic PR measures and others
Strengthening of our approach to maternity care and sales expansion in women's care category

 Child-rearing Support Services
Review of growth strategies and business system to raise profitability
 Maintenance and improvement of business quality through fostering and education of humanresources engaged in child-rearing Health Care and Nursing Care Business

Reinforcement of our sales capacities focused on facility routes and strengthening of joint efforts
with our sales representatives
Improvement in gross profit margin by launching competitive new products© All rights reserved by PIGEON Corporation

25

Shareholder Return and Investment-Related Indicators[Shareholder return indicator under our 5th Medium-Term Business Plan]
Adopt flexible approach to upgrading shareholder return (incl. through share buybacks), aiming at
a goal of increasing dividends compared with the previous term and of the total shareholder return
ratio by approximately 45 to 50% in each business term.
Jan. 2013

Cash Dividends

Dividend per share(¥)
Payout ratio

Jan. 2014

Jan. 2015

Jan. 2016

InterimYear-EndInterimYear-EndInterimYear-EndInterimYear-End(Results)(Results)(Results)(Results)(Results)(Plan)(Forecast)(Forecast)

44

71

66

55

45

60

54

54

（22）

（35.5）

（33）

50.3%

50.4%

49.6%

48.4%

※ Our Group carried out a 2-for-1 stock split with respect to its common stock, effective as of August 1, 2013.
The values given in the parentheses for dividend per share above are reference values converted based on the number of shares after the stock split.

Reference: Investment-Related Indicators
Jan. 2014

Jan. 2015

Jan. 2016

InterimYear-EndInterimYear-End

Full Year(Results)(Results)(Results)(Results)(Forecast)

Capital expenditures ※

2,092

3,091

1,672

3,204

4,327

Depreciation(tangible fixed assets)

733

1,663

780

1,705

2,166

※ Refers to the amount accounted for purchasing of tangible fixed assets.

© All rights reserved by PIGEON Corporation

26

Approach to Enhance Corporate
Value© All rights reserved by PIGEON Corporation

28

Topics in 2014
◆ Recognized by Tokyo Stock Exchange, Inc. as the Excellent Company
in the Corporate Value Enhancement Award

Every year, Tokyo Stock Exchange selects the companies,
among more than 3,400 listed companies, that have enhanced
corporate value and incorporated investor concerns into
management practices aimed at enhancing corporate value.

◆ Selected by the Strategy Report Issued by Nomura Securities Co., Ltd. as
One of 16 Japanese Companies that Have Accelerated Strengthening ofCorporate Governance.
© All rights reserved by PIGEON Corporation

Pigeon’s Core of Reform: “Change of Attitudes and Mindsetsof Management”
Having transformed from an owner company to a publiccompany, we have facilitated optimal distribution ofmanagement resources across the world to accelerate further
growth and efficient management, and to be the best baby careproduct manufacturer
in the world.
28
29

12 Tasks to achieve “World-Class Business Excellence”
Globalinformation
systemLogical work
process

Salary
給与UP
increase

Global humanグローバル
resource
人材育成
development© All rights reserved by PIGEON Corporation

Global sharingof corporate
philosophy &valuesWorld-class
世界に通じる
brand
power
ブランド力

Sustainable growth

World class Business
Excellence
Nurture employees’ motivation,satisfaction, confidence, sense of
pride and belonging to the company
Diversity/
women inmanagement

グローバル
Global SCM
SCM

Technological
開発力
competitivenessBusiness
成功の為のmodel for ビ
ジネスモデル
success

Cash flowキャッシュフローmanagement
経営（PVA）
（PVA）

グローバル
Global
cash
キャッシュ
マネ
management
ジメント
30Three pillars for PIGEON to become a company
sustaining Female Advancement

Support systems
forwork-life balance

Awarenessatworkplace

Women’s
mindsetCooperationof
spouses30© All rights reserved by PIGEON Corporation

31

Review of Previous Term and Plan for Current Term
Term

The Three
Pillars

January 2015

Support Systems

Description
Revision of sick / injured child care leave
Life-design leave system (including accrued paid holidays)
Promotion of men’s participation in child care

Work Place

Lectures on diversity management
Lectures on career progression for female employees

Women & Skills

Development of system to nurture human resources in the earlystagesHomeworking system
Support Systems

Measures for children on waiting list for nursery schools
Modification of system for reduction of working hours

January 2016

Consideration of support for fecundity and maternity in youth
Meetings between boss, pregnant employee and human resource
personnel
Work PlaceDiversity management training for MG
Lectures on diversity management
Commencement of succession planning
Lectures on career progression for female employees

Women & Skills

Okoshi’s business seminars: early nurturing of female employees bymanagement
Skill acquisition at early stages (employee training)© All rights reserved by PIGEON Corporation

31

What Makes Corporate Value?

We should be the company thatbrings joy and happiness to people
and that the society needs, byproviding solutions and new values
to our customers.
What makes it possible: Corporate identity, mission, value, action
principle and vision shared across thecompany
 Company that provides job satisfaction
to employees
 Development power, marketing powerand brand power
 Innovation power Influence on and contribution to society© All rights reserved by PIGEON Corporation

We should continue to increase
free cash flow in an efficient andstrategic way.
(Corporate Value = Aggregation ofPresent Value of Future Cash Flow)
What makes it possible:
 Style of work that is simple, but is hard
to copy (enduring competitive
advantage)
 Corporate governance Efficient investment recovery
 Improvement of ROE, ROIC, CCC,PVA and various KPI (management
quality) Global cash management
 Withdrawal from unprofitable business

32

PVA Tree: Consolidated Results in the 58th Term
全社連結 Results
Consolidated
上：58期計画

Top:
Plan
for for
4Q,Jan.
58th2015
Term
Top:
Plan
中：58期実績
Mid:
Results
for
Jan.
2015
Middle: Results of 4Q, 58th
Term
下：57期実績
Bottom:Results
for
Jan.
2014
Bottom: Results of 4Q, 58th Term(\millions)
単位：百万円
Unit: Million Yen

NOPAT
NOPAT
計画
6,878
Plan 6,878

実績 7,578
7,578
Result前期
6,146
Previous Term 6,146

Operating Income

営業利益

売上高
Net
Sales

計画
11,600Plan 11,600

計画
Plan 84,500
84,500

実績 12,780
12,780Result10,365Previous 前期
Term 10,365

実績
Result 84,113
84,113

Previous前期
Term 77,465
77,465

税金
Tax

売上原価
Sales
Cost

計画
4,721
Plan 4,721

計画
Plan 47,100
47,100

実績 5,2015,201Result前期
4,219
Previous Term 4,219

PVA
PVA

計画 4,461
4,461
Plan
実績 4,812
4,812
Result
前期 3,976
3,976
Previous Term

Previous前期
Term 43,000
43,000Invested Capital

投下資本

Operating Capital

運転資本

Trade Receivable

売上債権

selling, general andadministrative expenses

計画
48,338Plan 48,338

計画
15,818Plan 15,818

計画
13,710Plan 13,710

計画
Plan 25,800
25,800

実績 55,315
55,315Result43,393
Previous 前期
Term 43,393

実績 18,097
18,097
Result14,876
Previous 前期
Term 14,876

実績15,278
15,278Result前期12,569
12,569Previous Term

Fixed Asset

固定資産

棚卸資産
Inventory

計画
24,959Plan 24,959

計画
8,400
Plan 8,400

Result
実績 25,339
25,339Previous 前期
Term 22,591
22,591WACC
WACC
CommonRat 5.0%
共通
5.0%© All rights reserved by PIGEON Corporation

実績
Result 45,817
45,817

Cash and Other
Cash Equivalents and Debt

現金他資産･負債
Plan 7,560
計画
7,560

Result
実績 11,877
11,877
Previous 前期
Term 5,924
5,924

Result
実績8,498
8,498
Previous Term
前期8,052
8,052

仕入債務

販管費

実績
Result 25,515
25,515Previous前期
Term 24,098
24,098

（参考）
（参考）

研究開発費
研究開発費
見込
1,932
見込 1,932
前期1,730
前期 1,730

Trade Payable

発送費
発送費

Plan 6,292
計画
6,292

2,475
見込
見込 2,475

Result
実績5,679
5,679
Previous Term
5,744
前期 5,744

前期2,157
前期 2,157

PVA (Ratio): Consolidated Results in the 58th Term
Consolidated
全社連結 Results
上：58期計画Top:
Plan
for 4Q,
Jan. 2015
Top:
Plan
for
58th TermMid:
ResultsforJan.
201558th Term
中：58期実績
Middle:Results of 4Q,
Bottom: Results for Jan. 2014
Bottom:Results of 4Q, 58th Term
下：57期実績

原価率

Cost Ratio
Operating Income
to Sales

営業利益率(\millions)

ROIC

税前ROIC
Before Tax
ROIC
Plan 14.2%
14.2%
計画

PVA
PVA
Spread
スプレッド
Plan
計画
Result
実績
Previous Term

前期

Plan 24.0%
24.0%
計画
Result23.1%
実績 23.1%
23.9%
Previous前期
Term 23.9%

Plan
13.7%
計画
13.7%
Result
実績
Previous Term
前期

Plan 55.7%
55.7%
計画
Result
実績
Previous Term
前期

54.5%
54.5%
55.5%
55.5%

15.2%
15.2%
13.4%
13.4%

Ratio of Selling, General and
Administrative Expenses

販管費率

Plan 30.5%
30.5%
計画

Result 13.7%
13.7%
実績

Result実績

14.2%
Previous
Term 14.2%
前期

Previous Term
前期

30.3%
30.3%
31.1%
31.1%

Working Capital Ratio

運転資本比率

9.2%
9.2%
8.7%
8.7%
9.2%

Capital Turnover
投下資本回転率
Rate

9.2%

Tax税率
Rate

WACC
WACC

Common Rate 5.0%

共通

5.0%

Common Rate 40.7%

共通

40.7%

Plan
計画
Result
実績
Previous Term

前期

1.7
1.7
1.5
1.5
1.8

1.8

Plan
18.7%
計画
18.7%

Result21.5%
実績 21.5%
19.2%

Previous Term

前期 19.2%

Ratio of Fixed
Assets to Net Worth

固定資産比率Plan
Result

29.5%
30.1%
30.1%
29.2%

計画 29.5%

実績

Previous Term

前期 29.2%

Ration of Cash and Other
Cash Equivalents to Debt
現金他資産・負債比率

Plan

計画
ResultPrevious 実績
Term

前期

© All rights reserved by PIGEON Corporation

8.9%

8.9%
14.1%

14.1%
7.6%
7.6%

CCC Tree: Consolidated Results in the 58th Term
Consolidated
全社連結Results
上：58期計画
Top:
Plan
Jan.
2015
Top:
Plan
forfor
4Q,
58th
Term
中：58期実績
Mid: Results Jan. 2015
Middle:Results of 4Q, 58th Term
Bottom: Results Jan. 2014
下：57期実績
Bottom:Results of 4Q, 58th Term(\millions)
単位：百万円
Unit: Million Yen

運転資本

売上債権

CCC

CCC

Operating Capital

Trade Receivable

計画 15,818

計画 13,710

計画

Plan 15,818
実績
18,097

Plan 13,710
実績
15,278Plan 実績

前期18,097
14,876
ResultPrevious Term 14,876

前期15,278
12,569ResultPrevious Term 12,569

棚卸資産

75.6

75.5…
75.6

88.8
78.8
88.7…
88.8

78.8…
78.8

Previous
Term

59.2…
59.2

棚卸資産回転日数

計画 8,400
Inventory

Number of Days’計画Sales in InventoriesPlan
前期8,400
8,052

Plan

実績 8,498

Result 8,498
Previous Term 8,052

仕入債務

計画 6,292

Trade
実績 Payable
5,679
前期 5,744

Plan 6,292

Result 5,679
Previous Term 5,744© All rights reserved by PIGEON Corporation

Result前期
PreviousTerm

売上債権回転日数

Receivable Turnover Period
計画
59.2
Plan
実績
59.2… 66.3
59.2
前期
Result
59.2
66.2…
66.3

65.1
67.7
65.168.3
65.0…

実績
前期

ResultPrevious
Term

67.7
67.6…
68.3
68.3…

仕入債務回転日数計画

48.8

Trade Payable Turnover
Period
45.2

実績

Plan
ResultPreviousTerm

48.8
前期 48.7…
48.8
45.2
45.2…
48.8
48.7…

What is Corporate Governance?
 Definition of Corporate GovernanceSystem that allows a company to make decisions decisively and quickly by taking
its shareholders, customers, employees and local community into account.

 Purpose of Corporate Governance

To help the company grow sustainably and increase corporate value in the medium- andlong-term.

We will strengthen our own “system” on the basis of the above definition,
and will continue to further improve the corporate value.

© All rights reserved by PIGEON Corporation

36

Corporate Overview
PIGEON CORPORATIONHead office
4-4, Nihonbashi-Hisamatsucho, Chuo-ku, Tokyo
103-8480, Japan
Tel: +81-3-3661-4200+81-3-3661-4188 (Investor Relations)
Fax: +81-3-3661-4320
E-mail address
InvestorRelations＠pigeon.com

URL http://www.pigeon.co.jp /http://english.pigeon.co.jp/

In this document, statements other than historical facts related to plans, forecasts, andstrategies are based on information available at the time of writing.
The Corporation cannot provide guarantees or commitments for these forward-looking
statements.
Due to various factors, actual results may differ significantly from those anticipated inthis document.

© All rights reserved by PIGEON Corporation

37