NISSIN FOODS HOLDINGSNew Wave
Annual Report 2014

Corporate
GovernanceOur history begins in 1958
with the development ofChicken Ramen , the world’s
first instant noodles.

CEO
Message

1 stIntroduction

New Value

From its founding as a food products company,
the NISSIN FOODS Group has sought out
new possibilities in food. Today,
we continue our quest for completely new productcategories and bringing greater value to customers
around the world.

GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

No.1

Introduction
CEO
Message

Since its introduction in 1971
as the world’s first cup-typeinstant noodles, Cup Noodle
has maintained a powerful
position as Japan’s top brandof instant noodles.

Corporate
Governance
GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

CEO
Message

The Group owns powerfulbrands in Japan in addition to
instant noodles, such as chilled
and frozen foods, confectionery,and beverages and continues to
evolve as food manufacturer.

Introduction

6

Products
Categories

Corporate
Governance
GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

Regions
Outside JapanCEO
Message
Corporate
Governance

The Group launchedoverseas operationsin 1972 and now does
business worldwide.
We divide our overseas
operations into four
regions: the Americas,
China, Asia, and EMEA*.

Introduction

4*Europe, the Middle East, and Africa

GlobalRoadmap
Sustainable
Activities

Financial
SectionCorporate
Information

CEO
Message

This is the number of new products* theGroup introduces annually. We continue
to release innovative products by applying
two key strengths: technologicalinnovation and marketing capability.

Introduction

1,000SKUs*In Japan and overseas, including renewed products

Corporate
Governance
GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

CEO
Message

This year, a new research and development
center started operation. As the global
base for food development and food safety
research, it aims to generate tremendous
power in support of growth.

Introduction

2014

Corporate
Governance
GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

NISSIN Global Innovation Center and NISSIN Global Food Safety InstituteIntroduction

CEO
Message

Corporate
Governance

GlobalRoadmap

Sustainable
Activities

Financial
SectionCorporate
Information

Chief Executive Officer

Koki Ando

New
CHALLENGE

Financial Highlights (¥ Billion)

Net Sales

Operating Income¥¥

Total worldwide demand for instant noodles
exceeded 100 billion servings in 2012 andcontinues to grow, especially in Asia. The Group’s
China business achieved sharp increases in sales
and income through an aggressive sales strategy
for local Cup Noodles products in China.

¥

417.6

ROE (%)

6.0

GlobalRoadmap

Sales by Segment¥32.2 (7.7%)¥29.9 (7.2%)

Others¥50.2 (12.0%)

Sustainable
Activities

The Americas

Chilled andFrozen Foods¥39.6 (9.5%)

Nissin Food
Products

Financial
Section¥54.8 (13.1%)
Myojo Foods

Corporate
Governance

19.3
China

¥210.9 (50.5%)
Corporate
Information

In fiscal 2014, the opening year of the current
medium-term business plan, the domestic instantnoodle business and operations in China drove sales
and profit growth, and the Group increased bothsales and income. Consolidated net sales rose by
9.1% to ¥417.6 billion (US$4,058 million), operating
income by 15.7% to ¥27.7 billion (US$269 million), andnet income by 2.2% to ¥19.3 billion (US$187 million).

CEO
Message

Net Income

27.7

Introduction

In Japan, amid an increase in demand for bag-typeinstant noodles driven by the increasingly popular
non-fried noodles, which are just like fresh noodles,
the sales of our bag-type non-fried Nissin RAOH
series continued to perform well. The Group achieved
increases in domestic sales and income as a result.

In-depth financial data starts
on page 24

CEO MESSAGE

The Group engages
in four types of
R&D at “the WAVE”:
basic research,
applied research,safety research, andindustrial machinedevelopment.

Corporate
Information

Competition to create new products is
fierce in the instant noodle industry, andshortening development times is importantfor successfully competing in the market. It
is of course critical if we are to be the firstentry to the market, or to accelerate theprocess of developing a completely new
product so as to create a new market. Not
only that, a company can aim to capture
market leadership by being the first to
introduce a product with a clear competitive
advantage over existing products in an
established product category.
We have transferred the chilled andfrozen foods R&D center to the new research
center and have also set up R&D functions
for confectioneries and beverages. Althoughheretofore we have developed
groundbreaking products by leveraging
Group synergies, such as applying noodle
technologies to confectioneries, the newresearch center will now assume a central
role in an effort to develop completely new
products that fuse the Group’s various foodprocessing technologies.
Innovation is not our sole focus. The
other research facility, the NISSIN Global
Food Safety Institute, is responsible for
ensuring the safety essential to a foodFinancial
Section“the WAVE” houses two research facilities.
The first is the NISSIN Global Innovation
Center, which provides technical support for
innovation, one of the key strengths of theGroup. This research center has installed ahundred-meter-long test line based on the
production lines at our plants. Until now, it
was necessary to confirm and establish
production conditions through line tests on
actual production lines at the plants to
prepare to mass produce trial products we
had developed. The installation of a fullspecification, continuous, multi-productconfigurable production line within the
research center will enable us to study mass
production conditions in advance andshorten the time for product launch.
In addition, we have set up within the
research center the Technical Development
Division to perform tasks including thedevelopment of machinery and will engage
in production facility design anddevelopment. In this way, we will accumulate
unique expertise within the Group and work
to increase the speed and efficiency of
product development.

Sustainable
Activities

In the final month of fiscal 2014 (the year
ended March 31, 2014), our new researchand development center, named “theWAVE”, was opened in Tokyo. We gave it
this name to express our desire to spread a
new wave of innovation worldwide bypioneering leading-edge food technologies.
“the WAVE” has a unique external
appearance. The entrance features two
cylindrical towers resembling the cutting
blades of a noodle-making machine, and theexterior walls have a vast number of louvers
that visually represent ramen noodles. The
design symbolizes noodles being cut by
cutting blades, our starting point.
Furthermore, recognizing that the landand natural environment are the source of
all food ingredients, we introduced
advanced environmental systems suchas solar radiation control using louvers
and an auxiliary power supply that uses
solar panels, with the aim of creating abuilding that is in dialog with the external
environment. About twice the size of theformer General Research Institute ofFood Science and Technology and Food
Safety Research Institute, “the WAVE” is
one of the largest food research institutes
in Japan.

GlobalRoadmap

Winning the Race for
New Products and Markets

Corporate
GovernanceSupporting the Growth Strategy
with Technology

CEO
Message

Our New Research andDevelopment Center: “the WAVE”

Introduction“the WAVE”, the NISSIN FOODS Group’s new research and development center, opened in March
2014. The new research center will provide technical support for the Group’s growth strategy of
speeding up development of the overseas business to evolve into a truly global company.

CEO MESSAGE

The Group’s management objective is toconstantly strive to enhance earnings

Chief Executive Officer

Corporate
Information

Serving for All Shareholders

In China, local
Cup Noodles
products are highly
popular, particularly
among young people.
In Turkey, MakarNeks
instant pasta
has successfully
penetrated the market.

Financial
SectionFor details on the global strategy,please refer to pages 18–19.

turkeySustainable
Activities

We consider the current medium-termbusiness plan (announced in April 2013) tobe a turning point for the Group’s
development into a global company. We
have designated the three-year period
through fiscal 2016 as a time for up-front
investment—with continued growth in theoverseas business our highest priority. In
fiscal 2014, the first year of the businessplan, by stepping up overseas investment for

China

GlobalRoadmap

Aspiring to Be a
Truly Global Company

potential, to increase corporate value, and toprovide appropriate returns to ourshareholders. We will engage in shareholderoriented and ROE-oriented management toenhance our reputation as a global company.
As the Japanese market matures due topopulation decline and the aging of society,the only path to further growth is to
successfully compete in the global market.
To accomplish this, we must develop a new
business model that is not a mere extensionof the business structure we havecontinuously developed since our founding.
Through the years, the Group has
applied technological innovation andmarketing capabilities to explore various
possibilities in food and create dreaminspiring delicious tastes. These key
strengths have always provided a favorable
tailwind for growth. In the coming years, wewill gratify people everywhere with pleasuresand delights food can provide and increase
shareholder value by opening up newmarkets around the world and working toachieve sustainable growth.

Corporate
GovernanceFor details on food safety activities,
please refer to page 21.

geographical expansion and in-depthbusiness cultivation, we strengthened our
position in the growing markets of China andAsia, and successfully early on in Central
and South America, the Middle East, andAfrica—all markets with high future potential.
In the overseas business, we are
implementing an efficient strategy for growthby means of marketing approaches that are
adapted to individual countries and regions,
localization based on technologies nurtured
in Japan, and the provision of products
differentiated from the competition. This
strategy has produced encouraging results,
and we are confident we can achieve thefiscal 2016 target of overseas sales of ¥100.0
billion in the business plan.
Furthermore, “the WAVE”, our new
research and development center, will play a
key role as a global innovation center in
implementing the global strategy incooperation with development sites aroundthe world, such as our principal regional
research centers in Hong Kong, the U.S.,
and Singapore, etc.

CEO
Messageproducts company. The institute is deploying
a world-class management system relating
to food safety and will centrally manage
safety at our domestic and overseas
production plants to ensure the safety of all
Group products.
In the future, the institute will function asa global center for the transmission of
information about instant noodles and aquality control tower with a powerfulcommitment to take responsibility for
managing the safety of not only the Group’s
products, but all instant noodles, a productfor which worldwide demand now exceeds
100 billion servings and will further increasein the coming years.

Introduction

As a food culture creator that pursues new possibilities in food,the NISSIN FOODS Group will mount a united effort to satisfy the physical andspiritual appetites of people all over the world.

Sustainable
Activities
Financial
SectionCorporate
Information

Food is the most important
thing supporting human life.
The operations of NISSIN FOODSGroup have grown from roots
in human life.

GlobalRoadmap

Since instant noodles
are tasty, safe, easy
to prepare, storable
for long periods of timeat room temperature,and inexpensive,
I think that they are an essential food for any
time or circumstance. After natural disasters
or other emergencies, they can be rapidly
delivered where needed. In ordinary times,
instant noodles add convenience and pleasure
to our daily lives and help safeguard health.
According to the United Nations, theworld’s population will exceed nine billion in
2050, and a food supply crunch is said to bea possibility. Instant noodles, which are easy
to prepare and highly energy efficient, can bejust the things to be a part of the foundationof a healthy diet for large numbers of people.
Our purpose and passion is to support theworld’s food supply.

Corporate
Governance“	Peace will come to
the world when there
is enough food”

FOOD
SUPPLYCEO
Message

For a food products
company, the pursuitof safety is anever-ending struggle.
Future scientific andtechnological progressin medicine, physiology, and other fields islikely to yield new knowledge about food. In
fact, nowadays research on human health isconstantly revealing new facts. Safety risks
suddenly arise, and we are pressed todevelop countermeasures. We think we will
increasingly face such situations.
The Group will remove harmful
substances contained in food products andmodify them or replace them with safe
substances. We will quickly detect newcauses for concern and take preventive
measures before problems occur. Our stanceis that there can be no compromise in the
pursuit of safety.

Introduction

CEO’S VIEWPOINT

Food andHEALTHSusumu Nakagawa

Akihide Matsuo

Introduction

Noritaka AndoKen Kobayashi

CEO
Message

Koki Ando
Corporate
Governance

Tsunao Kijima

GlobalRoadmap

The NISSIN FOODS Groupappoints multiple outside
directors and outside
audit & supervisory board
members, actively reflects
in management theopinions of outside experts
and realizes management
vitalization andtransparency. The executive
officer system promotes
rapid decision-making
and clearly segregatesmanagement oversightfrom business execution.

Masahiro Okafuji

Mitsuru Tanaka
Financial
SectionYoko Ishikura

Corporate
Information

Yukio Yokoyama

Sustainable
Activities

NEW
DEDICATION

Yoshinori Miura

Kiyotaka Ando

CORPORATE GOVERNANCE

Introduction

The NISSIN FOODS Group engages in business so as tomaximize benefits to all stakeholders and regards theenhancement and strengthening of corporate governance as
one of its most important management priorities.

CEO
Message

General Meeting of Shareholders

Selection andAppointment

Report

Audit
ReportSelection andAppointment

Audit
Independent Auditors

Audit & Supervisory Board

Board of Directors

Corporate
GovernanceSelection andAppointment

ReportAudit Report
LiaisonSelection

LiaisonAudit Report

Direction/Report

Representative
Directors

Management
Committee

Direction/
Report,Suggestion andConfirmation

Group
Company
Strategic
Presentation

Liaison
Audit

LiaisonRisk Management Committee

GlobalPlatform
SystemPresentation

Audit

Business Ethics Committee
Environmental Committee

Audit

Advice andGuidance

Financial
Section

Personnel
Committee

Direction/
Suggestion

Internal
Auditing
OfficeSustainable
Activities

Internal Control Systems

Direction/
ReportInvestment
and Loan
Strategy
Committee

GlobalRoadmap

Consultation/
Recommendation

Information Security Committee

Lawyers,
Tax Accountants andOther Professionals

Corporate
Information

Business Divisions

Corporate GovernanceIntroduction
Corporate
Information

We instituted the NISSIN FOODS Group
Risk Management Regulations in February
2008, set up the Risk Management
Committee chaired by a representative
director and endeavor to avoid damage to

We have launched a groupwide crossorganizational project and are actively
engaging in business continuity planning.
The Group believes that maintaining
product supply even in times of emergency
is the most important way of fulfilling thesocial responsibility of a food products
company. Accordingly, we are developing asystem that enables us to deliver products
to customers even if a key Group businesssite ceases to function due to a large-scale
natural disaster or other catastrophe bymeans such as continuing operations using
alternative business sites. We will now test
the effectiveness of our business continuity
plan, identify issues and strengthen theplan by periodically conducting drills andput in place a system that enables
employees to rapidly and flexibly executeunaccustomed operations.

Financial
SectionRisk Management

Business Continuity Plan

Sustainable
Activities

The Group considers the development,
construction and appropriate operation ofinternal control systems to be one of its
most important management priorities andis working to construct more appropriate

As part of internal control systems
construction, we are working to establish agroupwide compliance structure. In
accordance with the NISSIN FOODS Group
Ethics Regulations, all of the Group’s
managers and employees are aware ofcorporate social responsibility, observe
relevant laws and regulations and strive forsocially ethical behavior. Furthermore, in
accordance with the code of conduct in the
NISSIN FOODS Group Compliance
Regulations, each operating company

corporate value from various risks facing theGroup. We partially amended the regulationsin April 2012, clearly defining details androutes for information communication whena risk event occurs.

GlobalRoadmap

Development and Construction ofInternal Control Systems

Strengthening of Compliancedevelops fair, equitable and transparent
relationships with raw materials suppliers,
subcontractors and other business partners,
all the while striving to conduct businessdealings in conformance with laws,
regulations and fair business practices. If
there has been a report of a complianceviolation from an employee, we respond inaccordance with the NISSIN FOODS Group
Whistleblower Regulations. In March 2014
we set up a dedicated compliancepromotion organization within the Legal
Affairs Department and are working tostrengthen the compliance structure.
To ensure the protection of personal
information, we instituted the Information
Security Policy and set up the Information
Security Committee in June 2004. We
comply with the NISSIN FOODS Group
Personal Information Protection Regulations,instituted in 2008, and strive to appropriately
manage personal information.

Corporate
Governance

The Group has long actively reflected inmanagement the opinions of outside experts
and is pursuing management vitalization andtransparency. We first appointed
independent officers in 2010 and havestrengthened oversight by utilizing theknowledge and talents of outside experts.
As a global compliance measure, in 2012 werevised the approval regulations to promote
rapid decision-making in overseas regions.
Furthermore, as part of the governancesystem, the representative directors of
NISSIN FOODS HOLDINGS receive periodic
strategy proposals at Global Platform
System Presentations from each NISSINFOODS HOLDINGS platform and at Group
Company Strategic Presentations from each
operating company.

and efficient systems through reviews
conducted when appropriate andcontinuous improvement of the basic policy
on construction of internal control systems,
first instituted in 2006. The audit &supervisory board members audit internal
control systems related to overall business
management to ensure their effectiveness.
The audit & supervisory board members
and Internal Audit Office conduct
operational audits of the business divisions,
audit and examine the effectiveness ofinternal controls and provide improvement
suggestions, guidance and instructions,as necessary.

CEO
MessageStrengthening ofCorporate GovernanceCorporate Governance
Board ofDirectors

Outside Director

Koki Ando

Akihide Matsuo

Yukio Yokoyama

Ken Kobayashi *1

CEO (Chief Executive Officer)

President & Representative Director,
MYOJO FOODS CO., LTD.

CFO (Chief Financial Officer)

 resident & Chief Executive Officer,
P
Mitsubishi Corp.

Executive Vice President & Representative Director

Managing Director

Director

Outside Director

Susumu Nakagawa

Tsunao Kijima

Yoshinori Miura

Masahiro Okafuji *1

COO (Chief Operating Officer)
In charge of Chilled andFrozen Foods Business

CBO (Chief Business Officer)

President & Representative Director,
NISSIN FOOD PRODUCTS CO., LTD.

 resident & Chief Executive Officer,
P
ITOCHU Corp.

Senior Managing Director & Representative Director

Director

Director

Independent Outside Director

Noritaka Ando

Mitsuru Tanaka

Kiyotaka Ando

Yoko Ishikura *1 *3

CSO (Chief Strategic Officer)
In charge of Marketing
In charge of SCM

CDO (Chief Development Officer)
Head of NISSIN Global
Innovation Center

Chief Representative, China

 rofessor Emeritus,P
Hitotsubashi University

Audit & Supervisory
Board Member (Full-time)

Executive Officers and Chief Officers

Hitoshi Suzuki

Masahiro Homma

General Manager,
Advertising Control Division,
Corporate Strategy Headquarters

CLO (Chief Legal Officer)

Hideki Hattori

Shigeo Kitara
CIO (Chief Information Officer)

Kazuhito Kusumoto

Kazuo Kanamori *2

CRO (Chief Resourcing Officer)

Audit & Supervisory
Board Member (Outside)

Koji Sakai

Toru Horinouchi *2

Deputy Head of
SCM Headquarters

Kazuhiro Tadokoro
CHO (Chief Human Resources Officer)

Yasuhiro Yamada

Toshimichi Fujinawa
Deputy Head of
NISSIN Global Innovation Center

Hiroshi Takano *2 *3

Head of SCM Headquarters
CPO (Chief Production Officer)

Toshihiko Ijichi
CAO (Chief Administrative Officer)

Financial
SectionAudit & Supervisory
Board Member (Outside · Independent)

General Manager,
Technology Development Division,
NISSIN Global Innovation Center

Jitsuro Murata
Sustainable
Activities

Audit & Supervisory
Board Member (Outside · Full-time)

GlobalRoadmap

Director

Corporate
GovernanceManaging Director

CEO
MessagePresident & Representative Director

Introduction

Audit &
Supervisory
Board
Members,
Executive
Officers andChief Officers

As of June 27, 2014

Senior Executive Officer

Toshihiro Yamada
The latest information about management personnel isavailable on our web site:
Notes: 1. Indicates an outside director as provided for in Article 2-15 of the Companies Act.
2. Indicates an outside audit & supervisory board member as provided for in Article 2-16 of the Companies Act.
3. Designated for independent director/audit & supervisory board member as specified by the Tokyo Stock Exchange and other exchanges in Japan.

https://www.nissin.com/en_jp/about/officers/

Corporate
Information

CQO (Chief Quality Officer)
Head of NISSIN Global Food Safety InstituteIntroduction
CEO
Message
Corporate
Governance
GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

The next objective of the NISSIN FOODS Group
is to compete and win globally. We will leveragetechnological capabilities developed in Japanto accelerate worldwide implementation of the
global strategy and drive growth in the global
market as the instant noodle pioneer.

Global Highlights of Fiscal 2014
Mouse overpicturesfor details

GlobalRoadmap

ASIA

Colombia (Non-consolidated)
Establishment of subsidiaryand start of sales

Corporate
Information* Europe, the Middle East, and Africa

India
Completion of Khordha Plant(Production of CHOP noodles)

Brazil (Equity method associate)
Completion of Gloria do Goita
Plant for business expansion in
the northeast region

Financial
SectionMaghreb (Non-consolidated)
Launch of instantnoodle business

ThailandCompletion ofNava Nacorn Plant

Sustainable
Activities

CENTRAL AND
SOUTH AMERICA

Kenya (Non-consolidated)
Startup of joint venturewith JKUATTurkeyLaunch of first instantnoodle business in Turkey

Corporate
Governance

China
Establishment of production subsidiary for Cup Noodles(Scheduled to go into operation in Apr. 2016)
Establishment of subsidiary for productionof packaging materials(Scheduled to go into operation in Jan. 2015)

CEO
MessageHong Kong
Construction of new plant for Demae Iccho(Scheduled to go into operation in Jul. 2016)
Establishment of a confectionery joint venture
between NISSIN FOODS (HK) and Frente

CHINA AND
HONG KONG

EMEA*

Introduction

To prepare for growth in the overseas business,a key objective in our current medium-term businessplan, we have stepped up investment in China and Asia,
markets which continue to grow, and have newly
entered and gained footholds in Central and SouthAmerica, the Middle East and Africa, markets withhigh future potential.

Fiscal 2015 Policy and Initiatives

Introduction

China

W

I

Financial
SectionCorporate
Information

The
Americasn Southeast Asia andIndia, purchasing
power for consumer
goods is increasing, andthe instant noodle market
is expanding substantially.
Against that backdrop, inThailand and Vietnam we will
pursue volume expansion in
the affordable price range. In
India, we will actively implement
an area concentration strategy
for promoting cross selling
between affordable-price-range
and high-profit-range channels
and utilize the Khurda Plant,
which began operation in fiscal
2014, to pursue cost reduction
and sales expansion.

I

Sustainable
Activitiesn the U.S., where
fierce competition
with rivals continues,
BIG CUP NOODLES(spoonable noodles) sold well.
We will continue to create
new markets by leveraging
BIG CUP NOODLES andstrengthen the businessfoundation through special
collaborations with major
retailers. We will also continue
efforts to create a market for
instant noodles in Colombia,
where we began operations infiscal 2014.

GlobalRoadmapn Turkey, where wegot off to a solid startand gained a footholdwith instant pasta, we will
aim to further establish our
products as regularly stocked
items and increase sales. On
the African continent, where weentered the markets of Kenya
and Morocco in fiscal 2014, we
will continue market creation
efforts with a view to setting up
a local production structure andexpanding into the East African
Community.

Asia

Corporate
Governanceith local Cup Noodles products, which continue to sell well, at the heart ofthe product strategy, we will accelerate implementation of our geographicalexpansion strategy on the Chinese mainland. In Hong Kong, in addition tostrengthening Demae Iccho , the top bag-type noodle brand, we will leverage the selling
power and distribution network we have built to date to develop our business in theconfectionery market, which we newly entered in fiscal 2014.

I

EMEA

CEO
Message

NISSININ THEW rld

Introduction
CEO
Message
GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

The NISSIN FOODS Group’s philosophy,
EARTH FOOD CREATOR, signifies the Group’s
aspiration to contribute to society and the earth bygratifying people everywhere with pleasures anddelights food can provide. Our mission is to support
food, support life and support the future.

Corporate
GovernanceNEW
FUTUREQUALITY AND SAFETY

Nissin’s Analytical Systems for
Identification (NASID)NESMAGET rapidly and conveniently

Quality Survey Activities of theNISSIN Global Food Safety InstituteQuality surveys from raw materials
production to processing, including surveys
of farms, livestock farms and fisheries
On-site inspections of manufacturing
plants based on Nissin’s Inspection
Standards for Food Safety (NISFOS)
Quality process management at
manufacturing plants in China

Corporate
Information

Nissin’s Evaluation Systems for
Mammalian Genotoxicity (NESMAGET)

The NISSIN Global Food Safety Instituteconducts quality surveys to ensure that
quality and safety assurance measures areappropriately taken at every stage from raw
materials processing to finished productproduction.

We have put inplace a redundantquality management
system consisting of
quality control at the
production plants andinspection of products
produced at our plants
at the NISSIN Global
Food Safety Institute.

Financial
Section

NASID determines on the basis of a profile
of residual agricultural chemicals andthe content of specific elements that raw
materials delivered to plants are identical toretained samples whose quality has been
confirmed in analysis.

Quality Survey Activities

Sustainable
Activities

NASRAD-700, the latest system for instantly
analyzing residual agricultural chemicals and

To instantly analyze residual agriculturalchemicals, it is necessary to extract
agricultural chemicals from food. This is called“preprocessing.” FASRAC, independently
developed by the NISSIN Global Food
Safety Institute, are the first systems in theworld to automate preprocessing in residual
agricultural chemicals analysis.

DOUBLE

GlobalRoadmap

Nissin’s Analytical System for
Residual Agricultural Chemicals andVeterinary Drugs (NASRAD)

Food Automatic Analytical Systems for
Residual Agricultural Chemicals (FASRAC)

examines genotoxic carcinogens containedin food. NESMAGET is highly rated for arevolutionary testing method that uses
human cells to evaluate DNA damage, acause of cancer, and has received an award
at an academic conference.

Corporate
GovernanceThe cornerstone of the Group’s quality
assurance system is the NISSIN Global
Food Safety Institute. The institute develops
analysis and testing methods to ensure
quality from raw materials to finishedproducts, confirms the quality of procured
raw materials, conducts supplier inspectionsand verifies the quality control systems ofGroup and supplier production plants.
The NISSIN Global Food Safety Instituteanalyzes harmful substances that may becontained in food (such as residual agriculturalchemicals, veterinary drugs, carcinogens,food allergens, food poisoning bacteria,mold fungus, heavy metals and radioactive
substances) and is independently developing
analysis and inspection systems to prevent
contamination of food. Through these rigorous
inspection systems, the institute has put inplace a mechanism to ensure the use of safe
raw materials.

veterinary drugs, can instantly analyze 545
types of residual agricultural chemicals and
188 types of veterinary drugs.

CEO
Message

Quality Assurance System

Introduction

To provide products customers can enjoy with confidence and peace of mind, the
NISSIN FOODS Group has established a quality assurance system that extends fromfarm to table, covering all operations from raw materials procurement to production,
distribution and sales, by means of independent analysis and inspection systems.

ENVIRONMENTAL / SOCIAL ACTIVITIES

Environmental Risk
Management System

100

Financial
SectionCorporate
Information

Since 2008, the Grouphas been implementing
the Hyakufukushi Projectto engage in a total of
100 social contribution
activities in 50 years. Fivethemes guide project
selection: Creation, Food,
The Earth, Health, andChildren.

Sustainable
Activities*Vehicles with on-board water heaters for distributing instant noodles

The Great East Japan Earthquake caused
unprecedented damage and took many
precious lives. One of the lessons of that
fateful day was a keen realization of theimportance of self-reliance and of preparing
to protect oneself by one’s own power.
Other major earthquakes are expected tooccur in Japan, and earthquake preparation
measures by individuals and companies
alike are an urgent necessity.
The NISSIN Employee Disaster
Preparation Training Project, the 12th
Hyakufukushi Project, is an employee
development project whose aim is to instill in
employees knowledge of crisis management
and mastery of the mental attitude requiredin an emergency. Group employees fromacross Japan will gather for overnighttraining at the head offices to simulate
experience of life at an evacuation center.
The goal of the project is to train employees
to protect themselves, survive together withothers, and show equanimity and initiativein the face of natural disaster, such as when
operating Kitchen Cars*.

GlobalRoadmap

The Group has established independent
emissions standard values that arestricter than the standards prescribedby laws and regulations concerning SOx(sulfur oxides) and NOx (nitrogen oxides),causes of air pollution, and the waterpollution indices BOD (biochemical oxygen
demand) and COD (chemical oxygen
demand). The Group periodically monitorsand measures emissions to prevent
environmental accidents. We also take risk
countermeasures to provide against damage
to facilities and spillage of environmentally
harmful substances. We conduct emergency
drills at each plant in accordance with
an emergency response manual and areworking to strengthen and enhance theenvironmental risk management system.

The 12th Hyakufukushi Project:“NISSIN Employee Disaster
Preparation Training Project”

Corporate
Governance

The Group engages in activities to preserve
the natural environment. In 2008 theGroup established the NISSIN FOODSGroup Environmental Charter, which sets
forth fundamental principles and action
guidelines that promote the practice of green
management. To preserve a sustainableglobal environment, the Group works to
reduce environmental impacts at every stageof all business activities.
We have set up the Group Environmental
Council, chaired by a representative directorof NISSIN HOLDINGS, for the purpose ofpromoting environmental preservation. The
committee is developing an environmental
management system for the Group by
establishing a Group environmental policy
and discussing environmental targets andimportant matters concerning environmental
activities.
To promote green management
throughout the Group, in fiscal 2012 we set
up the Environmental Promotion Division
within the Food Safety Research Institute(current name: NISSIN Global Food Safety
Institute). The division inspects the statusof compliance with environment-related

laws and regulations and environmental
activities at the Group’s plants using our
independent inspection standards forenvironmental activities (RISEA). RISEA
inspection results are fed back to the plants,
and the department verifies subsequent
improvement.

http://nissin.com/en_jp/csr/

CEOMessage

Environmental Management

More information on ourenvironmental and social activities
is available at our website:
Introduction

To contribute to a brighter, richer future,
the NISSIN FOODS Group engages in activities topreserve the natural environment as well as sociallybeneficial activities as a responsible member of society.

that satisfies the appetite

to the faces of people everywhere, we

Expect more greatthings to come from us.

Financial
Sectionalways look to the future and pursue freshness and originality.

Sustainable
Activities

brings smiles

andGlobalRoadmap

fun. To create foodshould be

Corporate
Governancebelieves that foodCEO
Message

NISSIN FOODS Group

Introduction

ALWAYS New

Corporate
Information

Consolidated Six-year Summaryof Selected Financial Data

For the Year

2010

2009

¥ 380,675
213,707
166,968
140,756
26,212
5,408
31,62012,887
194
18,53918,541¥ 167.97
167.5975.00
2,545.31¥ 60,949
126,360
414,717
37,194
286,657¥ 4,385
18,937
6.9
4.5
6.7
13.4

¥ 374,932
203,202
171,730
137,192
34,538145
34,683
13,597330
20,756
13,239¥ 187.56
187.3070.00
2,454.67¥ 56,472
125,882409,749
44,499277,595¥ 4,081
30,810
9.2
5.1
7.7
14.1

¥ 371,178
203,037
168,141
140,799
27,342
3,813
31,155
10,270389
20,496—¥ 177.02
176.9160.00
2,406.26¥ 67,772
109,278
408,410
48,371
271,951¥ 3,80718,448
7.4
5.0
7.5
13.7

¥ 362,057
202,304
159,753
136,201
23,552(180)
23,372
7,385
96
15,891—¥ 129.98—
50.00
2,287.21¥ 69,536
101,132
408,729
34,426
285,569¥ 3,477
17,572
6.5
4.0
5.7
13.5

Net Sales by Segment
(Billions of yen)

Operating Income and Operating Margin
(Billions of yen) / (%)
52.6

2014

200.8

39.3

20.8
25.9

54.8
210.9

Nissin Food Products
Chilled and Frozen Foods
China

39.6
Myojo Foods
The Americas
Others

43.3

382.8

32.2

2011
2012

29.9
50.2

417.6

7.4

2010

2013
2014
Operating income

9.2
6.9
6.3
6.6
Operating margin

Interest Coverage Ratio
(Times)

27.3

2010

34.5

2011

26.2

2012

24.0

2013

27.7

2014

205.4
136.7
150.0
150.1

Corporate
Information

2013

5. Return on assets = Net income / Average total assets
6. Return on equity = Net Income / (Average total equity - Average minority interests - Average stock acquisition rights)
7. Inventory turnover = Cost of sales / Average total inventory

Financial
SectionNotes: 1.	Equity per share = (Equity - Minority interests - Stock acquisition rights) / Number of shares outstanding as of the year-end (excluding treasury stock)
2.	Working capital = Total current assets - Total current liabilities
3.	Equity: In compliance with the Corporate Law, from fiscal 2007, the amount of equity includes the amount of minority interests.
4.	Operating margin = Operating income / Net sales

Sustainable
Activities

2011¥ 382,793
211,347
171,446
147,492
23,954
5,439
29,393
10,195343
18,85534,884¥ 171.12
170.5775.00
2,782.25¥ 48,865
133,788446,132
33,296315,027¥ 4,321
21,582
6.3
4.4
6.4
11.5

GlobalRoadmap

Value & Performance
Indicators

2012¥ 417,621
231,310
186,311
158,606
27,7054,020
31,725
12,43620
19,26937,410¥ 174.83
174.1375.00
3,018.82¥ 74,652
147,620
479,470
37,001
342,301¥ 5,313
27,527
6.6
4.2
6.0
11.5

Corporate
Governance

At Year-End

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Other income (expenses)
Income before income taxes and minority interests
Income taxes
Minority interests in earnings (loss) of consolidated subsidiaries
Net income
Comprehensive income
Net income —primary—diluted
Cash dividends
Equity*1
Working capital*2
Property, plant and equipment, net
Total assets
Long-term liabilities
Equity*3
R&D expenses
Capital expenditures
Operating margin (%)*4
Return on assets (%)*5
Return on equity (%)*6
Inventory turnover (times)*7

2013

CEO
Message

Per Share

Millions of yen (except per share information)

2014

Introduction

Years ended March 31,

120.8*	Interest coverage ratio = Operating cash flow / Interest payments

24

FINANCIAL REVIEW

GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

marketing capabilities to develop products in line with the group philosophy of being an
EARTH FOOD CREATOR and contributing to society and the earth by gratifying people
everywhere with the pleasures and delights food can provide. It also sought to further
enhance its brand value. The Group’s global strategy focused on emerging countries withhigh growth potential, and worked to strengthen competitiveness sufficient to succeed on
the world stage and to develop systems capable of swiftly executing strategies.
The sales breakdown by segment (excluding intersegment sales) shows that the total
sales of the Nissin Food Products and Myojo Foods segments, both of which are chiefly
focused on the instant noodle business in the domestic market, amounted to ¥250,468
million (US$2,434 million), and accounted for 60.0% of total consolidated net sales. In the
Nissin Food Products segment, among its bag-type instant noodles, the growth of non-fried
noodles was remarkable, and the Nissin RAOH series continued to sell briskly.
Nissin-No-Donbei Nama Udon Shokkan and Nama Soba Shokkan also tapped into
year-end demand, and contributed to the overall sales growth. Chicken Ramen, whichcelebrated its 55th anniversary in August 2013, also sold strongly, reflecting vigorous
ongoing marketing activities, including proposing new ways of serving. In cup-type instantnoodles, the main product lines, such as the Cup Noodle series and the Nissin-No-Donbei
series, continued to sell strongly, contributing to the overall sales increase. As for the Myojo
Foods segment, in its bag-type noodles, MYOJO KIWAMEN, which boasts the texture andtaste of fresh noodles, was rolled out across the whole of Japan and contributed to sales. In
cup-type noodles, main product lines continued to perform solidly, thanks largely to the salesof variations of the MYOJO IPPEICHAN YOMISE NO YAKISOBA series, and consequently,
the instant noodle sales increased overall.
The chilled and frozen foods segment, which comprises the production and sales ofchilled and frozen food products, increased its sales compared to the previous fiscal year.
Within this segment, sales of products of NISSIN CHILLED FOODS CO., LTD. exceeded theyear-ago level, reflecting a solid performance from the fall, amid continued stagnant demandfor chilled noodles in the market. In particular, value-added products with a strong
commitment to the flavor of chilled noodles sold strongly, and sales of mainstay brands suchas Tsukemen-no-Tatsujin grew. In NISSIN FROZEN FOODS CO., LTD., its performanceremained strong, reflecting efforts to expand the line-up and improve the quality of existing

Corporate
Governance

Net Sales
Consolidated net sales of the Group for fiscal 2014 amounted to ¥417,621 million (US$4,058
million), a 9.1% increase on the previous fiscal year’s ¥382,793 million. Among consolidated
net sales, domestic net sales alone (excluding intersegment sales) increased by 4.5% year
on year to ¥343,931 million (US$3,342 million), while the share of overseas net sales also
increased by 3.6 percentage point to 17.6%.
During the fiscal year under review, the Japanese economy continued to stage arecovery, driven by domestic corporate and household demand, as the policies of thegovernment and the Bank of Japan gradually permeated the real economy. Nevertheless,there was scant room for optimism as the yen’s weakness continued to put upward pressure
on raw materials prices and consumers maintained their deep-seated desire to protect theirlivelihood by saving money. Consumers also continued to demonstrate high sensitivity tofood safety and worry-free food, so that food manufacturers were once again required tofurther strengthen their quality assurance systems.
Looking at the global market for instant noodles, the Group’s mainstay business,worldwide demand for instant noodles in calendar year 2013 increased by 4.1% over theprevious year to 105.59 billion servings, according to the World Instant Noodles Association(WINA). In the Asian market, which accounted for 86.5% of the worldwide demand in 2013,
the demand for instant noodles was 91.32 billion servings and marked a 4.1% year-on-yearincrease. As for the Group, the domestic instant noodle industry saw an increase in total
demand for bag-type instant noodles due to the dramatic expansion of the market for fresh
bag-type instant noodles. There was also a spike in demand ahead of the consumption tax
hike in April 2014. For Group operations outside of Japan, the aggregate overseas sales
grew, with marked contributions by the Americas and China businesses, both of which
recorded increases in revenues as well as operating income. The Americas businessendeavored to reinforce its business foundation in North America, while the China business
improved its marketing efficiency and accelerated its strategic expansion of business areas.
The Group also strengthened investments in the China and Asian markets, where theeconomic growth is pronounced, and proceeded with entry into the promising markets of
Latin America, the Middle East and Africa.
In this environment, the Group harnessed its strong technological innovation andCEO
Message

INCOMEANALYSIS

Introduction

NISSIN FOODS HOLDINGS CO., LTD. (the “Company”) and its subsidiaries and associated companies(“associates”) operate the production and sales of instant noodles and other instant foods as their core business,
to further develop their business domain in various foods, logistics and other related businesses. The scope of
consolidation for fiscal 2014, the year ended March 31, 2014, covers the Company, 45 consolidated subsidiaries(26 in Japan and 19 overseas), and five associates accounted for by the equity method (collectively, the “Group”).

25

mainstay brands such as the Reito Nissin Spa-O Premium series. The rice products, whichwere improved to enhance the softness of the rice, as well as snack products, also
contributed to the overall increase of sales.
In the Americas segment, the Group aimed to become less susceptible to the effect ofprice competition and worked to strengthen its high value-added products.
BIG CUP NOODLES, which will be a core product in the future, was introduced as a regular
product at major retailers, and contributed to sales growth. The long-selling products Top
Ramen and Cup Noodles also maintained solid sales.
In the China segment, sales increased, thanks to expansion of the sales network andsales personnel, as well as brand strategy in the mainland China market where themiddle-income class continues to grow. In particular, the sales of cup-type instant noodles
grew due to an aggressive sales strategy for high value-added products under the Hap Mei
Do brand. Demae Iccho, manufactured in Hong Kong, also continued to perform strongly.
Other business areas, which are not reported as stand-alone segments, include
domestic confectionery, beverages and food service businesses, and overseas businesses
in Europe and Asia. The aggregate sales of other business areas increased compared withthe previous fiscal year.

As a result, total SG&A expenses increased by 7.5% from the previous fiscal year.

2014

2013

Net Sales Ratio

Net Sales Ratio¥231,310

55.4¥211,347

55.2

SG&A expenses

158,606

38.0

147,492

38.5

Promotional expenses

76,15418.2

70,552

18.4

Advertising expenses

11,8542.8

11,001

2.9

Distribution expenses

24,214

5.8

22,024

5.8

Other expenses

46,383

11.1

43,916

11.5

Sustainable
Activities

Cost of sales

GlobalRoadmap

Years ended March 31,

Millions of yen

Corporate
Governance

Costs and Expenses, and Net Sales Ratio

CEO
Message

Cost of Sales and Selling, General and Administrative Expenses
The cost of sales for fiscal 2014 increased by 9.5% from the previous fiscal year to ¥231,310
million (US$2,247 million), mainly due to the increase in net sales and the rise in raw materials
prices. The ratio of cost of sales to net sales rose by 0.2 percentage points to 55.4%.
Selling, general and administrative (“SG&A”) expenses amounted to ¥158,606 million(US$1,541 million). Among SG&A expenses, promotional expenses increased by 7.9% fromthe previous fiscal year to ¥76,154 million (US$740 million), with a 0.2 percentage-point dropin the ratio to net sales. Advertising expenses also increased by 7.8% year on year to¥11,854 million (US$115 million), while the ratio to net sales slightly decreased by 0.1
percentage point. Distribution expense grew by 9.9% to ¥24,214 million (US$235 million),with the ratio to net sales holding steady at the same level as that of the previous fiscal year.

Introduction

Operating Income, Other Income (Expenses) and Net Income
The increase in net sales exceeded the increases in the cost of sales and SG&A expenses,
and, as a result, consolidated operating income for fiscal 2014 increased to ¥27,705 million(US$269 million) by 15.7% from the previous fiscal year. The ratio of operating income to net
sales also rose by 0.3 percentage points to 6.6%.
Net other income declined to ¥4,020 million (US$39 million) from ¥5,439 million in theprevious fiscal year. A ¥2,969 million increase in gain on sales of investments in securities andother profit-increasing effects were offset by the profit-decreasing factors, such as a ¥724
million increase in loss on impairment of fixed assets, and a ¥2,822 million loss on revaluationof investments in securities, unconsolidated subsidiaries and associates, and other recorded.
As a result of the above, income before income taxes and minority interests for fiscal
2014 amounted to ¥31,725 million (US$308 million), up by 7.9% from the previous fiscal
year. Net income resulted in a 2.2% year-on-year increase to ¥19,269 million (US$187
million). The ratio of net income to net sales, on the other hand, slightly dropped by 0.3
percentage points to 4.6%. Net income per share increased by ¥3.71 to ¥174.83 (US$1.70)
from the previous year’s ¥171.12.

Financial
SectionWorking Capital and Current Ratio
(Billions of yen) / (%)
176.9

2010
2011

167.1

2012

150.0

2013

174.5

2014
Working capital

Current ratio

Working capital = Total current assets – Total current liabilities
Current ratio = Total current assets / Total current liabilities

67.8

2010

56.4

2011

60.9

2012

48.9

2013

74.7

2014
Shareholders’ equity

7.5
7.7
6.7
6.4
6.0

266.3
271.7
280.4
306.6

Corporate
Information

164.4

Shareholders’ Equity and ROE
(Billions of yen) / (%)

332.7

ROE

Shareholders’ equity = Total equity – Minority interests – Stock acquisition rights

26

LIQUIDITY AND
CAPITALRESOURCES

Corporate
Governance
GlobalRoadmap

Cash Flow Highlights

CEO
Message

Millions of yen

2014

2013

¥30,214¥ 32,045

Net cash used in investing activities(9,507)(31,251)

Net cash used in financing activities(8,526)(10,071)¥80,201¥ 64,015

Years ended March 31,

Net cash provided by operating activities

Cash and cash equivalents at end of the year

Sustainable
Activities

Assets, Liabilities and Net Assets
Total assets as of March 31, 2014 amounted to ¥479,470 million (US$4,659 million), up by
7.5% from the previous fiscal year-end. Return on assets (ROA) dropped by 0.2
percentage points to 4.2%, reflecting the total assets’ rate of increase surpassing that of
net income.
Total current assets grew by 19.2% year on year to ¥174,820 million (US$1,699 million).
This increase was attributable mainly to a ¥15,572 million increase in cash and deposits;
and a ¥5,661 million increase in marketable securities due to the acquisition andreclassification of debt securities.
Net property, plant and equipment rose by 10.3% to ¥147,620 million (US$1,434

million), reflecting the construction of a new research center and the consolidation of new
overseas subsidiaries.
Investments and other assets decreased by 5.2% to ¥157,030 million (US$1,526 million).
The decrease mainly reflects a total ¥10,197 million decrease in investments in securities,
investments in unconsolidated subsidiaries and associates, and other investments due tosales, redemption and reclassification of invested assets.
Total liabilities resulted in a 4.6% year-on-year increase to ¥137,169 million (US$1,333
million). Long-term debt increased by ¥2,133 million, and deferred tax liabilities also rose by¥3,076 million.
Total current liabilities increased by 2.4% year on year to ¥100,168 million (US$973
million). As the growth ratio of current assets surpassed that of current liabilities, working
capital as of March 31, 2014 soared by 52.8% to ¥74,652 million (US$725 million). The
current ratio also rose by 24.5 percentage points to 174.5%, from 150.0% of the previous
fiscal year-end.
Total equity as of March 31, 2014 increased by 8.7% to ¥342,301 million (US$3,326
million). Although ¥8,266 million cash dividends were paid, total equity resulted in a ¥27,274
million increase chiefly due to ¥19,269 million net income posted; a ¥5,234 million increasein unrealized gain on available-for-sale securities, and a ¥13,151 million net increase inforeign currency translation adjustments. Equity per share also rose by 8.5% from ¥2,782.25
for the previous fiscal year-end to ¥3,018.82 (US$29.33).

Introduction

Cash Flows
Cash and cash equivalents as of March 31, 2014 stood at ¥80,201 million (US$779 million),
an increase of ¥16,186 million from the previous fiscal year-end.
Net cash provided by operating activities decreased by ¥1,831 million to ¥30,214 million(US$294 million). Major cash-increasing factors included a ¥2,332 million increase in income
before income taxes and minority interests; and a ¥2,737 million increase in loss onrevaluation of marketable securities, investment securities and other. On the other hand,
major cash-decreasing factors were a ¥3,404 increase in gain on sales of marketablesecurities, investment in securities and other; and a ¥2,918 million increase in the negative
adjustment for trade notes and accounts receivable.
Net cash used in investing activities recorded a year-on-year decrease of ¥21,744 million
to ¥9,507 million (US$92 million). This significant drop was mainly attributable to a ¥8,259
million increase in proceeds from sales and redemption of marketable securities; and a¥19,252 million increase in proceeds from sales and redemption of investments in securities.
Net cash used in financing activities decreased by ¥1,545 million to ¥8,526 million(US$83 million). While repayment of long-term borrowings increased by ¥4,554 million, there
were a ¥2,482 million net increase in short-term borrowings and a ¥3,635 million increase inproceeds from long-term borrowings.

Financial
SectionTotal Assets and ROA
(Billions of yen) / (%)

Equity Ratio
5.0

2010
2011
4.5
4.4

2013

4.2

2014
Total assets

408.4

2010

409.7

2011

414.7

2012

446.1

2013

479.5

2014

65.2
66.3
67.6
68.7
69.4

2010

2,406.26

2011

2,454.67

2012

2,545.31

2013

2,782.25

2014

3,018.82

Corporate
Information

5.1

2012

Equity Per Share(Yen)

(%)

ROA

27

ADDITIONAL
INFORMATION

Significant Business Agreements
Joint-venture agreement with Hebei Jinmailang Mianye Co., Ltd.

The Company’s mainstay products, particularly Chicken Ramen and the Cup Noodle
series, have become familiar household items for most consumers, thanks to years ofaccumulated technical expertise and product development activities. The Company
emphasizes the establishment and enhancement of its brands. However, new products
flood the instant noodle market every year, and the relative brand value of the Company’s
products could decline if another company were to achieve a revolutionary breakthroughin instant noodle development.

GlobalRoadmap(4) Risk of product liability

Corporate
Information(5) Risk of increases in prices of raw materials

Financial
SectionAs a food manufacturer, the Company believes its mission is to provide safe, worry-free
products to consumers, and therefore applies strict quality control standards to its
manufacturing activities. In addition, the Food Safety Research Institute studies ways toensure the safety of raw materials and strives to reinforce quality control systems ateach manufacturing facility. The Company also endeavors to lessen the potential of
product liability claims that could affect its financial position, and therefore is insured
against product liability. However, if an accident occurs through product liability and asituation arises wherein the Company must recall certain products, the insurance carriedby the Company may not be sufficient to cover all claims. A tarnished reputation insociety and a weakened corporate image could erode consumers’ willingness to buy theCompany’s products. This situation could hurt the Company’s financial position andfinancial performance.

Sustainable
Activities

The Company’s basic philosophy is to provide safe foods that consumers can enjoy
without worry. In the past, a high incidence of disquieting developments, such as avian
influenza, residual pesticides in foods, falsely labeled food products, radioactive
contamination of foods, and toxic substances mixed in food products, threatened toundermine food quality and safety. The needs of consumers with regard to food safety
have become more sophisticated. To enhance its ability to meet these needs, theCompany established the Food Safety Research Institute in 1988 (and established “theWAVE” in 2014) and continues its endeavor to enhance its research function andstrengthen its quality control system. However, the Company’s financial position andfinancial performance could be unfavorably influenced were unusual health-related
situations to arise in the future that were beyond the Company’s conjecture, or if rumors(3) Risk of decline in brand value

Corporate
Governance(1) Food safety issues

In Japan, the birth rate remains low, and the population is aging rapidly. Accordingly, thenumber of young consumers, who are the major customers of the Company, has been
decreasing, and therefore the market of our products is expected to remain unchanged
or otherwise decrease over the long term. In the face of such a business climate, theCompany is making ever-greater efforts to develop new products that closely meet theneeds of each age bracket in order to maintain and expand our customer base.
However, were the decrease in population to accelerate, the overall demand in the
instant noodle market would shrink, negatively affecting the Company’s financial position
and financial performance.

CEO
Message

Risk Information
Conditions that have the potential to significantly influence the decisions of investors arepresented below. Any conditions with reference to the future are based on information
available at the time of publication of this annual report. The Company acknowledges thepossibility that these risks can arise, and will make every effort to prevent such risks fromappearing and address resulting situations if such risks do appear.

(2) Risk derived from changes in demographic trends

Introduction

With regard to the Company’s capital participation in Hebei Hualong F&N Industry Group
Co., Ltd., a major manufacturer of instant noodles and flour in the PRC (hereafter “Hebei
Hualong”), which was undertaken to expand and thereby reinforce the Company’s instantnoodle operations in the PRC, the Company concluded on May 12, 2004, a joint-ventureagreement with Hebei Jinmailang Mianye Co., Ltd., the parent company of Hebei Hualong.
Hebei Jinmailang Mianye split Hebei Hualong into two new companies: Nissin Hualong
Foods Co., Ltd. (now renamed Jinmailang Foods Co., Ltd.) and Hebei Nissin Hualong
Paper Products Co., Ltd. (now renamed Hebei Jinmailang Paper Products Co., Ltd.).
Through capital increases subscribed by its Hong Kong-based subsidiary, Nissin Foods
Co., Ltd., the Company had acquired 14.9% of registered equity in each newly
established company during the fiscal year ended March 31, 2005.
In order to accelerate a joint-venture with Jinmailang Group, Jinmailang Nissin Foods
Co., Ltd. was established in August 2011 and asset restructuring and reorganization
process were started. In April 2012, Nissin Foods Co., Ltd., a subsidiary of the Company,
invested in 14.3% of the shares of Jinmailang Nissin Foods Co., Ltd. At the time of thecompletion of asset restructuring, Nissin Foods Co., Ltd. will acquire additional shares ofJinmailang Nissin Foods Co., Ltd. The percentage of the Company’s total shareholding willbe 33.4%, and the total investment is expected to reach about ¥20 billion.

were to mar the image of the Company’s products, even though such rumors were basedon incidents not directly affecting the Company’s products.

The primary raw materials used for the Company’s products are agriculturalcommodities such as flour and palm oil, and petroleum-based items for packaging and28

(10) Risk‌of declining market values on marketable securities

The Company has manufacturing facilities both in Japan and overseas. If a natural
disaster, such as a large-scale earthquake or flooding from a typhoon, were to occur andmanufacturing facilities incurred damage, the Company’s production infrastructure as wellas its financial position and financial performance could suffer because, for example, aninterruption in operations would reduce output and repairs to facilities and equipment
would raise expenses. Furthermore, serious accidents at electric power plants caused bynatural disasters could also negatively affect the Company’s production infrastructure,
financial position and financial performance, through lowered electricity supply, large-scale
blackouts, and radioactive contamination.

The Company invests in marketable securities to ensure efficient application of funds,
while it is the policy of the Company to maintain the integrity of principal. However, theCompany’s financial position and financial performance could be adversely affected if
worsening market conditions cause market values to decline or sluggish performances byequity investments force the Company to apply the accounting for impairment.

(7) Risk related to overseas operations

Costs and obligations pertaining to retirement benefits are determined based on discountrates and other predetermined criteria used in actuarial calculations and on the expected(13) Exchange rate fluctuations

The Company expands its businesses in various overseas regions. The local financial
statements in each region are translated to Japanese yen for the purpose of preparing
consolidated financial statements. Hence, exchange rate fluctuations may have an effecton the Group’s consolidated results and financial position, even if there is no change in thevalue in local currencies.

Corporate
Information(9) ‌Risk related to retirement benefit accounting

The Company substantially relies on specific business parties for sales of products andprocurement of certain raw materials. Reliance on specific trading companies for sales of
products aims at reducing the effort expended on credit control and minimizing credit risk
through concentration of transactions among highly creditworthy companies. Reliance on
specific vendors for procurement of certain raw materials also aims at efficient and stableprocurement. However, if the business activities of these sales agents were to fail and theCompany had difficulty collecting accounts receivable, or if the supply of raw materials
were suspended and the Company’s production had to be halted, the Company’s own
financial position and financial performance could be negatively affected.

Financial
Section

The Company uses computers to process and store information on production, sales andadministration. The Company had adopted all conceivable measures to safeguard theseinformation systems from computer virus-induced crashes, damage by hackers, and therisk of a breach in information security. However, the Company’s financial position andfinancial performance could be adversely affected if the Company’s systems weredamaged and/or if data were leaked outside the organization, due to illegal access to thesystems by unauthorized individuals through technologies that the Company has notenvisioned, or an unknown computer virus getting through established safeguards.

(12) Reliance on certain business clients
Sustainable
Activities(8) Risk related to information systems

The Company owns various tangible fixed assets for the purpose of its business.
These fixed assets could face in the future a substantial decline in their fair value
and/or future cash flows they are to generate, and thus would have the possibility of
impairment loss recognition in conformity with the accounting for impairment of fixed
assets. Such circumstances could negatively affect the Company’s financial position
and financial performance.

GlobalRoadmap

The Company produces food products, including instant noodles, based on the basic
policy of local production and local marketing in 17 countries. If political unrest orinternational disputes arise in the regions where the Company’s subsidiaries andassociates operate, or if issues threaten to undermine food safety, or if legal controls incertain countries create a situation that hinders production activities, then the financial
position and financial performance of the subsidiaries, affiliates and/or the Company
could suffer.

(11) Risk‌
related to the accounting for impairment of fixed assets

Corporate
Governance(6) Risk of natural disasters

CEO
Messagerate of return on pension assets. If actual results differ from predetermined criteria, or if
predetermined criteria are amended, the actuarial difference is charged to the income of
the fiscal year following the one in which the difference occurred. If a decline in discountrates and/or returns on the pension assets persists, the Company will have to carry ahigher burden of pension-related costs, and this could hurt the Company’s financial
position and financial performance.

Introduction

wrappers. The prices of these raw materials fluctuate with changing market conditions.
Therefore, the Company’s financial performance could be adversely impacted if theprices of raw materials skyrocket, as there exist more factors than ever to boost theirprices, such as political unrest or international disputes occurring in the countries that
produce these raw materials, and crop failures caused by abnormal weather associatedwith global warming.

29

Consolidated
Balance
Sheet

2014

As of March 31, 2014

2013

2014

ASSETS

6,065

113,933

Trade (Note 5)

51,29947,073

498,436

Other

3,400

3,346

33,035

Less: Allowance for doubtful receivables

(369)

(280)

(3,585)Inventories (Note 8)

20,95919,351

203,644

Deferred tax assets (Note 17)

4,514

4,550

43,859Other current assets

3,368

2,218

32,724

174,820

146,674

1,698,601

776,555

Receivables:

Property, plant and equipment:

Land (Notes 7, 9, 12 and 15)

51,06352,429496,143

Buildings and structures (Notes 7, 9, 11 and 15)

104,853

97,504

1,018,782

144,586

19,209Trade43,461

43,653422,279

Other

32,047

28,100311,378

Accrued income taxes (Notes 5 and 17)

7,307

7,143

70,997

Other current liabilities (Note 21)

12,044

11,916

117,023

Total current liabilities

100,168

97,809973,261Long-term debt (Notes 5, 13, 14 and 15)

9,974

7,841

96,910Liability for retirement benefits (Note 16)

6,291

7,496

61,125

Deferred tax liabilities (Note 17)

15,115

12,039146,862
26,671Long-term liabilities:

33,296

359,51225,12325,123244,102(1,561,028)

Common stock:
Authorized—500,000,000 shares;
	Issued—117,463,685 shares in 2014 and 2013
Capital surplus

48,416

48,416

470,424

1,434,318

Stock acquisition rights (Note 23)

1,180

899

11,465Retained earnings (Notes 18 and 27)

263,585

257,068

2,561,067

Treasury stock,at cost—7,242,013 shares at March 31, 2014
and 7,271,935 shares at March 31, 2013

(21,710)(21,798)(210,940)

17,563

12,329170,647

38

—

369

(5,898)(6,620)(57,307)5,214(7,937)50,661

409

—

3,974

333,920

307,480

3,244,462

1,341

19,054

4,335

41,673

Other

1,529

1,473

14,855308,281

290,435

2,995,346

Investments and other assets:

Equity (Note 15):

Investments in securities (Notes 5 and 6)

91,888102,062

892,810Investments in unconsolidated subsidiaries andassociates (Note 5)

45,64844,677443,529

Other investments (Note 5)

8,431

9,425

81,918Long-term loans

1,915

1,665

18,607

Goodwill

1,832

2,620

17,800

Accumulated other comprehensive income (loss):
Unrealized gain (loss) on
available-for-sale securities (Note 6)
Deferred gain (loss) on derivatives
under hedge accounting
Land revaluation reserve (Note 12)

Other (Note 9)

4,478

2,057

43,510Foreign currency translation adjustments

Deferred tax assets (Note 17)

1,420

1,422

13,797

Defined retirement benefit plans

Other assets

1,745

2,083

16,954

Total

Intangible assets:

Less: Allowance for doubtful receivables
Total investments and other assets
Total assets

(327)

(341)

(3,177)

157,030

165,670

1,525,748¥ 479,470¥ 446,132$ 4,658,667

Minority interests

8,381

7,547

81,432

Total equity

342,301

315,027

3,325,894

Total liabilities and equity¥479,470¥446,132$4,658,667

See accompanying notes to consolidated financial statements.

Corporate
Information

37,001

Financial
Section27,944

Total long-term liabilities

Sustainable
Activities

2,920

1,404,839

133,788

32,375

3,000

4,289

147,620

$

5,655

2,876

1,961

Property, plant and equipment, net

1,342

2,745

133,353(156,647)

¥

1,977

Deferred tax liabilities on land revaluation (Note 12)

Leased assets(160,661)

3,332

Other long-term liabilities

Construction in progress

Less: Accumulated depreciation¥

GlobalRoadmap

Machinery, equipment and vehicles(Notes 9, 11 and 15)

Short-term borrowings (Notes 5, 13 and 15)
Current portion of long-term debt
(Notes 13, 14 and 15)
Payables (Note 5):

Corporate
Governance

11,726$CEO
Message¥ 64,351

Total current assets

2014

Current liabilities:¥ 79,923

Marketable securities (Notes 4, 5 and 6)

2013

2014

LIABILITIES AND EQUITYCurrent assets:

Cash and deposits (Notes 4 and 5)

Thousands of
U.S. dollars(Note 1)Millions of yen

Introduction

NISSIN FOODSHOLDINGS CO., LTD.
and Consolidated
Subsidiaries

Thousands of
U.S. dollars(Note 1)Millions of yen

30Consolidated
Statement of
IncomeYear ended
March 31, 2014

Millions of yen

Consolidated
Statement ofComprehensive
Income

2014

2013

2014

Net sales¥417,621¥382,793$4,057,724

Cost of sales

231,310211,347

2,247,473

Gross profit

186,311

171,446

1,810,251

NISSIN FOODSHOLDINGS CO., LTD.
and Consolidated
Subsidiaries

Year ended
March 31, 2014

Selling, general andadministrative expenses (Note 19)

1,541,061

27,70523,954

269,190

2,981

2,673

28,964

494

59

4,800

Equity in earnings of associates

2,154

1,888

20,929Interest expense

(250)

(213)

(2,429)Foreign exchange gain (loss)

1,177

1,538

11,436

Gain on sales of fixed assets

139

348

1,351

3,329

360

32,346

Operating income
Other income (expenses):

Interest and dividend income
Gain on sales of marketable securities

Gain on sales of investments in securities (Note 6)

—

17

—

24

152

233

(948)

(395)

(9,211)(1,999)(1,275)(19,423)

Loss on revaluation of investments
in securities, unconsolidated subsidiaries andassociates, and other (Note 10)(2,822)—(27,419)

Loss from natural disaster

(45)

(236)

(437)

Loss on cancellation of manufacturingsubcontract agreement

(55)

(310)

(534)

Other, net

(159)

833

(1,547)31,72529,393308,249

Current

11,193

10,221

108,754

Deferred

1,243

(26)

12,07812,436

10,195

120,832

Net income before minority interests

19,28919,198

187,417

Minority interests in earnings (loss) ofconsolidated subsidiaries

20

343

194

¥ 19,269¥ 18,855$ 187,223

Income before income taxes andminority interests

Unrealized gain (loss)
on available-for-sale securities

7,925

51,088Deferred gain (loss) on derivatives
under hedge accounting

38

—

369

Foreign currency translation adjustments

8,637

3,903

83,920Share of other comprehensive income (loss)
in associates

4,035

3,858

39,205

Defined retirement benefit plans
Total other comprehensive income (loss)
Comprehensive income

153

—

1,487

18,121

15,686

176,069

37,41034,884363,486

36,78834,371

357,442

622

513

6,044

Total comprehensive income attributable to:
Owners of the parent
Minority interests

Financial
SectionCorporate
Information

See accompanying notes to consolidated financial statements.

5,258

Other comprehensive income (loss)

Income taxes (Note 17):

Net income

2014$187,417

Sustainable
Activities

Loss on disposal and sales of fixed assets
Loss on impairment of fixed assets (Note 9)2013¥19,198

GlobalRoadmap

Subsidy income (Note 11)
Insurance income

2014¥19,289

Corporate
Governance

147,492

Net income before minority interests

CEO
Message

158,606

Thousands of
U.S. dollars(Note 1)Millions of yen

Introduction

NISSIN FOODSHOLDINGS CO., LTD.
and Consolidated
Subsidiaries

Thousands of
U.S. dollars(Note 1)

See accompanying notes to consolidated financial statements.

31

Consolidated
Statement of
Changes in
EquityYear ended
March 31, 2014

Accumulated other comprehensive income
Retainedearnings(Notes 18
and 27)

Treasurystock

Unrealized
gain (loss) on
available-forsale securities(Note 6)

Deferredgain (loss)
on derivatives
under hedge
accountingLandrevaluation
reserve(Note 12)

Foreigncurrencytranslation
adjustments

Definedretirement
benefit
plans

Total

Minority
interests

Total
equity¥286,657

Capitalsurplus

Balance, April 1, 2012

¥25,123¥48,416¥659¥247,139¥(21,856)¥4,386¥—¥(7,275)¥(15,509)¥ —¥281,083¥5,574

Cash dividends paid

—

—

—

(8,264)

—

—

—

—

—

—

(8,264)—(8,264)

Net income

—

—

—

18,855

—

—

—

—

—

—

18,855—18,855Acquisition of treasury stock

—

—

—

—

(3)

—

—

—

—

—

(3)

—

(3)

Sales of treasury stock

—

(9)

—

—

61

—

—

—

—

—

52

—

52

Transfer to capital surplus

—

9

—

(9)

—

—

—

—

—

—

—

—

—

Reversal of land
revaluation reserve

—

—

—

(656)

—

—

—

—

—

—

(656)

—

(656)

—

—

—

3

—

—

—

—

—

—

3

—

3

—

—

240

—

—

7,943

—

655

7,572

—

16,4101,973

18,383¥25,123¥48,416¥899¥257,068¥(21,798)¥12,329¥—¥(6,620)¥ (7,937)¥ —¥307,480¥7,547¥315,027———(2,095)

—

—

—

—

—

256

(1,839)—(1,839)25,123

48,416899

254,973(21,798)

12,329—(6,620)(7,937)

256

305,641

7,547

313,188

Balance, March 31, 2013(as previously reported)
Effect of accounting change

Cash dividends paid

—

—

—

(8,266)

—

—

—

—

—

—

(8,266)—(8,266)

Net income

—

—

—

19,269

—

—

—

—

—

—

19,269—19,269

—

—

—

—

(6)

—

—

—

—

—

(6)

—

(6)

—

(10)

—

—

94

—

—

—

—

—

84

—

84

Transfer to capital surplus

—

10

—

(10)

—

—

—

—

—

—

—

—

—

Reversal of land revaluation reserve

—

—

—

(722)

—

—

—

—

—

—

(722)

—

(722)

Change in scope of consolidation

—

—

—

(1,659)

—

—

—

—

—

—

(1,659)—(1,659)Net change in the year

—

—

281

—

—

5,234

38

722

13,151

153

19,579834

20,413¥25,123¥48,416¥1,180¥263,585¥(21,710)¥17,563¥38¥(5,898)¥ 5,214¥409¥333,920¥8,381¥342,301

Balance, March 31, 2014

Sustainable
Activities

Acquisition of treasury stock
Sales of treasury stock

GlobalRoadmap

Balance, March 31, 2013(as restated)

Corporate
Governance

Other
Net change in the year

CEO
MessageCommonstock

Stockacquisitionrights(Note 23)

Introduction

NISSIN FOODSHOLDINGS CO., LTD.
and Consolidated
Subsidiaries

Millions of yen

Financial
SectionCorporate
Information

32

Thousands of U.S. dollars (Note 1)
Accumulated other comprehensive income

Effect of accounting changeLandrevaluation
reserve(Note 12)

Foreigncurrencytranslation
adjustments

Commonstock

Capitalsurplus$244,102$470,424$ 8,735$2,497,746$(211,796)$119,792$ —$(64,322)$ (77,118)

—

—

—

(20,356)

—

—

—

—

Definedretirement
benefit
plans

Total

Minority
interests

Total
equity—$2,987,563$73,328$3,060,891

—

2,487

(17,869)—(17,869)
3,043,022$

244,102

470,424

8,735

2,477,390(211,796)

119,792—(64,322)(77,118)

2,487

2,969,694

73,328Cash dividends paid

—

—

—

(80,315)

—

—

—

—

—

—

(80,315)—(80,315)

Net income

—

—

—

187,223

—

—

—

—

—

—

187,223—

187,223

—

—

—

—

(58)

—

—

—

—

—

(58)

—

(58)

—

(97)

—

—

914

—

—

—

—

—

817

—

817

Transfer to capital surplus

—

97

—

(97)

—

—

—

—

—

—

—

—

—

Reversal of land revaluation reserve

—

—

—

(7,015)

—

—

—

—

—

—

(7,015)—(7,015)

Change in scope of consolidation

—

—

—

(16,119)

—

—

—

—

—

—

(16,119)—(16,119)

Net change in the year

—

—

2,730

—

—

50,855369

7,015

127,779

1,487

190,235

8,104

198,339$244,102$470,424$11,465$2,561,067$(210,940)$170,647$369$(57,307)$ 50,661$3,974$3,244,462$81,432$3,325,894

Balance, March 31, 2014

Corporate
Governance

Acquisition of treasury stock
Sales of treasury stockCEO
Message

Balance, March 31, 2013(as restated)

Treasurystock

Deferredgain (loss)
on derivatives
under hedge
accounting

Introduction

Balance, March 31, 2013(as previously reported)

Retainedearnings(Notes 18
and 27)

Unrealized
gain (loss) on
available-forsale securities(Note 6)Stockacquisitionrights(Note 23)

GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

See accompanying notes to consolidated financial statements.

33

Consolidated
Statement of
Cash Flows

2014

Year ended
March 31, 2014

2013

2014

2014

1,629

9,629

(5,704)(500)(55,422)291

Proceeds from sales and redemption ofmarketable securities

10,8402,581

105,325(1,950)(37,048)

Payments for purchases of property,
plant and equipment, and other(21,068)(21,078)(204,703)(2,981)(2,673)(28,964)

250

213

2,429

Proceeds from sales of property,
plant and equipment, and other$ 308,249

14,345141,051

Loss on impairment of fixed assets

1,999

1,275

19,423

Increase (decrease) in allowance for
doubtful receivables

30

(2)

Increase (decrease) in liability
for retirement benefits(3,813)

Interest and dividend income

Net (increase) decrease in time deposits

22,182(21,034)(18,835)(204,372)

Proceeds from sales and redemption of
investments in securities

25,912

6,660

251,768

Payments for purchases of investment in
subsidiaries resulting in change inscope of consolidation—(1,903)—

Proceeds from sales of investment in subsidiaries

475

—

4,615

Net (increase) decrease in loans receivable

350

(185)

3,401

Other, net(2,552)(1,769)(24,796)

Net cash used in investing activities(9,507)(31,251)(92,373)

19,714(216)(1,431)(2,099)(2,154)(1,888)(20,929)

Loss on disposal and sales of property,
plant and equipment

809

46

7,860

Gain on sales of marketable securities,
investments in securities and other(3,823)(419)(37,145)

Loss on revaluation of marketable securities,
investments in securities and other

2,822

85

27,419(Increase) decrease in trade notes andaccounts receivable(2,318)600(22,522)

(257)

(777)

(2,497)

Increase (decrease) in trade notes andaccounts payable(1,342)(1,819)(13,039)

Increase (decrease) in short-term borrowings, net

2,029

(453)

Increase (decrease) in other payables

(507)

1,553

(4,926)

Proceeds from long-term borrowings

4,034

399

39,195

Other, net

1,539

1,458

14,954

Repayment of long-term borrowings(6,195)(1,641)(60,192)

Subtotal

36,28038,009352,507

Net (increase) decrease in treasury stock

Interest and dividends received

4,699

3,961

45,657

Cash dividends paid

Equity in earnings of associates(Increase) decrease in inventories(213)(2,429)(11,664)(118,383)

Income taxes refunded

1,669

1,952

16,216

Net cash provided by operating activities

30,21432,045

293,568(3)(68)(8,264)(80,315)

Cash dividends paid to minority shareholders

(31)

(18)

(301)

Other, net

(90)

(91)

(874)

(8,526)(10,071)(82,841)

Effect of exchange rate changes
on cash and cash equivalents

2,822

1,551

27,419Net increase (decrease) incash and cash equivalents

15,003(7,726)

145,773

Cash and cash equivalents at
beginning of the year

64,01571,741

621,988

Increase in cash and cash equivalents arisingfrom initial consolidation of subsidiaries

1,183

—

11,495¥ 80,201¥ 64,015$ 779,256

Net cash used in financing activities

Cash and cash equivalents
at end of the year (Note 4)

See accompanying notes to consolidated financial statements.

Corporate
Information(7)(8,266)

Financial
Section(250)(12,184)

Income taxes paid

Financing activities:

Sustainable
Activities

Interest paid

GlobalRoadmap

2,149

Corporate
Governance

2,283

Payments for purchases ofinvestment in securities

CEO
Message991¥ 29,393

14,517

Foreign currency exchange (gain) loss

2013

Payments for purchases ofmarketable securities¥ 31,725

Depreciation and amortization

Interest expense

2014

Investing activities:

Operating activities:

Income before income taxes and minority interests

Thousands of
U.S. dollars(Note 1)Millions of yen

Introduction

NISSIN FOODSHOLDINGS CO., LTD.
and Consolidated
Subsidiaries

Thousands of
U.S. dollars(Note 1)Millions of yen

34

Notes to Consolidated
Financial Statements
Nissin FoodS Holdings Co., Ltd. and Consolidated Subsidiaries

54

Corporate
Information(c) Securities
The accounting standard for financial instruments requires that securities beclassified into three categories: trading, held-to-maturity or available-for-saleFinancial
Section(b) Cash and cash equivalents
For the purposes of the consolidated statements of cash flows, cash and cash
equivalents comprise cash on hand, deposits held at call with banks and all
highly liquid investments with an insignificant risk of changes in value and withmaturities of three months or less from the acquisition date.

Sustainable
Activities

44

Associates accounted for by the equity method

GlobalRoadmap

Summary of
Significant
Accounting
Policies

2013

45

Corporate
Governance02(a) ‌Principles of consolidation and accounting for investments inunconsolidated subsidiaries and associates
The accompanying consolidated financial statements include the accounts of
the Company and the significant companies which it controls directly or
indirectly under the control or influence concept. Companies over which theCompany exercises significant influence in terms of their operating andfinancial policies have been included in the accompanying consolidated
financial statements by the equity method. The assets and liabilities of
consolidated subsidiaries are stated at fair value as of their respective dates ofacquisition. Consolidation of the remaining subsidiaries and associates would
not have a material effect on the accompanying consolidated financial

2014

Consolidated subsidiaries

CEO
Message

Basis ofpresenting
consolidated
financialstatements

statements. All significant intercompany balances and material unrealized gains
from intercompany transactions have been eliminated.
The number of consolidated subsidiaries has been increased by one
during the fiscal year ended March 31, 2014. Nissin Foods Vietnam Co., Ltd.
and Nissin Foods (Thailand) Co., Ltd. have been included in the scope of
consolidation due to the increase of their significance. Aji-no-Mingei Co., Ltd.
has been excluded from the scope of consolidation after the Company sold its
shares to a third party. Moreover, the Company acquired the shares of BonChi
Co., Ltd. Effective for the year ended March 31, 2014, the equity method of
accounting has been applied to this associate.
The Company’s consolidated subsidiaries outside Japan prepare theirfinancial statements in accordance with International Financial Reporting Standards
or accounting principles generally accepted in the United States of America.
However, certain items are adjusted in the process of consolidation based on“Practical Solution on Unification of Accounting Policies Applied to Foreign
Subsidiaries for Consolidated Financial Statements” (Accounting Standards Boardof Japan (ASBJ), Practical Issues Task Force, No. 18 dated May 17, 2006).
The balance sheet date of overseas consolidated subsidiaries is December
31. Any significant differences in intercompany accounts and transactions
arising from intervening intercompany transactions during the period fromJanuary 1 through March 31 have been adjusted as necessary.
The numbers of consolidated subsidiaries and associates accounted for by
the equity method for the years ended March 31, 2014 and 2013 were as follows:

Introduction

01

The accompanying consolidated financial statements of NISSIN FOODSHOLDINGS CO., LTD. (the “Company”) and consolidated subsidiaries(collectively, the “Group”) are prepared on the basis of accounting principles
generally accepted in Japan and related accounting regulations prescribed in
the Financial Instruments and Exchange Act of Japan, which are different incertain respects from the application and disclosure requirements ofInternational Financial Reporting Standards.
In preparing the accompanying consolidated financial statements, certain
reclassifications and rearrangements have been made to the consolidated
financial statements issued domestically in order to present them in a format
that is more familiar to readers outside Japan.
Certain reclassifications of previously reported amounts have been madeto conform the consolidated financial statements for the year ended March 31,
2013 to the 2014 presentation. Such reclassifications had no effect on
consolidated net income or equity.
The consolidated financial statements are stated in Japanese yen, thecurrency of the country in which the Company is incorporated and operates.
The translation of yen amounts into U.S. dollars is included solely for theconvenience of readers outside Japan and has been made at ¥102.92 =US$1.00, the exchange rate prevailing on March 31, 2014. This translation
should not be construed as a representation that yen can be converted into
U.S. dollars at the above or any other rate.

35

Financial
SectionCorporate
Information(j) Liability for employees’ retirement benefits
The Company and certain domestic consolidated subsidiaries have defined
benefit pension plans. The Company accounts for the liability for retirement
benefits based on the defined benefit obligations and plan assets at thebalance sheet date. The defined benefit obligations are attributed to periods
on a benefit formula basis.
Net unrecognized actuarial gain or loss is credited or charged to income inthe year following the year in which the gain or loss was incurred.
Actuarial gains and losses that are yet to be recognized in profit or loss
are recognized within equity (accumulated other comprehensive income) after
adjusting for tax effects, and any resulting deficit or surplus shall be recognized
as a liability or asset.

Sustainable
Activities(i) Long-lived assets
The Group reviews its long-lived assets for impairment whenever events orchanges in circumstance indicate the carrying amount of an asset or asset
group may not be recoverable. An impairment loss would be recognized if thecarrying amount of an asset or asset group exceeds the sum of theundiscounted future cash flows expected to result from the continued use andeventual disposition of the asset or asset group. The impairment loss would bemeasured as the amount by which the carrying amount of the asset exceeds
its recoverable amount, which is the higher of the discounted cash flows fromthe continued use and eventual disposition of the asset or the net selling priceat disposition.

GlobalRoadmap(f) ‌Property, plant and equipment (except for leased assets)
Property, plant and equipment are stated at cost. Depreciation is computed
principally by the declining-balance method. Certain consolidated subsidiaries
apply the straight-line method. The straight-line method is also applied to thehead office building of the Company (in Osaka). In addition, the straight-line
method is applied to buildings (except for the attachments to the buildings)(h) Leased assets
Leased assets under finance lease contracts that do not transfer ownership tothe lessee and which were entered into on or after April 1, 2008 are capitalized
and depreciated to a residual value of zero by the straight-line method using
the term of the contract as the useful life. Leased assets under finance lease
contracts that do not transfer ownership to the lessee and were entered into on
or before March 31, 2008 are accounted for as operating lease transactions.

Corporate
Governance(e) Hedging activities
The Group manages risk of adverse fluctuations in foreign exchange andinterest rates in the underlying liabilities with derivative financial instruments(“derivatives”). The derivative instruments are applied for forecasted andcommitted foreign currency transactions and long-term debt. For foreign
currency forward contracts and interest rate swaps, the gains or losses aredeferred until maturity of the hedged transactions if they meet requirements forhedge accounting, i.e., hedging purpose, high effectiveness and highcorrelation between the hedging instruments and the hedged items. Foreign
currency options are recognized as either assets or liabilities and measured atfair value, and gains or losses on derivative transactions are recognized in the
consolidated statements of income.
An evaluation of hedge effectiveness has been omitted, since thesignificant conditions of the hedging instruments and hedged items were thesame and the risk of changes in cash flows was completely avoided.
The Group does not anticipate any losses arising from credit risk, since theGroup enters into these derivatives with major international financial institutions
with high credit ratings to reduce the risk of counterparties’ non-performance.

(g) Intangible‌
assets (except for leased assets)
Intangible assets are amortized by the straight-line method. Purchased
software is amortized by the straight-line method over a five-year period, whichis the estimated useful life used by the Group.

CEO
Message(d) Inventories
Finished goods and merchandise are principally stated at the lower of cost or
net selling value, with cost being determined by the average method. Raw
materials and supplies are principally stated at the lower of cost or net selling
value, with cost being determined by the last purchase price method.

acquired on or after April 1, 1998. The range of useful lives is principally from15 to 50 years for buildings and 10 years for machinery and equipment.
Introduction

securities. Trading securities are carried at fair value and held-to-maturity debt
securities are carried at amortized cost. Marketable securities classified asavailable-for-sale securities are carried at fair value with any changes in
unrealized gain or loss, net of the applicable income taxes, reported in a
separate component of equity. Cost of securities sold is determined by themoving-average method. Non-marketable securities classified asavailable-for-sale securities are carried at cost based on the moving-averagemethod. For other than temporary declines in fair value, investment securities
are reduced to net realizable value by a charge to income.

36

Sustainable
Activities
Financial
Section(o) Per share information
Basic net income per share is computed by dividing net income available tocommon shareholders by the weighted-average number of common shares
outstanding for the period, retroactively adjusted for stock splits.
Diluted net income per share reflects the potential dilution that could occur
if stock options were exercised.
Cash dividends per share presented in the accompanying consolidated
statements of income are dividends applicable to the respective years,
including dividends to be paid after the end of the year.

GlobalRoadmap(n) Stock options
In accordance with “Accounting Standard for Stock Options” (ASBJ Statement
No. 8, December 27, 2005), the Company and its domestic subsidiaries
accounted for stock options granted to their directors, executive officers andemployees on and after April 3, 2009 as expense on the date of grant based on
the fair value at the grant date.

Corporate
Governance(m) Goodwill
Goodwill is amortized by the straight-line method over a certain periodreasonably determined for each investment on a case-by-case basis, but for
no longer than 20 years, or are charged to income as incurred if the amount isdeemed to be immaterial.

CHANGES IN
METHOD OF
ACCOUNTING ANDDISCLOSURESCEO
Message(l) Income taxes
The provision for income taxes is computed based on the pretax income
included in the consolidated statements of income. Deferred tax assets andliabilities are provided for temporary differences between the balances ofassets and liabilities reported for financial reporting purposes and thecorresponding balances for tax reporting purposes.

03

Changes in accounting procedures
Accounting Standard for Retirement Benefits—On May 27, 2012, ASBJ issued
ASBJ Statement No. 26 “Accounting Standard for Retirement Benefits” andASBJ Guidance No. 25 “Guidance on Accounting Standard for Retirement
Benefits.” The Group applied the revised accounting standard from the
beginning of the annual period beginning on April 1, 2013.
(a)	Under the revised accounting standard, actuarial gains and losses andpast service costs that are yet to be recognized in profit or loss arerecognized within equity (accumulated other comprehensive income) after
adjusting for tax effects, and any resulting deficit or surplus is recognized
as a liability or asset.
(b)	Net unrecognized actuarial gain or loss is credited or charged to income inthe year following the year in which the gain or loss was incurred.
(c)	The defined benefit obligations are attributed to periods on a benefit
formula basis.
		 The Company early applied the revised accounting standard andguidance for retirement benefits for (a), (b) and (c) above effective April 1,
2013, and changed the method of attributing expected benefit to periods
from a straight-line basis to a benefit formula basis. The Company
recorded the effect of (a) and (b) above as of April 1, 2013, in accumulated
other comprehensive income, and the effect of (c) above as of April 1,
2013, in retained earnings.
		 As a result, liability for retirement benefits of ¥9,037 million ($87,806
thousand) was recorded as of April 1, 2013. Also, accumulated othercomprehensive income increased by ¥256 million ($2,487 thousand) andretained earnings decreased by ¥2,095 million ($20,356 thousand). The
effect of these changes on consolidated operating income, income before
income taxes and minority interests, and per share information for the year
ended March 31, 2014 was immaterial.

Introduction(k) Allowance for doubtful receivables
The allowance for doubtful receivables is calculated based on the historicalexperience with bad debts and an estimate of certain uncollectible amounts
determined after an analysis of specific individual doubtful receivables.

Corporate
Information

37

Cash andCash
Equivalents

Millions of yen

2014

Cash and deposits¥64,3512014$776,555(2,969)(3,575)(28,848)

Marketable securities redeemable within
three months

3,247

3,239

31,549¥80,201¥64,015$779,256

Unrealized
gain (loss)

Book value

Fair value

Cash and deposits¥ 79,923¥ 79,923

Trade receivables

51,29951,299—Marketable securities and investments

104,218

118,066

13,848

Total¥235,440¥249,288¥13,848

Trade payables

¥

¥

—

¥ 43,461¥ 43,461

Short-term borrowings

3,332

3,332

—

Other payables

32,04732,047—

Accrued income taxes

7,307

7,307

—

Long-term debt

9,974

10,01642

Total¥ 96,121¥ 96,163¥

42

Derivative transactions which do not qualify
for hedge accounting

¥

¥

¥

—

—

58

Total

¥

58

58

¥

58

—
¥

—

GlobalRoadmap

Derivative transactions which qualify
for hedge accounting——

Corporate
GovernanceThousands of U.S. dollars

March 31, 2014

Unrealized
gain (loss)

Book value

Fair value

Cash and deposits$ 776,555$ 776,555

Trade receivables

498,436

498,436—

Marketable securities and investments

1,012,611

1,147,162

134,551

Total$2,287,602$2,422,153$134,551

Trade payables

$

$

—

32,375—

Other payables

311,378

311,378—

Accrued income taxes

70,99770,997—Long-term debt

96,91097,318408

Total$ 933,939$ 934,347$

408

Derivative transactions which do not qualify
for hedge accounting

$

$

$

—

Derivative transactions which qualify
for hedge accounting
Total

—
564

$

564

—
564

$

564

—

—
$

Corporate
Information$ 422,279

32,375

Financial
Section$ 422,279

Short-term borrowings

Sustainable
Activities

The Group holds financial instruments according to its policy. Investments
comprise low-risk financial assets and borrowings that are financed by banks.
The Group is exposed to financial risks such as credit risk on trade receivables,
foreign currency risk on trade payables, market risk on securities and interest
rate risk on long-term debt. The Group manages these risks and executes
derivatives in accordance with policies established and approved at a
management meeting of the Company, and no derivatives are used for tradingor speculative purposes.

Millions of yen

March 31, 2014

CEO
MessageFinancial
instruments
and related
disclosures¥79,923

2013

Time deposits with maturities exceeding
three months

Cash and cash equivalents

05

Thousands of
U.S. dollars(a)	Fair value of financial instruments as of March 31, 2014 and 2013 issummarized as follows:
Introduction

04

A reconciliation of cash and deposits in the consolidated balance sheet andcash and cash equivalents in the consolidated statement of cash flows at
March 31, 2014 and 2013 is as follows:—

38

Millions of yen

March 31, 2013

Book value¥ 64,351¥ 64,351¥—

March 31, 2014

Due within
one year

Trade receivables

47,07347,073—

Cash and deposits$ 776,555

Marketable securities and investments

101,640

117,468

15,828Trade receivables

498,436

Total¥213,064¥228,892¥15,828

Trade payables¥¥ 43,653—

Short-term borrowings

1,342

1,342

—

I. Bonds

Other payables

28,10028,100—National government

Accrued income taxes

7,143

7,143

—

CorporateLong-term debt

7,841

7,894

53

Other

¥ 88,079¥ 88,132

Total

¥

—

Derivative transactions which qualify
for hedge accounting

¥

—

—

Total

¥

—

¥

53

¥

—

—
¥

—

Trade receivables

51,299———
11,689

—

—

—

—

—

33,0358,084—$1,388,924$72,085$11,689—

Millions of yen

March 31, 2013

Due within
one year

Due after
one yearthroughfive years

Due after
five years
throughten years

Due after
ten years

Cash and deposits¥ 64,351¥¥¥

Trade receivables

47,073National government
Due after
ten years

¥

¥

—

—
$

—
—

—
—

—
—

I. Bonds

Due after
five years
throughten years——
64,001

Corporate

—

—

—

—

2,192

6,697

10,058

1,005
—

Other

482

—

—

—

II. Other

3,391

660

—

—

—

Total

¥117,489¥7,357¥10,058¥1,005

Securities with maturity dates	classified as available-for-salesecurities:

Financial
Section¥——Sustainable
Activities¥ 79,923——

GlobalRoadmap

Cash and deposits$——

Securities with maturity dates	classified as available-for-salesecurities:

Millions of yen

Due within
one year$——

80,898—(b)	‌Maturity analysis for financial assets and securities with contractual
maturities as of March 31, 2014 and 2013 is summarized as follows:

March 31, 2014$—¥

Notes:
1.	Fair value of deposits, trade receivables and payables, short-term borrowings, accrued income taxes andother payables approximates the book value because of their short-term clearing.
2.	Fair value of marketable securities and investments is quoted from market or financial institutions.
3.	Fair value of long-term debt is calculated with assumed discount rate.
4.	Fair value of derivatives is quoted from financial institutions and stated as net of assets and liabilities.

Due after
one yearthroughfive years

II. Other
Total

Due after
ten years

Corporate
GovernanceDerivative transactions which do not qualify
for hedge accounting

Due after
five years
throughten years

CEO
Message¥ 43,653

Securities with maturity dates
classified as available-for-salesecurities:

Due after
one yearthroughfive years

Introduction

Cash and deposits

Fair value

Thousands of U.S. dollars
Unrealized
gain (loss)

I. Bonds
National government

—

—

—

—

8,326

6,587

1,203

—

Other

—

—

—

—

II. Other

3,400

832

—

—

¥142,948¥7,419¥1,203

Total¥

Corporate
Information

Corporate—39

(c)	‌Carrying value of financial assets whose fair value cannot be reliably
estimated at March 31, 2014 and 2013 is summarized as follows:

2013

2014

Available-for-sale securities
Investments in unconsolidated subsidiaries
and associates$339,934$613,185$273,251

Securities whose carrying value
exceeds their acquisition cost:
I. Equity securities¥ 36,801$354,780

697

6,703

6,772

Preferred equity securities

7,000

7,000

68,014———¥ 9,263¥10,084$ 90,002

National government
Corporate
Other

—

—

—

29,022

32,112

3,090$505,033$781,908$276,875$ 67,480$ 59,697$ (7,783)

Subtotal
Securities whose carrying value
does not exceed their acquisition cost:

March 31, 2014

II. Bonds

Millions of yen
Acquisition
cost

Carrying
value

Unrealized
gain (loss)

Corporate¥34,986¥63,109———49,611

49,242

(369)

Other

—

—

—

III. Other

33,08433,026(58)$150,175$141,965$ (8,210)$655,208$923,873$268,665

Subtotal
Total

Securities whose carrying value
exceeds their acquisition cost:
I. Equity securities

National government

GlobalRoadmap

SECURITIES—534

Corporate
Governance06—
136,611

III. Other

I. Equity securities(a)	Information regarding marketable securities classified as available-for-salesecurities at March 31, 2014 and 2013 is summarized as follows:—
136,077

CEO
Message¥36,514

Other

Unrealized
gain (loss)

II. Bonds

Unlisted equity securities
Investment in anonymous partnership

Carrying
value

Introduction

2014

March 31, 2014

Thousands of
U.S. dollars

Millions of yen
March 31,

Thousands of U.S. dollars
Acquisition
cost¥28,123

II. Bonds———

14,005

14,060

55

—

—

—

2,987

3,305

318

¥51,978¥80,474¥28,496¥ 6,945¥ 6,144¥

Subtotal
Securities whose carrying value
does not exceed their acquisition cost:
I. Equity securities(801)

Financial
Section

Other
III. Other

Sustainable
Activities

National government
Corporate

II. Bonds
National government
Corporate

—

—

5,068

(38)
—

Other

—

—

III. Other

3,405

3,399

¥15,456¥14,611¥¥67,434¥95,085¥27,651

Subtotal
Total

(6)
(845)

Corporate
Information

—
5,106

40

Millions of yen

March 31, 2013

Unrealized
gain (loss)¥23,402¥46,215¥22,813———

17,613

17,799186

Securities whose carrying value
exceeds their acquisition cost:
I. Equity securities

07
INVESTMENT
PROPERTIES

II. Bonds
National government
Corporate
Other

433

482

49

III. Other

4,622

5,131

509

¥46,070¥69,627¥23,557

Subtotal

Other
Subtotal
Total¥19,188¥16,673¥ (2,515)

—

—

—

7,307

7,213

(94)

—

—

—

252

252

—

¥26,747¥24,138¥ (2,609)¥72,817¥93,765¥20,948(b)	‌Sales of investments in securities classified as available-for-sale securities
for the years ended March 31, 2014 and 2013 are summarized as follows:$ 56,665¥$

Net book value at March 31, 2014

¥ 6,821$ 66,275

Fair value at March 31, 2014

¥10,562$102,623

989

Millions of yen

2013

2014

Proceeds from sales¥6,453¥1,748$62,669

Aggregate gain

2,981

419

28,964Aggregate loss

—

—

—

¥5,891

Net change for the year ended March 31, 2013¥

Net book value at March 31, 2013

¥5,832(59)

Fair value at March 31, 2013

¥9,657

Notes:
1.	Net book value represents net of accumulated depreciation.
2.	Increase during the fiscal years ended March 31, 2014 and 2013 mainly consisted of acquisition of land
and improvement of buildings.
3.	Fair value is mainly calculated by the Company, based on the internal real estate appraisal standard.

08

Inventories as of March 31, 2014 and 2013 are summarized as follows:

Inventories

Merchandise and finished goods

Thousands of
U.S. dollars

Millions of yen

2014

2013

2014

¥10,033¥10,022$ 97,484

Raw materials and supplies

10,926

9,329

106,160

Total¥20,959¥19,351$203,644
Financial
Section

2014

9,610

Sustainable
Activities

Thousands of
U.S. dollars

Millions of yen
March 31,

¥ 5,832

Net change for the year ended March 31, 2014

GlobalRoadmap

III. Other

Net book value at March 31, 2013

Corporate
Governance

National government

Thousands of
U.S. dollars

Net book value at March 31, 2012

II. Bonds
Corporate

Millions of yen

2014

2013

Securities whose carrying value
does not exceed their acquisition cost:
I. Equity securities

The Group owns investment property such as buildings and land for rent inTokyo and other areas. Net operating income from these properties was ¥444
million (US$4,314 thousand) and ¥494 million for the years ended March 31,
2014 and 2013 respectively. The details of investment properties are as follows:CEO
Message

Carrying
value

Introduction

Acquisition
cost

Corporate
Information

41

LOSS ON
IMPAIRMENT OF
FIXED ASSETS

Location

Asset type

Yokohama City, Kanagawa Prefecture

Idle assets

Land, buildings, and otherassetsRitto City, Shiga Prefecture and other locations

Idle assets

Buildings, structures,
machinery and equipment,
and other assets

India

Business
assetsBuildings, machinery andequipment, and otherassets

Shimonoseki City, Yamaguchi Prefecture
and other locations

Idle assets

Buildings, machinery andequipment, and otherassets

Shinjuku Ward, Tokyo

Idle assets

Software in progress(March 31, 2014)10
LOSS ONREVALUATIONOF INVESTMENTS
IN SECURITIES,UNCONSOLIDATEDSUBSIDIARIESAND ASSOCIATES,AND OTHERCEO
Message

Usage

During the year ended March 31, 2014, the Company has recorded the loss
on revaluation of investments in Jinmailang Food Co., Ltd.
Introduction

09

The Group recognized losses on impairment of fixed assets for the years
ended March 31, 2014 and 2013 as follows:(March 31, 2013)

11

LAND
REVALUATIONRESERVE

Sustainable
Activities

12

Financial
SectionBased on the Land Revaluation Law and the Amended Land Revaluation Law,
the Company revalued the land it holds for use in the course of ongoing
operations at March 31, 2002. The resulting land revaluation difference
represents an unrealized devaluation of land and has been debited directly, netof income taxes, under “Land revaluation reserve” in equity. The market valueof the land as of March 31, 2014 and 2013 declined by ¥7,270 million(US$70,637 thousand) and ¥7,812 million, respectively, compared with thecarrying value of the land revalued as of March 31, 2002 except for a part thatwas impaired after the revaluation.

GlobalRoadmap

PROPERTY,
PLANT ANDEQUIPMENT

Corporate
Governance

The Group’s business assets are grouped according to manufacturing unit or
usage, and the Group’s idle assets are grouped on an individual asset basis.
Consequently, the Group has written down the carrying value of idle land
whose fair value has declined to its net selling value based on an appraisal
value determined by specialists. Also, the Group has written down the
carrying value of other idle fixed assets and business assets whose fair value
has declined to their respective memorandum value. As a result, the Group
recorded loss on impairment of fixed assets of ¥1,999 million (US$19,423
thousand) in the accompanying consolidated statement of income for theyear ended March 31, 2014. The impairment loss for the year ended March
31, 2014 consisted of losses on buildings and structures of ¥526 million(US$5,111 thousand), losses on machinery and equipment of ¥931 million(US$9,046 thousand), losses on land of ¥496 million (US$4,819 thousand)and losses on other fixed assets of ¥46 million (US$447 thousand).
Loss on impairment of fixed assets recognized for the year ended March
31, 2013 was ¥1,275 million. This impairment loss consisted of losses onbuildings and structures of ¥53 million, losses on machinery and equipmentof ¥477 million, losses on software in progress of ¥744 million, and losses onother fixed assets of ¥1 million.

Under certain conditions such as exchanges of fixed assets of similar kinds
and sales and purchases resulting from expropriation, Japanese tax laws
permit companies to defer the profit arising from such transactions by
reducing the cost of the assets acquired or by providing a special reserve inthe equity section. The deferred gain on property, plant and equipment taxable
for tax purposes in the future was ¥1,024 million (US$9,949 thousand) and¥1,186 million as of March 31, 2014 and 2013, respectively.

Corporate
Information

42

SHORT-TERM
BORROWINGSAND LONG-TERM
DEBTLong-term debt at March 31, 2014 is as follows:2019 and thereafter

Lease obligations
Current portion of long-term debt

Thousands of
U.S. dollars¥11,286$109,658

665

6,461

¥11,951$116,119(1,977)(19,209)¥ 9,974$ 96,910¥ 1,977$ 19,209

2016

1,862

18,092

2017

2,054

19,957

2018

1,930

18,752

2019

3,272

31,792856

8,317¥11,951$116,1192020 and thereafterLong-term debt at March 31, 2013 is as follows:

915

2017

1,116

2018

448
4,234
¥13,496

14
Financial
Covenants

A subsidiary of the Company entered into a syndicated loan agreement withthree financial institutions for which Mizuho Bank, Ltd. is the arranger. The
debt amounting to ¥4,100 million ($39,837 thousand) and ¥3,600 million as ofMarch 31, 2014 and 2013, respectively, includes the following
non-consolidated financial covenants.
As of March 31, 2014

1.	The amount of equity on the balance sheet is required to be equal to or
larger than 75% of equity on the balance sheet as of March 31, 2013 or asof the previous fiscal year, whichever is larger.
2. Ordinary loss for two consecutive years is not allowed.
As of March 31, 2013

1.	The amount of equity on the balance sheet is required to be equal to or
larger than 75% of equity on the balance sheet as of September 30, 2008or as of the previous fiscal year, whichever is larger.
2. Ordinary loss for two consecutive years is not allowed.

Financial
Section2015

Years ending March 31,

1,128

2016

Sustainable
Activities

Millions of yen

Thousands of
U.S. dollars¥ 5,655

2015

GlobalRoadmap

The aggregate annual maturities of long-term debt subsequent to March 31,
2014 are summarized as follows:

Millions of yen

2014

Corporate
GovernanceLong-term borrowings at interest rates ranging
from 0.18% to 8.55%

Millions of yen

Years ending March 31,

CEO
Message

The aggregate annual maturities of long-term debt subsequent to March 31,
2013 are summarized as follows:
Introduction

13

Short-term borrowings, which amounted to ¥3,332 million (US$32,375
thousand) and ¥1,342 million as of March 31, 2014 and 2013, respectively,
generally represent notes payable to banks. Long-term debt (excluding thecurrent portion thereof) amounted to ¥9,974 million (US$96,910 thousand)and ¥7,841 million as of March 31, 2014 and 2013, respectively.
The average interest rates on short-term borrowings were 2.41% and0.73% at March 31, 2014 and 2013, respectively. The average interest rates
on long-term borrowings at March 31, 2014 and 2013 were 1.10% and1.20%, respectively.

Millions of yen

Long-term borrowings at interest rates ranging
from 1.01% to 1.90%

325¥13,496

Current portion of long-term debt

(5,655)

Corporate
Information

Lease obligations¥13,171¥ 7,841

43

PLEDGEDASSETS

2014

2013

2014

Land

¥ 912

¥1,009$ 8,861

Buildings and structures

1,088

1,268

10,571

800

1,076

7,773

Machinery, equipment and vehicles

4,722

Actuarial gains

739

7,180

Contributions from the employer

3,847

37,379Benefits paid

(1,107)(10,756)¥28,283$274,806

Balance at end of the year(3)	The changes in liability under the simplified method for the year ended
March 31, 2014, are as follows:(1)	The changes in defined benefit obligation for the year ended March 31,
2014, except for (3), are as follows:

Net periodic benefit costs
Benefits paid
Balance at end of the year

Millions of yen

Thousands of
U.S. dollars¥1,012$ 9,833

84

816

(351)

(3,410)¥ 745$ 7,239(4)	Reconciliation between the liability recorded in the consolidated balance
sheet and the balance of defined benefit obligation and plan assets as ofMarch 31, 2014, is as follows:
Thousands of
U.S. dollars

Funded defined benefit obligation¥ 33,811$ 328,517

Plan assets(30,957)(300,787)¥ 2,854$ 27,730

Unfunded defined benefit obligation

3,374

32,783Net liability for defined benefit obligation

6,228

60,513
61,125

Millions of yen

Thousands of
U.S. dollars¥33,386$324,388

Liability for retirement benefits

6,291

Service cost

1,191

11,572

Asset for retirement benefits

(63)

(612)

Interest cost

363

3,527

Net liability for defined benefit obligation¥ 6,228$ 60,513

Balance at beginning of the year

107

1,040

(1,281)(12,447)¥33,766$328,080

Balance at end of the year

Corporate
Information

Actuarial losses
Benefits paid

Financial
SectionMillions of yen

Sustainable
Activities

March 31, 2014

$236,281

486

GlobalRoadmap

EMPLOYEES’RETIREMENTBENEFITS¥24,318

Expected return on plan assets

Balance at beginning of the year

The Company and domestic consolidated subsidiaries have defined benefit
pension plans and lump-sum payment plans, covering substantially all
employees who are entitled to lump-sum or annuity payments, the amounts ofwhich are determined by reference to their basic rates of pay, length of service,and the conditions under which termination occurs.
The following table sets forth the funded and accrued status of the plans
and the amounts recognized in the accompanying consolidated balance
sheets as of March 31, 2014 and 2013 for the Company’s and theconsolidated subsidiaries’ defined benefit pension plans:

Thousands of
U.S. dollars

Corporate
Governance

16

Balance at beginning of the year

Millions of yen

CEOMessageThousands of
U.S. dollars

Millions of yen(2)	The changes in plan assets for the year ended March 31, 2014, except for(3), are as follows:
Introduction

15

Assets were pledged as collateral for short-term borrowings of ¥1,200 million(US$11,660 thousand), long-term debt of ¥4,935 million (US$47,950
thousand) and the current portion of long-term debt of ¥622 million(US$6,044 thousand) as of March 31, 2014 and for short-term borrowings of¥300 million, long-term debt of ¥5,857 million and the current portion of
long-term debt of ¥822 million as of March 31, 2013. The assets pledged aresummarized as follows:44

(5)	The components of periodic benefit costs for the year ended March 31, 2014,
are as follows:

Service cost

¥1,190$11,563Interest cost

363

3,527

Expected return on plan assets(486)(4,722)

Recognized actuarial (gains) losses(395)(3,838)Net periodic benefit costs

84

816

¥ 756

$ 7,346(6)	The components of other comprehensive income on defined retirement
benefit plans, before tax, are as follows:
Thousands of
U.S. dollars

Actuarial (gains) losses¥(395)$(3,838)

Total¥(395)$(3,838)

March 31, 2013
Millions of yen

2013(a) Retirement benefit obligation (Note 2)(b) Plan assets at fair value(c)	Unfunded retirement benefit obligation (a+b)¥(33,673)
26,572¥ (7,101)(d) Unrecognized actuarial loss (gain)(e)	Liability for retirement benefits (c+d)(395)¥ (7,496)

Note: ‌Certain domestic consolidated subsidiaries apply a simplified method to calculate retirement benefit
obligation.

The components of retirement benefit costs for the year ended March 31,
2013 were as follows:
Millions of yen

2013(a) Service cost (Notes 1 and 2)¥ 982

Thousands of
U.S. dollars(b) Interest cost725

Unrecognized actuarial (gains) losses¥(633)$(6,150)(c) Expected return on pension assets

(524)

Total

¥(633)$(6,150)(d) Amortization of actuarial loss (gain)587(e) Amortization of past service cost(f)	Total net periodic pension cost (a+b+c+d+e)(8)	Plan assets(a) Components of plan assets are as follows:(g)	Gain on transfer of substitutional portion of employees’ pension fund53%

Equity investments

16%

General accounts with life insurance companies

18%

Other

13%

Total

100%

Notes:
1.	Employee’s contributions to defined benefit pension plans have been excluded.
2.	The components of retirement benefit costs of certain domestic consolidated subsidiaries, which havebeen calculated by a simplified method, are included in service cost in the above table.

The assumptions used in accounting for the above plans for the year ended
March 31, 2013 were as follows:
Discount rate

Principally 1.9%

Expected rate of return on plan assets

Principally 2.5%

Corporate
Information(b)	Method for determining the expected rate of return on plan assets:
The expected rate of return on plan assets is determined considering thelong-term rates of return which are expected currently and in the future fromthe various components of the plan assets.

—¥1,770Financial
SectionDebt investments(h) Total (f+g)—¥1,770

Sustainable
Activities

Millions of yen

GlobalRoadmap(7)	Accumulated other comprehensive income on defined retirement benefit
plans, before tax, is as follows:

Principally 2.0%

Corporate
GovernanceMillions of yen

Principally 1.1%

Expected rate of return on plan assets

CEO
Message

Net periodic pension cost calculated by a simplified method

Discount rate

Introduction

Millions of yen

Thousands of
U.S. dollars(9)	The assumptions used for the year ended March 31, 2014 were as follows:45

Income
Taxes

2014

2013

2014

Unrealized losses on securities¥ 1,934¥ 2,111$ 18,791

Liability for retirement benefits

2,434

2,636

23,649Accounts payable

2,066

2,061

20,074

942

1,211

9,153

Accrued bonuses

1,291

1,310

12,544

Other long-term payables

1,161

1,079

11,281

721

757

7,005

9,167

7,547

89,069Deferred tax assets:

Loss on impairment of fixed assets
2013

Thousands of
U.S. dollars

Millions of yen

0.94

Loss on valuation of investments in securities(1.39)

Equity in earnings of associates(2.42)

729

423

7,083

Amortization of goodwill

1.33

Gross deferred tax assets

20,445

19,135

198,649

Tax loss carryforwards recorded by consolidated subsidiaries(1.27)

Less: Valuation allowance(14,512)(13,163)(141,002)

Difference in consolidated subsidiaries' applicable tax rates(1.03)

Total deferred tax assets

5,933

5,972

57,647

Other

0.84

Deferred tax liabilities:

Effective tax rates

34.68%

Deferred capital gain on properties(1,731)(1,731)(16,819)

Unrealized gain (loss) on
available-for-sale securities(9,381)(6,921)(91,148)

Revaluation gain recognized
upon consolidation(3,156)(2,680)(30,665)

Tax loss carryforwards ofconsolidated subsidiaries
Other

(847)

(708)

(8,230)Total deferred tax liabilities

Other(15,115)(12,040)(146,862)

Net deferred tax (liabilities) assets¥ (9,182)¥ (6,068)$ (89,215)
Financial
SectionCorporate
Information

New tax reform laws enacted in 2014 in Japan changed the normal effective
statutory tax rate for the fiscal year beginning on or after April 1, 2014, fromapproximately 37.68% to 35.31%. The effect of this change was to decreasedeferred tax assets in the consolidated balance sheet as of March 31, 2014, by¥298 million (US$2,895 thousand) and to increase deferred income taxes in the
consolidated statement of income for the year then ended by the same amount.

Sustainable
Activities

Entertainment expenses not deductible for income tax purposes

Depreciation and amortization

GlobalRoadmap

37.68%

Corporate
GovernanceStatutory tax rate

CEO
Message

The effective tax rate for the year ended March 31, 2013 differs from theCompany’s statutory tax rate for the following reasons:

The tax effects of temporary differences that gave rise to significant portions of
the deferred tax assets and liabilities at March 31, 2014 and 2013 arepresented below:
Introduction

17

Income taxes applicable to the Company and its domestic consolidated
subsidiaries comprise corporate taxes, inhabitants’ taxes and enterprise taxes
which, in the aggregate, resulted in a statutory tax rate of 37.68% for the years
ended March 31, 2014 and 2013.
Overseas consolidated subsidiaries are subject to the income taxes of therespective countries in which they operate.
The difference between the Company’s statutory tax rate and the effective
tax rate for the year ended March 31, 2014 is not disclosed as the differenceis less than five percent of the statutory tax rate.

46

Shareholders’EquityDividend payments on common stock approved during the years ended March
31, 2014 and 2013 are as follows:
Millions of yen(Thousands of
U.S. dollars)

Yen(U.S. dollars)

Total amountof dividend

Dividend
per share

Recorddate

Effective
date

General meeting ofshareholders held on
June 26, 2013

¥3,857($37,476)¥35($0.34)March
31, 2013

June
27, 2013

Board of Directors
meeting held on
October 31, 2013

¥4,409($42,839)¥40($0.39)September
30, 2013

November26, 2013

Millions of yen

Yen

Total amountof dividend

Dividend
per share

Recorddate

Effective
date

General meeting ofshareholders held on
June 28, 2012

¥3,856¥35March
31, 2012

June
29, 2012

Board of Directors
meeting held on
November 7, 2012

¥4,408¥40

September
30, 2012

November27, 2012

2014

Approved by:Approved by:

Decrease

March 31, 2014

Common stock andtreasury stock:

117,463,685——

117,463,685

Treasury stock

7,271,935

1,539

31,461

7,242,013

Decrease

March 31, 2013

Number of shares

2013
March 31, 2012

Increase

Common stock

117,463,685——

117,463,685

Treasury stock

7,291,193

987

20,245

7,271,935

19
RESEARCH AND
DEVELOPMENT
COSTS

Costs relating to research and development activities are charged to income
as incurred. Research and development costs included in cost of sales andselling, general and administrative expenses totaled ¥5,313 million(US$51,623 thousand) and ¥4,321 million for the years ended March 31,
2014 and 2013, respectively.

Financial
SectionCommon stock andtreasury stock:

Sustainable
Activities

Common stock

GlobalRoadmap

2014
Increase

Corporate
Governance

Number of sharesCEO
Message2013

Movements in issued common stock and treasury stock for the years ended
March 31, 2014 and 2013 are summarized as follows:

March 31, 2013

Introduction

18

The Companies Act of Japan (the “Companies Act”) provides that an amountequal to 10% of the amount to be disbursed as distributions of capital surplus(other than the capital reserve) and retained earnings (other than the legal
reserve) be transferred to the capital reserve and the legal reserve, respectively,
until the sum of the capital reserve and the legal reserve equals 25% of thecapital stock account. Such distributions can be made at any time byresolution of the shareholders, or by the Board of Directors if certain conditions
are met.
The Company’s legal reserve included in retained earnings at March 31,
2014 and 2013 amounted to ¥6,280 million (US$61,018 thousand).
Under the Companies Act, upon the issuance and sale of new shares ofcapital stock, the entire amount of the proceeds is required to be accounted
for as capital stock, although a company may, by resolution of the Board of
Directors, account for an amount not exceeding one-half of the proceeds ofthe sale of new shares as additional paid-in capital included in capital surplus.

Corporate
Information

47

Leases

21
DERIVATIVEFINANCIALINSTRUMENTS

Acquisition
cost

Accumulated
depreciation/amortization

Net book
value

Machinery and vehicles

¥167

¥162

¥5

Equipment

46

44

2

Intangible fixed assets and other

—

—

0

¥213

¥206

¥7

Total

Thousands of
U.S. dollars

Millions of yen

2013

2014

2014

As a lessor¥

Due over one year

1,532

1,565

14,885

Total¥1,566¥1,599$15,215

34

¥

34

$

330

Cash dividends applicable to the year

Net income—basic
Stock options
Net income—diluted

2014¥3,018.82¥2,782.25$29.33

75.00

75.00

0.73

2014

2013

Per share(Yen)

Per share(U.S. dollars)

Per share(Yen)

110,216¥174.83$1.70¥171.12

441

—

—

—

110,657¥174.13$1.69¥170.57

Net income(Millions of yen)

Weightedaverage
number ofshares(Thousandsof shares)¥19,269—¥19,269

The amounts per share of equity have been computed based on the numberof shares of common stock outstanding at the year-end. Basic net income pershare has been computed based on the net income available for distribution toshareholders of common stock and the weighted-average number of shares ofcommon stock outstanding during the year.
Cash dividends per share represent the cash dividends proposed by the
Board of Directors as applicable to the respective fiscal years together with theinterim cash dividends paid.

Corporate
Information

Due within one year

EquityU.S. dollars

2013

Financial
Section(b) Operating leases
The Group has lease commitments under non-cancelable operating leases asfollows:

Amounts per
Share

Yen

2014

Sustainable
Activities

Lease payments relating to finance leases accounted for as operating leases in
the accompanying consolidated financial statements amounted to ¥7 million(US$68 thousand) and ¥47 million, which were approximately equal to thedepreciation of the leased assets computed by the straight-line method over
the respective lease terms assuming a nil residual value for the years ended
March 31, 2014 and 2013, respectively.

22

Amounts per share at March 31, 2014 and 2013 for the years then ended
were as follows:GlobalRoadmap

Note: There were no finance lease properties which are accounted for as operating lease as at March 31, 2014.

Corporate
Governance

2013

CEO
Message

Millions of yen

As described in Note 2 (e), the Group utilizes derivatives to hedge the risk offluctuations in foreign exchange rate and interest rate on certain liabilities.
Contract amounts of outstanding derivative positions accounted for by hedge
accounting as of March 31, 2014 are ¥302 million (US$2,934 thousand) forinterest rate swaps and ¥4,049 million (US$39,341 thousand) for forward foreignexchange contracts. There was no outstanding balance of derivative contracts
which does not qualify for hedge accounting at March 31, 2014 and 2013.
Disclosure of fair value information on derivatives of interest rate swaps
has been omitted, because contracts of interest rate swaps are treated as partof the hedged long-term debt, thus their fair values are integrally computedwith those of the hedged long-term debt. Fair value of forward foreignexchange contracts is ¥59 million (US$573 thousand), which is measured at
the quoted price obtained from the financial institution.

Introduction

20(a) Finance leases
Leased assets presented in the accompanying consolidated balance sheet asof March 31, 2014 consisted of those under finance lease contracts that do
not transfer ownership to the lessee and that were entered into on or after April
1, 2008, principally for vending machines for the instant noodle business.
The following pro-forma amounts represent the acquisition cost,
accumulated depreciation/amortization and net book value of the property
leased to the Group at March 31, 2013, which would have been reflected in
the accompanying consolidated balance sheets if finance leases, withouttransferring the ownership to the lessee starting on or before March 31, 2008
which are currently accounted for as operating leases, had been capitalized:

48

Stockoptions

Number of sharesfor options
No.

Date of
grant

Persons
grantedYen(U.S. dollars)Millions of yen(Thousands of U.S. dollars)

Granted andvestedExercised

Canceled

Fair value
at grant date

Average stock priceat exercise

Book value

74,30017,100—¥2,325 ($23)¥3,880 ($38)¥133 ($1,292)

2

June 26, 200912 Directors

3

June 26, 2009

9 Executive Officers and Employees

3,155

579

—

¥2,677 ($26)¥4,100 ($40)¥

4June 26, 200932 Directors of subsidiaries

11,284

4,957—¥2,677 ($26)¥4,112 ($40)¥ 17 ($ 165)

6

June 29, 201011 Directors

73,20014,900—¥2.616 ($25)¥3,880 ($38)¥153 ($1,487)

7

June 29, 2010

10 Executive Officers and Employees

5,710

763

—

¥3,003 ($29)¥4,100 ($40)¥ 15 ($ 146)

8

June 29, 2010

31 Directors of subsidiaries

21,3296,769—¥3,003 ($29)¥4,113 ($40)¥ 44 ($ 428)

9June 29, 2011

8 Directors

73,2006,300—¥2,141 ($21)¥3,880 ($38)¥143 ($1,389)

10

June 29, 2011

13 Executive Officers

11,0491,894—¥2,614 ($25)¥4,100 ($40)¥ 24 ($ 233)

11

June 29, 201135 Directors of subsidiaries

22,6775,226—¥2,614 ($25)¥4,136 ($40)¥ 46 ($ 447)

13

June 28, 2012

8 Directors

85,9007,500—¥2,244 ($22)¥3,880 ($38)¥176 ($1,710)

14

June 28, 2012

10 Executive Officers

8,666

702

—

¥2,709 ($26)¥4,100 ($40)¥ 22 ($ 214)15

June 28, 201236 Directors of subsidiaries

26,477

4,144—¥2,709 ($26)¥4,198 ($41)¥ 61 ($ 593)

16

April 1, 2013

1 Director of subsidiary

343

343

—

¥4,184 ($41)¥4,135 ($40)—

17June 26, 2013

7 Directors

80,0004,300—¥3,003 ($29)¥3,880 ($38)¥227 ($2,206)

18

June 26, 2013

12 Executive Officers

7,990

508

—

¥3,461 ($34)¥4,100 ($40)¥ 26 ($ 253)

19

June 26, 201336 Directors of subsidiaries

26,914

1,378—¥3,461 ($34)¥4,352 ($42)¥ 88 ($ 855)

20January 6, 2014

3 Directors of subsidiaries

579

579

—

¥4,439 ($43)¥4,405 ($43)

—

68)

CEO
Message
Corporate
Governance
GlobalRoadmap
Sustainable
Activities

Notes:
1. All stock options granted were vested.
2. The exercise period is 40 years from the grant date of each option.
3. The exercise price is ¥1 for each option.

7 ($Introduction

23

Stock options as of March 31, 2014 are as follows:

Financial
SectionCorporate
Information49

Stock options as of March 31, 2013 are as follows:
Number of sharesfor options
Granted andvestedMillions of yen

Exercised

Canceled

2

June 26, 200912 Directors

74,30013,400—¥2,325¥3,0353

June 26, 2009

9 Executive Officers and Employees

3,155

210

—

¥2,677—

4

June 26, 200932 Directors of subsidiaries

11,284

4,042—¥2,677¥3,035¥ 19

6June 29, 201011 Directors

73,200

11,200—¥2,616¥3,035¥162

7June 29, 2010

10 Executive Officers and Employees

5,710

121

—

¥3,003—¥ 17

8June 29, 2010

31 Directors of subsidiaries

21,3295,117—¥3,003¥3,035¥ 49

9June 29, 2011

8 Directors

73,2002,700—¥2,141¥3,035¥151

10June 29, 2011

13 Executive Officers

11,0491,275—¥2,614¥3,070¥ 26

11June 29, 201135 Directors of subsidiaries

22,6773,575—¥2,614¥3,035¥ 50

12April 2, 2012

1 Executive Officer

1,044

1,044

—

¥3,069¥3,070—13

June 28, 2012

8 Directors

85,9003,100—¥2,244¥3,035¥186

14

June 28, 2012

10 Executive Officers

8,666

—

—

¥2,709

—

¥ 23

15

June 28, 201236 Directors of subsidiaries

26,477

1,751—¥2,709¥3,035¥ 67

Book value

¥142
¥

8

CEO
Message
Corporate
Governance
GlobalRoadmap

Notes:
1. All stock options granted were vested.
2. The exercise period is 40 years from the grant date of each option.
3. The exercise price is ¥1 for each option.

Average stock priceat exercise

Introduction

Persons
grantedYen
Fair value
at grant date

No.

Date ofgrant

The fair value of options granted as of the grant date was estimated using the Black-Scholes option-pricing model basedon the following assumptions:

Estimated remaining outstanding period
Estimated dividend
Risk-free interest rate

No. 16

No. 17

No. 18

No. 19No. 2070.19%

21.36%

16.56%

16.56%

2.52%

2 days11.6 years

4.3 years

4.3 years

2 days¥75 per share¥75 per share¥75 per share¥75 per share¥75 per share

0.07%

0.99%

0.28%

0.28%

0.10%

Sustainable
Activities

Volatility of stock priceFinancial
SectionCorporate
Information

50

OTHERCOMPREHENSIVEINCOME

Thousands of
U.S. dollars

Millions of yen

2013

2014

¥10,902¥12,139$105,927(2,611)(419)(25,369)

Amount before income tax effect

8,291

11,72080,558

Income tax effect(3,033)(3,795)(29,470)¥ 5,258¥ 7,925$ 51,088¥¥$

Gain (loss) arising during the year
Reclassification adjustments to profit or loss for the year

Total

CEO
Message2014

Unrealized gain (loss) on available-for-sale securities

Introduction

24

Other comprehensive income for the years ended March 31, 2014 and 2013 is as follows.

Deferred gains or losses on hedges
Gain (loss) arising during the year
Reclassification adjustments to profit or loss for the year
Income tax effect
Total

573

—

—

59

—

573

—

(21)
¥

—

—

38

¥

—

(204)
$

369

Corporate
GovernanceAmount before income tax effect59

Foreign currency translation adjustments
Gain (loss) arising during the year

¥ 8,637¥ 3,903

—

—

—

8,637

3,903

83,920

Amount before income tax effect
Income tax effectTotal$ 83,920———¥ 8,637¥ 3,903$ 83,920

GlobalRoadmap

Reclassification adjustments to profit or loss for the year

Share of other comprehensive income (loss) in associates
Total¥ 4,035¥ 3,858$ 39,205¥ 4,035¥ 3,858$ 39,205¥¥$

Net defined benefit liability
Gain (loss) arising during the year
Reclassification adjustments to profit or loss for the year

633

—

6,150

—

(3,838)Amount before income tax effect

238

—

2,312

Income tax effect

(85)

—

Total other comprehensive income (loss)¥

153¥18,121¥—¥15,686(825)$

Financial
Section

(395)

Total

Sustainable
Activities

Gain (loss) arising during the year

1,487

$176,069
Corporate
Information

51

SEGMENT
INFORMATIONGroup. According to the operating unit strategy of the seven
operating companies in Japan and four overseas businessregions, the reportable segments consist of “Nissin Food
Products,” “Myojo Foods,” “Chilled and frozen foods,” “TheAmericas” and “China.” The segments of “Nissin Food

Products,” “Myojo Foods,” “The Americas” and “China” areoperating the business of manufacturing and selling Cup
and bag-type noodles. The “Chilled and frozen foods”
segment is operating the business of manufacturing andselling chilled and frozen foods.

Introduction

25(a) Overview of reportable segments
The Group’s reportable segments are those for which
separate financial information is available and regular
evaluation by the Board of Directors is being performed inorder to decide how resources are allocated among the(b) Net sales, income or loss, assets and other items by reportable segment
Year ended March 31, 2014

The
Americas

China

Subtotal

Others

Total

Reconciliations

Consolidated¥210,906
3,187
214,093
25,688140,085¥39,562
1,708
41,2701,964
50,654¥54,790
1,229
56,019473
29,594¥32,220—
32,220543
15,927¥29,904
127
30,031
2,846
38,770¥367,382
6,251
373,633
31,514275,030¥ 50,239
18,40868,647(576)
114,843¥417,621
24,659442,280
30,938389,873—(24,659)(24,659)(3,233)89,597¥417,621—
417,62127,705479,470

7,225
—
7,432

1,062
—
5,540

1,139
—
1,752

1,316
—
716

861
—
1,634

11,603—
17,074

2,914
38,191
10,787

14,51738,191
27,861——(387)

14,51738,191
27,474

Nissin Food
Products

Myojo
Foods

Chilled andfrozen foods

The
Americas

China

Subtotal

Others

Total

Reconciliations

Consolidated$2,049,222
30,9662,080,188
249,591
1,361,106$384,396
16,595400,991
19,083492,169$532,356
11,941
544,297
4,596
287,544$313,059—
313,059
5,276
154,751$290,556
1,234
291,790
27,653376,700$3,569,589
60,736
3,630,325
306,199
2,672,270$ 488,135
178,858
666,993(5,597)
1,115,847$4,057,724
239,594
4,297,318
300,6023,788,117—(239,594)(239,594)(31,412)870,550$4,057,724—
4,057,724
269,190
4,658,667

70,199—72,212

10,319—53,828

11,067—
17,023

12,787
—
6,957

8,366
—
15,876

112,738—
165,896

28,313371,075
104,809

141,051
371,075
270,705——(3,760)141,051
371,075
266,945¥

GlobalRoadmap

Chilled andfrozen foods

Thousands of U.S. dollars

Year ended March 31, 2014$

Financial
SectionCorporate
Information

Notes:
1. “Others” consists of the operating segments not included in reportable segments. It includes domestic confectionery, beverages and food service business and overseas business in Europe and Asia.
Aji-no-Mingei Co., Ltd. has been excluded from the scope of consolidation after the Company sold the shares to the third party.
2.	Operating loss under “Reconciliations” amounted to ¥3,233 million (US$31,412 thousand), consisting of ¥677 million (US$6,578 thousand) from retirement benefit expenses, minus ¥804 million (US$7,812 thousand) from the amortization of goodwill, minus ¥3,328
million (US$32,336 thousand) from group expenses and ¥222 million (US$2,157 thousand) from elimination of intersegment transactions.
3.	Segment income is reconciled to operating income of consolidated statements of income.
4.	Segment assets under “Reconciliations” include the asset which cannot be allocated to any particular segment amounting to ¥89,597 million (US$870,550 thousand). The amount mainly consists of ¥83,983 million (US$816,003 thousand) of surplus investment

Sustainable
Activities

Net sales
Sales to third party
Intersegment sales
Total
Segment income (loss)
Segment assets
Other items
Depreciation and amortization
Investments in associates
Capital investment

Corporate
GovernanceNet sales
Sales to third party
Intersegment sales
Total
Segment income (loss)
Segment assets
Other items
Depreciation and amortization
Investments in associates
Capital investment

Myojo
Foods

CEO
Message

Millions of yen
Nissin Food
Products

52

funds, ¥1,832 million (US$17,800 thousand) of goodwill, and ¥3,781 million (US$36,737 thousand) of other investments.
Millions of yen
Myojo
Foods

Chilled andfrozen foods

The
Americas

China

Subtotal

Others

Total

Reconciliations

Consolidated

Sales to third party¥200,841¥39,336¥52,565¥25,917¥20,848¥339,507¥ 43,286¥382,793

Intersegment sales

191

1,137

553

—

96

1,977

16,526

18,503(18,503)—¥382,793—

201,032

40,473

53,11825,917

20,944341,484

59,812401,296(18,503)382,793

Net sales

Total

¥

1,713

819

236

1,836

28,41498

28,512(4,558)23,954

134,628

47,98728,226

13,27931,362

255,482

107,366

362,848

83,284446,132

7,624

1,050

1,249

1,011

554

11,4882,857

14,345—

14,345

—

—

—

—

—

—

33,31733,317—33,317

11,141

1,320

1,284

883

2,820

17,448

4,161

21,609(27)

21,582Other items
Depreciation and amortization
Investments in associates
Capital investment

Notes:
1.	“Others” consists of the operating segments not included in reportable segments. It includes domestic confectionery, beverages and food service business and overseas business in Europe and Asia.
2.	Operating loss under “Reconciliations” amounted to ¥4,558 million, consisting of minus ¥508 million from retirement benefit expenses, minus ¥1,044 million from the amortization of goodwill, minus ¥40 million from elimination of intersegment transactions and minus¥3,046 million from group expenses.
3.	Segment income is reconciled to operating income of consolidated statement of income.
4.	Segment assets under “Reconciliations” include the asset which cannot be allocated to any particular segment amounting to ¥83,284 million. The amount mainly consists of ¥79,635 million of surplus investment funds, ¥2,620 million of goodwill, and ¥1,030 millionof other investments.

Corporate
Governance

23,810

Segment assets

CEO
Message

Segment income (loss)

Introduction

Nissin Food
Products

Year ended March 31, 2013

GlobalRoadmap(c) Supplemental information
Information by product or service group
Millions of yen(Thousands of U.S. dollars)

Sales to third party

Instant noodle andassociated business

Otherbusiness

Consolidated¥ 364,824($3,544,733)¥ 52,797($512,991)¥ 417,621($4,057,724)

Sustainable
Activities

Year ended March 31, 2014

Millions of yen

Sales to third party

Otherbusiness

Consolidated¥ 334,653¥ 48,140¥ 382,793

Financial
SectionYear ended March 31, 2013

Instant noodle andassociated businessNotes:
1. Classification of the businesses is based on product types and characteristics.
2. Major products of each business:(1)	Instant noodle and associated business: bag-type instant noodles, cup-type instant noodles, chilled foods and frozen foods(2) Other business: confectioneries, beverages and the food service businessCorporate
Information

53

Geographical information
Millions of yen(Thousands of U.S. dollars)
North America

Other areas

Consolidated

Sales to third party¥ 32,263($313,476)¥ 42,216($410,183)¥ 417,621($4,057,724)

Property, plant and equipment¥ 120,612($1,171,901)¥ 8,208($ 79,751)¥ 18,800($182,666)¥ 147,620($1,434,318)

Japan

North America

Other areas

Consolidated

Sales to third party¥328,580¥25,971¥28,242¥382,793

Property, plant and equipment¥116,078¥ 7,575¥10,135¥133,788

Millions of yen

Year ended March 31, 2013

Corporate
GovernanceNote: Classification of the countries or regions is based on geographical proximity.

CEO
MessageJapan¥ 343,142($3,334,065)

Introduction

Year ended March 31, 2014

Information by major customer
Millions of yen(Thousands of U.S. dollars)
Main reportablesegment

Mitsubishi Corporation¥ 146,799($1,426,341)

Nissin Food
Products

ITOCHU Corporation¥ 105,160($1,021,764)

Nissin Food
Products

Year ended March 31, 2013

Sales

Main reportablesegment¥135,325

Nissin Food
Products

ITOCHU Corporation¥ 95,466

Nissin Food
Products

Financial
SectionMitsubishi Corporation

Sustainable
Activities

Millions of yen

GlobalRoadmap

Sales

Year ended March 31, 2014

Corporate
Information

54

Information on loss on impairment of fixed assets by reportable segment
Millions of yen(Thousands of U.S. dollars)

Loss on impairment of fixed assets

Myojo
Foods

Chilled andfrozen foods

The
Americas

China

OthersEliminations or
corporate

Consolidated¥ 377($3,663)¥ 353($3,430)

¥—
($ —)

¥—
($ —)

¥ 27
($262)¥ 1,242($12,068)

¥—
($ —)

¥ 1,999$19,423

Nissin Food
Products

Myojo
Foods

Chilled andfrozen foods

The
Americas

China

OthersEliminations or
corporate

Consolidated

¥224

¥62

¥211

¥—

¥33

¥745

¥—

¥1,275

Millions of yen

Year ended March 31, 2013

Loss on impairment of fixed assets

CEO
MessageNissin Food
Products

Introduction

Year ended March 31, 2014

Note: “Others” consists of the operating segments not included in reportable segments. It includes domestic confectionery, beverages and food service business and overseas business in Europe and Asia.

Corporate
Governance

Information on goodwill by reportable segment
Millions of yen(Thousands of U.S. dollars)
Myojo
Foods

Chilled andfrozen foods

The
Americas

China

OthersEliminations or
corporate

Consolidated

Amortization of goodwill

¥—
($ —)

¥ 398
($3,867)¥ 73($709)¥ 45($ 437)

¥—
($ —)

¥ 288
($2,798)

¥—
($ —)

¥ 804
($ 7,811)

Balance of goodwill

¥—
($ —)

¥1,009($9,804)

¥ —
($ —)

¥ 136
($1,321)

¥—
($ —)

¥ 687
($6,675)¥—($ —)¥ 1,832($17,800)

Year ended March 31, 2013

Nissin Food
Products

Myojo
Foods

Chilled andfrozen foods

The
Americas

China

OthersEliminations
or corporate

Consolidated

Amortization of goodwill

¥—

¥ 398

¥147

¥334

¥—

¥165

¥—

¥1,044

Balance of goodwill¥—¥1,407

¥ 73

¥181

¥—

¥959

¥—

¥2,620GlobalRoadmap

Nissin Food
Products

Year ended March 31, 2014

Millions of yen

Sustainable
Activities

Note: “Others” consists of the operating segments not included in reportable segments. It includes domestic confectionery, beverages and food service business and overseas business in Europe and Asia.

Financial
SectionCorporate
Information

55

RELATED PARTY
TRANSACTIONS

Thousands of
U.S. dollars¥3,858$37,485

GlobalRoadmap

Cash dividends (¥35=US$0.34 per share)

Millions of yen

Corporate
Governance

SUBSEQUENTEVENTSCEO
Message

27

The following distribution of retained earnings of the Company, which has notbeen reflected in the accompanying consolidated financial statements for theyear ended March 31, 2014, was approved at a meeting of the shareholdersof the Company held on June 26, 2014:

Introduction

26

The Group concluded lease contracts with related parties, whose shares arewholly owned by certain directors of the Company and their relatives. The
amount of lease payments to these companies for the years ended March 31,
2014 and 2013 was ¥466 million (US$4,528 thousand) and ¥456 million,
respectively, and the outstanding balance of lease obligations and otherliabilities at March 31, 2014 and 2013 was ¥93 million (US$904 thousand) and¥93 million, respectively.
The Group also purchased real estate from certain directors of theCompany and their relatives for the amount of ¥405 million for the year ended
March 31, 2013.

Sustainable
Activities
Financial
SectionCorporate
Information

56

Introduction

CEO
Message

Corporate
Governance

GlobalRoadmap

Sustainable
Activities

Financial
SectionCorporate
Information

57

CORPORATE DATA
(As of March 31, 2014)

Introduction

Nissin Foods Holdings Co., Ltd.
Osaka Head Office

WebsiteResearch Institutes

28-1, 6-chome, Shinjuku, Shinjuku-ku

1-1, 4-chome, Nishinakajima, Yodogawa-ku

http://nissin.com/en_jp/

NISSIN Global Innovation CenterTokyo 160-8524, Japan

Osaka 532-8524, JapanNISSIN Global Food Safety InstituteTelephone: 81-3-3205-5111

Telephone: 81-6-6305-7711

FOOD SAFETY EVALUATION RESEARCH INSTITUTE CO., LTD. (Shanghai)

Fax: 81-3-3205-5059

Fax: 81-6-6304-1288

1948
1958

Chukososha Co., Ltd. established.

Chicken Ramen , the world’s first instant noodle product,
introduced.
Company name changed to Nissin Food Products Co., Ltd.
Listed on the Second Section of the Tokyo and Osaka
Stock Exchanges.

1970

Nissin Foods (U.S.A.) Co., Inc., the Company’s first overseas
operation, established in Gardena, California.

1971

Cup Noodle introduced.

2002

1990

Capital participation in Yoke Co., Ltd. (currently, NISSINYORK CO., LTD.).

1991

Capital participation in Cisco Co., Ltd. (currently, NISSINCISCO CO., LTD.).
Bangalore Plant of Indo Nissin Foods Ltd. begins operation.

1992

Nissin Rao , long-life fresh noodles, introduced.

1993

Nissin Foods GmbH established in Germany.
PT. NISSINMAS begins operation.

Food Safety Research Institute established.

Nissin GooTa series introduced.

Central Research Institute begins operation.

Becomes an official supplier to the 2002 FIFA World Cup™
held in Japan and South Korea.
2003

Aggregate sales of Cup Noodle brand since launch in 1971
top 20 billion servings.

2004

Capital alliance with Hebei Hualong F&N Industry Group
Co., Ltd. (currently, Jinmailang Nissin Foods Co., Ltd.)

2005

Nissin Foods marks a world first with Space Ram , noodle
space rations, developed for the Space Shuttle Discovery.

2006

Aggregate sales of Cup Noodle brand top 25 billion servings
all over the world.

2007

MYOJO FOODS CO., LTD. becomes a wholly owned
subsidiary of Nissin Foods.

1994

Nissin Foods (Thailand) Co., Ltd. begins operation.

1973

Shiga Plant and General Research Center begin operation.

1995

Nissin Spa-O introduced.

1975

Shimonoseki Plant begins operation.

1996

Guangdong Shunde Nissin Foods Co., Ltd., Nissin-Universal
Robina Corporation, Shizuoka Plant, and Shanghai Nissin
Foods Co., Ltd. begin operation.

2008

The Group completes transformation to a pure holding
company, effective October 1, 2008.

2009

Capital alliance with MAREVEN FOOD HOLDINGS LIMITED(formerly, ANGLESIDE LIMITED), a Russian instant noodle
holding company.

2011

CUPNOODLES MUSEUM (officially, Momofuku Ando InstantRamen Museum) opened in Yokohama.

2014“the WAVE”, a new global R&D center, established.

Nissin-Ajinomoto Alimentos Ltda. established in Sao Paulo,
Brazil.
1977

Construction of new headquarters completed.

1997

Main office moved to its present location in Yodogawa-ku,
Osaka.

Nissin’s “hungry?” series wins the International Advertising
Festival (CANNES LIONS).

1999

Share unit (minimum trading unit) reduced from 1,000
shares to 100 shares.

1983

Chilled foods division begins operation.

1984

Nissin Foods Co., Ltd. established in Hong Kong.

1986

Expansion into frozen food business.

The Momofuku Ando Instant Ramen Museum, the world’s
first instant noodle museum, opened in Ikeda City, Osaka.
2001

Consolidated net sales exceed ¥300 billion for the first time.

FOOD SAFETY EVALUATION & RESEARCH INSTITUTE
CO., LTD. begins operation in Shanghai, China.

Corporate
Information

Listed on the First Section of the Tokyo, Osaka and Nagoya
Stock Exchanges.

Financial
Section1972

Sustainable
Activities

Kanto Plant begins operation.

Construction of Tokyo Head Office building completed.

GlobalRoadmap

1963

1988

Corporate
GovernancehistoryCEO
Message

Head Office

Consolidated net sales exceed ¥400 billion for the first time.

58

As of March 31, 2014

Company

CapitalBusiness Area

Equity Ownership (%)

Consolidated Subsidiaries

NISSIN FOOD PRODUCTS CO., LTD.

¥5,000 million

Instant noodle manufacturing and marketing

100.0

MYOJO FOODS CO., LTD.

¥3,143 million

Instant noodle manufacturing and marketing

100.0¥100 million

Chilled food manufacturing and marketing

100.0

NISSIN CHILLED FOODS CO., LTD.
NISSIN FROZEN FOODS CO., LTD.

Introduction

Business
Areas ofConsolidated
Subsidiaries
and associates

Frozen food manufacturing and marketing

100.0¥2,600 million

Confectionery manufacturing and marketing

100.0

NISSIN YORK CO., LTD.

¥870 million

Beverage and dairy product manufacturing and marketing

100.0

NISSIN BUSINESS SUPPORT CO., LTD.

¥50 million

Intergroup business support

100.0

NISSIN ASSET MANAGEMENT CO., LTD.

¥50 million

Real estate and leasing management

100.0

Sapporo Nissin Co., Ltd.

¥250 million

Instant noodle manufacturing and marketing

100.0 (100.0)

Nissin Plastics Co., Ltd.

¥450 million

Container manufacturing and marketing

100.0 (100.0)

Nissin F.D. Foods Co., Ltd.

¥100 million

Ingredient manufacturing and marketing

100.0 (100.0)

Kagawa Nissin Food Products Co., Ltd.

¥100 million

Ingredient manufacturing and marketing

100.0 (100.0)

Nissin Enterprise Corporation¥300 million

Shipping and warehousing

100.0 (100.0)

Ajinihon Co., Ltd.

¥95 million

Soup manufacturing and marketing

46.3 (46.3)

NISHINIHON MYOJO CO., LTD.

¥90 million

Instant noodle manufacturing and marketing

100.0 (100.0)

UNI-STAR CO., LTD.

¥150 million

Soup manufacturing and marketing

100.0 (100.0)

HIGASHINIHON MYOJO CO., LTD.

¥90 million

Instant noodle manufacturing and marketing

100.0 (100.0)

Saitama Nissin Food Products Co., Ltd.

¥30 million

Chilled and frozen food manufacturing and marketing

100.0 (100.0)

MYOJO FRESH CO., LTD.

¥400 million

Chilled food manufacturing and marketing

100.0 (100.0)

Shikoku Nissin Food Products Co., Ltd.

¥98 million

Frozen food manufacturing and marketing

100.0 (100.0)

Takamatsu Nissin Food Products Co., Ltd.

¥80 million

Frozen food manufacturing and marketing

100.0 (100.0)

Mie Nissin Food Products Co., Ltd.

¥100 million

Frozen food manufacturing and marketing

100.0 (100.0)

Circle Liners Co., Ltd.

¥50 million

Shipping and warehousing

100.0 (100.0)

Nicky Foods Co., Ltd.

¥60 million

Frozen food manufacturing and marketing

100.0 (100.0)

Uji Kaihatsu Development Co., Ltd.

¥100 million

Golf course management

98.3

Nissin Netcom Co., Ltd.

¥24 million

Real estate and restaurant management

100.0

CEO
Message¥100 million

NISSIN CISCO CO., LTD.

Corporate
Governance
GlobalRoadmap
Sustainable
Activities
Financial
SectionCorporate
Information

(0.4)

59

Company

CapitalBusiness Area

Equity Ownership (%)

Consolidated Subsidiaries

MYOJO U.S.A., INC.

US$149,706 thousand

Instant noodle manufacturing and marketing

94.4

US$5,000 thousand

Chilled food manufacturing and marketing

96.0

Nissin Foods de Mexico S.A. de C.V.

MXN 215,191 thousand

Instant noodle manufacturing and marketing

100.0

Nissin Foods Co., Ltd.

HK$1,674,987 thousand

74.0 (74.0)

Miracle Foods Co., Ltd.

HK$21,000 thousand

Container manufacturing and marketing

100.0 (100.0)

Nissin Foods (China) Holding Co., Ltd.

US$40,500 thousand

Invests in businesses in China

100.0 (100.0)

Shanghai Nissin Foods Co., Ltd.

US$44,000 thousand

Instant noodle manufacturing and marketing

100.0 (100.0)

Guangdong Shunde Nissin Foods Co., Ltd.

HK$130,000 thousand

Instant noodle manufacturing and marketing

100.0 (100.0)

Zhuhai Golden Coast Winner Food Products Ltd.

HK$84,000 thousand

Instant noodle manufacturing and marketing

70.5 (70.5)

Guangyougnan Food Products (Shenzhen) Co., Ltd.

HK$11,000 thousand

Frozen food manufacturing and marketing

100.0 (100.0)

NISSIN FOODS (ASIA) PTE. LTD.

SG$225,303 thousand

Instant noodle manufacturing and marketing/Supervising Asian business

100.0

Instant noodle manufacturing and marketing

97.1 (97.1)

Instant noodle marketing

100.0 (100.0)

Instant noodle manufacturing and marketing

100.0

Instant noodle marketing

100.0 (99.0)

Indo Nissin Foods Ltd.

INR 2,650,000 thousand

Nissin Foods India Ltd.

INR 500 thousand

Nissin Foods Kft.

HUF 1,000,000 thousand

Nissin Foods GmbHEUR 25 thousand

Pasta and instant noodle manufacturing and marketing

50.0

Nissin Foods Vietnam Co., Ltd.

US$48,630 thousand

Instant noodle manufacturing and marketing

100.0 (100.0)

Nissin Foods (Thailand) Co., Ltd.

THB 2,140,000 thousand

Instant noodle manufacturing and marketing

100.0 (100.0)

Nissin-Ajinomoto Alimentos Ltda.

BRL 12,688 thousand

Instant noodle manufacturing and marketing

50.0

THAI PRESIDENT FOODS PUBLIC COMPANY LIMITEDTHB 180,000 thousand

Instant noodle manufacturing and marketing

21.1

Holding company of instant noodle businesses

33.5

Financial
SectionTL 87,625 thousandassociates Accounted for by the Equity Method

MAREVEN FOOD HOLDINGS LIMITEDRUB 398 thousand¥1,090 million

Confectionery manufacturing and marketing

20.0

BonChi Co., Ltd.

¥160 million

Confectionery manufacturing and marketing

30.0

Corporate
Information

Frente Co., Ltd.

Note: The figures in (Sustainable
Activities

NISSIN YILDIZ GIDA SANAYI VE TICARET A.S.

GlobalRoadmap

Instant noodle and frozen food manufacturing and marketing

Corporate
Governance

100.0

HK$29,975 thousandCEO
Message

Instant noodle manufacturing and marketing

Winner Food Products Ltd.

Introduction

Nissin Foods (U.S.A.) Co., Inc.

) of equity ownership show percentage of indirect ownership.

60

Investor Information
NISSIN FOODS HOLDINGS CO., LTD.

As of March 31, 2014 (US$1=¥102.92)

Number of Employees

525 (parent company)
8,357 (consolidated basis)

Common Stock

Authorized: 500,000,000 shares
Issued: 117,463,685 shares
Number of Shareholders: 44,691(Excluding owners of odd-lot shares)¥25,123 million ($244 million)

Stock Listings

Tokyo Stock Exchange (Ticker Code: 2897)

Independent Auditors

Deloitte Touche Tohmatsu LLC

Transfer Agent

Mizuho Trust & Banking Co., Ltd.
2-1, Yaesu 1-chome, Chuo-ku, Tokyo, Japan

Net income
per share (EPS)

2010

2011

2012

2013

2014

¥167.97¥171.12¥174.83¥2,406.26¥2,454.67¥2,545.31¥2,782.25¥3,018.82

Price earnings ratio(PER) (Times)

17.8

15.6

18.4

25.6

26.6

Price-to-book ratio(PBR) (Times)

1.3

1.2

1.2

1.6

1.5

Dividend¥60.00¥70.00¥75.00¥75.00¥75.00

Payout ratio (%)

33.89

37.32

44.70

43.80

42.90

Share price:High¥3,590¥3,340¥3,195¥4,385¥4,735Low¥2,610¥2,730¥2,812¥2,824¥3,550Notes: 1.	From the fiscal year ended March 31, 2008, number of issued shares excludes the numbers oftreasury stocks at term-end.
2.	Equity per share = (Equity - Minority interests - Stock acquisition rights) / Number of shares
outstanding as of the year-end (excluding treasury stock)
3. Price earnings ratio and price-to-book ratio are calculated based on the share price at year-end.

Number of
Shares Held(Thousands)

Percentage ofTotal Shares
Outstanding

Ando Foundation
Mitsubishi Corp.
State Street Bank and Trust Company
ITOCHU Corp.
Ando International Y.K.
Mizuho Bank, Ltd.
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Japan Trustee Services Bank, Ltd. (Account in Trust)
ONO PHARMACEUTICAL CO., LTD.
EZAKI GLICO CO., LTD.
Total

7,904
7,800
7,404
5,400
4,000
3,375
2,629
2,511
2,460
2,361
45,844

6.72%
6.64
6.30
4.59
3.40
2.87
2.23
2.13
2.09
2.00
39.02

Note: In addition to the above, the Company holds 7,242,013 shares (6.16%) of treasury stock.

Share Price
Range andTrading
Volume on TSE

6,000

(Yen)

(Thousands of share)

9,000

Share Price (Left)
6,000

4,000
Trading Volume (Right)
2,000

3,000

4
2013

5

6

7

8

9

10

11

12

1
2014

2

3

4

5

6

0

Forward-looking Statements This report contains forward-looking statements regarding the Company’s plans, outlook, strategies andresults for the future that are based on management’s estimates, assumptions and projections at the time of publication. Certain risks anduncertainties could cause the Company’s actual results to differ materially from any projections presented in this report. These risks anduncertainties include, but are not limited to, the domestic and international economic circumstances surrounding the Company’s businesses,
competitive activity, related laws and regulations, product development programs and exchange fluctuations.

Corporate
Information

For further information, please contact: ir Office, financial Headquarters
Tel: 81-3-3205-5027 Fax: 81-3-3205-5179
Regularly updated IR information in English is also available on NISSIN FOODS HOLDINGS
website at http://nissin.com/en_jp/

6.17%

Name

0

Further
Information

11.70%n Treasury Stock

Financial
Section¥187.56

18.48%n Individuals and Other

Sustainable
Activities¥177.02

Equity (book-value)
per share (BPS)

24.51%n Foreign Corporations

GlobalRoadmap

Years ended March 31,

Principal
Shareholders

39.13%

Corporate
GovernancePaid-in Capitaln Other Corporationsn Financial Institutions

CEO
Message

Consolidated
Per Share
Data

Distributionof Ownershipamong
Shareholders

September 1948

Introduction

Date of Establishment

61

ABOUT THIS REPORTIn ANNUAL REPORT 2014, we report not only its business results,
but also its philosophy and environmental and social activities, to give
shareholders, investors, and all other stakeholders a comprehensive
picture of the Group and our vision for the future. However, rather thanattempt to exhaustively cover everything, we have focused primarily on
three areas: the Group’s philosophy; “the WAVE”, our new research anddevelopment center completed in fiscal 2014; and development of ouroverseas business, which is currently a top priority.
We believe that the annual report, as a vehicle for disseminating
information to our stakeholders, should be as innovative as our products.
We have tried to make ANNUAL REPORT 2014 an original and funreport that embodies the defining characteristics of the NISSIN FOODSGroup’s product development: unique, happy, global and creative.

NISSIN FOODS HOLDINGS
http://nissin.com/en_jp/