Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2014
(Nine Months Ended December 31, 2013) <under Japanese GAAP> (Consolidated)
February 7, 2014
Company name : NIKKO COMPANY
ID number :5343 Stock listing : Nagoya Stock Exchange Second Section
URL :http://www.nikko-company.co.jp/
Representative : Kazuto Futamata, Chief Executive Officer
Contact :Kazuo Miyanabe, Chief Financial Officer (Phone: +81-76-276-2121)
Scheduled date to submit Securities Report : February 13, 2014
Scheduled date to begin dividend payments : Preparation of supplementary materials for quarterly financial results: None
Holding of quarterly financial results meeting: None
(All amounts are rounded down to the nearest million yen)
1. Consolidated Financial Results for the Nine Months Ended December 31, 2013 (April 1, 2013 - December 31, 2013)(1) Consolidated operating results(Percentage figures represent changes from the same period of the previous year.)Net sales

Operating income

Millions of yen％

12,2602.3

Nine months ended
Dec. 31, 2013

Ordinary income％Millions of yen

Nine months ended
11,990(10.1)
Dec. 31, 2012
Note: Comprehensive income (Millions of yen):

Millions of yen％

Millions of yen(278)-(185)-(235)-(840)-(819)-(1,519)-

Dec. 31, 2013: (208) ( -%)Net income pershare

Net income％Dec. 31, 2012: (1,534) ( -%)Diluted net income
per share
Yen

Yen

Nine months ended
Dec. 31, 2013(12.58)-Nine months ended
Dec. 31, 2012

(81.11)-(2) Consolidated financial position
Total assets

Net assets

Millions of yen

Equity ratio

Net assets per share

Millions of yen%

Yen

As of Dec. 31, 2013

11,0401,246

11.366.58

As of Mar. 31, 2013

11,468

1,455

12.7

77.74

Reference: Shareholders' equity (Millions of yen):Dec. 31, 2013: 1,246

Mar. 31, 2013: 1,455

2. Dividends

Fiscal Year ended Mar. 31, 2013

-Dividend per share
3Q-end
Yen
Yen
0.00
-

Fiscal Year ending Mar. 31, 2014

-

0.00

1Q-end2Q-endYen

Year-end

Annual
Yen

Yen

0.00

0.00

0.00

0.00

-

Fiscal Year ending Mar. 31, 2014
(forecast)
Notes: Revision of dividend forecast during the period: None

3. Consolidated Forecast for the Fiscal Year Ending March 31, 2014 (April 1, 2013 - March 31, 2014)(Percentage figures represent changes from the same period of the previous year.)
Net income perNet sales
Operating income
Ordinary income
Net income
share

Full year

Millions of yen%

Millions of yen%

16,6001.4(570)-

Millions of yen(490)

Notes: Revision of projected consolidated performance during the period

1:

Yes%
-

Millions of yen(530)%

Yen-(28.30)

.
Notes
(1) Changes in significant subsidiaries (changes in specified subsidiaries accompanying changes in the scope of consolidation) during
the period : None
New:
— companies (Company name:)Eliminated:— companies (Company name:)(2) Application of special accounting methods for quarterly consolidated financial statements : None
(3) Changes in accounting policies, changes in accounting estimates, or restatement
1) Changes in accounting policies due to changes in consolidated accounting methods
2) Changes other than 1) above
3) Changes in accounting estimates
4) Restatement: None: None: None: None

(4) Number of shares outstanding (common shares)
1) Number of shares outstanding (including treasury stock) at the end of the period
As of Dec. 31, 2013:19,572,000 share
As of Mar. 31, 2013:
19,572,000 shares
2) Number of treasury stock at the end of the period
As of Dec. 31, 2013:
844,217 shares
As of Mar. 31, 2013:
842,706 shares
3) Average number of shares issued during the period (cumulative; consolidated)
Nine months ended Dec. 31, 2013: 18,728,429 shares
Nine months ended Dec. 31, 2012: 18,731,990 shares*Information regarding the implementation of quarterly review procedures
The current quarterly financial statements are exempted from quarterly review procedures based on the Financial Instruments andExchange Law. At the time of disclosure, we have not completed the review process for these consolidated statements.

*Appropriate use of business forecasts, other special items
Forecasts regarding future results in these materials are based on information available to the Company at the time the materials werecreated. Actual results may differ significantly from these forecasts for a number of reasons.

2Consolidated Financial Statements(1) Consolidated Balance Sheet

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in processCosts on uncompleted construction contracts
Raw materials and supplies
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Land
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Income taxes payable
Provision for bonuses
Provision for product warranties
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Provision for retirement benefits
Provision for directors' retirement benefits
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securitie
Foreign currency translation adjustment
Accumulated other comprehensive income
Total net assets
Total liabilities and net assets

3FY03/2013(As of Mar.31,2013)(Millions of yen)
3rd Quarter of FY03/2014(As of Dec. 31, 2013)

1,327
2,654
1,557
541
320
318
1116
(42)
6,795

782
2,474
1,449
582
383
313
0
135
(37)
6,083

6,699
(4,679)
2,020
1,207
6,680
(6,178)
501
3,729
171

6,695
(4,567)
2,127
1,195
6,663
(5,974)
688
4,011
138

638
651
(518)
771
4,672
11,468

657
669
(520)
806
4,956
11,040

3,100
1,700
361
50
101
444
1,486
7,244

3,176
1,800
341
38
31
335
1,496
7,219

1,080
1,329
35
322
2,767
10,012

874
1,327
35
335
2,573
9,793

3,200
1,321
(2,528)
(335)
1,657

3,200
1,321
(2,763)
(335)
1,421

(80)
(121)
(201)
1,455
11,468

(60)
(114)
(174)
1,246
11,040(2) Consolidated quarterly statements of income
and consolidated quarterly statements of comprehensive income
Consolidated quarterly statements of income

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income (loss)
Non-operating income
Interest income
Rent income
Foreign exchange gains
Gain on sales of wastes
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary income (loss)
Extraordinary Income
Gain on sales of noncurrent assets
Total extraordinary Income
Extraordinary loss
Loss on sales of noncurrent assets
Loss on retirement of noncurrent assets
Impairment loss
Loss on valuation of stocks of subsidiaries and affiliates
Loss on lead trouble measures
Total extraordinary losses
Income (loss) before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Income (loss) before minolity interests
Net income (loss)

4

3rd Quarter of FY03/2013(Apr.1,2012-Dec.31,2012)(Millions of yen)
3rd Quarter of FY03/2014(Apr.1,2013-Dec.31,2013)

11,990
8,656
3,334
4,174
(840)

12,2608,683
3,576
3,855(278)

019
20
931
81

0
32
38
32
46
149

36
2461(819)37
1856(185)

――

122
122

―
10603
42―
656(1,476)
42043(1,519)(1,519)

0
13―
―
119
133
(196)38039(235)(235)

Consolidated quarterly statements of comprehensive income

Income(loss) before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Other comprehensive income
Comprehensive income
Comprehensive income attributable to owners of theparent
Comprehensive income attributable to minority interests

5

3rd Quarter of FY03/2013(Apr.1,2012-Dec.31,2012)(Millions of yen)
3rd Quarter of FY03/2014(Apr.1,2013-Dec.31,2013)(1,519)

(235)

(20)
5(15)
(1,534)

19
726
(208)

(1,534)(208)――

[Segment Information]
Ⅰ Third Quarter of FY03/2013 (Apr. 1, 2012 –Dec. 31, 2012)
1. Information related to net sales and profit or loss for each reportable segment

Housing &Environmental
Equipment

Tabletop

Functional
Ceramics
Product

Other(Note 1)

(Millions of yen, rounded down)Amounts
shown onSegment
Adjustment
quarterly
total(Note 2)
consolidated
statements ofincome

Net sales(1)Sales to Outside
7,095
3,623
11,9901,251
20
Customers(2)Intersegment salesor Transfers
Total
7,095
3,623
1,251
20
11,990
Segment profit (loss)
(116)
(79)
(179)
5(368)(471)(Operating income (loss))
Notes: 1. The “Other” category indicated businesses not included in reporting segments, including sales of other products.
2. Segment income adjustment of 471 million yen consists of expenses related to Strategic Planning Headquarters,
Technical Headquarters and Administrative Headquarters that do not belong to the reportable segments.

11,99011,990(840)

2. Information regarding impairment loss on fixed assets and goodwill by reportable segment
During the subject nine-month period, impairment loss amounted to 603 million yen in the Functional Ceramics Product Division.
Ⅱ Third Quarter of FY03/2014 (Apr. 1, 2013 –Dec. 31, 2013)
1. Information related to net sales and profit or loss for each reportable segment

Housing &Environmental
Equipment

Tabletop

FunctionalCeramics
Product

Other(Note 1)(Millions of yen, rounded down)Amounts
shown onSegment
Adjustment
quarterly
total(Note 2)
consolidated
statements ofincomeNet sales(1)Sales to Outside
7,455
3,108
1,694
2
12,260
Customers(2)Intersegment salesor Transfers
Total
7,455
3,108
1,694
2
12,260
Segment profit (loss)
130(78)
189△0241(520)(Operating income (loss))
Notes: 1. The “Other” category indicated businesses not included in reporting segments, including sales of other products.
2. Segment income adjustment of 520 million yen consists of expenses related to Strategic Planning Headquarters,
Technical Headquarters and Administrative Headquarters that do not belong to the reportable segments.
2. Information regarding impairment loss on fixed assets and goodwill by reportable segment
No reportable information.

[Significant changes in Shareholder’s Equity]
No reportable information.

612,260
12,260(278)[Supplementary Information]
Sales by Segment

Industry Segment(Millions of yen, rounded down)
3rd Quarter of FY03/2013(Apr. 1, 2012 – Dec. 31, 2012)

3rd Quarter of FY03/2014(Apr. 1, 2013 – Dec. 31, 2013)

FY03/2013(Apr. 1, 2012 - Mar. 31, 2013)

Net Sales

Percent of
Net Sales

Net Sales

Percent of
Net Sales

Net Sales

Percent of
Net Sales

Housing & Environmental
Equipment

7,095

59.2%

7,455

60.8%

9,847

60.1%

Tabletop

3,623

30.2

3,108

25.4

4,699

28.7

Functional Ceramics
Product1,251

10.4

1,694

13.8

1,800

11.0

Other200.2

20.0

260.2Total

11,990100.0

12,260100.0

16,374100.0

Notes:
1. Amounts are converted to sales prices.
2. Amounts do not include consumption taxes.
3. The following table indicates the Company’s overseas sales share by industry segment and percentage figures represent
overseas sales ratio.
(Millions of yen, rounded down)

Industry Segment
Housing & Environmental
Equipment

3rd Quarter of FY03/2013(Apr. 1, 2012- Dec . 31, 2012)

3rd Quarter of FY03/2014(Apr. 1, 2013- Dec. 31, 2013)

FY03/2013(Apr. 1, 2012 - Mar. 31, 2013)

OverseasSalesOverseas Sales
Ratio

Overseas
Sales

Overseas Sales
Ratio

Overseas
Sales

00.0%

--%

0

Overseas Sales
Ratio
0.0%

Tabletop

878

24.2

790

25.4

1,138

24.2

Functional Ceramics
Product359

28.7

585

34.5

556

30.9

Other--

0

21.5

15.4

Total

1,238

10.3

1,376

11.2

1,697

10.47