Consolidated Financial Results for the Nine Months of Fiscal Year Ending March 31, 2019
<under Japanese GAAP>
February

7, 2019

Company name : NIKKO COMPANY
ID number: 5343 Stock listing : Nagoya Stock Exchange Second Section
URL: http://www.nikko-company.co.jp/
Representative : Akiko Mitani, Chief Executive Officer
Contact: Kazuya Nunokawa, Chief Financial Officer (Phone: +81-76-276-2121)
Scheduled date to submit Securities Report: February 8, 2019
Scheduled date to begin dividend payments: Preparation of supplementary materials for financial results : None
Holding of 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, 2018 (April 1, 2018 - December 31, 2018)(1) Consolidated operating results(Percentage figures represent changes from the same period of the previous year.)Net sales

Operating income

Profit (loss) attributableto owners of parent

Ordinary income％ Millions of yen％％％
Millions of yen
Millions of yen
Millions of yen
Nine months ended
10,1171.5(23)12(86.3)(0)December 31, 2018
Nine months ended
9,971
4.6
78
2.3
91
2.1
69
74.3
December 31, 2017
Note: Comprehensive income (Millions of yen) :December 31, 2018 : 13((86.4)%)
December 31, 2017 : 96 (76.2%)
Net income
per share
Yen

Diluted net income
per share
Yen

Nine months ended
December 31, 2018

(0.00)-

Nine months ended
December 31, 2017

3.00

-

(2) Consolidated financial position
Total assets

Net assets

Equity ratio

Millions of yen
Millions of yen
As of December 31,
9,365
1,072
2018
Year ended Mar.
9,466
1,059
31, 2018
Reference: Shareholders' equity (Millions of yen) : December 31, 2018: 1,072

Net assets per share%

Yen

11.5

46.01

11.2

45.44

Mar. 31, 2018: 1,059

2. Dividends(Record date)

Dividend per share
1Q-end2Q-endYen

Year ended Mar.
31, 2018
Year ending Mar.
31, 2019
Year ending Mar.
31, 2019(forecast)

3Q-endYen

Year-end
Yen

-0.00

--0.00-

1

Annual
Yen

Yen

0.00

0.00

0.00

0.00

NIKKO COMPANY

3. Consolidated Forecast for the Fiscal Year Ending March 31, 2019 (April 1, 2018 - March 31, 2019)
The NIKKO Group will no longer disclose its projected consolidated results for periods starting from that ending in March 2019. Detailsof this decision are described in “3. Projected Consolidated Results for FY2018” in the “Consolidated Financial Results for the Fiscal
Year Ended March 31, 2018” disclosed on May 10, 2018. In addition, as of the release date of this financial report, the official name of
the caucus referred to as the “Diet Members Caucus for Discussing a New Form of Capitalism (temporary name)” in theabove-mentioned document has been decided as the “Diet Members Caucus for Seeking Public Interest Capitalism.”※Notes(1) Changes in major subsidiaries during the period : None
(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: None
3) Changes in accounting estimates : None
4) Restatement: NoneNone(4) Number of shares outstanding (common shares)
1) Number of shares outstanding (including treasury stock) at the end of the periodDecember 31, 2018 :24,172,000 sharesMar. 31, 2018 :24,172,000 shares
2) Number of treasury stock at the end of the period
December 31, 2018 :
864,149 sharesMar. 31, 2018 :864,148 shares
3) Average number of shares issued during the period (cumulative; consolidated)
Nine months ended December 31, 2018 : 23,307,851 shares Nine months ended December 31, 2017 : 23,311,509 shares* Quarterly financial statements are not subject to a quarterly review by certified public accountants or an auditing company.

2NIKKO COMPANY
Consolidated quarterly Financial Statements
FY03/2018(As of Mar.31,2018)(Millions of yen)
FY03/2019(As of Dec.31,2018)

1,098
2,192
1,273
581
432
264
57(5)
5,893

1,302
1,733
1,200586
610
284
88(4)
5,802

6,811(5,085)
1,726
4,509
(4,184)325
1,237(1,145)
91
1,121
99(85)
13
65
3,344

6,838(5,207)
1,631
4,700(4,275)
424
1,269(1,183)86
1,12179(49)
29
54
3,347

0
70
71

―
60
60

56
103
(1)
157
3,573
9,466

55
100(1)
154
3,562
9,365

2,679
2,400
159
1288
121
170
1,1406,772

2,499
2,400
139
8
1985
170
1,384
6,707

191
1534
1,282
119
1,634
8,407

86
20
541
1,308
121
1,585
8,292

3,470
1,584
(3,492)
(338)
1,224

3,470
1,584
(3,492)
(338)
1,224

0
(111)
(54)
(165)
1,059
9,466

0(112)
(39)
(151)
1,072
9,365

(1) Consolidated Balance Sheet

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in process
Costs on uncompleted construction contracts
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Lease assets
Accumulated depreciation
Lease assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Lease assets
Other
Total 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
Lease obligations
Income taxes payable
Provision for bonuses
Provision for product warranties
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Lease obligations
Deferred tax ｌiabilities
Provision for directors' retirement benefits
Net defined benefit liability
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 securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

3

NIKKO COMPANY(2) Consolidated quarterly statements of income and consolidated quarterly statements of comprehensive income
Consolidated quarterly statements of income
FY03/2018(Apr.1, 2017-Dec.31,2017)(Millions of yen)
FY03/2019(Apr.1, 2018-Dec.31,2018)

9,971
7,022
2,949
2,871
78

10,117
7,191
2,926
2,949(23)013632
53

0
15
2133
6921
993991

18
9634
12

1―
1―
330
0―
―

92

15

22(0)
22
69

16(0)
15(0)

69(0)

(Millions of yen)
FY03/2018(Apr.1, 2017-Dec.31,2017)(Millions of yen)
FY03/2019(Apr.1, 2018-Dec.31,2018)

69(0)

0(0)
26
27
96(0)
(1)
1413
13

96

13―

―

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income (loss)
Non-operating income
Interest income
Gain on sales of wastes
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Sales discounts
Other
Total non-operating expenses
Ordinary income (loss)
Extraordinary Income
Gain on sales of noncurrent assets
Gain on sales of shares of subsidiaries and associates
Total extraordinary Income
Extraordinary loss
Loss on retirement of noncurrent assets
Total extraordinary losses
Loss before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Profit (loss)
Profit (loss) attributable to owners of parent

Consolidated quarterly statements of comprehensive income

Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of theparent
Comprehensive income attributable to non-controllinginterests

4