Summary of Consolidated Financial Statements
for the First Quarter of the Fiscal Year Ending November 30, 2017
[JAPAN GAAP]
April 3, 2017
Kewpie Corporation
Tokyo Stock Exchange2809
http://www.kewpie.co.jp/english/
Osamu Chonan, Representative Director, President and Chief Executive
Corporate Officer
Contact:
Masato Shinohara,
Corporate Officer and General Manager of Operation Promote Department
Scheduled date for filing quarterly securities report: April 14, 2017
Scheduled date for dividend payment: –Quarterly supplementary data: Yes
Quarterly results briefing: None
Listed company name:
Listed exchange:
Securities code:
URL:
Representative:(Amounts are rounded down to the nearest million yen.)

1. Consolidated business results for the first quarter of the fiscal year ending November 30, 2017
(From December 1, 2016 to February 28, 2017)(1) Consolidated operating results (Cumulative)(Percentage figures show changes from the same period of the previous year.)Net sales
Three months ended
February 28, 2017
Three months ended
February 29, 2016

Operating income

Profit attributable toowners of parent

Ordinary income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

132,079

(0.0)

5,577

28.2

5,680

24.0

2,694

12.7

132,140

2.3

4,350

(18.9)

4,581(16.3)

2,391(52.7)(Note) Comprehensive income:Three months ended February 28, 2017
Three months ended February 29, 2016

Earnings per share

Earnings per share(diluted)Yen

Three months ended
February 28, 2017
Three months ended
February 29, 2016

¥7,395 million (Increase of 357.9%)¥1,615 million (Decrease of 80.3%)

Yen

18.00

–

15.76

–

(2) Consolidated financial position
Total assets

Net assets

Millions of yen

As of February 28, 2017
As of November 30, 2016
(Reference) Shareholders’ equity:

Equity ratio

Millions of yen

398,054385,914250,029
245,861

As of February 28, 2017
As of November 30, 2016

¥215,905 million¥212,620 million

i

%

54.2
55.1

2. Dividends
End of 1stquarter

End of 2ndquarter

Annual dividend per share
End of 3rd
Year-endquarter

Yen––

Fiscal year 2016
Fiscal year 2017
Fiscal year 2017 (Forecast)

Yen

Yen

Total
Yen

Yen

15.00

–

19.50

34.50

18.00

–

18.00

36.00

(Note) Revision to the most recently announced forecast of dividends: None

3. Forecasts of consolidated operating results for the fiscal year ending November 30, 2017
(From December 1, 2016 to November 30, 2017)(Percentage figures show changes from the same period of the previous year.)
Profit attributable toEarnings per
Ordinary income
owners of parent
share

Net sales
Six months ending
May 31, 2017
Year ending
November 30, 2017

Operating income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

279,000

2.0

15,60010.2

16,100

8.9

8,600

5.1

57.30

Yen

565,000

2.3

33,00010.7

34,1008.7

18,0005.3

119.53(Note) Revision to the most recently announced forecast of consolidated operating results: None

*Notes(1) Changes in significant subsidiaries during the three months (Changes in specified subsidiaries resulting in
the change in the scope of consolidation): None
(2) Application of special accounting treatments for the preparation of quarterly consolidated financial
statements: None
(3) Changes in accounting policies and estimates, and restatementsa) Changes in accounting policies due to revision of accounting standards: Noneb) Changes in accounting policies due to reasons other than “a)” (above): Nonec) Changes in accounting estimates: Noned) Restatements: None
(4) Number of issued shares (common stock)a) Number of issued shares at the end of the period (including treasury stock):February 28, 2017
153,000,000 shares
November 30, 2016
153,000,000 sharesb) Number of shares of treasury stock at the end of the period:
February 28, 2017
3,334,390 shares
November 30, 2016
3,333,991 sharesc) Average number of shares during the period:
December 1, 2016 to February 28, 2017
149,665,818 shares
December 1, 2015 to February 29, 2016
151,767,371 sharesii

*Quarterly financial statements are not subject to quarterly review procedures under the Financial
Instruments and Exchange Act.
*Statement for an appropriate usage of the forecasts of operating results and other special notes
The forecasts and other forward looking statements contained in this summary are based on the information currently
available to the Company and certain assumptions considered reasonable by the Company. Therefore, they are notguaranteed to be achieved by the Company. As a result, the forecasts of operating results may differ significantly from theactual operating results due to various factors.

iii

Table of contentsl.

Quarterly consolidated financial statements ............................................................................................... 2
1.

Quarterly Consolidated Balance Sheets .................................................................................................... 2

2.

Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive
Income ....................................................................................................................................................... 4(Quarterly Consolidated Statements of Income) (Three months ended February 29, 2016 and February 28,2017) .......................................................................................................................................................... 4(Quarterly Consolidated Statements of Comprehensive Income) (Three months ended February 29, 2016
and February 28, 2017).............................................................................................................................. 5

3.

Quarterly Consolidated Statements of Cash Flows .................................................................................... 6

4.

Notes regarding quarterly consolidated financial statements ..................................................................... 8(Notes regarding assumption of a going concern) ..................................................................................... 8(Notes regarding the significant changes in the amount of shareholders’ equity) ...................................... 8(Segment information)................................................................................................................................ 8ll.

Supplementary data ...................................................................................................................................... 11
1.

Summary of net sales and operating income and factors behind changes in operating income ............... 11

2.

Capital investments and main components of selling, general and administrative expenses .................. 13

3.

Domestic sales volume and amount of salads condiments by category type (Kewpie Corporation) ........ 14

4.

Summary of net sales and operating income in overseas operations ...................................................... 14

5.

Summary of and principal items of changes in non-operating income (expenses) and extraordinary gains(losses) .................................................................................................................................................... 15

6.

Summary of and principal items of changes in balance sheets ................................................................ 15

7.

Summary of and principal items of changes in cash flows ....................................................................... 161

l. Quarterly consolidated financial statements
1. Quarterly Consolidated Balance Sheets(Millions of yen)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Securities
Purchased goods and products
Work in process
Raw materials and supplies
Other
Allowances for doubtful accounts
Total current assets
Fixed assets
Tangible fixed assets
Buildings and structures
Accumulated depreciation
Net book value
Machinery, equipment and vehicles
Accumulated depreciation
Net book value
Land
Construction in progress
Other
Accumulated depreciation
Net book value
Total tangible fixed assets
Intangible fixed assets
Goodwill
Other
Total intangible fixed assets
Investments and other assets
Investment securities
Assets for retirement benefits
Other
Allowances for doubtful accounts
Total investments and other assets
Total fixed assets
Total assets

2

Previous fiscal year
(As of November 30, 2016)

Current first quarter(As of February 28, 2017)35,79475,1345,000
15,669
972
9,229
8,533
(173)
150,160

41,81868,931
10,00015,607905
10,6299,216(172)
156,937

179,789(99,764)
80,024
161,169(122,204)
38,96548,0997,238
22,922(13,871)
9,050
183,378

180,834(101,207)
79,626
162,699(120,702)
41,997
48,1506,964
23,926(14,633)
9,292
186,031

1,563
4,112
5,675

1,507
4,077
5,584

27,408
7,413
12,092(213)
46,700235,754385,914

29,6597,849
12,205(215)
49,499241,116
398,054

(Millions of yen)Previous fiscal year
(As of November 30, 2016)

Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term loans payable
Accrued income taxes
Reserves
Other
Total current liabilities
Non-current liabilities
Bonds
Long-term loans payable
Liabilities for retirement benefits
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Paid-in capital
Capital surplus
Earned surplus
Treasury stock
Total shareholders’ equity
Accumulated other comprehensive income
Unrealized holding gains (losses) on securities
Unrealized gains (losses) on hedges
Foreign currency translation adjustments
Accumulated adjustments for retirement benefits
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

3

Current first quarter(As of February 28, 2017)

47,050
8,301
7,016
2,828
37,048102,245

46,446
8,327
1,805
5,161
23,12384,863

10,00012,4983,893
1,112
10,30337,807140,053

10,00037,054
3,989
1,114
11,002
63,161
148,024

24,10430,300166,765(6,123)215,047

24,10430,300166,541(6,124)
214,822

8,916
79(3,947)(7,474)(2,426)33,240245,861
385,9149,886
0(1,489)(7,314)
1,082
34,124250,029
398,054

2. Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive
Income(Quarterly Consolidated Statements of Income)(Three months ended February 29, 2016 and February 28, 2017)(Millions of yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Equity in earnings of affiliates
Other
Total non-operating income
Non-operating expenses
Interest expenses
Business commencement expenses
Losses on valuation of derivatives
Other
Total non-operating expenses
Ordinary income
Extraordinary gains
Gains on sales of fixed assets
Gains on sales of investment securities
Total extraordinary gains
Extraordinary losses
Losses on disposal of fixed assets
Losses on impairment of fixed assets
Other
Total extraordinary losses
Profit before income taxes
Income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

4

Previous first quarter(From December 1, 2015
to February 29, 2016)

Current first quarter(From December 1, 2016
to February 28, 2017)

132,140
104,771
27,36823,0184,350

132,079
102,722
29,357
23,779
5,577

15
158
91
191
456

15
195
33
167
411

78
8
65
73
226
4,581

79
100
128
308
5,680

31
131
162

12
26
39

267
73
341
4,401
1,552
2,849
457
2,391

428
222
38
690
5,030
1,669
3,360
666
2,694

(Quarterly Consolidated Statements of Comprehensive Income)(Three months ended February 29, 2016 and February 28, 2017)(Millions of yen)

ProfitOther comprehensive income
Unrealized holding gains (losses) on securities
Unrealized gains (losses) on hedges
Foreign currency translation adjustments
Adjustments for retirement benefits
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners ofparentComprehensive income attributable to non-controlling interests

5

Previous first quarter(From December 1, 2015
to February 29, 2016)

Current first quarter(From December 1, 2016
to February 28, 2017)

2,849

3,360

(1,224)
(11)
(154)
156
(1,233)
1,615

979
(88)
2,950
194
4,034
7,395

1,192

6,204

422

1,191

3. Quarterly Consolidated Statements of Cash Flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes
Depreciation and amortization
Losses on impairment of fixed assets
Equity in losses (earnings) of affiliates
Increase (decrease) in reserves
Increase (decrease) in liabilities for retirement benefits
Decrease (increase) in assets for retirement benefits
Interest and dividends income
Interest expenses
Losses (gains) on sales and disposal of fixed assets
Decrease (increase) in notes and accounts receivable - trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable - trade
Other
Sub-totalInterest and dividends income received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchases of tangible fixed assets
Purchases of intangible fixed assets
Acquisition of subsidiaries’ shares resulting in change in scope of
consolidation
Purchases of investment securities
Net decrease (increase) in short-term loans receivable
Payments of long-term loans receivableCollection of long-term loans receivable
Payments into time deposits
Other
Net cash provided by (used in) investing activities

6

Previous first quarter(From December 1, 2015
to February 29, 2016)

Current first quarter(From December 1, 2016
to February 28, 2017)

4,401
6,462
(91)
2,237
(11)
(447)
(173)
78
244
7,079
(1,063)(205)(9,278)
9,233
179
(97)
(4,309)
5,005

5,030
3,915
222
(33)
2,291
(1)
(436)
(211)
79
416
6,782
(821)
(2,498)(6,856)
7,879
219
(96)
(7,302)699(9,048)(91)(10,019)
(124)

-

(82)

(81)
46
(7)
3
(3)
82
(9,100)

(866)
(173)
(222)
3
61
(11,425)

(Millions of yen)

Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable
Repayment of long-term loans payable
Cash dividends paid
Cash dividends paid to non-controlling interests
Repurchase of shares
Other
Net cash provided by (used in) financing activities
Effects of exchange rate changes on cash and cash equivalents
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the period
Cash and cash equivalents at the end of the period

7

Previous first quarter(From December 1, 2015
to February 29, 2016)

Current first quarter(From December 1, 2016
to February 28, 2017)

2,074
1,100
(365)
(2,504)
(295)
(1)
(232)
(224)
(137)
(4,456)
34,841
30,384

16
25,100(558)(2,918)
(387)
(1)
(409)
20,841908
11,02440,79051,815

4. Notes regarding quarterly consolidated financial statements(Notes regarding assumption of a going concern)
Not applicable.
(Notes regarding the significant changes in the amount of shareholders’ equity)
Not applicable.
(Segment information)[Segment information]
I. Previous first quarter (From December 1, 2015 to February 29, 2016)
1. Information on amounts of net sales and profit or loss by reported segment(Millions of yen)

Net sales
Net sales
to outside
customers
Intersegment
net salesor transfers
Total
Segment profit(loss)

Distribution
systemCommonbusiness
operations

Amount reported
on the quarterly
consolidated
statement ofincome(Note)

Condiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

33,99125,731

25,973

12,0492,679

30,4191,295

132,140–

132,140

2,054

1,775

66

550

74

5,988

2,501

13,011(13,011)–36,04627,50626,03912,5992,753

36,4083,796

145,151(13,011)132,140

1,622

1,460

339

(224)

234

889

29

4,350

–

4,350

Total

Adjustments(Note) Adjustments are made between “Segment profit (loss)” and “Operating income” reported on the quarterly consolidated statementof income.

2. Information on losses on impairment of fixed assets or goodwill, etc. by reported segment(Significant losses on impairment of fixed assets)
Not applicable.
(Significant changes in amount of goodwill)
Not applicable.
(Significant gains on negative goodwill)
Not applicable.

8II. Current first quarter (From December 1, 2016 to February 28, 2017)
1. Information on amounts of net sales and profit or loss by reported segment(Millions of yen)

Net sales
Net sales
to outside
customers
Intersegment
net salesor transfers
Total
Segment profit(loss)

Distribution
systemCommonbusiness
operations

Amount reported
on the quarterly
consolidated
statement ofincome(Note)

Condiments
products

Egg
products

Delicatessen
products

Processed
foods

Fine
chemicalproducts

34,29724,02027,525

10,9802,311

30,972

1,971

132,079–

132,079

1,770

1,511

73

555

99

5,847

2,812

12,670(12,670)–

36,06825,532

27,598

11,5352,410

36,820

4,783

144,749(12,670)132,079

2,588

1,026

562

(54)

(13)

1,280

187

5,577

–

5,577

Total

Adjustments(Note) Adjustments are made between “Segment profit (loss)” and “Operating income” reported on the quarterly consolidated statementof income.

2. Information on losses on impairment of fixed assets or goodwill, etc. by reported segment(Significant losses on impairment of fixed assets)
In the three months ended February 28, 2017, the Company recorded losses on impairment of fixed assetsof ¥222 million in the “Egg products” segment.
(Significant changes in amount of goodwill)
Not applicable.
(Significant gains on negative goodwill)
Not applicable.

9(Significant subsequent events)
The Company decided to acquire the business of production and sale centered on mayonnaise and othercondiments from a condiment production company in Poland, Mosso Kwaśniewscy Sp.J., and awholly-owned subsidiary of the Company “Mosso Kewpie Poland Sp. z o.o.” and Mosso Kwaśniewscy Sp.J.
executed a business transfer agreement on September 29, 2016, and thus the business was acquired on
January 12, 2017.
(1) Outline of the business combination(a) Names, and descriptions of businesses, of the companies involved in the business combination(i) Company to acquire business
Name:
Mosso Kewpie Poland Sp. z o.o.
(consolidated subsidiary of the Company)
Description of business:
Production and sale centered on mayonnaise and other condiments(ii) Company to transfer business
Name:
Mosso Kwaśniewscy Sp.J.
Description of business:
Production and sale centered on mayonnaise and other condiments(b) Primary reason for the business combination
The primary reason for the business combination is to accelerate our expansion in Europe byacquiring brands, production centers and sales channels in Eastern Europe.
(c) Date of the business combination
January 12, 2017(d) Legal form of the business combination
Business acquisition by transfer(e) Name of the company after the business combination
Mosso Kewpie Poland Sp. z o.o.
(f) Primary basis for determining the acquiring company
Kewpie Poland Sp. z o.o., a consolidated subsidiary of the Company, acquired the business of
production and sale centered on mayonnaise and other condiments in consideration for cash.
(2) Cost of acquisition of the acquired business
163,000 thousand PLN(3) Details and amount of the major acquisition-related costs
Remuneration and commissions to advisors: ¥94 million(4) Amount of the goodwill recognized, reason for the recognition, and method and period for amortizationof the goodwill
To be determined.
(5) Amounts and primary components of assets acquired and liabilities assumed as of the date of thebusiness combination
To be determined.

10

ll. Supplementary data
(Notes) 1. Fraction errors may occur due to rounding figures less than 100 million.
2. The following changes took effect at the beginning of fiscal year 2016.
◊ Certain sales promotion expenses and transportation and warehousing expenses were deducted from net sales.
The figures presented for fiscal year 2015 have been adjusted in accordance with the new accounting method applied infiscal year 2016.
◊ The domestic consolidated subsidiaries changed the depreciation method from the declining balance basis to thestraight-line basis.
The figures for fiscal year 2015 have not been retrospectively adjusted for the change in the depreciation method.

1. Summary of net sales and operating income and factors behind changes in operating income<Net sales>(Billions of yen)Segment
Condiments products
Egg products
FiscalYear
2015

Delicatessen products
Processed foods

Fine chemical products(Adjusted) Distribution system
Common business operations
Total
Condiments products
Egg products
Fiscal
Year
2016
(A)

Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total
Condiments products
Egg products

Fiscal
Year
2017
(B)

Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total
Condiments products
Egg products
Delicatessen products

Change Processed foods(B) - (A) Fine chemical products
Distribution system
Common business operations
Total

1st
quarter

4th
3rd
2nd
2nd quarter3rd quarter
quarter (Cumulative) quarter (Cumulative) quarter

Year

33.2
24.6
23.2
13.1
2.4
31.2
1.5
129.2
34.0
25.7
26.0
12.0
2.7
30.4
1.3
132.1

36.8
26.2
25.2
15.5
3.1
31.9
1.4
140.0
37.8
26.1
28.1
13.6
2.6
31.8
1.2
141.3

142.2
104.6
100.4
57.5
11.3
127.7
5.9
549.8
144.1
102.2
111.8
51.3
10.9
126.9
5.2
552.3

70.0
50.7
48.4
28.6
5.5
63.1
2.9
269.2
71.8
51.9
54.1
25.7
5.3
62.3
2.5
273.4

37.3
25.9
26.5
14.5
2.8
32.7
1.4
141.1
37.8
24.8
28.8
12.5
2.8
32.4
1.4
140.5

107.3
76.6
74.9
43.1
8.3
95.8
4.3
410.3
109.6
76.7
82.9
38.1
8.1
94.7
3.8
413.9

34.9
28.0
25.6
14.4
3.0
32.0
1.7
139.5
34.5
25.5
28.9
13.1
2.8
32.2
1.3
138.4

34.3
24.0
27.5
11.0
2.3
31.0
2.0
132.1

154.0
103.0
114.8
46.9
12.3
127.0
7.0
565.0

0.3
(1.7)
1.6
(1.1)
(0.4)
0.6
0.7
(0.1)

9.9
0.8
3.0
(4.4)
1.4
0.1
1.8
12.7

(Notes) 1. Figures of “Year” in Fiscal Year 2017 indicate planned figures disclosed on January 11, 2017.
2. Figures of “2nd quarter” are differences between “2nd quarter (Cumulative)” and “1st quarter.”
3. Figures of “3rd quarter” are differences between “3rd quarter (Cumulative)” and “2nd quarter (Cumulative).”
4. Figures of “4th quarter” are differences between “Year” and “3rd quarter (Cumulative).”11

<Operating income>(Billions of yen)Segment
Condiments products
Egg products
FiscalYear
2015

Delicatessen products
Processed foods

Fine chemical products(Adjusted) Distribution system
Common business operations
Total
Condiments products
Egg products
Fiscal
Year
2016
(A)

Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total
Condiments products
Egg products

Fiscal
Year
2017
(B)

Delicatessen products
Processed foods
Fine chemical products
Distribution system
Common business operations
Total
Condiments products
Egg products
Delicatessen products

Change Processed foods(B) - (A) Fine chemical products
Distribution system
Common business operations
Total

1st
quarter

2.5
1.5
0.3
(0.2)
0.0
1.0
0.3
5.4
1.6
1.5
0.3
(0.2)
0.2
0.9
0.0
4.4

4th
3rd
2nd
2nd quarter3rd quarter
quarter (Cumulative) quarter (Cumulative) quarter

3.8
1.3
0.8
0.3
0.1
1.2
0.3
7.8
4.6
1.7
1.1
0.5
0.4
1.2
0.2
9.8

6.3
2.7
1.1
0.1
0.1
2.2
0.6
13.1
6.2
3.2
1.5
0.3
0.6
2.1
0.3
14.2

3.8
1.3
1.0
0.0
0.1
1.4
0.2
7.8
4.7
1.4
1.1
0.3
0.3
1.4
0.2
9.3

10.1
4.0
2.0
0.1
0.2
3.6
0.9
20.9
10.9
4.6
2.6
0.6
0.9
3.5
0.4
23.4

2.4
1.4
0.7
(0.4)
0.2
1.1
0.0
5.4
2.8
0.9
0.9
(0.1)
0.1
1.4
0.3
6.4

Year

12.5
5.4
2.8
(0.3)
0.4
4.8
0.9
26.4
13.7
5.5
3.5
0.5
1.0
4.9
0.8
29.8

2.6
1.0
0.6
(0.1)
(0.0)
1.3
0.2
5.6

15.2
5.6
4.1
0.3
1.2
5.8
0.8
33.0

1.0
(0.4)
0.2
0.2
(0.2)
0.4
0.2
1.2

1.5
0.1
0.6
(0.2)
0.2
0.9
0.0
3.2

(Notes) 1. Figures of “Year” in Fiscal Year 2017 indicate planned figures disclosed on January 11, 2017.
2. Figures of “2nd quarter” are differences between “2nd quarter (Cumulative)” and “1st quarter.”
3. Figures of “3rd quarter” are differences between “3rd quarter (Cumulative)” and “2nd quarter (Cumulative).”
4. Figures of “4th quarter” are differences between “Year” and “3rd quarter (Cumulative).”12

<Factors behind changes in operating income (comparison with the previous fiscal year)>(Billions of yen)

1st quarter
2016(A)
Operating income*

1st quarter
2017
(B)

4.4

Change(B) - (A)

5.6

1.2

The company recognized a one-time write-off of residual book value amounting to negative ¥2.8 billion that occurred in the first quarterof fiscal year 2016 as a result of the changes to the depreciation method applied in fiscal year 2016.
The above had the effect of increasing operating income by ¥2.8 billion, which is reflected in the above graph.

2. Capital investments and main components of selling, general and administrative expenses(Billions of yen)

1st quarter2015

1st quarter
2016
(A)

1st quarter
2017
(B)

Change(B) - (A)Capital investments

9.4

9.4

10.2

0.8

Depreciation expenses

4.2

6.5

3.9

(2.5)

Sales promotion expenses*

0.9

0.9

1.0

0.1

Advertising expenses

2.0

2.3

2.7

0.4

Transportation and warehousing expenses*

6.0

6.1

6.0

(0.1)

Payroll expenses

6.9

7.3

7.7

0.4

Research and development expenses

0.9

0.8

0.8

0.0

*

Sales promotion expenses and transportation and warehousing expenses for fiscal year 2015 were adjusted to reflect the amounts
deduced from net sales.

133. Domestic sales volume and amount of salads condiments by category type (Kewpie Corporation)

For household use

For commercial use

1st quarter2015

1st quarter
2016
(A)

1st quarter
2017
(B)

Change(B) - (A)

Volume (Thousands of ton)

30

30

30

(0)

Amount (Billions of yen)*

15.1

15.2

15.3

0.1

Volume (Thousands of ton)

25

25

25

(0)

Amount (Billions of yen)*

9.6

9.6

9.5

(0.1)

* The amounts stated for fiscal year 2015 are adjusted figures, calculated by deducting certain sales promotion expenses andtransportation and warehousing expenses from net sales.

4. Summary of net sales and operating income in overseas operations<Net sales>(Billions of yen)

1st quarter
2016
(A)

1st quarter
2017
(B)

8.2

9.5

8.8

(0.7)

China

3.0

3.6

3.7

0.1

Southeast Asia

2.0

2.0

2.0

0.0

Condiments products

1.2

1.3

1.4

0.2

Egg products

1.5

1.9

0.9

(1.0)

0.5

0.7

0.7

(0.0)

1st quarter2015
Net sales in overseas operations

North America
Export from Japan

Change(B) - (A)* For overseas subsidiaries, figures are results from October to December.
* Net sales for fiscal year 2015 were adjusted to reflect the amounts deducted from net sales.
* The change of “Net sales in overseas operations” includes a 1.1 billion yen reduction caused by the impact of the exchange rate.

<Operating income>(Billions of yen)

1st quarter2015

1st quarter
2016
(A)

1st quarter
2017
(B)

Change(B) - (A)

0.7

0.9

0.3

(0.6)

China

0.2

0.3

0.3

(0.0)

Southeast Asia

0.0

0.1

0.1

0.0

Condiments products

0.1

0.1

0.1

(0.0)

Egg products

0.3

0.4

(0.3)

(0.6)

0.1

0.1

0.1

0.0

Net sales in overseas operations

North America
Export from Japan* For overseas subsidiaries, figures are results from October to December.
* The change of “Net sales in overseas operations” includes a 0.0 billion yen reduction caused by the impact of the exchange rate.

14

5. Summary of and principal items of changes in non-operating income (expenses) and extraordinary gains(losses)(Billions of yen)

Non-operating income(expenses), net

Extraordinary gains(losses), net

1st quarter
2016
(A)

1st quarter
2017
(B)

0.2

0.1

(0.2)

(0.7)

Change(B) - (A)

(0.1)

(0.5)

Items of changes[Comparison with 1st quarter 2016]
Increase in business commencement
expenses(0.1)

Increase in losses on impairment of fixed
assets(0.2)

Increase in losses on disposal of fixed
assets(0.2)

Decrease in gains on sales of investment
securities(0.1)

6. Summary of and principal items of changes in balance sheets(Billions of yen)

Fiscal year
2016
(A)

1st quarter
2017
(B)

Change(B) - (A)

Items of changes[Comparison with fiscal year 2016](Assets)

Current assets

150.2

156.9

6.8

Increase in cash and deposits

6.0

Decrease in notes and accounts
receivable - trade(6.2)

Increase in securities

5.0

Increase resulting from purchases

5.5

Decrease resulting from depreciation(3.9)

Increase in investment securities

2.3

Decrease in accrued income taxes(5.2)

Decrease in accounts payable - facilities(4.9)

Decrease in accrued expenses(6.4)

Increase in loans payable

24.6

Increase in unrealized holding gains(losses) on securities

1.0

Increase in foreign currency translation
adjustments

2.5

Fixed assets
Tangible andintangible fixed
assets

189.1

191.6

2.6

Investments andother assets

46.7

49.5

2.8

(Liabilities)

140.1

148.0

8.0

(Net assets)

245.9

250.0

4.2

15

7. Summary of and principal items of changes in cash flows(Billions of yen)

Cash flows fromoperating activities

Cash flows frominvesting activities

Cash flows fromfinancing activities

1st quarter
2016
(A)

1st quarter
2017
(B)

5.0

0.7

(9.1)

(0.2)

(11.4)

20.8

Change(B) - (A)

Items of changes[Comparison with 1st quarter 2016]
Increase in profit before income taxes

0.6(4.3) Decrease in depreciation and amortization

(2.5)

(2.3)

21.1

16

Increase in Income taxes paid

(3.0)

Increase in purchases of tangible fixed
assets(1.0)

Increase in purchases of investment
securities(0.8)

Increase in loans payable

21.7

Increase in cash dividends paid

(0.4)