(Reference Translation)
May 8, 2018OSAKA SODA CO., LTD.
CONSOLIDATED FINANCIAL RESULTS
For the Fiscal Year Ended March 31, 2018
(Prepared under Japan GAAP, unaudited)

Company name:OSAKA SODA CO.,LTD

Stock Exchange Listing:Tokyo

Securities code:

4046

URL: http://www.osaka-soda.co.jp

Representative:

Kenshi Terada, Representative Director, Chief Operating Officer

For inquiry:

Takuya Kajino, General Manager, Administration Division(Telephone: +81-6-6110-1560)

Scheduled date of general shareholders meeting:June 28, 2018

Scheduled date of commencement of dividend payment:

June 11, 2018

Scheduled date of filing of securities report:

June 29, 2018

Supplementary materials prepared for the financial results:

Yes

Annual financial results briefings:

Yes

1. Consolidated Financial Results(Amounts are rounded down to the nearest million yen)

(1) Results of Operations
Year ended
March 31, 2018

March 31, 2017

Change *Net sales

Millions of yen

101,231

8.3%

Operating income

Millions of yen

7,318

11.1%

Ordinary income

Millions of yen

7,485

14.5%

Net income attributable to owners of parent

Millions of yen

4,778

10.6%

Comprehensive income

Millions of yen

6,645

21.1%

Net income per share

Yen

223.24-

Diluted net income per share

Yen

178.58-Return on equity

%

8.4

-

Return on total assets

%

6.9

-

Operating income ratio

%

7.2

-

93,509
6,586
6,536
4,320
5,485
205.05170.11
8.6
6.6
7.0

Change *(8.4)%
2.2%
1.5%
19.8%
262.8%-

Note:
1. Percent changes are year-on-year comparisons
2. The Company implemented the Share Consolidation on the basis that every five (5) issued Existing Shares
be consolidated into one (1) Consolidated Shares on October 1, 2017. As a result, net income per shareand diluted net income per share are calculated assuming that the Share Consolidation was executed at
the beginning of the previous fiscal year.

1(2)Financial Condition
As of March 31, 2018
Total assets

Millions of yen

115,591

Net assets

Millions of yen

60,953Equity *Millions of yen

60,953

%

52.7

Yen

2,698.66

Equity ratio
Net assets per share(Yen)

As of March 31, 2017
101,50352,72552,72551.9
2,502.48

Note:
1. Equity = “Total net assets” minus “Subscription rights to shares”
2. The Company implemented the Share Consolidation on the basis that every five (5) issued Existing Shares
be consolidated into one (1) Consolidated Shares on October 1, 2017. As a result, net assets per share
are calculated assuming that the Share Consolidation was executed at the beginning of the previous fiscal
year.
(3)Cash Flows
Year ended
March 31, 2018
Cash flows from operating activities

Millions of yen

7,757

Cash flows from investing activities

Millions of yen(7,398)Cash flows from financing activities

Millions of yen

3,097

Cash and cash equivalents at end of year

Millions of yen

23,993

March 31, 2017
8,490
(3,145)(3,506)
20,532

2. Dividends
Year ending

Year ended

Year ended

March 31, 2019

March 31, 2018

March 31, 2017

(Forecast)End of first quarter

Yen

-

-

End of second quarter

Yen

30.00

5.50

End of third quarter

Yen

-

-

End of fourth quarter

Yen

30.00

30.00

6.00*

Full year

Yen

60.00

-

11.00

5.00*

Payment of dividends

Millions of yen

-

1,270

1,158

Dividend payout ratio

%

25.1

25.8

26.8

Ratio of dividend to net assets

%

-

2.2

2.3

Note: The Company implemented the Share Consolidation on the basis that every five (5) issued Existing
Shares be consolidated into one (1) Consolidated Shares on October 1, 2017.
3. Earnings Forecast for the fiscal year ending March 31, 2019
End of second quarter

Full-year

Change*Change*Net sales

Millions of yen

50,0004.2%

105,000

3.7%

Operating income

Millions of yen

3,800

10.1%

8,000

9.3%

Ordinary income

Millions of yen

3,900

2.4%

8,200

9.6%

Net income

Millions of yen

2,600

4.3%

5,400

13.0%

Yen

115.11-239.07-

Earnings per share

Note: Percent changes are year-on-year comparisons.

2* Notes(1) Changes in significant subsidiaries during the period (Changes in specified subsidiaries resulting in thechange in scope of consolidation):

None(2) Changes in accounting policies, accounting estimates and restatements of revisions
1) Changes in accounting policies due to revisions of accounting standards, etc.:
2) Changes in accounting policies other than 1):
3) Changes in accounting estimates:
4) Restatement of revisions:

None

None

None

None

(3) Number of outstanding shares (common stock)1) Number of shares outstanding at the end of the period (including treasury shares)
As of March 31, 2018:25,052,432

Shares

As of March 31, 2017:

22,354,767

Shares

As of March 31, 2018:

2,465,710

Shares

As of March 31, 2017:

1,285,645

Shares2) Number of treasury shares at the end of period

3) Average number of shares outstanding in each period
Year ended March 31, 2018:

21,405,910

SharesYear ended March 31, 2017:

21,069,954

SharesNote:
The Company implemented the Share Consolidation on the basis that every five (5) issued Existing
Shares be consolidated into one (1) Consolidated Shares on October 1, 2017. As a result, number ofshares outstanding at the end of the period, number of treasury shares at the end of period, and average
number of shares outstanding in each period are calculated assuming that the Share Consolidation was
executed at the beginning of the previous fiscal year.
* Status of audit procedure:This financial results are not subject to the audit procedure in accordance with the Financial Instruments
and Exchange Act. The audit procedure of consolidated financial statements has not been completed at thetime of disclosure.

*Appropriate use of financial forecasts, other special notes
This material contains forward-looking statements such as earnings forecast about OSAKA SODA CO., LTD.
and its group companies (“Osaka Soda Group”). These forward-looking statements are based on the current
assumptions and beliefs of Osaka Soda Group in light of the information currently available to it, and containknown and unknown risks, uncertainties and other factors. Osaka Soda Group therefore wishes to caution
readers that actual results could be materially different from any future results.

DISCLAIMER:

This is an English translation of the original Japanese document and is prepared for reference. Should there
be any inconsistency between the translation and the Japanese original, the latter shall prevail.

3

4. Results of Operations and Financial Condition(1) Results of Operations
During the fiscal year ended March 31, 2017, Japan’s economy has continued to recover moderately as atrend, against the background of improvement in the employment and income situation, although the outlook
remains uncertain due to the policy initiatives of the U.S. administration and rising geopolitical tensions.
Basic Chemical Products
Osaka Soda Group raised sales prices as the purchase prices of fuels and raw materials fluctuate andestablished a cost efficient production platform to improve the cost competitiveness.
Functional Chemical Products
Osaka Soda Group increased sales activity to expand market of our main products such as synthetic rubberand synthetic resins and focused on the early launch of new products such as acrylic rubber.
Osaka Soda Group has been cultivating the healthcare related business as a third pillar of profit. In the field of
Active Pharmaceutical Ingredients and their Intermediates, Osaka Soda Group successfully received customer
order related to contract manufacturing with specialized equipment and achieved to start an importation
business of Active Pharmaceutical Ingredients. In the Separation and Purification of Pharmaceuticals, Osaka
Soda Group developed new customers in Eastern Europe, China, and India, established an integrated
production system immediately after purchase of chromatography business, and expanded our sales network
in Asia.
Housing Facilities and Others
Osaka Soda Group changed in the business portfolio and increased profitability.
As a result, net sales were ¥101,231 million, an increase of 8.3% compared to the same fiscal period of 2016.
Operating income was ¥7,318 million, an increase of 11.1% compared to the same period of fiscal 2016.
Ordinary income was ¥7,485 million, an increase of 14.5% compared to the same period of fiscal 2016. Net
income attributable to owners of the parent was ¥4,778 million, an increase of 10.6% compared to the same
period of fiscal 2016. All three levels of profit posted record high for the sixth consecutive year.
Basic Chemical Products
In Chlor-Alkali, net sales increased due to continued steady demand in each industrial segment such as
petrochemical and iron & steel as well as revision of sales price.
In Epichlorohydrin, net sales increased due to improvement in Asian market conditions and continued steady
volume growth.
As a result, net sales were ¥44,513 million, an increase of 6.5% compared to the same period of fiscal 2016.
Functional Chemical Products
In Epichlorhydrin Rubber and related businesses, net sales increased due to expansion of domestic demandfor hybrid vehicles and steady demand for automobile parts against the background of environmental
regulation in developing countries. In Acrylic Rubber, net sales increased due to increasing order receipt indomestic and overseas market.
In Diallyl Phthalate Resin, net sales increased due to continued favorable sales, reflecting the demand
expansion of high-sensitivity UV printing inks in domestic and European market, and the steady demand forpipe repair resin in the United States.
In Allyl Ethers, net sales increased due to continued steady export sales to China for application as silane
coupling agents.
In Active Pharmaceutical Ingredients (API) and their Intermediates, net sales increased due to continued
favorable sales in “Antiviral Drug”, “Anti-Insomnia Drug Intermediates”, and cosmeceutical raw materials aswell as “Anti-Diabetes Drug Intermediates”. In addition to that, net sales increased due to an agreement on

4

long-term contract manufacturing with pharmaceutical companies, export sales in cardiotonic intermediates,and domestic sales of imported generic API.
In Separation Media in Pharmaceutical Industry (Silica Gel for Liquid Chromatography), even though inventory
adjustments caused by European customers, export sales to China and India in biomedical application
increased and domestic sales for analysis and purification of API continued solid growth.
As a result, net sales were ¥40,680 million, an increase of 11.9% compared to the same period of fiscal 2016.
Housing Facilities and Others
Net sales were ¥16,038 million, due to continued favorable sales in consumer goods and materials for interior
construction, an increase of 4.2% compared to the same period of fiscal 2016.
(2) Financial Condition
AssetsCurrent assets were ¥66,768 million, an increase of 13.7% since March 31, 2017. The increase was due
primarily to an increase of ¥2,460 million in cash and deposits, an increase of ¥2,313 million in notes andaccounts receivable-trade, and ¥1,348 million in electronically recorded monetary claims.
Noncurrent assets were ¥48,823 million, an increase of 14.2% since March 31, 2017. The increase was due
primarily to an increase of ¥2,040 million in property, plant, and equipment.
As a result, Total assets were ¥115,591 million, an increase of 13.9% since March 31, 2017.
Liabilities
Current liabilities were ¥33,260 million, an increase of 5.8% since March 31, 2017. The decrease was due
primarily to an increase of ¥2,183 million in notes and accounts payable-trade.
Noncurrent liabilities were ¥21,430 million, an increase of 23.3% since March 31, 2017. The increase wasdue primarily to an increase of ¥3,825 million in bonds with subscription rights to shares.
As a result, Total liabilities were ¥54,637 million, an increase of 12.0% since March 31, 2017.
Net assets
Net assets were ¥60,953 million, an increase of 15.6% since March 31, 2017.
(3) Cash flow
Cash and cash equivalents at the end of fiscal year were ¥23,993 million, an increase of ¥3,460 million
compared to the previous fiscal period.
Cash flows from operating activities
Net cash provided by operating activities amounted to ¥7,757 million, due primarily to ¥6,924 million in income
before income taxes and ¥3,185 million in depreciation.
Cash flows from investing activities
Net cash used in investing activities amounted to ¥7,398 million, due primarily to cash outflows of ¥4,584
million in purchase of property, plant, and equipment.
Cash flows from financing activities
Net cash provided by financing activities amounted to ¥3,097 million, due primarily to cash inflows of ¥9,967
in bond proceeds, cash outflows of ¥2,160 million in repayments of long term loan payable, and cash outflowsof ¥3,366 million in purchase of treasury shares.
(4) Outlook
With regard to the economic outlook, Japan’s economy is expected to continue delivering solid growth against
the background of improvement of employment and income situation. However, downside risks still dominate
global economic prospects due to the uncertainty over U.S. trade policy toward midterm election, economic
impact of Eurozone for withdrawal of the United Kingdom from the EU, and price fluctuations of fuels and raw

5

materials due to geopolitical risk.
Under the circumstance, Osaka Soda Group formulated the 6th mid-term management plan “BRIGHT-2020(from FY2018 to FY2020)” to accelerate structural reforms towards a new stage, aiming for a shift to profit
oriented management. Ongoing mid-term management plan “NEXT FRONTIER-100” is to terminate one year
earlier than its schedule. In this plan, toward the achievement of Group vision, “Be a company growing by
business expansion of specialty chemicals”, we are executing our mid-term management plan under the basic
policy, “Creating new growth engines”, “Establishing a profitable global business”, and “Completing businessstructural reforms”.
Creating new growth engines
Osaka Soda Group develops new business such as electronic vehicle, battery materials, carbon nanotube
which is well-known as next generation electronic materials, column & equipment, and compound, improving
R&D productivity with advanced technology and knowledge that we have developed over many years throughElectrolysis and AC/EP Chain.
Establishing a profitable global businessOsaka Soda Group accelerates global strategies in Functional Chemical Products and pharmaceuticalbusiness, those have high global market share and are regarded as GNT (global niche top) products. We haveestablished global business division in January 2018 for development of growth strategy by products andimprovement of overseas customer service, and have been aggressively working for establishment ofoverseas manufacturing base and business alliance for future growth.
Completing business structural reforms
Osaka Soda Group works to expand production capacity and improve cost competitiveness for Caustic Soda,
Epichlorhydrin, and main products of Functional Chemical Products, introducing “Internet of Things” and“Artificial Intelligence” to increase productivity at manufacturing facilities, building a cost efficient production,and improving supply chain operations.
Corporate department executes operational reforms such as management enhancement of affiliatedcompanies including overseas subsidiaries and creation of a flexible organizational structure.
The outlook for fiscal 2018 will be ¥105,000 million in net sales, ¥8,000 million in operating income, ¥8,200
million in ordinary income, and ¥5,400 million in net income attributable to shareholders of the parent.
5. Accounting Standards
Our consolidated financial statements are prepared under Japanese generally accepted accounting principles
in terms of comparisons to period-on-period or company-to-company. We will adopt International Financial
Reporting Standards by considering the internal and external situation in an appropriate manner.

6

8.

CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED BALANCE SHEETS(Millions of yen)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Electronically recorded monetary claims
Short term investment securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Deferred tax assets
Other current assets
Less: Allowance for doubtful accounts
Total current assets
Noncurrent assets
Buildings and structures
Accumulated depreciation
Buildings and structures - Net
Machinery, equipment, and vehicles
Accumulated depreciation
Machinery, equipment, and vehicles - Net
Land
Lease assets-PPE
Accumulated depreciation
Lease assets, net-PPE
Construction in progress
Other
Accumulated depreciation
Other - Net
Total property, plant and equipment
Intangible assets
Goodwill
Software
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Other, net
Less: Allowance for doubtful accounts
7

March 31, 2017

March 31, 2018

11,03325,397
2,497
9,499
5,743
1,411
1,667
647
843
(3)
58,73913,49327,7103,845
10,499
6,155
1,608
1,938
707
811
(2)
66,768

13,792(9,003)
4,788
54,694(43,355)
11,339
2,298
1,071
(8)
1,063
1,665
3,369
(2,968)400
21,555

16,361(9,541)
6,819
56,567(45,850)
10,716
2,306
1,026
(77)
948
2,137
3,978
(3,492)486
23,595

769
184
253
1,207

975
432
191
1,599

18,927
51
158
1,431
(568)

22,684
43
168
737
(6)

Total investment and other assets
Total noncurrent assets

20,001
42,764
101,503

Total assets

8

23,627
48,823
115,591

CONSOLIDATED BALANCE SHEETS (Continued)(Millions of yen)

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
Other current liabilities
Total current liabilities
Noncurrent liabilities
Bonds with subscription rights to sharesLong term loans payable
Lease obligations
Deferred tax liabilities
Provision for directors retirement benefits
Net defined benefit liability
Asset retirement obligations
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
Deferred gains or losses on hedges
Foreign currency translation adjustments
Re-measurements of defined benefit plans
Total accumulated other comprehensive income
Total net assets
Total net assets and liabilities

9

March 31, 2017

March 31, 201813,339
8,880
2,160
1,311
712
4,987
31,39015,522
8,880
800
1,444
792
5,767
33,206

9,999
800
1,316
1,776
567
2,927
17,387
48,77813,824
1,202
2,763
611
3,004
24
21,43054,637

10,882
9,399
27,964(1,670)46,576

13,97012,48731,517(5,037)52,938

6,481
(13)
24
(342)
6,149
52,725
101,503

8,332
(40)
41
(317)
8,015
60,953
115,591

CONSOLIDATED STATEMENTS OF INCOME(Millions of yen)
Year Ended
March 31, 2017
March 31, 2018
93,509101,231
75,335
81,417
18,174
19,814
11,587
12,495
6,586
7,318

Net sales
Cost of sales
Gross profit
Selling, general, and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange loss
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of noncurrent assets
Total extraordinary income
Extraordinary loss
Loss on retirement of noncurrent assets
Impairment loss
Total extraordinary loss
Income before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Net income
Net income attributable to shareholders of the parent

10

22
332
101
456

15
369
115
500

74
415
16
506
6,536

125
91
117
333
7,485

-

106
106

582
582
5,953

568
97
666
6,924

1,822
(189)
1,633
4,320
4,320

2,035
110
2,146
4,778
4,778

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME(Millions of yen)

Net income
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustments
Re-measurements of defined benefit plans
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:Shareholders of the parent
Minority interests

11

Year ended
March 31, 2017
March 31, 2018
4,320
4,778
980
68
(20)
136
1.165
5,485

1,851
(26)
16
25
1,866
6,645

5,485
－

6,645
－

STATEMENTS OF CHANGES IN NET ASSETS(Millions of yen)

Shareholder’s Equity
Capital Stock
Balance at beginning of current period
Changes during the fiscal year
Issuance of new shares
Total changes of items during the period
Balance at end of current period
Capital Surplus
Balance at beginning of current period
Changes during the fiscal year
Issuance of new shares
Total changes of items during the period
Balance at end of current period
Retained earnings
Balance at beginning of current period
Changes during the fiscal year
Dividends from surplus
Net income attributable to shareholders of the parent
Total changes of items during the period
Balance at end of current period
Treasury Stock
Balance at beginning of current period
Changes during the fiscal year
Purchase of treasury shares
Total changes of items during the period
Balance at end of current period
Total shareholders' equity
Balance at beginning of current period
Changes during the fiscal year
Issuance of new shares
Dividends from surplus
Net income attributable to shareholders of the parent
Purchase of treasury shares
Total changes of items during the period
Balance at end of current period

12

March 31, 2017

March 31,2018

10,882

10,8820010,882

3,087
3,087
13,970

9,399

9,399

0
0
9,399

3,087
3,087
12,487

24,697

27,964(1,053)
4,320
3,266
27,964(1,224)
4,778
3,553
31,517(1,666)(1,670)(3)(3)(1,670)(3,366)(3,366)(5,037)43,312

46,5761(1,053)
4,320
(3)
3,263
46,576

6,175(1,224)
4,778(3,366)
6,362
52,938STATEMENTS OF CHANGES IN NET ASSETS (Continued)(Millions of yen)March 31, 2017

March 31,2018

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Balance at beginning of current period
Net changes of items other than shareholders' equity
Total changes of items during the period
Balance at end of current period

5,500
(980)
(980)
6,481

6,481
1,851
1,851
8,332

Deferred gains or losses on hedges
Balance at beginning of current period
Net changes of items other than shareholders' equity
Total changes of items during the period
Balance at end of current period

(82)
68
68
(13)

(13)
(26)
(26)
(40)

Foreign currency translation adjustment
Balance at beginning of current period
Net changes of items other than shareholders' equity
Total changes of items during the period
Balance at end of current period

45
(20)
(20)
24

24
16
16
41

(479)
136
136
(342)

(342)
25
25
(317)

4,983
1,165
1,165
6,149

6,149
1,866
1,866
8,015

48,2961(1,053)
4,320
(3)
1,165
4,428
52,72552,725
6,175(1,224)
4,778(3,366)
1,866
8,228
60,953Re-measurements of defined benefit plans
Balance at beginning of current period
Net changes of items other than shareholders' equity
Total changes of items during the period
Balance at end of current period
Total accumulated other comprehensive income
Balance at beginning of current period
Net changes of items other than shareholders' equity
Total changes of items during the period
Balance at end of current period
Total net assets
Balance at beginning of current period
Issuance of new shares
Dividends from surplus
Net income attributable to shareholders of the parent
Purchase of treasury shares
Net changes of items other than shareholders' equity
Total changes of items during the period
Balance at end of current period

13

STATEMENTS OF CASH FLOWS(Millions of yen)

Cash flows from operating activities
Income before Income Taxes
Depreciation
Impairment loss
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in net defined benefit liability
Increase (decrease) in provision for directors' retirement
benefits
Interest and dividend income
Interest expenses
Foreign exchange gains
Loss on retirement of non-current assets
Bond issuance costs
Decrease (increase) in notes and accounts receivable trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable trade
Increase (decrease) in accrued consumption taxes
Other, net
Sub totalInterest and dividend income received
Interest expenses paid
Income taxes paid
Net cash provided by operating activities

14

March 31, 2017

March 31, 2018

5,953
2,923
154
(9)
3
(135)
34

6,924
3,185
97
162
(26)
65
14
44

(355)
74
319
582
(101)

(385)
125
29
568
32
(3,522)

297
370

(272)
2,029

(245)
(213)
10,079355(75)(1,868)
8,490

22
312
9,409
385
(119)
(1,917)
7,757

STATEMENTS OF CASH FLOWS (Continued)(Millions of yen)

Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Purchase of shares of subsidiaries and associates
Purchase of shares of subsidiaries resulting in change inscope of consolidation
Other, net
Net cash used in investing activities
Cash flows from financing activities
Repayments of long-term loans payable
Proceeds from issuance of bonds with subscription
rights to shares
Purchase of treasury shares
Cash dividends paid
Other, net
Net cash provided by financing activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Increase in cash and cash equivalents from newly
consolidated subsidiary
Cash and cash equivalents at end of period

15

March 31, 2017

March 31, 2018

(2,038)
(185)
(260)
-

(4,584)
(226)
(118)
(966)
(1,201)(660)(3,145)(301)(7,398)(2,440)-(2,160)9,967(3)(1,052)(10)(3,506)(341)(3,366)(1,225)
(118)
3,097
5

(1,496)
19,036-

3,460
20,532-

20,532

23,993

9. Notes to the Consolidated Financial Statements(1) Notes regarding the going concern assumption: None
(2)Segment information
Year ended March 31, 2017

(Millions of yen)

Basic

Functional

Housing

Consolidated

ChemicalChemicalFacilities

Products

Products

and Others

Total

Adjustments*1

operatingincome *2

Net sales
External sales
Intersegment sales
or reclassifications
Total
Segment income
Segment assets

41,78336,33815,38793,509－93,509

18

29

2,063

2,112

(2,112)－41,802
1,491
39,97736,3686,319
28,245

17,450(238)
7,134

95,621
7,571
75,357(2,112)(985)
26,146

93,5096,586
101,503

1,817

889

24

2,731

192

2,923

-

-

30

30

124

154

1,716

1,786

200

3,703

599

4,302

Other items
Depreciation
Amortization of
goodwill
Increase of current
and noncurrent
assets

Notes 1: Adjustments of segment income of ¥(985) million are corporate expenses not allocated to reportablesegments. Corporate expenses are mainly expenses not attributable to a reporting segment andrelated to fundamental research and development as well as administrative departments.
Notes 2: Adjustments of segment assets of ¥26,146 million are corporate assets of ¥26,294 million, which are
not allocated to reportable segments. Corporate assets are mainly a parent company assets, thoseare surplus operating funds(cash and short term securities),long term investment capital(investment
securities, etc.),and related to administrative, research and development departments.
Notes 3: Adjustments of Increase of current and noncurrent assets of ¥599 million are for administrative
department and research and development department investment.
Notes 4: Segment income is adjusted to operating income of consolidated statement of income.

16

Year ended March 31, 2018

(Millions of yen)

Basic

Functional

Housing

Consolidated

ChemicalChemicalFacilities

Products

Products

and Others

Total

Adjustments *1

operatingincome *2

Net sales
External sales
Intersegment sales
or reclassifications
Total
Segment income
Segment assets

44,51340,68016,038101,231－101,231

11

30

1,046

1,088

(1,088)－44,524
2,221
42,81540,7106,017
35,62817,084
137
7,271

102,320
8,375
85,715(1,088)(1,056)29,875

101,2317,318
115,591

1,846

1,003

25

2,875

310

3,185

3

15

22

41

121

162

876

2,947

77

3,900

2,062

5,963

Other items
Depreciation
Amortization of
goodwill
Increase of current
and noncurrent
assets

Notes 1: Adjustments of segment income of ¥(1,056) million are corporate expenses not allocated toreportable segments. Corporate expenses are mainly expenses not attributable to a reporting
segment and related to fundamental research and development as well as administrative
departments.
Notes 2: Adjustments of segment assets of ¥29,875 million are corporate assets of ¥30,024 million, which are
not allocated to reportable segments. Corporate assets are mainly a parent company assets, thoseare surplus operating funds(cash and short term securities),long term investment capital(investment
securities, etc.),and related to administrative, research and development departments.
Notes 3: Adjustments of Increase of current and noncurrent assets of ¥2,062 million are for administrative
department and research and development department investment.
Notes 4: Segment income is adjusted to operating income of consolidated statement of income.

17

(5) Per share information
Net assets per share

Yen

Earnings per share

Yen

Diluted earnings per share

Yen

March 31, 2017

March 31, 2018

2,502.48
205.05170.11

2,698.66
223.24178.58Notes:
1. The Company implemented the Share Consolidation on the basis that every five (5) issued Existing Shares
be consolidated into one (1) Consolidated Shares on October 1, 2017. As a result, net assets per share,
net income per share, and diluted net income per share are calculated assuming that the Share
Consolidation was executed at the beginning of the previous fiscal year.
2. The calculation of earnings per share and diluted earnings per share are as shown below.

March 31, 2017

March 31, 2018

Millions of yen

4,320

4,778

Millions of yen－－

Millions of yen

4,320

4,778

Thousands of shares

21,06921,405Adjustment to net income

Millions of yen

Increase of common stockThousands of shares

－
4,327

－
5,352

Thousands of shares(4,327)(5,352)

Earnings per share
Net income
Amount not attributable to owners ofcommon stock
Net income related to owner ofcommon stock
Weighted average number ofcommon stock
Diluted earnings per share(Bonds with subscription rights toshares)
Details of shares not included in－

calculation of fully diluted net income
per share due to non-dilutive effect(6) Notes regarding subsequent events: Not Applicable18－