Translation

November 7, 2012

Consolidated Financial Results
for the Six Months Ended September 30, 2012
Company name: CHIYODA CORPORATION
Listing:First Section of the Tokyo Stock Exchange
Stock code:
6366
URL:
http://www.chiyoda-corp.com/
Representative: Takashi Kubota, President & CEO
Inquiries:
Nobuo Sekita, SL, Accounting Section
TEL: +81-45-225-7745 (from overseas)
Scheduled date to file Quarterly Report: November 12, 2012
Preparation of Quarterly Supplementary Explanation Material: Yes
Quarterly Financial Results Presentation Held: Yes (for Analysts and Institutional Investors)(Millions of yen with fractional amounts discarded,unless otherwise noted)

1.

Consolidated performance for the Six months ended September 30, 2012

(1) Consolidated operating results
Net sales(Percentages indicate year-on-year changes)
Operating income

Millions ofyen% Millions of yen

Ordinary income

Millions of% yen

Net income
Millions of% yen

For the Six months
ended September 30,
160,72246.7
9,949 54.3
10,596
61.8
6,126
2012
For the Six months
ended September 30,
109,551 (2.1)
6,448 21.0
6,547 116.5
3,162
2011
Note: Comprehensive Income: the six months ended September 30, 2012: 6,542 million yen / 399.8%
the six months ended September 30, 2011: 1,308 million yen / (43.4) %Net income per share

For the Six months
ended September 30,
2012
For the Six months
ended September 30,
2011

%
93.7
9.6

Fully diluted net
income per share

Yen

Yen

23.65

-

12.21-(2) Consolidated financial position
Total assets

Net assets

Equity ratio

Millions of yen

Millions of yen%

As of September 30,
2012

391,154

170,827

43.5

As of March 31, 2012

365,795

168,737

46.0

Reference: Equity

As of September 30, 2012: 170,124 million yen

1

As of March 31, 2012: 168,120 million yen

2.

Cash dividends
Cash dividends per share
Record date

Second quarter

Third quarter

Fiscal year-endYen
Yen
Fiscal year ended
March 31, 2012
Fiscal year ending
March 31, 2013
Fiscal year ending
March 31, 2013
(Forecast)
Note: Revision to the latest forecast announcement : None

Yen

Yen

Yen-

17.00

17.00

-

17.50

17.50

3.

First quarter

AnnualConsolidated earnings forecasts for the fiscal year ending March 31, 2013 (fromApril 1, 2012 to March 31, 2013)(Percentages indicate year-on-year changes.)
Net sales

Fiscal year ending
March 31, 2013

Operating income Ordinary income

Net income pershareNet income

Millions ofyen%Millions ofyen%Millions ofyen%Millions ofyen%

Yen430,000

68.8

22,500(7.0)

23,000(3.3)

15,0004.4

57.90

Note: Revision to the latest forecast announcement : None

4.

Others(1) Changes in Significant Subsidiaries during the Period (changes in specified subsidiaries
accompanying changes in the scope of consolidation): None
(2) Adoption of Specified Accounting Methods for the Preparation of Quarterly Consolidated Financial
Statements: None
(3) Changes in Accounting Policies and Accounting Estimates / Restatements
a. Changes in accounting policies due to revisions of accounting standards, etc.: Yes
b. Changes in accounting policies other than a. above: Nonec. Changes in accounting estimates: Yes
d. Restatements: None
(4) Number of issued shares (common stock)a. Total number of issued shares at the end of the period (including treasury stock)
As of September 30, 2012
260,324,529 shares
As of March 31, 2012
260,324,529 sharesb. Number of treasury stock at the end of the period
As of September 30, 2012
1,269,977 shares
As of March 31, 2012
1,259,891 sharesc. Average number of shares during the period
For the Six months ended September 30, 2012
259,058,828 shares
For the Six months ended September 30, 2011
259,097,734 shares*Presentation of Implementation Status of Quarterly Review Procedure
The review procedure of quarterly financial statements based on the Financial Instruments and Exchange Law
has not been completed at the time of the disclosure of these Consolidated Financial Statements.
*Proper use of earnings forecasts, and other special directions
The forward-looking statements, including earnings forecasts, contained in these materials are based on
information currently available to the Company and on certain assumptions deemed to be reasonable. Actual
business and other results may differ substantially due to a number of factors.

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5. Qualitative Information related to Consolidated Performance
Qualitative Information on Business Performance
During the first six months of this fiscal year, we saw a continuing sense of uncertainty in the world
economy due mainly to the spread of credit unease from Europe and the slowdown in the Chinese
economy. Nevertheless, the long-lasting increase in energy demand in emerging countries and thetide of Gas Shift has encouraged the planning of investment in numerous gas related facilities.
Many manufacturing companies in Japan are expanding their overseas operations because of theprolonged strong yen and energy shortage stemming from the nuclear power plant shutdowns.
Meanwhile, many photovoltaic (PV) power generation projects are planned responding to theFeed-in Tariff scheme in Japan effective in July.
While the Chiyoda Group continued to develop its business operations in conventional fields, theGroup also inroads into new business fields such as infrastructure and renewable energy.
Project execution of ongoing projects continued smoothly including LNG plants in Papua New
Guinea and Australia, some overseas projects for Japanese clients and LNG receiving terminals inJapan.
Accordingly, consolidated new orders for the period amounted to 137,882 million yen (57.3%increase year on year). The backlog and revenues were 789,155 million yen (73.3% increase), and160,722 million yen (46.7% increase) respectively.
The operating income amounted to 9,949 million yen (54.3% increase), ordinary income to 10,596
million yen (61.8% increase), and net income resulted in 6,126 million yen (93.7% increase).
Highlights during this period for each segment are summarized hereunder:
LNG Plants/Gas and Power Utilities
EPC (Engineering, Procurement and Construction) work for an LNG plant in Papua New Guinea
and another LNG project in Australia are progressing as planned. 2 FEED (Front End Engineeringand Design) works for other LNG projects both in Australia were completed; one is in the EPCbidding phase and another is under preparation for EPC bidding.
Our Qatari subsidiary is working on the maintenance and modification works for LNG and gas
processing plants built by the Group. New long term engineering services contracts were also
awarded by several Qatari companies.
In Japan, several EPC works on LNG receiving terminals and other expansion/modification works ofexisting plants are ongoing parallel.
Petroleum, Petrochemicals and Gas Chemicals
EPC works are progressing globally, such as heavy oil cracking unit in Saudi Arabia andpetrochemical plant in Singapore, and EPsCm (Engineering, Procurement support and Constructionmanagement) services for heavy crude oil upgrading facilities in Venezuela and for petroleum
refinery in Singapore as well.
We also licensed our own acetic acid producing technology for grassroots gas-to-chemicals
complex planned in Brazil.
Industrial Machinery/Environment/ Chemicals and Other Fields
EPC works for polycrystalline silicon plants in Malaysia, the product of which is used for photovoltaic
cells, and EPC work for the nickel refinery in the Philippines are executed smoothly. We have been
reinforcing our efforts to meet the needs of Japanese companies expanding their operations inSoutheast Asia.
In Japan, we invested and participated in the operation of PV power generation facilities and also
won a number of EPC works for such facilities. Furthermore, we are enhancing our group operationin this field.
We are also active in the pharmaceutical field, executing EPC works for several facilities such as
highly bioactive pharmaceuticals, anti-cancer drugs, bulk vaccine and pharmaceutical bioformulation.
We are advancing development of hydrogen related technology. Demonstration plant is underconstruction to prove the effectiveness of our catalyst. Once proven, transportation and storage oflarge volumes of hydrogen can be achieved safely and economically, and will pioneer the way to3

realize hydrogen–based society.
We also continued to work on a project for energy savings in a large industrial complex in Thailand.
In addition, we are strengthening our position by establishing ourselves in new business fields suchas water-related projects in the Middle East, concentrated solar power (CSP) and transportation.

Note: See Page 10 for more information on segment New Contracts, Net Sales and Backlog ofContracts.

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6.

Consolidated quarterly financial statements(1) Consolidated quarterly balance sheets(Millions of yen)

AssetsCurrent assets
Cash and deposits
Notes receivable, accounts receivable fromcompleted construction contracts
Short-term investment securities
Costs on uncompleted construction contracts
Jointly controlled assets of joint venture
OtherAllowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures, net
Land
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assetsInvestment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets

As of March 31,2012

As of September 30,2012

35,57739,067

43,84040,665

138,499
13,41965,79423,354(6)
320,478

139,399
24,50377,65019,698(8)
340,977

4,360
12,736
1,903
19,001
4,600

6,286
12,737
2,167
21,191
5,530

18,1903,614(88)
21,71545,317
365,795

20,7032,841(90)
23,45550,177391,154(Millions of yen)5As of March 31,2012

Liabilities
Current liabilities
Notes payable, accounts payable for construction
contracts
Current portion of long-term loans payable
Income taxes payable
Advances received on uncompleted construction
contracts
Provision for warranties for completedconstruction
Provision for loss on construction contracts
Provision for bonuses
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Provision
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-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets

6

As of September 30,
2012

86,211

90,337

10,000
1,162

10,202808

76,533

94,340

289

311

568
4,054
14,868
193,687

791
3,273
15,903215,968

198
2,609
561
3,369
197,057－3,0391,319
4,359
220,327

43,396
37,112
89,346(1,328)
168,527

43,396
37,112
91,037(1,338)170,208

1,509

2,542442(2,358)
(407)
617
168,737
365,795(501)(2,124)(84)702
170,827
391,154

(2) Consolidated quarterly statements of (comprehensive) income(Millions of yen)

Net sales of completed construction contracts
Cost of sales of completed construction contracts
Gross profit on completed construction contracts
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
Foreign exchange losses
Other
Total non-operating expensesOrdinary income
Extraordinary loss
Loss on retirement of noncurrent assets
Loss on valuation of investment securities
Total extraordinary losses
Income before income taxes and minority interests
Income taxes-current
Income taxes-deferred
Total income taxes
Income before minority interests
Minority interests in income
Net income

7

Six months ended
September 30, 2011

Six months ended
September 30, 2012

109,551
96,173
13,378
6,929
6,448

160,722
142,570
18,151
8,202
9,949

411
101
7135
656

563
605
67
65
1,301

104
343
108
556
6,547

101
462
90
654
10,596－250
250
6,297
710
2,350
3,060
3,236
74
3,162

229
129
359
10,236
1,484
2,537
4,021
6,215
88
6,126

Consolidated quarterly statements of comprehensive income(Millions of yen)Six months ended
Six months ended
September 30, 2011 September 30, 2012

Income before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Share of other comprehensive income of associates
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of theparent
Comprehensive income attributable to minority interests

8

3,236

6,215(994)
(971)
143

1,033(943)
280

(105)

(43)

(1,928)
1,308

327
6,542

1,249

6,450

59

92

(3)Consolidated quarterly statements of cash flows(Millions of yen)Six months ended
Six months ended
September 30, 2011 September 30, 2012

Net cash provided by (used in) operating activities
Income before income taxes and minority interests
Depreciation and amortization
Interest and dividends incomeDecrease (increase) in notes and accounts
receivable-trade
Decrease (increase) in costs on uncompleted
construction contracts
Increase (decrease) in notes and accounts payabletrade
Increase (decrease) in advances received on
uncompleted construction contracts
Decrease (increase) in jointly controlled asset of joint
ventureOther, net

6,297
1,294
(513)

10,236
1,356(1,169)17,1093,312(4,425)(11,063)(25,572)

2,842

4,604

17,58522,299(11,803)(1,263)(2,113)

Subtotal

19,8309,183Interest and dividends income received
Interest expenses paid
Income taxes (paid) refund

214
(105)
(6,350)

944
(103)
1,972

Net cash provided by (used in) operating activities

13,58911,997

Net cash provided by (used in) investing activities
Net decrease (increase) in time deposits
Purchase of short-term investment securities

(193)

261
(2,400)Purchase of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Purchase of investments in subsidiaries

(945)
(514)
(7,559)(57)(1,211)(1,480)
(909)

19117

(9,251)(5,622)(2,842)(7)(15)(4,394)(7)(13)(2,865)(4,415)66

310

Net increase (decrease) in cash and cash equivalents

1,539

2,270

Cash and cash equivalents at beginning of period
Decrease in cash and cash equivalents resulting fromexclusion of subsidiaries from consolidation

130,618

173,769－(22)

Cash and cash equivalents at end of period

132,157

176,017－

Other, net
Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Cash dividends paid
Cash dividends paid to minority shareholders
Other, netNet cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents

9－7.

Production, Contracts and Sales
Millions of yen
Apr. 1, 2011 —Sept. 30, 2011
New contracts(ratio)Net sales(ratio)Apr. 1, 2012 —Sept. 30, 2012
Backlog ofcontracts(ratio)New contracts(ratio)Net sales(ratio)Backlog ofcontracts(ratio)Engineering

83,98995.8%

106,59497.3%

452,88999.5%

134,518
97.6%

156,271
97.2%

788,479
99.9%

LNG plants

10,736
12.3%

46,093
42.1%

177,592
39.0%

15,97011.6%

55,25934.4%

482,592
61.1%

Gas and power
utilities

35,94241.0%

16,34014.9%

140,384
30.8%

6,111
4.4%

28,71817.9%

95,25812.1%

Gas chemicals

66
0.1%

－－

66
0.0%

1,640
1.2%

1,154
0.7%

1,053
0.1%

Petroleum andpetrochemicals

13,97815.9%

17,33715.8%

35,243
7.8%

23,261
16.9%

19,171
11.9%

48,835
6.2%

General chemicals

20,33923.2%

15,37114.0%

74,702
16.4%

81,58559.2%

45,43528.3%

142,719
18.1%

869
1.0%

7,773
7.1%

1,239
0.3%

3,786
2.7%

347
0.2%

3,718
0.5%

2,057
2.3%

3,678
3.4%

23,659
5.2%

2,161
1.6%

6,185
3.8%

14,301
1.8%

3,660
4.2%

2,956
2.7%

2,355
0.5%

3,363
2.4%

4,450
2.8%

676
0.1%

Total

87,649100.0%

109,551
100.0%

455,245100.0%

137,882
100.0%

160,722100.0%

789,155
100.0%

Domestic

63,88072.9%

40,78037.2%

171,561
37.7%

58,391
42.3%

59,76837.2%

165,554
21.0%

Overseas

23,76927.1%

68,771
62.8%

283,684
62.3%

79,49057.7%100,953
62.8%

623,601
79.0%

Industrial
machinery
Environment andothers
OthersNote: The backlog of contracts for the six months ended September 30, 2012 includes a decrease due tochanges in construction contracts acquired in prior fiscal years, an increase due to adjustments in newcontract amounts, and an increase due to foreign exchange translation adjustments.

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