Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.
[After Corrections]

Summary of Consolidated Financial Results
for the Year Ended March 31, 2015
(Based on Japanese GAAP)May 11, 2015
Company name:

The Japan Steel Works, Ltd.

Stock exchange listing: Tokyo, Nagoya
Stock code:
5631
URL
Representative:
Inquiries:

http://www.jsw.co.jp/

Representative Director & President
General Manager

Ikuo Sato
Masanori Nakanishi

General Affairs Department
Scheduled date of ordinary general meeting of shareholders:TEL

03-5745-2001

June 24, 2015

Scheduled date to file Securities Report:
Scheduled date to commence dividend payments:
Preparation of supplementary material on financial results:
Holding of financial results meeting:June 24, 2015
June 25, 2015
Yes
Yes

(for analysts and institutional investors)(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the year ended March 31, 2015 (from April 1, 2014 to March 31, 2015)(1) Consolidated financial results
Percentages indicate year-on-year changes
Net salesYear ended March 31, 2015
Year ended March 31, 2014

Millions of yen
194,674
188,719

Operating income% Millions of yen
3.2
7,517
(14.5)
8,864

Diluted net income
per share
Yen
Yen(14.39)–14.92–

Net income per share
Year ended March 31, 2015
Year ended March 31, 2014

Ordinary income% Millions of yen(15.2)
9,221(46.9)
9,704

Net income% Millions of yen(5.0)(5,327)(43.3)
5,527

Ordinary
income/total assets
%
%
(3.9)
3.0
4.1
3.3

Net income/equity%–(33.3)

Operatingincome/net sales
%
3.9
4.7

(2) Consolidated financial position
Total assets
As of March 31, 2015
As of March 31, 2014

Net assets

Millions of yen
319,667
293,139

Millions of yen
138,234
139,268

Cash flows fromoperating activities
Millions of yen
11,580
11,549Cash flows frominvesting activities
Millions of yen(2,675)(5,719)Equity ratio

Net assets per share
%
42.7
47.1

Yen
368.81372.83(3) Consolidated cash flows

Year ended March 31, 2015
Year ended March 31, 2014

Cash flows from
Cash and cash equivalents
at end of period
financing activities
Millions of yen
Millions of yen(2,964)
49,152(15,007)42,297

2. Cash dividends
Ratio of
Dividend
Total cash
dividends topayout ratio
dividends (Total) (Consolidated)
net assets(Consolidated)

Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Total

Yen

Yen

Yen

Yen

Yen

Millions of yen%%

Year ended March 31, 2014
Year ended March 31, 2015

–
–

2.50
2.00

–
–

2.50
2.00

5.00
4.00

1,852
1,481

33.5
–

1.4
1.1

Year ending March 31, 2016 (Forecast)

–

2.50

–

2.50

5.00

1

27.6

3. Forecast of consolidated financial results for the year ending March 31, 2016 (from April 1, 2015 to March 31, 2016)
Net sales
Millions of yen
Six months ending
September 30, 2015
Full year

Percentages indicate year-on-year changes
Profit attributable to
Net income
Operating income
Ordinary income
owners of parent
per share% Millions of yen% Millions of yen% Millions of yen%
Yen

96,5002.5

3,300(10.1)

3,500(27.7)

2,000

–

5.40

210,000

7.9

10,00021.7

10,500

5.8

6,700

–

18.09

4. Notes(1) Changes in significant subsidiaries during the year ended March 31, 2015(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Yes
Changes in accounting policies due to other reasons:
Changes in accounting estimates:

No
No

Restatement of prior period financial statements after error corrections:No(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2015

371,463,036 shares As of March 31, 2014

371,463,036 shares

Number of treasury shares at the end of the period
As of March 31, 2015

1,192,297 shares As of March 31, 2014

1,189,350 shares

370,272,269 shares Year ended March 31, 2014

370,575,042 shares

Average number of shares during the period
Year ended March 31, 20152

Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2014

As of March 31, 2015

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade42,32948,86949,17656,678Merchandise and finished goods
Work in process

1,802
59,4772,103
60,988Raw materials and supplies
Deferred tax assets

4,208
5,374

5,234
9,235

Other
Allowance for doubtful accounts

5,724
(310)

7,716
(157)

167,476

190,976

Buildings and structures, net
Machinery, equipment and vehicles, net

45,941
25,55345,086
21,852Tools, furniture and fixtures, net
Land

1,485
10,5091,391
10,897

Leased assets, net
Construction in progress

1,622
559

1,344
1,404

Total property, plant and equipment

85,672

81,978

306

194

Other

549

516

Total intangible assets

855

710

32,816
88

39,131
74

380

410

Net defined benefit asset
Deferred tax assets

2,427
1,249

3,063
1,002

Other
Allowance for doubtful accounts

2,745
(572)

2,907
(588)

Total current assets
Non-current assets
Property, plant and equipment

Intangible assets
Leased assets

Investments and other assets
Investment securities
Long-term loans receivable
Claims provable in bankruptcy, claims provable inrehabilitation and otherTotal investments and other assets
Total non-current assets
Total assets

3

39,13446,002

125,662

128,691

293,139

319,667(Millions of yen)
As of March 31, 2014

As of March 31, 2015

Liabilities
Current liabilities
Notes and accounts payable - trade42,33942,41812,2922,700

12,255
11,105Current portion of bonds
Lease obligations–
754

10,000663

Income taxes payable
Advances received

1,802
22,0481,171
34,697

Provision for directors' bonuses
Provision for warranties for completed construction

104
2,413

36
2,035

Provision for loss on construction contracts
Provision for loss on wind power generator business

1,980
–

1,485
13,203

Other

12,414

16,447

Total current liabilities

98,848145,520

Bonds payable
Long-term loans payable

10,00015,095–
6,227

Lease obligations
Deferred tax liabilities

1,250
1,391

1,094
3,064

Provision for directors' retirement benefits
Net defined benefit liability

115
10,405109
10,857Long-term guarantee deposited
Asset retirement obligations

15,224
1,271

12,924
1,295

Short-term loans payable
Current portion of long-term loans payableNon-current liabilities

Other

266

339

55,02135,912

153,870

181,432

Capital stock
Capital surplus

19,694
5,425

19,694
5,425

Retained earnings
Treasury shares

110,635(730)

103,330(731)

Total shareholders' equity

135,026

127,718

Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

4,293

9,195

Deferred gains or losses on hedges
Foreign currency translation adjustment

(130)
(96)

(194)
239

Remeasurements of defined benefit plans(1,042)(399)

Total accumulated other comprehensive income

3,024

8,839

Minority interests

1,218

1,676

Total net assets

139,268

138,234

293,139

319,667

Total liabilities and net assets

4Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Millions of yen)
Fiscal year ended
March 31, 2014

Fiscal year ended
March 31, 2015

Net sales

188,719

194,674

Cost of sales

153,137

159,188

Gross profit

35,58135,486

Direct selling expenses
Indirect selling, general and administrative expenses

8,340
18,376

9,273
18,695

Total selling, general and administrative expenses

26,717

27,969

8,864

7,517

61
694

56
661

Miscellaneous income

1,724

2,130

Total non-operating income

2,480

2,848

424
0

264
0

Selling, general and administrative expenses

Operating income
Non-operating income
Interest income
Dividend income

Non-operating expenses
Interest expenses
Share of loss of entities accounted for using equity method
Miscellaneous loss

1,216

880

Total non-operating expenses

1,640

1,144

9,704

9,221

Gain on sales of investment securities
Gain on bargain purchase

46
–

2,214
218

Other

107

6

Total extraordinary income

154

2,439

Loss on retirement of non-current assets
Impairment loss

147
–

343
805

Loss on valuation of shares of subsidiaries and associates
Loss on business of subsidiaries and associates

44
–

55
6

Provision for loss on wind power generator business
Other

–
161

15,967
6

Total extraordinary losses

354

17,184

Income (loss) before income taxes and minority interests

9,504(5,523)

Income taxes - current

3,530

3,534

Ordinary income
Extraordinary income

Extraordinary losses

Income taxes - deferred344(3,945)

Total income taxes

3,874

(411)

Income (loss) before minority interests

5,629(5,112)

102

215

5,527

(5,327)

Minority interests in income
Net income (loss)

5

Consolidated statements of comprehensive income(Millions of yen)

Income (loss) before minority interests
Other comprehensive income

Fiscal year ended

Fiscal year ended

March 31, 2014

March 31, 2015
5,629

(5,112)

Valuation difference on available-for-sale securities
Deferred gains or losses on hedges

2,817
202

4,902
(64)

Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax

390
–

358
617

3,410

5,814

9,039

701

8,924
114

487
213

Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to minority interests

6Consolidated statements of changes in net assets
Fiscal year ended March 31, 2014
(Millions of yen)
Shareholders' equity
Capital stock
Balance at beginning of current
periodCapital surplus

Retained earnings

Total shareholders'equityTreasury shares

19,694

5,425

107,861(413)

132,568

19,694

5,425

107,861(413)

132,568

Cumulative effects of changes
in accounting policies
Restated balance
Changes of items during period
Dividends of surplus(2,781)

Net income (loss)

5,527(2,781)
5,527

Purchase of treasury shares

(316)

(316)

Disposal of treasury shares
Change of scope of
consolidation

28

28

Net changes of items otherthan shareholders' equity
Total changes of items during
periodBalance at end of current period

–

–

2,774

(316)

2,457

19,694

5,425

110,635(730)

135,026

Accumulated other comprehensive income

Balance at beginning of current
periodForeigncurrencytranslation
adjustment

Total accumulated
othercomprehensive
incomeValuationdifference on
available-forsale securities

Deferred gains
or losses onhedges

1,475

(332)

(474)

–

668

1,131

134,368

1,475

(332)

(474)

–

668

1,131

134,368

Remeasurementsof defined
benefit plans

Minority
interests

Total net
assetsCumulative effects of changes
in accounting policies
Restated balance
Changes of items during period
Dividends of surplus(2,781)

Net income (loss)

5,527

Purchase of treasury shares(316)

Disposal of treasury shares
Change of scope of
consolidation

28

Net changes of items otherthan shareholders' equity

2,817

202

377

(1,042)

2,355

86

2,442

Total changes of items during
period

2,817

202

377

(1,042)

2,355

86

4,900

Balance at end of current period

4,293

(130)

(96)

(1,042)

3,024

1,218

139,268

7

Fiscal year ended March 31, 2015
(Millions of yen)
Shareholders' equity
Capital stock
Balance at beginning of current
periodCapital surplus

19,694Retained earnings

5,425

110,635

Cumulative effects of changes
in accounting policies

Total shareholders'equityTreasury shares(730)

135,026(555)

Restated balance

19,694

5,425

(555)

110,080(730)

134,471

Changes of items during period
Dividends of surplus(1,666)(1,666)

Net income (loss)(5,327)(5,327)Purchase of treasury shares
Disposal of treasury shares(0)Change of scope of
consolidation

(1)

(1)

0

0

242

242

Net changes of items otherthan shareholders' equity
Total changes of items during
periodBalance at end of current period–(0)(6,750)(1)(6,752)

19,694

5,425

103,330(731)

127,718

Accumulated other comprehensive income

Balance at beginning of current
periodValuationdifference on
available-forsale securities

Deferred gains
or losses onhedges

4,293

(130)

Foreigncurrencytranslation
adjustment(96)

Remeasurementsof defined
benefit plans(1,042)

Total accumulated
othercomprehensive
income3,024

Minority
interests

1,218

Cumulative effects of changes
in accounting policies
Restated balance

Total net
assets139,268
(555)

4,293

(130)

(96)

(1,042)

3,024

1,218

138,713

Changes of items during period
Dividends of surplus(1,666)

Net income (loss)(5,327)Purchase of treasury shares(1)

Disposal of treasury shares

0Change of scope of
consolidation

242

Net changes of items otherthan shareholders' equity

4,902

(64)

335

642

5,815

457

6,273

Total changes of items during
period

4,902

(64)

335

642

5,815

457

(478)

Balance at end of current period

9,195

(194)

239

(399)

8,839

1,676

138,2348

Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Income (loss) before income taxes and minority interests

Fiscal year ended

Fiscal year ended

March 31, 2014

March 31, 2015
9,504

(5,523)

12,950–11,008805

Amortization of goodwill
Interest and dividend income

(71)
(756)

(71)
(718)

Interest expenses
Share of (profit) loss of entities accounted for using equity

424

264

0

0

(46)

(2,214)

–

(218)

147

343

44

55

–

13,203

Decrease (increase) in operating receivables
Increase (decrease) in operating debt

2,827
(2,219)

3,834
(151)

Decrease (increase) in inventories
Other, net(5,772)(1,709)(2,714)(2,576)

Subtotal

15,323

15,325

754
(435)

712
(255)

Depreciation
Impairment loss

methodLoss (gain) on sales of investment securities
Gain on bargain purchase
Loss on retirement of property, plant and equipment andintangible assets
Loss on valuation of shares of subsidiaries and associates
Increase (decrease) in provision for loss on wind power
generator business

Interest and dividend income received
Interest expenses paid
Income taxes (paid) refund(4,093)(4,201)

Net cash provided by (used in) operating activities

11,54911,580Purchase of property, plant and equipment and intangible
assets(4,610)(5,392)

Proceeds from sales of property, plant and equipment andintangible assets

138

260

Proceeds from sales of investment securities
Purchase of investment securities

86
(821)

2,835
(11)

Repayments of long-term guarantee deposits
Decrease (increase) in short-term loans receivable

(223)
(17)

(192)
215

Collection of long-term loans receivable
Payments for transfer of business

14
–

13
(200)

Purchase of shares of subsidiaries and associates
Proceeds from sales of shares of subsidiaries and associates

(79)
–

(56)
3

Cash flows from investing activities

Other, net
Net cash provided by (used in) investing activities

9

(206)

(151)

(5,719)(2,675)

(Millions of yen)

Cash flows from financing activities
Net increase (decrease) in short-term loans payable

Fiscal year ended

Fiscal year ended

March 31, 2014

March 31, 2015
(411)

(37)

Proceeds from long-term loans payable
Repayments of long-term loans payable

200(10,740)

2,250(2,712)

Cash dividends paid
Purchase of treasury shares(2,781)(316)(1,668)
(1)

(955)
(2)

(803)
8

(15,007)(2,964)

Repayments of finance lease obligations
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents

432

415

Net increase (decrease) in cash and cash equivalents(8,744)

6,356

Cash and cash equivalents at beginning of period

50,97242,29769

498

42,29749,152

Increase in cash and cash equivalents from newly consolidated
subsidiary
Cash and cash equivalents at end of period10