TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

INVESTORINFORMATION

2015

Consolidated Financial Highlights
Net Sales

Operating Income(Millions of yen)

(Millions of yen)342,754

346,538

352,351354,338

347,817
16,18815,696

15,728

13/3

14/3

15/3

12,162
7,705

11/3

12/3

13/3

14/3

15/3

11/3

Ordinary Income

Net Income(Millions of yen)

(Millions of yen)

17,671

18,096

12/3

12,811

11,671

18,915

14,313

9,173

9,644

13/3

14/3

9,215

103
11/3

12/3

13/3

14/3

15/3

11/3

Total Assets

Total Net Assets(Millions of yen)

593,023

11/3

12/3

456,118(Millions of yen)653,732
555,159

559,626

579,039

12/3

13/3

14/3

344,658

15/3

11/3

322,597

12/3

15/3

344,473

13/3

385,971

14/3

15/3

Contents
2 To Our Stakeholders

14 Major Indices

3 At a Glance

16 Segment Information

4 Organization

18 TBS Television

5 Corporate Data

21 Financial Data of Major Group Companies

6 Business Report

23 TBS Networks

10 Consolidated Financial Statements

Financial Figures
The financial figures used in this report are those used in the Japanese “Tanshin,” which has been created in accordance with the provisions set forth in theJapanese Financial Instruments and Exchange Act. Thus, all figures have been rounded down to the nearest million yen.

Forward-Looking Statements
This report contains forward-looking statements based on management’s assumptions and beliefs in light of the information currently available. Thesestatements are subject to risks and uncertainties that could cause actual results to differ materially from those discussed in this report. Such risks include,
but are not limited to, market trends, economic conditions and changes in industry regulations.

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20151

To Our Stakeholders
The following is a brief summary of business operations
during the fiscal year ended March 31, 2015.
The environment surrounding the

Meanwhile, our Multi-Visual Ventures and Cultural Events Businessbroadcasting industry is changing at

has been securing a base for non-broadcasting income, including

a dizzying pace. Momentum toward

existing channels such as movies, special events, and shopping, as

next-generation broadcasting,well as events at the Akasaka Sacas multipurpose entertainment

including the spread of smart

venue. We will aggressively pursue overseas expansion, leveraging

TVs and compatibility with broadcasting in 4K, will likely acceleratecontents that have already won an established reputation outside

as time passes toward the 2020 Tokyo Olympic andJapan, such as SASUKE. Responding quickly to the changing times

Paralympic Games.

and users’ needs, we will expand our revenue sources in multiple

Given the widespread use of diverse devices, the five commercial

directions, in pursuit of probability for the Group as a whole.

TV broadcasting companies in Tokyo have decided to start

BS-TBS, INC., became a wholly owned subsidiary effective April 1,

free-of-charge, sponsored Internet broadcasting from autumn 2015

2015. The company’s net sales continue to rise, and we will work towith the main objectives of countering the younger generation’s

maximize synergies with each Group company, so that BS-TBS willgrowing indifference to TV and as a countermeasure to illegal

contribute to enhancing the Group’s revenue base on the back of its

movie streaming.

steady growth.

In response to these changes in the environment, we established

TBS Radio & Communications, Inc., has maintained the top

a new Comprehensive Strategy Division at the end of 2014. Fromaudience rating in the Tokyo metropolitan area during 82 consecutive

now on, we will operate all media that are available to the Group,

terms (13 years and eight months) since August 2001. The number

including terrestrial television, radio, BS, CS, and the Internet, in aof listeners in their teens and 20s has increased, and it seems that

more integrated and efficient manner.

listening to radiko programs through PCs and smartphones is here to

To be a leader among broadcasters in this time of change, it isstay. Nevertheless, the environment surrounding the radio businesscritical for the Group to produce powerful, high-quality content.

remains difficult and it is not possible to take an upbeat view.

Accordingly, we will enhance our program production capabilities by

Accordingly, we will control costs strictly while pursuing new revenue

embracing the challenge of creating something new while continuingsources linked to broadcasting.

to hone our existing strengths.

Aiming to be the broadcaster with the strongest sense of

The TV Mirai Isan (TV Future Heritage) series of high-profile

responsibility for the future of Japan, the Group is committed to

television specials, the theme of which is “important messages

tackling the priority issues of strengthening its broadcasting business,to be relayed to future generations,” is an example of such initiatives.

enhancing its comprehensive media strategy, improving earning

We are determined to continue providing this kind of high-capacity across the Group, and increasing multifaceted earning power

quality programming.

through development of new businesses with strategic investment.

We worked to strengthen our corporate structure, seeing news

This year marks the 70th anniversary of the end of World War II, as

and information programs as the foundation and cornerstone ofwell as the 60th year since TBS TV started broadcasting. We see ita broadcasting company. In addition, we put more effort into

as a major turning point. This year, we will be more accountable thanentertainment programs. This resulted in stable, high audience

ever for what and how we report as a news organization. Since its

ratings for the variety programs Matsuko no Shiranai Sekai andestablishment, TBS has given the world a number of wonderful

Ningen Kansatsu Variety Monitoring.

programs based on its high aspirations and preeminent creativity. We

Moreover, last September we gave more than 80 hours of airtime

are committed to continuing such achievement and to fulfilling ourto the 17th Asian Games Incheon 2014, and this March we

mission as a broadcaster. Wishing for the happiness of all in the

broadcast Monodukuri: Japan’s Miracles over five consecutive nights

years ahead, we will continue to push forward, upholding the

as a special program commemorating the 60th anniversary of Tokyo

concept of “Building a bridge from TBS to the future.”

Broadcasting System Television, Inc. (TBS TV). These programs were

The Group will continue to work all-out to fulfill its mandate

well received. Going forward, we will continue to produce thesefrom shareholders.

kinds of quality programs while streamlining the program production

We look forward to your ongoing support.

process, in an effort to win greater support from viewers andadvertisers alike.

June 2015

Toshichika Ishihara, President
TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20152

At a Glance
Our Business
The Group covers a wide range of businesses essentially including broadcasting. We aim to become the best
media group that provides the most powerful contents and software in the areas of information, entertainment,
lifestyle and culture.

Terrestrial TV
broadcasting

Net & mobile
contents

Planning &production ofaudio & visualcontents

Terrestrial radio
broadcasting

Manufacture &sale of cosmetics

Eating & drinking
establishments

Satellite
broadcasting

Real estateleasing

Miscellaneous
retailing

Business Activities (Year ended March 31, 2015)

Broadcasting Business

4.4%

34.4%

¥212.9 billion
61.2%

Multi -Visual Ventures and Cultural Events Business¥119.5 billion
Real Estate Business¥15.2 billion

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20153

Organization
As of January 1, 2015

Tokyo Broadcasting System Holdings, Inc.
Broadcasting Business

Multi-Visual Ventures
and Cultural Events BusinessTokyo Broadcasting System Television, Inc.

NICHION, Inc.

TBS Radio & Communications, Inc.

TBS Service, Inc.

TBS-VISION, Inc.

OXYBOT, Inc.

FF TOHO INC.

TC Entertainment Incorporated

TBS-TEX Inc.

Grand Marche, Inc.

DREAMAX TELEVISION, INC.

TBS TriMedia, Inc.

AKASAKA GRAPHICS ART, INC.

StylingLife Holdings Inc. 3 Others

Art Communication System, Inc.
TBS ProNex Inc.
Japan Artvideo Service Collaborative, Inc.

Equity-method affiliates

Vucast, Inc.
TBS MEDIA RESEARCH INSTITUTE INCORPORATED

Tomo-Digi Corporation

TBS International, Inc.

Totsu Inc.

BS-TBS, INC.

TLC Co., Ltd.

Real Estate BusinessMidoriyama Studio City, Inc.
TBS Kikaku Co., Ltd.
Akasaka Heat Supply Co., Ltd.
TBS Sunwork, Inc.

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20154

Corporate Data
As of April 1, 2015

Date of Establishment

May 10, 1951 (Registered on May 17)

Head Office

5-3-6 Akasaka, Minato-ku, Tokyo 107-8006, Japan
URL: http://www.tbsholdings.co.jp/
Stock code: 9401, TSE First Section

Paid-in Capital¥54,986,892,896

Number of Employees

Tokyo Broadcasting System Holdings, Inc.

315

Tokyo Broadcasting System Television, Inc.

995

TBS Radio & Communications, Inc.

59

1

2

3

4

5

6

1. Akasaka Biz Tower
2. TBS Holdings Head Office
3. Scene of sub-control room at TBS Television
4. On set at TBS Television studio
5–6. Akasaka Sacas

Major Shareholders(as of March 31, 2015)

Number of shares held
(shares)

Percentage held(%)

9,310,500

5.73

8,957,100

5.51

MITSUI & CO., LTD.

7,691,000

4.73

Mainichi Broadcasting System, Inc.

6,576,100

4.04

Sumitomo Mitsui Banking Corporation

5,745,267

3.53

Mitsui Fudosan Co., Ltd.

5,713,728

3.51

NTT DOCOMO, INC.

5,713,000

3.51

Nippon Life Insurance Company

5,006,235

3.08

BIC CAMERA INC.

4,190,000

2.58

Kodansha Ltd.

3,771,200

2.32

Name of shareholder

The Master Trust Bank of Japan, Ltd.
(Pension Account-Pension Trust Account held for DENTSU INC.)

The Master Trust Bank of Japan, Ltd.
(Trust Account)

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20155

Business Report
From April 1, 2014 to March 31, 2015

The Current Position of Tokyo Broadcasting System Holdings, Inc.
and Its Subsidiaries
1 Business Activities and Results

The average audience ratings for terrestrial television for theDuring the fiscal year under review, the Japanese economy

fiscal year under review stood at 5.9% across all time slots, with

continued on a path to modest recovery as the economic policy

9.5% in the golden time slot and 9.3% in the prime time slot. Theof the Japanese government, together with the easy monetary

average audience ratings across all time slots fell short of thepolicy adopted by the Bank of Japan, resulted in higher stock

results of the previous fiscal year due to the program revision in

prices and a weakening yen. Although the recovery in personal

April of Asa Zuba! and Hanamaru Market, which were popular

consumption slowed partially and business sentiment was

programs in the morning slot for many years. However, thesomewhat weak, the overall economic recovery continued firmly

audience ratings of Asa Chan! improved from the third quarter,

based on steady improvements in employment and income.

which contributed to a recovery in the average audience ratings
across all time slots.

In the broadcasting industry, the spot advertising market as a

In the variety show category, Bakuhou! THE Friday, Pittanko

whole showed steady growth and TV advertising expenditures
maintained their growth as the economy continued to recover andKankan, and Masahiro Nakai’s SMAP Friday continued to deliver

corporate earnings turned up.

high ratings. In addition, Tuesday programs REDISCOVER JAPANand Matsuko no Shiranai Sekai, Thursday program Ningen

In this operating environment, while the TBS Group (hereinafterreferred to as “the Group”) made efforts to further strengthen its

Kansatsu Variety Monitoring, and Saturday program Job Tune

core terrestrial television programs, it conducted sales activities tostarted based on our TV programming policy of “Developing TV

respond to the needs of sponsors.

programs that all family members can enjoy together.” They

As a result of these developments, consolidated net sales ofachieved good ratings, which indicates that our TV programs are

the Group in the fiscal year ended March 31, 2015 decreased bywell received across weekdays and weekends. The long-running

1.8% from the previous fiscal year to ¥347,817 million, while

Sekai Fushigi Hakken (Discovery of the World’s Mysteries) also

ordinary income increased by 4.5% to ¥18,915 million. Net

achieved a better average audience rating than in the previous

income increased by 32.8% from the previous fiscal year tofiscal year. As for special programs, the annual program SASUKE¥12,811 million.

has been well received by young people and other generations aswell as overseas audiences, which indicates a positive outlook for

Broadcasting

the program. We broadcasted a new summer program, 6-nin no

Consolidated net sales from the Broadcasting Business increased

Murabito! Zenin Shugo, which was a three-hour location variety

by 0.1% from the previous fiscal year to ¥212,985 million, while

program filming the two-day and one-night trip of six entertainers

operating income increased by 8.1% to ¥4,171 million.

whose names include “Mura.” It was enjoyed by large audiences.

Television

Testimony of N, and Ouroboros, Nichiyo Gekijo Roosevelt Game,

Terrestrial television time sales fell short of the results of the

Fathers, Second Chance Chauffeur and others were well received

previous fiscal year in which we broadcasted major specials, suchby many audiences. In addition, MOZU Season 1: Night Cry of theas the IAAF World Championships Moscow 2013, the Sochi

Mozu, a drama jointly developed with WOWOW, delivered a new2014 Winter Olympics, and the TV drama LEADERS, broadcasted

wave of serial dramas with its unprecedented concept and scale.

on two consecutive nights. Regular programming sales were flat

We also offered a redistribution service for missed TV programs

at the levels of the previous fiscal year, and special programming

as a diversified viewing option to respond to the emerging needs

sales of the FIFA World Cup Brazil, the 17th Asian Games Incheonof viewers.

In the drama category, Friday programs The Thorns of Alice,

2014, and Monodukuri: Japan’s Miracles contributed to sales.

In the sports category, we broadcasted the FIFA World Cup

Spot sales underperformed the results of the previous fiscal

Brazil in June and July 2014. Although unfortunately the Japan

year due partly to struggles with audience ratings, despite a larger

national team lost in the final group stage matches, the world’s

volume of advertisements than in the previous fiscal year, mainly

largest live sporting event program continued to attract manyin the sector of information and communications.

viewers thereafter. The semifinal match between the Netherlands

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2015
6

Business Report
From April 1, 2014 to March 31, 2015

and Argentina achieved an audience rating of 15.0%, the highest

meter measurements from fiscal 2015, this will further increase

among commercial TV stations other than the matches of Japan.

competition to win viewers in the BS digital broadcasting market.

The 17th Asian Games Incheon 2014, which we broadcasted for

BS-TBS, INC. continued to deliver high-quality programs toa lengthy total of about 80 hours, in September and October, fully

viewers using strategic production and programming, and hit adelivered to the audience the performance of athletes who wererecord high in operating revenues for the fiscal year under review.

competing for the Olympic Games to be held in Rio de Janeiro

However, operating income remained almost at the same level as

and Tokyo. The program achieved an average audience rating ofthat of the previous fiscal year due to increases in program

10.2% in the golden time slot and 9.9% in the prime time slot.

development costs and general and administrative expenses as aresult of enhanced programming efforts. BS-TBS, INC. became

In the news category, N Studio and NEWS23, among others,reported high-quality news on a daily basis. The year 2015

our wholly owned subsidiary in April 2015. We will further

marked the 70th year since the end of World War II, and we

strengthen collaboration with the company as one of our groupbroadcasted two programs with the message that such a terrible

companies, and further develop our business by leveraging

war should never be repeated: Day of News, which became asynergy effects with both terrestrial and BS digital broadcasting.

regular long-hour year-end program, and SUNDAY MORNING, atthe beginning of 2015. In the category of information programs,

Note: All audience ratings are household audience ratings in the

HIRUOBI! achieved the highest average audience ratings for four

Kanto region, surveyed by Video Research Ltd.

consecutive years in the relevant time slot. The Saturday program
New Information 7 Days Newscaster broadcasting one-weekRadio

information was also popular among viewers.

Time sales for the fiscal year under review remained at the same

We started the long-hour special series TV Mirai Isan (TV Futurelevel as that of the previous fiscal year due to mixed factors such

Heritage) in 2013 to pursue the theme of “important messages to

as a decrease in demand caused by a backlash effect after the

be relayed to future generations.” The series dealt with a range ofconsumption tax hike; a boom in sponsorship for single-company

topics on a grand scale in a variety of fields such as news reports,

time-sales slots—which had been absent in recent years—such

sports and science. We delivered a program in April on life afteras the sponsorship by a law firm for a large-scale regular

the consumption tax hike with Akira Ikegami; a program in May on

program; the acquisition of major new sponsors of consumer

the future of Japan as a “volcanic country” based on lessons fromproduct-related companies such as Kao Corporation and Kracie

the disastrous eruption of Mount Vesuvius in Ancient Rome; aHoldings, Ltd.; and the implementation of promotional campaigns.

program in June questioning the value of life in Japan’s aging

These positive factors supported sales at a level higher than thatsociety; a special drama in August commemorating the end ofof the previous fiscal year in the second quarter and thereafter.

World War II with a focus on wartime Manchuria; a program in

Spot sales outperformed the results for the same period of theOctober disseminating Japan’s technologies to the world; a drama

previous fiscal year due to positive factors such as strong growthprogram in January looking back at the past 20 years since thein sales from time signal slots throughout the year; the acquisition

1995 Great Hanshin Earthquake; and a program in Februaryof large orders from sponsors focused on radio advertisements;

recalling the aftermath of the Great East Japan Earthquake. In

and strong growth in sales from live commercials given by radio

addition to the above various topics, we continued broadcasting

personalities as well as long commercials. As a result, the total

the major program 3.8 Billion Years of Life to shed light on thetime and spot sales increased from the previous fiscal year for the

mystery of human bodies. In March, we broadcasted Monodukuri:

first time in three years.

Japan’s Miracles for five consecutive days as a special program

In terms of programming, we enjoyed favorable outcomes fromcommemorating the 60th anniversary of TBS TV. This showed theprograms such as Jane Su’s Let’s So Dance! started in April

history of Japan as one of the world's leading manufacturers since2014, which achieved a high ranking in the audience rating

the end of World War II and was well received by many viewers.

surveys in the Tokyo metropolitan area. In the baseball-off-season

As of March 31, 2015, 28 companies throughout Japan were

programming, we produced a new program called OLÉRA that

affiliated with the Group’s JNN television network, a number

targeted men in their 40s and 50s. We also strengthened

unchanged from the previous fiscal year.

collaboration with JRN stations such as a syndication with ABC

The BS digital broadcasting market also performed well during

Radio in Osaka for Dojo Yozo no Kenko Dojo and with MBS

the fiscal year under review, although we are maintaining aRadio for AKB48 Kizaki Yuria–The Cinderella of 2014. TBS Radio

cautious stance due to stagnant growth in subscription rates.

maintained the top rank in the audience rating surveys for 82

Since the audience rating research method will change to that ofconsecutive periods, or 13 years and 8 months. At the event

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20157

Business Report
From April 1, 2014 to March 31, 2015

Radifes2014 hosted by TBS Radio after three years’ absence, aBotticelli, including the famous Pallas and the Centaur, weretotal of 12 programs including regular and special ones enlivened

displayed in one location and attracted many visitors; and THE

the event.

GREAT AMAZON at the National Museum of Nature and Science

In broadcast-related business, we opened the 20th TBS

under the theme of biodiversity in the Amazon River valley.

housing stage at AEON MALL Ota in November 2014. In sales-

For 2014 Summer Sacas: Deliciacas, which was held at

related business, we completed the project Tohoku Kibo Concert,

Akasaka Sacas for 44 days, we set up gourmet/cooking booths inwhich started in 2012 and for three years visited schools in 39

collaboration with programs and attracted more than 1.33 million

cities and villages that had been struck by the Great East Japanvisitors, the same level as that for an event held in the summer

Earthquake and tsunami. Meanwhile, the final game of the rubberof 2013.
In the video business, we released LUPIN THE THIRD, whichbaseball tournament Maruhan Dream Cup, with a full entry of 953
teams from across Japan, was conducted at Tokyo Dome ingenerated box office revenues of ¥2.45 billion. Cape Nostalgia

November. As for entertainment events, Kentaro Kobayashi Soloreceived two prizes at the 38th Montreal World Film Festival as

Performance: Potsunen shi no Kimyo de Heibon na Hibi, for which

well as the highest best prize count in many categories of the 38th

tickets sold out across Japan, and the Sogetsu Hall Series, withJapan Academy Prize, and earned high recognition. In addition,

11 events including program-related ones, were well received.

we released a series of cinema films such as CROWS: EXPLODE,

However, some new self-sponsored events struggled to attract

WOOD JOB!, ALL-ROUND APPRAISER Q –The Eyes of Mona

audiences, which was one of the factors causing a decrease in

Lisa–, CLOVER, Her Granddaughter, and furiko, which attracted

overall sales in broadcast-related business.

public attention.
In the DVD/Blu-ray Disc business, drama titles such as Nichiyo

As of March 31, 2015, 34 companies throughout Japan wereaffiliated with the TBS radio network JRN, a number unchanged

Gekijo (“Sunday Theater”) Ando Roid: and S THE LAST

from the previous fiscal year.

POLICEMAN, and Mokuyo Drama Gekijo MOZU Season 1 were
popular. In the animation business, in October we broadcasted

Multi-Visual Ventures and Cultural Events

Amagi Brilliant Park produced by Kyoto Animation. This enjoyedenduring popularity and its software sold well.

Net sales from the Multi Visual Ventures and Cultural Events

In business targeted at overseas, SASUKE was sold to 165

Business decreased by 5.6% from the previous fiscal year to¥119,553 million, while operating income decreased by 20.3% tocountries and regions and was broadcasted in Asia, the United¥4,406 million.

States and Europe as well as former communist countries andAfrica. The U.S. version of SASUKE, American Ninja Warrior

In the cultural events business, Hakushaku Reijo, performed by
the Takarazuka Revue Snow Troupe at the Nissay Theatre,

Season 6, was broadcasted as a regular program by NBC of theenjoyed popularity. Tokyu Theatre Orb saw performances of theUnited States and maintained top audience rating rankings for 14

Broadway musical SINGIN’ IN THE RAIN and a production of theconsecutive weeks in the relevant time slot. In addition, format

National Theatre in London, War Horse. These internationallysales (sales of the TV concept) of SASUKE grew steadily.

acclaimed plays were well received. At Akasaka ACT Theater,

Localized versions of the program, which have already been

Jeanne d'Arc starring Kasumi Arimura, a replay of Sanada Juyushi

produced in the United States and Asia (Malaysia and Singapore),(Sanada Ten Braves) starring Takaya Kamikawa, and the highly

were also produced in Sweden for the first time in Europe and in

publicized Kafka on the Shore directed by Yukio Ninagawa

Turkey for the first time in the Middle East in the fiscal year underreceived positive reviews. The K-Ballet Company led by Tetsuya

review. It can be said that SASUKE is now “global content

Kumakawa presented a number of works such as Romeo and Juliet,

released from Japan.” Meanwhile, the movie LUPIN THE THIRD

Carmen, The Nutcracker, and Cinderella, which enchanted fans.

was sold to 30 countries and regions, while animation and drama
films were sold widely as well.

In the exhibition business, the special exhibition Medicine as a

In the communication satellite business, sales from TBS On

Philanthropic Art, held at the National Museum of Nature andScience, attracted more than 130,000 visitors. We also

Demand (a video distribution service) showed strong growthsponsored Ballets Russes: The Art of Costume, displaying thethanks in part to the hit serial drama MOZU. As for communication

costumes of dancers of the legendary ballet company at thesatellite programs, the professional baseball game YOKOHAMA

National Art Center Tokyo, which fascinated ballet fans as well asDeNA BAYSTARS live stream was shifted from “TBS News Bird” toother art admirers; Arte a Firenze da Botticelli a Bronzino: verso“TBS Channel 2” in April 2014. At the same time, “TBS Channel 2”

una ‘maniera moderna’ at the Tokyo Metropolitan Art Museum,started broadcasting at J:COM and other cable stations andwhere the works of the Italian Renaissance painter Sandro

HIKARI TV, which increased the number of its viewers.

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20158

Business Report
From April 1, 2014 to March 31, 2015

In the license business, we conducted a tie-up with

2 Capital Investment

convenience stores for our dramas Second Chance Chauffeurand Ouroboros, and sales performed well. For the drama Saving

Total capital investment in the fiscal year under review was

My Stupid Youth (Regret from My School Days), the producer¥7,777 million.
For the core sales and broadcasting systems, we upgraded

effectively used character goods such as Gomenne Unagi,
designed by herself, attracting many fans. In addition, theour large-scale CG telop system, which comprehensively

character design gudetama broadcasted in Asa Chan! gained

controls CG telops for supply to OA sub-control rooms andgreat popularity from the summer. A gudetama specialty shop

editor booths. We also plan the digitalization of CG telop orders

opened at Tokyo Station with a limited-time offer attracted manyand the release of functions for file-based systems.
For onsite production facilities, we upgraded small SNG

visitors each day, while TBS original gudetama goods also soldoutdoor broadcasting vehicles, which can be useful forvery well.

broadcasting onsite news and current affairs reports, football

In the shopping business, we took up the challenge toand baseball games, and for outdoor drama shootings.

broadcast a live shopping TV program for the first time in the

For networking equipment, we upgraded SNG main station

daytime slot, which resulted in higher sales than expected due tothe positive effect of product introduction on live TV. The

antennas at broadcasting centers and UPS equipment at the

StylingLife Group, which has retailing as its core business,

Oyama FPU Base Station to increase safety and reliability insecured operating income at the same level as the previous fiscal

case of emergency.
For news reporting equipment, we continuously introduced

year thanks to improved cost rates and controlled expenses, eventhough there was a slowdown in the growth of sales in certain

new cameras and recorders with memory cards, and sought tobusinesses due to the effect of the consumption tax hike.

improve workflow efficiency by adopting file-based systems.

In the mobile and Internet business, we streamed gameWe ended the satellite safety net business that provided

highlights on the website of the 17th Asian Games Incheon 2014

redistribution of terrestrial digital broadcasting at the end of

program and recorded an average of about 500,000 page views

March. We will continue working on maintenance and upgrading

per day and about 100,000 replays. We also offered live

works for digital transmission stations through collaboration withstreaming of the entire play of Ryo Ishikawa on the first day of theother commercial TV broadcasting companies and NHK to

CASIO WORLD OPEN golf tournament, as well as 2014 Queen’s

maintain a sound TV reception environment in the greater

Ekiden in Miyagi, NEW YEAR EKIDEN 2015, All Japan High

Kanto region.

School Women’s Football Tournament, and so on, which
contributed to a boost in website adverting revenue. In the digital

3 Capital Procurement

signage service, Campus TV expanded its scale to up to 122
boards of 68 universities across Japan and started smartphone

Total interest-bearing debt of the Group at the end of the fiscal

application services.

year under review was ¥55,000 million (excluding leaseobligations), consisting of ¥200 million in short-term loans

Real Estate Businesspayable, ¥30,000 million in bonds payable (including current

Net sales from the Real Estate Business increased by 2.3% from

portion of bonds) and ¥24,800 million in long-term loans payable

the previous fiscal year to ¥15,277 million, and operating income(including the current portion).
To ensure flexible access to operating capital, as of the end

increased by 13.6% to ¥7,157 million.

of the fiscal year under review StylingLife Holdings Inc., a

Akasaka Sacas, which marked the eighth anniversary of its
opening, has established itself as a popular cultural andconsolidated subsidiary of the Company, had established

entertainment center. Revenue from the office floors of Akasaka

commitment line agreements totaling ¥4,000 million with multiple

Biz Tower increased due to the acquisition of new tenants, while

financial institutions (the balance of the funds drawn is nil, and therevenue from its commercial complex showed strong growthavailable balance is ¥4,000 million).
In addition to the above, with the aim of streamlining of funds,

as a result of our concerted efforts to leverage a number ofsome of the account receivables are in the process of liquidation.

performances and events such as Mamasacas, held at
Sacas Square.

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 20159

Consolidated Financial Statements
Consolidated Balance Sheets (Unaudited)
Millions of yen

As of March 31, 2015 and 2014

2014

2015

¥ 55,331¥ 55,773

Notes and accounts receivable—trade38,29738,309Securities

1,205

1,206

Merchandise and finished goods

6,951

7,353

Program rights and work in process

7,654

7,759

AssetsCurrent assets
Cash and deposits

686

589

Prepaid expenses

10,731

11,124

Deferred tax assets

4,018

3,381

Other

5,529

5,733

Raw materials and supplies

Allowance for doubtful accounts
Total current assets

(143)

(104)

130,262

131,127

Noncurrent assets
Property, plant and equipment

195,975

196,995

Accumulated depreciation(90,875)(95,923)

Buildings and structures
Buildings and structures, net

105,100

101,072

Machinery, equipment and vehicles

89,235

89,121

Accumulated depreciation(78,999)(79,988)

Machinery, equipment and vehicles, net

10,235

9,133

26,84827,858(23,853)(25,333)

2,995

2,524

Land

84,006

84,010

Lease assets

6,959

6,850

Accumulated depreciation(4,051)(4,392)

Lease assets, net

2,908

2,458

Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net

2,382

3,904

207,628

203,104

Software

4,704

3,755

Goodwill

23,196

21,699238

180

Construction in progress
Total property, plant and equipment
Intangible assets

Lease assets
Other

1,669

1,598

Total intangible assets

29,80927,234

195,713276,383

Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Long-term prepaid expenses
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets
TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2015
10

288

292

1,980

1,995

713

446

13,02913,484

(386)

(337)

211,339292,265448,777

522,604¥ 579,039¥ 653,732

Consolidated Financial Statements
Consolidated Balance Sheets (Unaudited)
Millions of yen

As of March 31, 2015 and 2014

2014

2015

¥ 34,327¥ 32,716

200

200

Current portion of long-term loans payable

1,200

1,200

Current portion of bonds

20,000—Accounts payable—other

9,925

9,495

Income taxes payable

4,485

3,752

686

3,688

5,526

5,481

195

107

Other provision

1,434

1,634

Other

5,135

4,796

Total current liabilities

83,117

63,072

Bonds payable

30,00030,000Long-term loans payable

24,80023,600176

120

Net defined benefit liability

14,46014,942

Lease obligations

1,320

893

Deferred tax liabilities

24,77850,486

Other

14,415

14,498

Total noncurrent liabilities

109,951

134,541

193,068

197,613

Capital stock

54,98654,986

Capital surplus

59,51259,523Retained earnings

235,548244,714

Treasury stock(36,970)(36,749)

Total shareholders’ equity

313,076

322,474

52,860112,309

Deferred gains or losses on hedges

306

663

Foreign currency translation adjustment

(31)

57

Remeasurements of defined benefit plans

146

285

53,282

113,315

Minority interests

19,611

20,328

Total net assets

385,971456,118¥ 579,039¥ 653,732

Liabilities
Current liabilities
Notes and accounts payable—trade
Short-term loans payable

Accrued consumption taxes
Accrued expenses
Provision for directors’ bonuses

Noncurrent liabilities

Provision for environmental measures

Total liabilities
Net assets
Shareholders’ equity

Valuation and translation adjustments
Valuation difference on available-for-sale securities

Total valuation and translation adjustments

Total liabilities and net assets
TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201511

Consolidated Financial Statements
Consolidated Statements of Income (Unaudited)
Millions of yen

Years ended March 31, 2015 and 2014

Net sales2014¥ 354,338

2015¥ 347,817

245,498

241,152

108,839

106,665

93,14290,936

15,696

15,728

Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Equity in earnings of affiliates

63

58

2,736

3,397

864

968

689

672

4,352

5,096

1,103

949

Loss on retirement of noncurrent assets

237

250

Loss on reduction of noncurrent assets

251

32

Other

360

676

Other
Total non-operating income
Non-operating expenses
Interest expenses

1,953

1,909

18,096

18,915Gain on sales of investment securities

1,065

3,004

Gain on bargain purchase

3,096

—

Gain on revision of retirement benefit plan

562—

Gain on sales of noncurrent assets

60—

Gain on sales of subsidiaries and affiliates’ stocks

14—

Gain on step acquisitions

8

—

4,808

3,004

2,051

594

Loss on business withdrawal—

547

Impairment loss

441

157

Loss on sales of investment securities—

119

Total non-operating expenses
Ordinary income
Extraordinary income

Total extraordinary income
Extraordinary loss
Loss on valuation of investment securities

—

62

1,549

—

Loss on measures associated with the relocation of transmitting station

908—

Early extra retirement payments

216—

Environmental expenses

176—

Loss on sales of shares of subsidiaries and associates

Loss on step acquisitions

Loss on revision of retirement benefit plan

154

—

5,498

1,482

Income before income taxes and minority interests

17,407

20,437

Income taxes—current

6,202

5,649

Income taxes—deferred

69

1,255

Total extraordinary losses

Total income taxes

6,271

6,904

Income before minority interests

11,136

13,533

Minority interests in income¥

Net income
TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2015
12

1,491

722

9,644

¥ 12,811

Consolidated Financial Statements
Consolidated Statements of Cash Flows (Unaudited)
Millions of yen

Year ended March 31, 2015 and 2014

2014

2015

¥ 17,407
15,109
270
1,668
2,051
(1,065)471
237(3,096)
1,540(1,080)(347)(2,799)
1,103
(864)
(403)
688
(4,029)¥ 20,437
14,621
254
1,497
594
(2,884)
368
250
—
—
—
(87)
(3,456)
949
(968)
(39)
(482)
(362)

(436)
261
26,6862,800(1,555)2,144
31,282
3,572(1,101)355(5,701)
23,038(949)
532(6,585)27,851(9,920)(2,032)(1,295)
4,110(6,187)(8,247)
(969)
(498)
7,859
(376)

3,606
392
(11,326)—(94)

Cash flows from operating activities
Income before income taxes and minority interests
Depreciation and amortization
Amortization of long-term prepaid expenses
Amortization of goodwill
Gain on valuation of investment securities
Gain on sales of investment securities
Increase (decrease) in net defined benefit liability
Loss on retirement of noncurrent assets
Gain on bargain purchase
Loss (gain) on step acquisitions
Increase (decrease) in provision for measures associated with the relocation of transmitting station

Increase (decrease) in allowance for doubtful accounts
Interest and dividends income
Interest expenses
Equity in (earnings) losses of affiliates
Decrease (increase) in notes and accounts receivable—trade
Decrease (increase) in inventories
Decrease (increase) in prepaid expenses
Increase (decrease) in notes and accounts payable—trade
Other, net
SubtotalInterest and dividends income received
Interest expenses paid
Income taxes refund
Income taxes paid
Net cash provided by operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sales of investment securities
Purchase of stocks of subsidiaries and affiliates
Proceeds from purchase of investments in subsidiaries resulting in change in scope of consolidation

Other, net
Net cash used in investing activities(2,326)

Cash flows from financing activities(31,200)—

Repayment of long-term loans payable
Redemption of bonds
Proceeds from disposal of treasury stock
Cash dividends paid
Cash dividends paid to minority shareholders
Other, net
Net cash used in 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
Cash and cash equivalents at end of periodTOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201513

11,883(2,977)(285)(989)(23,567)
136(11,719)
68,031¥ 56,312(1,200)(20,000)
462(3,389)(265)(849)(25,242)133
415
56,312¥ 56,728

Major Indices

Net Income per Share

Return on Equity

(Yen)

(%)

3.6
79.12

74.71
60.27

3.2
2.8

13/3

14/3

61.22

0.54
11/3

2.9

0.0
12/3

13/3

14/3

15/3

11/3

12/3

15/3

Ratio of Ordinary Income to Net Assets

Ratio of Operating Income to Net Sales

(%)

(%)

3.2

3.2

4.6

3.1

4.5

14/3

15/3

3.5

2.5
2.2

1.5

11/3

4.4

12/3

13/3

14/3

15/3

11/3

12/3

13/3

Equity Ratio

Net Assets per Share

(%)

(Yen)

2,689.56

56.4

11/3

55.5

12/3

58.7

63.3

66.7
2,025.89

2,158.00

2,263.65

1,759.70

13/3

14/3

11/3

15/3

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2015
14

12/3

13/3

14/3

15/3

Major Indices

Number of Shares Issued at the End of the Term

Amount of Treasury Stock at the End of the Term

(Including Treasury Stock)(Shares)(Shares)

38,225,599 38,226,794

190,434,968 190,434,968 190,434,968 190,434,968 190,434,968

28,590,009 28,404,517

453,652
11/3

12/3

13/3

14/3

11/3

15/3

12/3

13/3

14/3

Cash Flows from Operating Activities

Cash Flows from Investing Activities(Millions of yen)

(Millions of yen)

15/3

6,278
30,03630,07228,15627,851
23,038–2,326–5,731–11,326–13,649
11/3

12/3

13/3

14/3

15/3

11/3

12/3

13/3

14/3

15/3

Cash Flows from Financing Activities

Cash and Cash Equivalents, at End of Period(Millions of yen)

(Millions of yen)

78,801
71,434–17,037

56,312

56,728

14/3

15/3–16,993–25,475
11/3

68,031

12/3

13/3–23,567
14/3–25,242
15/3

11/3

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2015
15

12/3

13/3

Segment Information
Consolidated Results by Segment(Millions of yen)

FY2015External
sales

y/y change

Operatingincomey/y change

Broadcasting Business¥212,985+220¥ 4,171+311

Multi-Visual Ventures and Cultural Events Business

119,553–7,083

4,406-1,125

Real Estate Business

15,277

+340

7,157

+854

Consolidated Business¥347,817–6,520¥15,728+31

Capital Expenditures and Depreciation(Millions of yen)

Consolidated

FY2015

Capital expenditures¥ 7,777

Depreciation

13,520TBS Holdings

FY2015

Capital expenditures¥

531

Depreciation

3,130

TBS Television

FY2015

Capital expenditures¥ 4,547

Depreciation

7,286

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201516

Segment Information
FY2016 Consolidated and TBS Television Business Results Forecasts(Millions of yen)

2016

Consolidated

FY2016

Net sales¥352,000

Operating income

16,000Ordinary income

19,200Net income

9,500

Business Results Forecast by Segment(Millions of yen)

Consolidated

FY2016

Consolidated net sales¥352,000Broadcasting Business

215,800

Multi-Visual Ventures and Cultural Events Business

120,900

Real Estate Business

15,300Consolidated operating income

16,000Broadcasting Business

3,600

Multi-Visual Ventures and Cultural Events Business

5,400

Real Estate Business

7,000(Millions of yen)

2016

TBS Television

FY2016

Net sales¥213,000

Operating income

6,300

Ordinary income

8,400

Net income

4,500

Time/Spot, Program Cost Forecasts
1st half

2nd half

Full year

Time

-0.4%

+1.2%

+0.4%

Spot

+2.6%

+3.7%

+3.2%

—

—

¥96,700 million

Program cost

Note: The estimated figures above, which were announced on May 18, 2015, are subject to revision. For the most up-to-date estimated figures, please see theCompany’s web site.
TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201517

TBS Television

HIRUOBI!

1

Pittanko Kankan

SUNDAY MORNING

Breakdown of TBS Television Income(Millions of yen)

FY2015y/y change¥180,951–3,203Time advertising

85,189–1,379Spot advertising

83,849–1,635Program sales in Japan

3,408

–426

Others

8,504

+237

Operations

25,413–3,242

Real estate

2,970

+37

Total income¥209,335–6,407

Television

Year-on-Year Changes in Time/Spot Earnings
(%)

130

Time
Spot

102.2

90

113.0

112.0

105.8

104.4
96.7

114.9

111.6

110

98.8

98.5

102.4

98.6
93.8

101.5

98.9

91.4

102.4
97.4

95.1

95.8

89.1

87.5

86.4

76.8

70
2013

Apr.

2014

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

Jan.

Feb.

Mar.

Q1

Q2

Q3

Q4

Full year● Time

104.0

96.8

101.7

91.7

98.4

● Spot

97.3

101.2

97.1

97.3

98.1

18.8

18.7

18.7

18.6

18.7

TBS share among five key broadcasters

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201518

TBS Television

MOZU

2

Roosevelt GameThe Thorns of Alice

Spot Advertising Sales Ranks by Business Category
FY2015(%)

Growth rate

Share

1

Information, telecommunications, and broadcasting

+33.0

12.4

2

Alcoholic and other beverages

–7.2

10.9

3

Foods

+0.2

10.0

4

Pharmaceuticals

+7.6

9.2

5

Automobiles and transportation equipment

–7.1

8.3

6

Cosmetics and toiletry

+11.2

7.6

7

Financial services

–12.6

6.5

8

Precision instruments and office machines

–5.5

5.2

9

Transportation and leisure

+14.0

5.0

10

Distribution

–13.6

4.4

(Ranked in order of sales proceeds)

TBS Television Business Segment Income
Segment

Full year y/y change(Millions of yen)

Remarks¥ 2,323-1,146

Revenue declined significantly for the full year as there were fewer large-scale events thanthe previous year, although sales of THE GREAT AMAZON exhibit were buoyant in the
fourth quarter.

OperationsShow businessdivision

4,105

+58

Revenue increased in the full year due to strong sales of Stars on Ice in the fourth quarter,
despite fewer events and the impact of the closure of Yokohama BLITZ.

Movie business

1,756

-261

DVDs

1,637

-2,074

Revenue declined significantly mainly due to the reaction to the huge hit of NAOKIHANZAWA in the previous year, in addition to a contraction of the DVD market.

Animations

1,251

+27

In the fourth quarter, Amagi Brilliant Park performed solidly. In the full year, revenue
increased slightly.

Overseas business

1,593

+307

Revenue increased partly due to the effect of the global launch of SASUKE, in addition tostrong sales in Asian markets such as Thailand, Vietnam and Hong Kong.

Pay-TV business

9,730

-57

The CS business remained flat on the whole, although TBS Channel 2 recorded a stable
increase in subscriber numbers. TBS On Demand remained solid.

Licensing business

1,197

-5

—

Digital business

1,817

-90

Revenue declined due to the sluggish game business.

Total¥25,413-3,242

Cultural business (events)

Multivisualbusiness

Content
business
division

Revenue declined primarily due to the reaction to the huge hit of SPEC–
Close~incarnation~ and SPEC–Close~reincarnation~ in the previous year.

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 2015
19

TBS Television3

Asian Games Incheon 2014

Asian Games Incheon 2014

©PHOTO KISHIMOTO©PHOTO KISHIMOTO

FY2015 Viewer Ratings(%)

All day

Golden time*

Prime time**TBS

5.9 (5th)

9.5 (5th)

9.3 (5th)NTV

8.6 (1st)

12.8 (1st)12.7 (1st)TV Asahi

7.1 (2nd)10.9 (2nd)11.3 (2nd)TV Tokyo

3.1 (6th)

7.0 (6th)

6.7 (6th)

Fuji TV

6.7 (4th)

9.8 (4th)

10.0 (3rd)NHK

6.8 (3rd)10.8 (3rd)

9.5 (5th)

HUT

41.4

63.0

61.3

Ratings for April 2, 2014 to March 30, 2015, on a weekly basis* 19:00–22:00** 19:00–23:00(According to research by Video Research Ltd. in the Kanto region)

TV Program Cost (Production Expenses)(Millions of yen)

FY2015FY2014y/y change

Q1¥25,703¥23,810+1,893

Q2

24,14625,779–1,632

Q3

23,53823,490+48

Q422,98824,569–1,581

Direct expenses

17,672

19,183–1,511

Indirect expenses

5,316

5,386

–70

Fiscal year cumulative¥96,376¥97,648–1,272

Next fiscal-year forecast

96,700Major expenses included in TV program cost:Direct expenses:

Program production expenses, fees for broadcasting rights, fine arts production expenses,
technical production expenses

Indirect expenses: Absorbed cost including depreciation and personnel cost for employees

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201520

Financial Data of Major Group Companies
TBS Radio & Communications, Inc.

(Millions of yen)

FY2015
AmountNet salesy/y change¥10,657–128

Operating income

486

+55

Ordinary income

505

+72

Net income

252

+26

Recorded the highest ratings for 84 consecutive periods from August 2001 to June 2014.

BS-TBS, INC.

(Millions of yen)

FY2015
AmountNet salesy/y change¥15,607+890

Operating income

2,202

–0

Ordinary income

2,232

+8

Net income

1,343

–427

Grand Marche, Inc.

(Millions of yen)

FY2015
AmountNet salesy/y change¥13,322–2,756

Operating income

61

–245

Ordinary income

72

–205

Net income

27

–114

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201521

Financial Data of Major Group Companies
StylingLife Holdings Inc. (Consolidated) (Millions of yen)
FY2015
AmountNet salesy/y change¥66,407–1,960Operating income

1,789

–38

Ordinary income

1,865

+95

88

–1,033

Net income

BARBAPAPA© 2014A.T. & T.T.

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201522

TBS Networks
JNN (Japan News Network)
JRN (Japan Radio Network)
TBS Television and TBS R&C harness two of the most extensive commercial
broadcasting networks in Japan, in which 28 TV stations affiliated with theJapan News Network (JNN) and 34 radio stations affiliated with the Japan
Radio Network (JRN) nationwide guarantee thorough and quality
news gathering.
Our news network delivers accurate information in a split second, in alliancewith overseas bureaus placed in 11 major cities around the world.

HBC

ATV
RAB
ABS

JNN

JRN

Television

Radio

IBC

TUY
YBC
BSN
KNB
TUT

MRO
FBC

BSS
TYS
KRY

RKB
NBC

OBS

ITV
RNB

RKK

MBC

RCC
RKC
KUTV

RSK
RNC
JRT

TUF
RFC

SBC

UTY
YBS

MBS CBC
ABC

TBC

TBS
TBS R&C

SBS

WBS

MRT

RBC

JNN Overseas Bureaus

LondonMoscow
BerlinBeijing

Middle East

Seoul
Tokyo (TBS)Shanghai

Los Angeles

Bangkok

Tokyo Broadcasting System Holdings, Inc.
5-3-6 Akasaka, Minato-ku, Tokyo 107-8006, Japan
Phone: +81-3-3746-1111 Fax: +81-3-3588-6378 www.tbsholdings.co.jp/ir/en/

TOKYO BROADCASTING SYSTEM HOLDINGS, INC.

Investor Information 201523

New York
Washington, D.C.