Financial Results for the First Quarter of Fiscal Year Ending March 31, 2014
(Three Months Ended June 30, 2013) <under Japanese GAAP> (Consolidated)
August 6, 2013
Company name : NIKKO COMPANY
ID number : 5343 Stock listing : Nagoya Stock Exchange Second Section
URL : http://www.nikko-company.co.jp/
Representative : Kazuto Futamata, Chief Executive Officer
Contact : Kazuo Miyanabe, Chief Financial Officer
Scheduled date to submit Securities Report : August 9, 2013
Scheduled date to begin dividend payments : Preparation of supplementary materials for quarterly financial results: NoneHolding of quarterly financial results meeting: None
(All amounts are rounded down to the nearest million yen)
1. Consolidated Financial Results for the Three Months Ended June 30, 2013 (April 1, 2013 - June 30, 2013)(1) Consolidated operating results(Percentage figures represent changes from the same period of the previous year.)Net sales

Operating income％Millions of yen
Three months ended
June 30, 2013

4,126

Millions of yen

6.6

Three months ended
3,869(12.5)
June 30, 2012
Note: Comprehensive income (Millions of yen):
Net income pershare

Ordinary income％Net income％Millions of yen％

Millions of yen

(38)

-(7)

-(21)

-(241)-(243)-(289)-June 30, 2013: (30) ( -%)June 30, 2012: (319) ( -%)Diluted net income
per share
Yen

Yen

Three months ended
June. 30, 2013(1.16)-Three months ended
June. 30, 2012(15.48)-(2) Consolidated financial position
Total assets

Net assets

Millions of yen

Equity ratio

Net assets per share

Millions of yen%

Yen

As of June 30, 2013

11,180

1,425

12.7

76.10

As of Mar. 31, 2013

11,468

1,455

12.7

77.74

Reference: Shareholders' equity (Millions of yen):

June 30, 2013: 1,425

Mar. 31, 2013: 1,455

2. Dividends(Record date)1Q-endYen

Dividend per share
2Q-end3Q-endYen
Yen

Year ended Mar. 31, 2013
Year ending Mar. 31, 2014
Year ending Mar. 31, 2014
(forecast)
Notes: Revision of dividend forecast during the period: None

1Year-end

Annual
Yen

Yen

0.00

-0.00

0.00

0.00

-0.00

0.00

3. Consolidated Forecast for the Fiscal Year Ending March 31, 2014 (April 1, 2013 - March 31, 2014)(Percentage figures represent changes from the same period of the previous year.)
Net income perNet sales
Operating income
Ordinary income
Net income
share

Full year

Millions of yen%

Millions of yen%

17,500

6.9

20-

Millions of yen
20%

Millions of yen-0%

Yen-0.00

Notes: Revision of projected consolidated performance during the period: None
Consolidated forecast for the six months ending September 30, 2013 have not been disclosed because the Company and its
subsidiaries track performance on an annual basis only.
.
4. Notes(1) Changes in significant subsidiaries (changes in specified subsidiaries accompanying changes in the scope of consolidation) during
the period: None
New: — companies (Company name:)
Eliminated: — companies (Company name:)(2) Application of special accounting methods for quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, or restatement
1) Changes in accounting policies due to changes in consolidated accounting methods: None
2) Changes other than 1) above: None
3) Changes in accounting estimates: None
4) Restatement: None
(4) Number of shares outstanding (common shares)
1) Number of shares outstanding (including treasury stock) at the end of the period
June 30, 2013:
19,572,000 sharesMar. 31, 2013:
19,572,000 shares
2) Number of treasury stock at the end of the period
June 30, 2013:
843,392 sharesMar. 31, 2013:
842,706 shares
3) Average number of shares issued during the period (cumulative; consolidated)
Three months ended June 30, 2013: 18,728,638 shares
Three months ended June 30, 2012: 18,732,875 shares*Information regarding the implementation of quarterly review procedures
The current quarterly financial statements are exempted from quarterly review procedures based on the Financial Instruments andExchange Law. At the time of disclosure, we have not completed the review process for these consolidated statements.

*Appropriate use of business forecasts, other special items
Forecasts regarding future results in these materials are based on information available to the Company at the time the materials werecreated. Actual results may differ significantly from these forecasts for a number of reasons.

21. Summary Information (Notes)(1) Overview of Changes in Consolidated Subsidiaries
No reportable information.
(2) Overview of Adoption of Special Accounting Methods
No reportable information.
(3) Changes in accounting principles, accounting estimates and retrospective restatement for consolidated
No reportable information.

3

2. Quarterly Consolidated Financial Statements(1) Consolidated Balance Sheet

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in process
Costs on uncompleted construction contracts
Raw materials and supplies
Deferred tax assets
OtherAllowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Land
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets
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
Provision for product warranties
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Provision for retirement benefits
Provision for directors' retirement benefits
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-sale securities
Foreign currency translation adjustment
Accumulated other comprehensive income
Total net assets
Total liabilities and net assets

4FY03/2013(As of Mar.31,2013)(Millions of yen)First quarter of FY03/2014(As of June 30,2013)

1,3272,654
1,557
541
320
318
1
116
(42)
6,795

1,320
2,445
1,447
496
310
285
1
103
(41)
6,369

6,699
(4,679)
2,020
1,207
6,680
(6,178)
501
3,729
171

6,700
(4,725)
1,975
1,207
6,890
(6,189)
700
3,883
158

638
651
(518)
771
4,672
11,468

626
659
(517)
768
4,810
11,180

3,100
1,700
361
50
101
444
1,486
7,244

3,141
1,600
361
16
129
365
1,458
7,072

1,080
1,329
35
322
2,767
10,012

1,025
1,299
35
322
2,682
9,754

3,200
1,321
(2,528)
(335)
1,657

3,200
1,321(2,549)(335)
1,635(80)
(121)
(201)
1,455
11,468(92)
(118)
(210)
1,425
1,180

(2) Consolidated quarterly statements of income
and consolidated quarterly statements of comprehensive income(For the Three-month Period)
Consolidated quarterly statements of income(Millions of yen)First quarter of FY03/2013 First quarter of FY03/2014(Apr.1,2012-June30,2012) (Apr.1,2013-June30,2013)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income (loss)

3,869
2,783
1,086
1,327(241)4,1262,944
1,181
1,220(38)Non-operating income
Interest income
Foreign exchange gains
Dividends income
Rent income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange loss
Other
Total non-operating expenses
Ordinary income (loss)

0―
75
1125

0
13
6
111748128627(243)11―516(7)

Extraordinary loss
Loss on retirement of noncurrent assets
Reversal of allowance for investment loss
Total extraordinary losses
Income (loss) before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Income (loss) before minolity inretests
Net income (loss)

03131(275)14014(289)(289)

0―0(7)
14014(21)(21)

5Consolidated quarterly statements of comprehensive income

Income(loss) before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Other comprehensive income
Comprehensive income
Comprehensive income attributable to owners of the parent
Comprehensive income attributable to minority interests

6First quarter of FY03/2013(Apr.1,2012-June30,2012)(Millions of yen)First quarter of FY03/2014(Apr.1,2013-June30,2013)

(289)

(21)

(26)
(3)
(29)
(319)

(12)
3
(8)
(30)

(319)
―(30)
―

(3) Segment Information[Segment Information]
Ⅰ First Quarter of FY03/2012 (Apr. 1, 2012 - June 30, 2012)
1. Information related to net sales and profit or loss for each reportable segment

Housing &Environmental
Equipment

Tabletop

ElectroCeramics

Other(Millions of yen, rounded down)Amounts
shown onSegment
Adjustment
quarterly
total(Note 1)
consolidated
statements ofincomeNet sales(1)Sales to Outside
2,299
1,207
357
5
3,869
3,869
Customers(2)Intersegment sales
or Transfers
Total
2,299
1,207
357
53,8693,869
Segment profit (loss)(Operating income (loss))
832(104)
(1)
(66)
(175)
(241)
Notes: 1. The “Other” category indicated businesses not included in reporting segments, including sales of other products.
2. Segment income adjustment of 175 million yen consists of expenses, such as general administrative expenses, andresearch and development costs that do not belong to the reportable segments.
2. Information regarding impairment loss on fixed assets and goodwill by reportable segmentNo reportable information.
Ⅱ First Quarter of FY03/2014 (Apr. 1, 2013 - June 30, 2013)
1. Information related to net sales and profit or loss for each reportable segment

Housing &Environmental
Equipment

Tabletop

Functional
Ceramics
Product

Other(Millions of yen, rounded down)Amounts
shown onSegment
Adjustment
quarterly
total(Note 1)
consolidated
statements ofincome

Net sales(1)Sales to Outside
2,429
1,087
609
04,126
4,126
Customers(2)Intersegment sales
or Transfers
Total
2,429
1,087609
04,1264,126
Segment profit (loss)
95(20)
570132(171)(38)(Operating income (loss))
Notes: 1. The “Other” category indicated businesses not included in reporting segments, including sales of other products.
2. Segment income adjustment of 171 million yen consists of expenses related to Strategic Planning Headquarters,
Technical Headquarters and Administrative Headquarters that do not belong to the reportable segments.
3. Effective from the third quarter of fiscal 2013, the name of reporting segment that is Electro-Ceramics has been changed
to Functional Ceramics Product. There is no impact of this change to reportable segment.
2. Information regarding impairment loss on fixed assets and goodwill by reportable segment
No reportable information.
(4) Significant changes in Shareholder’s Equity
No reportable information.

7

3. Supplementary Information(1) Sales by Segment

Industry Segment(Millions of yen, rounded down)First Quarter of FY03/2013(Apr. 1, 2012 - June 30, 2012)

First Quarter of FY03/2014(Apr. 1, 2013 - June 30, 2013)

FY03/2013(Apr. 1, 2012 - Mar. 31, 2013)

Net Sales

Percent of
Net Sales

Net Sales

Percent of
Net Sales

Net Sales

Percent ofNet Sales

Housing & Environmental
Equipment

2,299

59.4%

2,429

58.9%

9,84760.1%

Tabletop

1,207

31.2

1,087

26.3

4,699

28.7

Functional Ceramics
Product357

9.2

609

14.8

1,800

11.0

Other50.2

00.0

260.2

Total

3,869

100.0

4,126

100.0

16,374100.0

Notes:
1. Amounts are converted to sales prices.
2. Amounts do not include consumption taxes.
3. The following table indicates the Company’s overseas sales share by industry segment and percentage figures represent
overseas sales ratio.
(Millions of yen, rounded down)First Quarter of FY03/2013(Apr. 1, 2012- June 30, 2012)

First Quarter of FY03/2014(Apr. 1, 2013 - June 30, 2013)

Overseas
Sales

Overseas
Sales Ratio

Overseas
Sales

Overseas Sales
Ratio

Overseas
Sales

Housing & Environmental
Equipment

00.0%

--%

0Industry Segment

FY03/2013(Apr. 1, 2012 - Mar. 31, 2013)
Overseas Sales
Ratio
0.0%

Tabletop

294

24.4

242

22.3

1,138

24.2

Functional Ceramics
Product92

25.9

251

41.2

556

30.9

Other--088.3

1

5.4

Total

387

10.0

494

12.0

1,697

10.48