Consolidated Financial Results for the Nine Months of Fiscal Year Ending March 31, 2020
<under Japanese GAAP>
February

7, 2020

Company name : NIKKO COMPANY
ID number: 5343 Stock listing : Nagoya Stock Exchange Second Section
URL: http://www.nikko-company.co.jp/
Representative : Akiko Mitani, Chief Executive Officer
Contact: Kazuya Nunokawa, Chief Financial Officer (Phone: +81-76-276-2121)
Scheduled date to submit Securities Report: February 7, 2020
Scheduled date to begin dividend payments: Preparation of supplementary materials for financial results : None
Holding of financial results meeting: None
(All amounts are rounded down to the nearest million yen)
1. Consolidated Financial Results for the Nine Months Ended December 31, 2019 (April 1, 2019 - December 31, 2019)(1) Consolidated operating results(Percentage figures represent changes from the same period of the previous year.)Net sales

Operating income

Profit (loss) attributableto owners of parent

Ordinary income％％ Millions of yen％％
Millions of yen
Millions of yen
Millions of yen
Nine months ended
9,687(4.3)
1261
393.3
63
December 31, 2019
Nine months ended
10,1171.5(23)12(86.3)(0)December 31, 2018
Note: Comprehensive income (Millions of yen) :December 31, 2019 : 75(469.7%)
December 31, 2018 : 13 ((86.4)%)
Net income
per share
Yen

Diluted net income
per share
Yen

Nine months ended
December 31, 2019

2.71

-

Nine months ended
December 31, 2018

(0.00)-(2) Consolidated financial position
Total assets

Net assets

Equity ratio

Millions of yen
Millions of yen
As of December 31,
9,809
1,353
2019
Year ended Mar.
9,462
1,278
31, 2019
Reference: Shareholders' equity (Millions of yen) : December 31, 2019: 1,353

Net assets per share%

Yen

13.8

58.08

13.5

54.86

Mar. 31, 2019: 1,278

2. Dividends(Record date)

Dividend per share
1Q-end2Q-endYen

Year ended Mar.
31, 2019
Year ending Mar.
31, 2020
Year ending Mar.
31, 2020(forecast)

3Q-endYen

Year-end
Yen

-

0.00

--

0.00

-

1

Annual
Yen

Yen

0.00

0.00

0.00

0.00

NIKKO COMPANY

3. Consolidated Forecast for the Fiscal Year Ending March 31, 2020 (April 1, 2019 - March 31, 2020)
The NIKKO Group will no longer disclose its projected consolidated results for periods starting from that ending in March 2019. Detailsof the decision are described in “3. Projected Consolidated Results for FY2019” in the “Consolidated Financial Results for the Fiscal
Year Ended March 31, 2019” disclosed on May 9, 2019.
※Notes(1) Changes in major subsidiaries during the period : None
(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 :2) Changes other than 1) above: None
3) Changes in accounting estimates : None
4) Restatement: NoneNone(4) Number of shares outstanding (common shares)
1) Number of shares outstanding (including treasury stock) at the end of the period
December 31, 2019 :24,172,000 sharesMar. 31, 2019 :24,172,000 shares
2) Number of treasury stock at the end of the period
December 31, 2019 :
864,510 sharesMar. 31, 2019 :
864,232 shares
3) Average number of shares issued during the period (cumulative; consolidated)
Nine months ended December 31, 2019 : 23,307,648 shares Nine months ended December 31, 2018 : 23,307,851 shares* Quarterly financial statements are not subject to a quarterly review by certified public accountants or an auditing company.

2

NIKKO COMPANY

Consolidated quarterly Financial Statements
FY03/2019(As of Mar.31,2019)(Millions of yen)
FY03/2020(As of Dec.31,2019)

1,406
1,839
1,145
627
466
270
85
(2)
5,838

1,146
2,014
1,319
879
577
303
85
(2)
6,324

6,862(5,240)
1,621
4,515(4,110)
404
1,182(1,109)
721,121
125
(12)
112
25
3,358

6,894(5,361)
1,533
4,554
(4,193)360
1,194(1,130)
63
1,121
147
(32)
114
44
3,237

57
0
57

450
45

110
99
(1)
207
3,623
9,462

108
96
(2)
202
3,484
9,809

2,498
2,350
114
26
51
170
130
1,219
6,561

2,697
2,350
39
30
27
63
122
1,565
6,895

76
86
5
44
1,282
126
1,622
8,183

46
83
4
43
1,254
127
1,559
8,455

3,470
1,584
(3,312)
(338)
1,404

3,470
1,584
(3,249)
(338)
1,467

0(105)
(20)
(125)
1,278
9,462

0(106)
(7)
(113)
1,353
9,809

(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
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciationTools, furniture and fixtures, net
Land
Lease assets
Accumulated depreciation
Lease assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Lease assets
OtherTotal 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
Lease obligations
Income taxes payable
Provision for bonuses
Provision for product warranties
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Lease obligations
Deferred tax ｌiabilities
Provision for directors' retirement benefits
Net defined benefit liability
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
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

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NIKKO COMPANY(2) Consolidated quarterly statements of income and consolidated quarterly statements of comprehensive income
Consolidated quarterly statements of income

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income (loss)
Non-operating income
Interest income
Gain on sales of wastes
Foreign exchange gains
Income from contribution to facilities
Other
Total non-operating income
Non-operating expenses
Interest expenses
Sales discounts
Share of loss of entities accounted for using equity method
Other
Total non-operating expenses
Ordinary income (loss)
Extraordinary Income
Gain on sales of noncurrent assets
Gain on sales of investment securities
Gain on sales of shares of subsidiaries and associates
Total extraordinary Income
Loss before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Profit (loss)
Profit (loss) attributable to owners of parent

FY03/2019(Apr.1, 2018-Dec.31,2018)(Millions of yen)
FY03/2020(Apr.1, 2019-Dec.31,2019)10,117
7,191
2,926
2,949
(23)

9,687
6,842
2,8442,831
120
1521―
33
69

0221272779

189―
634
121580631
61――
33317―
2115

83

16(0)
15(0)

20(0)
2063(0)63(Millions of yen)
FY03/2019(Apr.1, 2018-Dec.31,2018)(Millions of yen)
FY03/2020(Apr.1, 2019-Dec.31,2019)

(0)

63(0)
(1)
14―
1313(0)013(1)
1275

13―75
―

Consolidated quarterly statements of comprehensive income

Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of entities accounted for using equity method
Other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of the parent
Comprehensive income attributable to non-controlling interests

4

NIKKO COMPANY[Consolidated Segment Information]

Nine Months ended December 31, 2018 (April 1, 2018 – December 31, 2018)
Housing & Functional
Environmental Ceramics
Equipment
Product

Tabletop

Other Segment(Note 1)
total(Millions of yen, rounded down)Amounts on theconsolidated
Adjustment
financial(Note 2)statements(Note 3)

Net sales
Sales to Outside Customers
Intersegment sales or Transfers
Total
Segment profit (loss)(Operating income (loss))

6,284

2,039

1,758

34

10,117-

10,117

-

-

-

11

11

(11)

-

6,284

2,039

1,758

46

10,129(11)

10,117219

286(92)(3)411(434)(23)

Note: 1. The category "Other" is warehouse business which is a business segment not included in the reportable segments.
Note: 2. Segment income adjustment of 434 million yen consists of expenses related to departments that do not belong tothe reportable segments.
Note: 3. Segment profits and losses are adjusted with Operating loss on the consolidated quarterly statements of income.
Nine Months ended December 31, 2019 (April 1, 2019 – December 31, 2019)
Housing & Functional
Environmental Ceramics
Equipment
ProductTabletop

Other Segment(Note 1)
total

(Millions of yen, rounded down)Amounts on theconsolidated
Adjustment
financial(Note 2)statements(Note 3)

Net sales
Sales to Outside Customers
Intersegment sales or Transfers
TotalSegment profit (loss)(Operating income (loss))

6,5381,799

1,335

13

9,687

-

9,687---

4

4

(4)

-

6,538

1,799

1,335

17

9,691

(4)

9,687

378

159(97)

(0)

441

(428)

(12)

Note: 1. The category "Other" is warehouse business which is a business segment not included in the reportable segments.
This is to inform that our foreign-based consolidated subsidiary company, NIKKO CERAMICS, INC., quitted thewarehousing business on July 1, 2019.
Note: 2. Segment income adjustment of 428 million yen consists of expenses related to departments that do not belong tothe reportable segments.
Note: 3. Segment profits and losses are adjusted with Operating income on the consolidated quarterly statements of income.

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