Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015
<Under Japanese GAAP>
August 5, 2014
NAGASE & CO., LTD.
Stock exchange listing: Tokyo (First Section)
Code number:
8012 URL (http://www.nagase.co.jp/english/)Representative:
Hiroshi Nagase, Representative Director and President
Contact:
Akira Takami, General Manager, Accounting Division
TEL: +81-3-3665-3103
Filing of quarterly report (scheduled): August 8, 2014
Start of distribution of dividends (scheduled): −Supplementary documents of quarterly financial results: No
Quarterly investors' meeting: No(Note: Amounts have been rounded down to the nearest million yen.)

1. Consolidated Results for the First Quarter of the Fiscal Year Ending March 31, 2015
(April 1, 2014 to June 30, 2014)(1) Consolidated Operating Results(Percentages represent changes compared with same period of the previous fiscal year.)Net sales
For the first quarter ended
June 30, 2014
June 30, 2013

Operating profit

Ordinary income

Net income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

181,337
171,328

5.8
2.8

4,431
4,169

6.3
1.0

5,089
5,106

(0.3)
9.7

3,512
3,527

(0.4)
3.5

(Notes) Comprehensive income

First quarter ended June 30, 2014:
First quarter ended June 30, 2013:
Earnings per share

For the first quarter ended
June 30, 2014
June 30, 2013

¥6,738 million (23.6% decrease)¥8,818 million (−%)

Earnings per share (diluted)
Yen

Yen

27.65
27.82

−
−

(2) Consolidated Financial Position
Total assets

Net assets

Net worth ratio

Net assets per share

Millions of yen

Millions of yen%

Yen

502,696
498,141

255,807
251,892

49.9
49.5

1,975.03
1,942.20

June 30, 2014
March 31, 2014
(Reference) Equity capital

As of June 30, 2014:
As of March 31, 2014:¥250,893 million¥246,723 million

2. Dividends
1Q
For the year ended (or ending)March 31, 2014
March 31, 2015
March 31, 2015 (estimate)(Note)

2Q

Annual dividends per share
3Q
Fiscal year end

Annual

Yen

Yen

Yen

Yen

Yen

−
−

14.00

−

14.00

28.00

15.00

−

15.00

30.00

Revisions to the latest projected dividends: No

3. Projected Consolidated Results for the Fiscal Year Ending March 31, 2015
(April 1, 2014 to March 31, 2015)(Percentages represent changes compared with the corresponding periods of the previous fiscal year.)Net sales
Millions of yen

Full fiscal year
(Note)

783,000

Operating profit% Millions of yen

8.3

19,000Ordinary income% Millions of yen

20.3

21,500Earnings per
share

Net income% Millions of yen

20.1

14,200

%

Yen

21.8

111.78

Revisions to the latest projected consolidated results: No* Notes(1) Changes in major subsidiaries during the period (changes in specified subsidiaries accompanying changes in thescope of consolidation): No
New: ― (Company name:)
Excluded: ― (Company name:)(2) Application of special accounting methods to the preparation of quarterly financial statements: No(3) Changes of Accounting Policies, Changes in Accounting Estimates, and Prior-Period Restatementsi.
Changes in accordance with revisions to accounting and other standards: No
ii. Changes in items other than (i) above: Yesiii. Changes in accounting estimates: No
iv. Restatement of prior period financial statements after error corrections: No(Note) For details, see page 5, “2. Summary Information (Notes) (3) Changes of Accounting Policies, Changes
in Accounting Estimates, and Prior-Period Restatements.”(4) Number of shares issued and outstanding (common stock)i.
Number of shares issued and outstanding as of the fiscal period end (including treasury stock)June 30, 2014
138,408,285 shares March 31, 2014
138,408,285 shares
ii.

iii.

Number of treasury stock as of the fiscal period end
June 30, 2014
11,375,714 shares

March 31, 2014

11,375,631 shares

Average number of shares during the period
June 30, 2014
127,032,637 shares

June 30, 2013

126,832,903 shares* Quarterly Review Implementation DisclosureThis quarterly report is exempt from the quarterly review procedure based upon the Financial Instruments andExchange Act. Furthermore, quarterly consolidated financial statements were undergoing the review procedure process
at the time of release.
* Cautionary Statement with Respect to Forecasts of Consolidated Business Results
The earnings forecasts presented in this document are based upon currently available information and assumptions
deemed rational. A variety of factors could cause actual results to differ materially from forecasts.
Please refer to “1. Qualitative Information (3) Qualitative Information related to Earnings Forecasts” on page 4 of thisdocument.

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

Attachments
1. Qualitative Information ............................................................................................................... 2(1) Business Performance............................................................................................................ 2(2) Financial Position .................................................................................................................. 4(3) Qualitative Information related to Earnings Forecasts .......................................................... 4
2. Summary Information (Notes) .................................................................................................... 5(1) Changes of Classification of Specified Subsidiaries Accompanied by Changes in theConsolidation Scope .............................................................................................................. 5(2) Application of Special Accounting Methods to the Preparation of Quarterly Financial
Statements.............................................................................................................................. 5(3) Changes of Accounting Policies, Changes in Accounting Estimates, and Prior-Period
Restatements .......................................................................................................................... 5
3. Quarterly Consolidated Financial Statements ............................................................................. 6(1) Quarterly Consolidated Balance Sheets ................................................................................. 6(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements ofComprehensive Income ......................................................................................................... 8
Quarterly Consolidated Statement of Income ........................................................................ 8
Quarterly Consolidated Statements of Comprehensive Income ............................................ 9(3) Notes related to Quarterly Consolidated Financial Statements ........................................... 10(Assumption for Going Concern) ........................................................................................ 10(Segment Information, etc.) ............................................................................................... 10(Significant Fluctuations in Shareholders’ Equity).............................................................. 11(Significant Subsequent Events) ........................................................................................ 11
4. Supplementary Information....................................................................................................... 12(1) Overseas Sales ..................................................................................................................... 12-1-

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

1. Qualitative Information(1) Business Performancea. General Summary of Results
The Japanese economy continued to experience signs of a moderate recovery during the first quarter of the fiscal
year. We also noted the impact due to the front-loaded demand resulting from increases in consumption tax rates.
In this environment, the Company recorded domestic sales for the cumulative consolidated first quarter of ¥93.1
billion (5.2% year-on-year increase) and overseas sales of ¥88.22 billion (6.5% increase), resulting in total net
sales of ¥181.33 billion, representing an 5.8% increase year on year.
Despite net sales growth, profit growth rates overall—particularly in our electronics-related
business—experienced a decline. Accordingly, gross profit amounted to ¥22.22 billion (0.2% year-on-yearincrease). Operating profit amounted to ¥4.43 billion (6.3% increase), due in part to a decrease in retirement
benefit costs related to amortization of actuarial differences in retirement benefit obligations. The Company
recorded ordinary income in the amount of ¥5.08 billion (0.3% year-on-year decrease), reflecting lower
year-on-year foreign exchange gains due to the weaker yen. These factors contributed a quarterly net income of¥3.51 billion, representing a 0.4% year-on-year decline.
b. Segment Summary
The following discusses Company earnings by segment.
Beginning with the consolidated first quarter of this fiscal year, the Company has reorganized certain of its
reportable segments. For presentation purposes, the Company has calculated consolidated figures and ratios for the
first quarter of the prior period according to these reorganized classifications.
Functional Materials
Functional Materials saw overall gains in net sales. While overseas results declined slightly as a whole comparedto the same period in the prior fiscal year, sales in Japan outperformed the comparable period.
The performance chemicals business recorded higher overall net sales compared to the prior fiscal year. We
recorded higher sales of plastic materials and additives, as well as urethane materials for the automotive and homeelectronics markets. We also noted strong sales of coating raw materials products.
Our specialty chemicals business experienced a small year-on-year decline in sales as a whole. Fluorine materials
sales were sluggish, while sales of surfactants, materials for industrial oil solution products and organic synthesis
materials in Japan somewhat underperformed the same period in the prior fiscal year. In addition, we noted slow
exports of epoxy compound products for encapsulation.
As a result, net sales for the Functional Materials segment amounted to ¥41.78 billion, which was a ¥640 million(1.6%) increase compared to the prior consolidated first quarter. Operating profit for the segment came in at ¥990
million, representing a ¥130 million (11.8%) year-on-year decline. This decline was due in large part to lower
profits reported by our domestic manufacturing businesses.
Advanced Materials & Processing
Advanced Materials & Processing reported higher overall net sales for the period, driven by strong performancegains in Japan and Northeast Asia. Sales in Southeast Asia, North America and Europe were level with the same
period in the prior fiscal year.
The colors and imaging business showed a slight decline as a whole year on year. Whiles sales of dyes/additives
business and information printing materials were strong in the Japanese, North American, and European markets,
those gains were offset by lower sales in Northeast and Southeast Asia.

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NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

Our office equipment and appliance business reported higher net sales on the whole. This result stems mainly fromhigher sales in Japan, Northeast Asia, and Southeast Asia, despite lower performance in exports and brokeredtransactions.
Our business focusing on functional films and sheets and plastic molding products experienced strong sales ofplastic materials and anti-reflective materials for LCD TVs for the period, driving sales higher overall.
As a result, net sales for the Advanced Materials & Processing segment for the consolidated first quarter amounted
to ¥59.9 billion, which was a ¥3.97 billion (7.1%) increase compared to the same period in the prior fiscal year.
Operating profit increased ¥220 million (28.4%), reaching ¥1 billion, compared to the same period in the priorfiscal year.
Electronics
The Electronics segment reported higher overall revenues, driven by growth in Japan and Northeast Asia, which
all outperformed lower results in Europe and the United States.
Our electronic chemicals business results as a whole were level with the same period in the prior fiscal year. This
result was mainly due to slightly lower comparative performance in sales of formulated epoxy resin for the heavy
and light electrical machinery markets, as well as sales of chemicals for use in semiconductors and LCD panel
manufacturing.
The electronic materials business showed overall year-on-year gains, with higher sales of LED-related products
and thin-glass processing. Sales of touch-panel materials and film for LCDs were level with the same period in theprior fiscal year.
As a result, we recorded consolidated first quarter net sales of ¥34.86 billion in this segment, representing a ¥2.35
billion (7.2%) increase compared to the same period in the prior fiscal year. Operating profit amounted to ¥1.43
billion for the consolidated first quarter—a ¥320 million (18.4%) year-on-year decrease, mainly due to lower salesin Japan and lower profit ratios among our manufacturing companies.
Automotive & Energy
Automotive & Energy recorded growth in net sales for the automotive-related business, with only a slight impact
due to the front-loaded demand resulting from increases in Japan’s consumption tax rates. Overseas, the Company
saw overall growth. While sales were slow in Southeast Asia due to smaller auto production increases in Thailand
and other factors, performance in China was favorable, as was growth in North America.
The energy business experienced overall growth, with sales gains in industrial solar power systems and products
for lithium ion batteries.
As a result, segment net sales for the consolidated first quarter amounted to ¥25.66 billion, representing a ¥2.45
billion (10.6%) increase year on year. Operating profit increased ¥120 million (29.3%) compared to the same
period in the prior fiscal year, reaching ¥530 million for the segment owing mainly to improved profits among
domestic manufacturing businesses and higher profits in China.
Life & Healthcare
The Company’s Life & Healthcare business experienced higher net sales as a whole. In the food materials
industry, we recorded strong sales of our trehalose in Japan and overseas, while sales of enzymes products werelevel with the same period in the prior fiscal year. In the skin care and toiletries business, sales of raw materials to
the toiletries market performed well. In the pharmaceuticals and medical fields, we experienced weak sales ofpharmaceutical raw materials and intermediates to brand name drug makers.

-3-

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

Our beauty care products business includes sales of cosmetics and health foods. While we noted strong sales of
new products, impact due to the front-loaded demand resulting from increase in the consumption tax rates led to
weaker sales of existing products, driving sales lower for the business as a whole.
As a result, segment net sales amounted to ¥18.92 billion for the consolidated first quarter, which was a ¥580
million (3.2%) increase year on year. Operating profit fell to ¥1.03 billion, ¥60 million (5.7%) lower than the same
period in the prior fiscal year. This decrease was mainly due to higher general and administrative expenses.
Other
No special matters to disclose.

(2) Financial Position
As of the end of the consolidated first quarter, current assets amounted to ¥307.01 billion. This represents anincrease of ¥640 million compared to the end of the prior consolidated fiscal year. This increase was mainly due toincreased accounts receivable and inventories in excess of decreases in cash and time deposits. Non-current assets
increased ¥3.9 billion compared to the end of the prior fiscal year, reaching ¥195.68 billion. This increase wasmainly due to gains in investments in securities, due to market price improvements. As a result, total assets
amounted to ¥502.69 billion, which was an increase of ¥4.55 billion compared to the end of the prior fiscal year.
The Company recorded liabilities in the amount of ¥246.88 billion, representing a ¥630 million increase comparedto the end of the prior fiscal year. This decrease was mainly due to increased accounts payable and deferred tax
liabilities due to unrealized holding gains on securities, which offset decreases in accrued income taxes.
Net assets amounted to ¥255.8 billion at the end of the consolidated first quarter, representing an increase of ¥3.91
billion compared to the end of the prior year. This increase was mainly due to net income of ¥3.51 billion and anincrease in net unrealized holding gain on securities
As a result, the Company experienced a 0.4point increase in shareholders' equity ratio, up to 49.9% as of the endof the consolidated fiscal year.

(3) Qualitative Information related to Earnings Forecasts
The Company has made no changes to its full-year consolidated earnings forecasts originally published on May 9,
2014.

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NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

2. Summary Information (Notes)(1) Changes of Classification of Specified Subsidiaries Accompanied by Changes in the Consolidation
Scope
No matters to report.

(2) Application of Special Accounting Methods to the Preparation of Quarterly Financial Statements
No matters to report.

(3) Changes of Accounting Policies, Changes in Accounting Estimates, and Prior-Period Restatements(Changes in Accounting Policies)
Companies have the option to adopt “Accounting Standard for Business Combinations” (ASBJ Statement No. 21,
September 13, 2013) and “Accounting Standard for Consolidated Financial Statements” (ASBJ Statement No. 22,
September 13, 2013) and “Accounting Standard for Business Divestitures” (ASBJ Statement No. 7, September 13,2013) for consolidated fiscal years beginning April 1, 2014. Accordingly, the Company has adopted theseaccounting standards (with the exception of the provisions of paragraph 39 of the Accounting Standard forConsolidated Financial Statements). Under these accounting changes, the Company now records equity changes insubsidiaries subject to ongoing control to capital surplus. In addition, the Company now records
acquisition-related costs as costs in the consolidated fiscal year in which they occurred. With respect to businesscombinations occurring after the beginning of the consolidated first quarter, the Company will now revise
acquisition cost allocation base on provisional accounting estimates, reflecting these costs in the quarterly
consolidated financial statements of the date on which the business combination occurred.
In accordance with the transitional treatment based on the provisions of section 58-2(3) of the AccountingStandard for Business Combinations, section 44-5(3) of the Accounting Standard for Consolidated Financial
Statements and section 57-4(3) of the Accounting Standard for Business Divestitures, the cumulative effects of theretrospective application of these accounting changes have been adjusted to capital surplus and retained earnings
as of the beginning of the consolidated first quarter.
As a result, goodwill, retained earnings, and translation adjustments decreased by ¥857 million, ¥2,791 million,and ¥64 million as of the beginning of the consolidated first quarter. At the same time, capital surplus increased by¥1,998 million. The effect of these accounting changes on operating profit, ordinary income, and income before
income taxes and minority interests during the consolidated first quarter is minimal.

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NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

3. Quarterly Consolidated Financial Statements(1)

Quarterly Consolidated Balance Sheets(Millions of yen)
Prior Consolidated
Fiscal Year
(March 31, 2014)ASSETS
Current assets
Cash and time deposits
Notes and accounts receivable
Merchandise and finished goods
Work in process
Raw materials and supplies
Deferred tax assets
Other
Less allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Intangible fixed assets
Goodwill
Technology-based assets
Other
Total intangible fixed assets
Investments and other assets
Investments in securities
Long-term loans receivable
Deferred tax assets
Other
Less allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets-6-

First Quarter,
Current Consolidated
Fiscal Year
(June 30, 2014)

34,980202,996
53,075
1,344
3,039
4,537
7,324
(936)
306,362

31,745
206,131
54,234
1,534
3,404
3,826
7,059
(923)
307,01263,91463,89629,78018,517
4,731
53,03028,49018,124
4,438
51,052

66,275
1,168
2,702
4,906
(218)
74,832
191,778
498,141

72,398
1,130
2,794
4,628
(217)
80,734
195,683
502,696

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

(Millions of yen)
Prior Consolidated
Fiscal Year
(March 31, 2014)
LIABILITIESCurrent liabilities
Notes and accounts payable
Short-term loans
Current portion of long-term loans
Current portion of bonds
Accrued income taxes
Deferred tax liabilities
Accrued bonuses for employees
Accrued bonuses for directors
Other
Total current liabilities
Long-term liabilities
Bonds
Long-term loans
Deferred tax liabilities
Net defined benefit liability
Other
Total long-term liabilities
Total liabilities
Net Assets
Shareholders’ equity
Common stock
Capital surplus
Retained earnings
Less treasury stock, at cost
Total shareholders’ equity
Accumulated other comprehensive income (loss)
Net unrealized holding gain on securities
Deferred (loss) gain on hedges
Translation adjustments
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets-7-

The First Quarter,
Current Consolidated
Fiscal Year
(June 30, 2014)

105,014
28,818
6,596
−
3,720
24
4,045
232
15,195
163,646

107,422
29,1186,595
10,000
1,059
23
2,219
68
15,790172,297

30,00027,14012,506
11,875
1,080
82,603
246,249

20,00027,207
14,418
11,9601,005
74,591
246,888

9,699
10,242
206,351(6,916)219,377

9,699
12,259205,384(6,916)
220,426

24,725
(0)
2,239
380
27,346
5,168
251,892
498,141

28,595
3
1,559
308
30,466
4,913
255,807502,696

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements ofComprehensive Income(Quarterly Consolidated Statement of Income)(Cumulative First Quarter)(Millions of yen)
Cumulative First Quarter,
Prior Consolidated
Fiscal Year
(April 1, 2013 - June 30, 2013)

Cumulative First Quarter,
Current Consolidated
Fiscal Year
(April 1, 2014 - June 30, 2014)

171,328
149,153
22,17418,004
4,169

181,337
159,11222,224
17,793
4,431

54
598
74
102
340
151
1,323

49
590
65
172
14
113
1,006

258
128
386
5,106

264
83
347
5,089

22
167
118
308

14
−
−
14

11
17
−
0
−
29
5,385
1,736
(62)
1,674
3,710
183
3,527

1
16
37
0
20
76
5,027
871
532
1,404
3,623
110
3,512

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Rent income
Equity in earnings of affiliates
Foreign exchange gain
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary income
Extraordinary gains
Gain on sales of non-current assets
Gain on sales of investment securities
Other receivables
Total extraordinary gains
Extraordinary losses
Loss on sales of non-current assets
Loss on disposal of non-current assets
Impairment loss
Loss on sales of investments securities
Loss on sales of investments in capital
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
Net income-8-NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

(Quarterly Consolidated Statements of Comprehensive Income)(Cumulative First Quarter)(Millions of yen)
Cumulative First Quarter,
Prior Consolidated
Fiscal Year
(April 1, 2013 - June 30, 2013)

Cumulative First Quarter,
Current Consolidated
Fiscal Year
(April 1, 2014 - June 30, 2014)

3,710

3,623

3,150
1
1,587
247

3,867
3
(573)
(72)

121

(110)

5,107
8,818

3,114
6,738

8,372

6,677

445

60

Income before minority interests
Other comprehensive income
Net unrealized holding gain on securities
Deferred (loss) gain on hedges
Translation adjustments
Remeasurements of defined benefit plans
Share of other comprehensive income of affiliates
accounted for by the equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:Comprehensive income attributable to shareholders of
the Company
Comprehensive income attributable to minority interests-9-

NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015(4) Notes related to Quarterly Consolidated Financial Statements(Assumption for Going Concern)
No matters to report.
(Segment Information, etc.)
I

Three months ended June 30, 2013 (consolidated)
1. Information related to net sales and income (loss) by reportable segment(Millions of yen)
Reportable Segments
AdvancedElectronics Automotive
FunctionalLife &
Materials &Materials& Energy Healthcare
Processing

Total

Other
(Note) 1

Total

Corporate(Note) 2

To Quarterly
Consolidated
Adjustments
Statements of(Note) 3
Income(Note) 4

Net sales
Sales toCustomers

41,14555,93032,50623,217

18,334

171,134

193

171,328−−

171,328

Intersegment
sales and transfers

753

482

175

432

106

1,950

1,221

3,171

−

(3,171)−

Total

41,89856,41332,681

23,65018,440173,085

1,414

174,499−(3,171)

171,328

1,126

779

1,761

416

1,102

5,186

65

5,252

(1,259)

177

4,169

Segment Income(Loss)(Notes)1. Other is a business segment consisting of businesses not included in reportable segments, and includes distribution services, information
processing services, and professional services.
2. Corporate segment income represents expenses not allocated to reportable segments or Other.
3. Adjustments are eliminations of intersegment translations.
4. The sum of segment income (loss) totals, Corporate and Adjustments is equivalent to operating profit as presented in the consolidated
statements of income.

II Three months ended June 30, 2014 (consolidated)
1. Information related to net sales and income (loss) by reportable segment(Millions of yen)
Reportable Segments
Advanced
Functional
Automotive
Life &
Materials & Electronics
Materials& Energy Healthcare
Processing

Total

Other
(Not) 1

Total

Corporate(Not) 2To Quarterly
Consolidated
Adjustments
Statements of(Not) 3
Income(Not) 4

Net sales
Sales toCustomers

41,78659,90534,86025,66918,921

181,143

193

181,337−−

181,337

Intersegment
sales and transfers

797

557

191

671

68

2,286

1,308

3,594

−

(3,594)−

Total

42,58360,46235,052

26,34018,990183,429

1,502

184,931−(3,594)

181,337

993

1,000

1,437

538

1,039

5,009

63

5,073

(786)

144

4,431

Segment Income(Loss)(Notes)1. Other is a business segment consisting of businesses not included in reportable segments, and includes distribution services, information
processing services, and professional services.
2. Corporate segment income represents expenses not allocated to reportable segments or Other.
3. Adjustments are eliminations of intersegment translations.
4. The sum of segment income (loss) totals, Corporate and Adjustments is equivalent to operating profit as presented in the consolidated
statements of income.

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NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

2 Changes in Reportable Segments(Changes in Business Classifications)
Beginning with the consolidated first quarter, the low-power semiconductor design development business, which
had been categorized under the Electronics segment, is now categorized under the Automotive & Energy segment.
We believe this will promote technological development with businesses more closely related toenvironment/energy-related technologies.
Segment information for the consolidated first quarter of the prior period reflects these segment changes.
The following describes the major products and services handled by each reportable segment.
The Functional Materials segment is engaged in the sales of materials for paints/inks, urethane materials, plastic
materials, plastic additives, industrial oil solutions, surfactants, fluorochemicals, encapsulant materials, andsilicone materials and more for the paints/inks, resins, urethane foam, organic synthesis, surfactants,
semiconductor industries.
The Advanced Materials & Processing segment is engaged in the sales of dyestuffs, dyes, functional dyes,
information printing products, thermoplastic resins, thermosetting resins, synthetic rubber, inorganic materials,
plastics products, resins molding tools/dies, external inspection equipment for the dye/additive, information
printing, fiber processing, raw resin material, resin molding, functional film and sheet and other industries.
The Electronics segment is engaged in the sales of pre-processing materials and devices for LCD/semiconductors,
materials for LCD panels, materials and devices for semiconductor assembly, low-temperatures/vacuum
equipment, high-function epoxy resins, precision electronics abrasives, and more for the display, touch panel,
LCD, semiconductor, HDD, electronic components, heavy electrical, and other industries.
The Automotive & Energy segment is engaged in sales of plastic products, thermoplastic resins, thermosetting
resins, resins molding tools/dies, battery materials, solar cell/secondary battery-related materials and more for the
automotive, automotive component, and energy industries.
The Life & Healthcare segment is engaged in the sales of pharmaceutical/agricultural chemicals and materials,
research products, in vitro diagnostics, enzymes, food additives, additives for cosmetics, feeds/fertilizers, andsurfactants for the pharmaceutical, food, and cosmetics industries. The segment offers radiation measurement as
one of its main services. In addition, this segment sells cosmetics, health foods, and beauty foods directly to
consumers.
(Significant Fluctuations in Shareholders’ Equity)
No matters to report.
(Significant Subsequent Events)
No matters to report.

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NAGASE & CO., LTD. (8012)
Consolidated Financial Statements for the First Quarter of the Fiscal Year Ending March 31, 2015

4. Supplementary Information(1) Overseas Sales
Three months ended June 30, 2013 (consolidated)

I

Overseas Sales(Millions of yen)

Northeast Asia

Southeast Asia

North America

Europe & Others

43,51827,753

6,386

5,161

II Consolidated sales(Millions of yen)
III Ratio of overseas sales toconsolidated sales (%)

Total
82,819171,328

25.4

16.2

3.7

3.0

Northeast Asia

Southeast Asia

North America

Europe & Others

49,45327,506

7,663

3,607

48.3

Three months ended June 30, 2014 (consolidated)

I

Overseas sales(Millions of yen)

II Consolidated sales(Millions of yen)
III Ratio of overseas sales toconsolidated sales (%)

Total
88,229181,337

27.3

15.2

4.2

2.0

(Notes)1. Sales in overseas markets consist of net sales of the Company and consolidated subsidiaries in other countries or regions.
2. Countries/regions are determined by geographical proximity.
3. Major countries in each region(1) Northeast Asia ......Taiwan, China(2) Southeast Asia......Singapore, Thailand(3) North America...... USA(4) Europe & Others......Germany- 12 -

48.7