Consolidated Financial Results for the Second Quarter Ended September 30, 2011
Asahi Holdings, Inc.
October 31, 2011
Stock code:

5857

Shares listed:Tokyo Stock Exchange (First Section)

U R L:

http://www.asahiholdings.com

Representative

Mitsuharu Terayama, Chairman, President and CEO

For further information please contact:

Hirohisa Yamaguchi, Department Manager, Planning(Phone) +81-3-6270-1833

Filing date of Quarterly Report:

November 11, 2011

Scheduled date of start of dividend payment:

November 30, 2011

Supplementary materials for the quarterly financial results: No
Investor conference for the quarterly financial results: Yes (for institutional investors, analysts)(Rounded down to the nearest million yen)
１．Results of the six months ended September 30, 2011 (From April 1, 2011 to September 30, 2011)（１）Results of operations (cumulative)(Percentage changes relative to previous corresponding period)
Net sales
The six months ended
September 30, 2011
September 30, 2010
(Note) Comprehensive income

Millions of yen％

Operating income

Ordinary income

Millions of yen

Millions of yen％

72,748 38.6
5,974
6.7
52,486 46.4
5,597 105.6
The six months ended September 30, 2011
The six months ended September 30, 2010
Net income per share

The six months ended
September 30, 2011
September 30, 2010

Net income％Millions of yen％

6,034 10.2
3,488
9.0
5,475 103.5
3,202 104.4
5,059 million yen (66.3%)
3,042 million yen (－%)

Diluted net income per share

Yen
107.93
99.32

Yen－－

（２）Financial Position
Shareholders’equity ratio
As ofMillions of yen
Millions of yen％
September 30, 2011
68,577
38,691
56.3
March 31, 2011
59,14334,341
58.0(Reference) Shareholders’ equity
As of September 30, 2011 38,643 million yen
As of March 31, 2011
34,313 million yen
Total assets

Net assets

２．Dividend payments

Year ended March 31, 2011
Year ending March 31, 2012
Year ending March 31, 2012
(Forecast)

Dividends per share
Second quarter
Third quarter
Yen
Yen
25.00
－
30.00

First quarter
Yen－－－

Year-end
Yen
25.00

AnnualYen
50.00

30.00

60.00

(Note) Revisions in dividend forecast in the current quarter : No
３．Forecast (From April 1, 2011 to March 31,2012)(Percentage changes relative to previous corresponding period)
Net income
Operating incomeOrdinary income
Net income
per share

Net sales
Millions of Yen

Year ending March 31, 2012

135,000％

22.2

Millions of Yen％

Millions of Yen％

11,0003.2

11,0004.7(Note) Revisions in forecast in the current quarter : No

Millions of Yen ％

6,500

5.8

Yen

200.93

４．Other（１）Changes in important subsidiaries during the current quarter : No
（２）Application of special accounting methods for quarterly consolidated financial statements : No（３）Changes in accounting policies, accounting estimates and restatement(i) Changes in accounting policies resulting from the revision of the accounting standards and otherregulations: No(ii) Changes other than (i) above: No(iii) Changes in accounting estimates: No(iv) Restatement: No（４）Number of issued shares (common stock)(i) Number of issued shares at the quarter end (including treasury shares)
36,254,344 shares
As of September 30, 2011
As of March 31, 2011
36,254,344 shares(ii) Number of treasury shares at the quarter end
3,906,289 shares
As of September 30, 2011
As of March 31, 2011
3,953,239 shares(iii) Averaged number of shares during the period (quarterly cumulative period)
32,325,519 shares
Six months ended September 30, 2011
Six months ended September 30, 2010
32,239,530 shares*Indication regarding the situation of quarterly review procedures
These financial results are not subject to the quarterly review procedures pursuant to the Financial
Instruments and Exchange Act. As of the disclosure of the financial results, the procedures for reviewing
quarterly financial statements pursuant to the Financial Instruments and Exchange Act are in progress.
*Statement regarding the proper use of financial forecasts and other special remarks
These forecast performance figures are based on the information currently available to the Company’s
management and certain assumptions judged rational. Accordingly, these might be cases in which actual
results materially differ from forecasts of this report. Please refer to page 2 “(3) Qualitative Information on
Consolidated Performance Forecasts”.

【Appendix】

Table of contents of the appendix

1. Qualitative Information ..........................................................................................................................2(1) Qualitative Information on Consolidated Business Performance ............................................................2(2) Qualitative Information on Consolidated Financial Position...................................................................2(3) Qualitative Information on Consolidated Performance Forecasts ...........................................................2
2. Notes Regarding Summary Information ................................................................................................2
3. Consolidated Financial Statements........................................................................................................3(1) Consolidated Balance Sheets .............................................................................................................3(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income....4
Consolidated Statements of Income for the six months ended September 30, 2011........................................ 4
Consolidated Statements of Comprehensive Income for the six months ended September 30, 2011 .............. 4(3) Consolidated Statements of Cash Flows ...........................................................................................5(4) Notes on Assumptions for Going Concern.........................................................................................6(5) Segment Information, etc...................................................................................................................6(6) Notes in case of Significant Changes to Shareholders’ Equity ........................................................61

1. Qualitative Information(1) Qualitative Information on Consolidated Business Performance
During the six months of the fiscal year under review (six months ending September 30, 2011), theJapanese economy remained in a severe situation, due to the influence of Great East Japan Earthquake, theglobal economic recession and the continuation of historically high level Japanese yen. The future outlook of
the Japanese economy is expected to be unpredictable as well.
Under these circumstances, regarding precious metal recycling business, the volume of collected metals(gold, silver, palladium and platinum) and the average sales prices were higher than those of previous
corresponding period, due to the market price of metals staying at high level and the efforts in acquiring newcustomers. We expeditiously performed hedge operations to secure stable revenues and profits during periodsof volatile precious metal price fluctuation.
Regarding environmental protection business, though the influence from the earthquake disaster were still
remained, due to the recovery of domestic production activities and demand for the stricken area, thetransaction volume of waste liquid, waste oil, and medical-related wastes were stable and the treatment
volume of them were higher than the previous corresponding period, except for the volume of photographic
effluent which continues to decrease because of photo-digitalization.
As a result of the above, as consolidated results for the six-month period, we recorded net sales of 72,748
million yen, up 20,261 million yen (+38.6%) year-on-year; operating income of 5,974 million yen, up 377
million yen (+6.7%) year-on-year; ordinary income of 6,034 million yen, up 558 million yen (+10.2%)
year-on-year; and net income of 3,488 million yen, up 286 million yen (+9.0%) year-on-year.
Looked at by segment, sales in the precious metal recycling business were 65,985 million yen, up 20,226
million yen (+44.2%) year-on-year; and sales in the environmental protection business were 6,762 million yen,
up 35 million yen (+0.5%) year-on-year.

(2) Qualitative Information on Consolidated Financial Position
As of September 30, 2011, total assets amounted to 68,577 million yen, up 9,434 million yen from theprevious fiscal year end. This was due mainly to an increase of 2,489 million yen in notes and accounts
receivable-trade, an increase of 4,626 million yen in inventories.
Total liabilities amounted to 29,886 million yen, up 5,084 million yen from the previous fiscal year end.
This was due mainly to an increase of 5,900 million yen in short-term loans payable.
Net assets increased 4,349 million yen from the end of the previous fiscal year, to 38,691 million yen. Thiswas due mainly to the increase in retained earnings resulting from the recording of 3,488 million yen inquarterly net income.
As a result, the shareholders’ equity ratio changed to 56.3%, from 58.0% at the end of the previous fiscalyear.
Net cash used in operating activities amounted to 2,475 million yen due mainly to 6,115 million yen ofincome before income taxes and minority interests, 1,129 million yen of depreciation and amortization, 4,606
million yen of increase in inventories, 2,331 million yen of increase in notes and accounts receivable-trade,and 2,493 million yen of income taxes paid.
Net cash used in investing activities amounted to 1,374 million yen due mainly to 671 million yen in
payments for purchase of property, plant and equipment.
Net cash provided by financing activities amounted to 4,522 million yen due mainly to 5,276 million yenincrease of loans payable and 807 million yen in payments for cash dividends paid.
As a result, Cash and cash equivalents as of September 30, 2011, increased 698 million yen from March 31,
2011, to 2,948 million yen.

(3) Qualitative Information on Consolidated Performance Forecasts
Forecasts for full-year performance in the fiscal year 2011 (ending March 2012) remain unchanged fromforecasts announced in the Notification of an upward revision of the Medium-Term Management Plan
released October 27, 2011.

2. Notes Regarding Summary Information
Not applicable23. Consolidated Financial Statements(1) Consolidated Balance Sheets
As of
September 30,
2011
Millions of yen

As ofSeptember 30,
2011
Thousands of
U.S.dollars

2,321
4,754
5,914
12,509530
3,312(10)29,332

3,023
7,243
6,912
16,217
450
4,730
(8)
38,56939,447
94,50390,177
211,582
5,877
61,719(115)
503,191

9,349
12,563
4,644
26,557

9,798
12,7483,856
26,403

127,837
166,325
50,307344,469

2,036
519
2,556
697
29,81159,143

2,128
538
2,666
938
30,007
68,577

27,766
7,021
34,787
12,238391,493894,684

3,405
9,448
1,000
2,512
741
28
100
59
3,180
20,475

4,131
15,348
1,000
2,531
669
15
37
20
2,327
26,08153,895200,235
13,04633,023
8,740
202
489
273
30,365340,268

As ofMarch 31,2011
Millions of yen
ASSETS
Current assets
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures, netLand
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Total noncurrent assets
Total assets
LIABILITIESCurrent 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 directors’ bonuses
Provision for repairs
Provision for loss on disaster
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
2,500
2,000
26,093
Provision for retirement benefits
20559782
Other
1,620
1,744
22,764
Total noncurrent liabilities
49,6384,325
3,804
Total liabilities
389,90724,801
29,886NET ASSETS
Shareholders’ equity
Capital stock
58,4584,480
4,480
Capital surplus
79,365
6,074
6,083
Retained earnings
426,062
29,97632,657
Treasury stock(74,714)(5,795)(5,726)
Total shareholders’ equity
489,171
34,73637,494
Accumulated other comprehensive income
292
Valuation difference on available-for-sale securities
3322
Deferred gains or losses on hedges
15,649(374)
1,199
Foreign currency translation adjustment(959)(81)(73)
14,982
Total accumulated other comprehensive income
(422)
1,148
Subscription rights to shares
623
28
47
TOTAL NET ASSETS
504,777
34,341
38,691
894,684
TOTAL LIABILITIES AND NET ASSETS
59,143
68,577
U.S. dollar amounts represent translations using the approximate exchange rate on September 30, 2011 ofYen76.65=US$1, and are included solely for the convenience of readers.

3(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Consolidated Statements of Income for the six months ended September 30, 2011Net salesCost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Non-operating expenses
Ordinary income
Extraordinary income
Extraordinary loss
Income before income taxes and minority interests

Income taxes-current
Income taxes-deferred
Total income taxes
Income before minority interests
Net income

The six months
ended September 30,
2010
Millions of yen

The six months
ended September 30,
2011
Millions of yen

The six months
ended September 30,
2011
Thousands ofU.S.dollars

52,48644,633
7,853
2,255
5,597
35156
5,475
1
85,468752
1,513
2,265
3,202
3,202

72,74864,356
8,392
2,417
5,974
85
26
6,034
159
78
6,115
2,484
142
2,626
3,488
3,488

949,099
839,610
109,489
31,53877,951
1,116
342
78,7252,078
1,020
79,78332,414
1,854
34,26845,51545,515

Consolidated Statements of Comprehensive Income for the six months ended September 30, 2011
The six months
ended September 30,
2010
Millions of yen

Income before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Share of other comprehensive income of associates
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of the parent
Comprehensive income attributable to minority interests

The six months
ended September 30,
2011
Millions of yen

The six months
ended September 30,
2011
Thousands ofU.S.dollars

3,202

3,488

45,5151(123)
(34)

(11)
1,574
13

(148)
20,536
181

(2)

(5)

(75)

(159)
3,042

1,570
5,059

20,49466,0093,042－

5,059－

66,009－U.S. dollar amounts represent translations using the approximate exchange rate on September 30, 2011 of
Yen76.65=US$1, and are included solely for the convenience of readers.

4(3) Consolidated Statements of Cash FlowsNet cash provided by (used in) operating activities
Income before income taxes and minority interests
Depreciation and amortization
Amortization of goodwill
Increase (decrease) in provision for retirement benefits
Interest and dividends incomeInterest expenses
Loss (gain) on sales and retirement of noncurrent assets
Loss (gain) on valuation of investment securities
Decrease (increase) in notes and accounts receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade
Increase (decrease) in accounts payable-other
Other, net
SubtotalInterest and dividends income received
Interest expenses paid
Income taxes paid
Income taxes refund
Net cash provided by (used in) operating activities
Net cash provided by (used in) investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Proceeds from collection of guarantee deposits
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchase of intangible assets
Purchase of stocks of subsidiaries and affiliates
Other, net
Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable
Repayment of long-term loans payable
Repayments of finance lease obligations
Purchase of treasury stock
Proceeds from sales of treasury stock
Cash dividends paid
Net cash provided by (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 period

The six
months ended
September 30,
2010
Millions of yen

The six
months ended
September 30,
2011
Millions of yen

The six
months ended
September 30,
2011
Thousands ofU.S.dollars

5,468
949
126
54
(12)
19
60(1,139)
191
1,301
150(510)
6,605
15(17)(2,237)
1,619
5,984

6,115
1,129
148
(157)
(10)
20
39
38(2,331)(4,606)673(400)(1,405)(747)
8(21)(2,493)776(2,475)79,783
14,732
1,937(2,055)
(131)
267
516
502
(30,423)(60,097)
8,786(5,230)(18,341)(9,753)
114(275)(32,525)
10,136(32,302)

(786)
1,001
25
(1,335)
7(23)
(933)
(56)
(2,102)－
23
13(671)
0
(100)
(471)
(167)
(1,374)－300
175(8,765)3(1,315)(6,145)(2,185)(17,932)(5,598)
3,000
(0)
(6)
(0)
70
(805)
(3,341)
(40)
501
1,711
2,212

5,853－(576)
(24)
(0)
78
(807)
4,522
26
698
2,250
2,948

76,367－(7,527)
(316)
(5)
1,019
(10,533)
59,004343
9,113
29,35738,470U.S. dollar amounts represent translations using the approximate exchange rate on September 30, 2011 of
Yen76.65=US$1, and are included solely for the convenience of readers.

5(4) Notes on Assumptions for Going Concern
Not applicable(5) Segment Information, etc.
[Segment information]
Ⅰ For the six months ended September 30, 2010(From April 1, 2010 to September 30, 2010)
1. Information on sales and income (loss) by reporting segment(Millions of Yen)
Precious metal
recycling business

Environmental
protectionbusiness

1) Customers
2) Intersegment

45,759－6,726－

52,486－

Total

45,7596,726

52,486

4,803

794

5,597

Total

Net sales

Segment income(Note) Total segment income matches operating income recorded on the consolidated statements of income.
2. Impairment losses on noncurrent assets, goodwill, etc. by reporting segment
Not applicable
Ⅱ For the six months ended September 30, 2011(From April 1, 2011 to September 30, 2011)
1. Information on sales and income (loss) by reporting segment(Millions of Yen)
Precious metal
recycling business

Environmental
protectionbusiness

65,985

6,762

72,748－－－65,985

6,762

72,748

5,221

753

5,974

Total

Net sales
1) Customers
2) Intersegment
TotalSegment income(Note) Total segment income matches operating income recorded on the consolidated statements of income.
2. Impairment losses on noncurrent assets, goodwill, etc. by reporting segment
Not applicable(6) Notes in case of Significant Changes to Shareholders’ Equity
Not applicable6