ANNUAL REVIEW 2015
For the Year Ended March 31, 2015

T he w a y o f m utua l pro gre ss

PRESIDENT’S MESSAGE

Yushiro Chemical Industry Co., Ltd. has contributed to theprogress and material development of Japan by supplying quality
oil-fat-wax (yu-shi-ro) products. We have succeeded in developing
and offering to virtually all industrial markets such auxiliary
products as metalworking oils and fluids, polishing agents forbuilding maintenance. To respond to the needs of the industry,
every technology we have acquired will be fed back to our R&D
process for the creation of newer technologies and products basedon our corporate ideal of “the way of mutual progress.”

Eiichi Ogo
PRESIDENT

Business summary
During this consolidated fiscal year, the global economy overall experienced acontinued moderate pace of recovery in the absence of any major negative
factors. The economy in the United States, which supports the global
economy, maintained a recovery trend driven by the expansion of private
sector-led demand. The economy in Asia also continued to grow, although at
a moderate pace due to the differing growth rates in each country. The
Japanese economy witnessed a similar recovery trend. The economy inEurope, although picking up partly as a result of low oil prices in theEurozone, nonetheless continued to experience a weak pace of recovery
compared with other economic zones.
Under these circumstances, the volume of overseas production by domestic
automobile manufacturers, our main customers, surpassed the preceding
fiscal year, with seven companies recording all-time production highs. In
contrast, despite expectations for the recovery of domestic production on thestrength of yen depreciation, the volume of production remained below thepreceding fiscal year due to sluggish domestic demand partly attributable tothe impact of the consumption tax hike in April.
As a result, in terms of our Group’s business results, net sales in Japan grew
8.3% over the previous fiscal year to ¥29,061 million, backed by increased
sales posted by overseas subsidiaries, excluding Brazil where the economy was
lackluster, and yen depreciation. In terms of profit, operating income rose
11.4% to ¥1,569 million thanks to increased sales and yen depreciation.
Ordinary income increased 10.3% over the previous fiscal year to ¥2,521
million, and net income rose 13.9% to ¥1,703 million.

Business segment(

Previous Fiscal Year
April 1, 2013 throughMarch 31, 2014

) (Current Fiscal Year
April 1, 2014 throughMarch 31, 2015

Increase/) Decrease

Million yen%

Million yen

%

%

Japan

16,18960.3

16,327

56.2

100.8

North and South America

4,118

15.4

4,818

16.6

117.0

China

3,652

13.6

4,476

15.4

122.6

Southeast Asia / India

2,872

10.7

3,438

11.8

119.7

Total

26,833100

29,061

100.0

108.3

M e d i u m a n d L o n g - Te r m P l a n
In the automobile industry, which is the main customer of our products,
manufacturers are shifting production sites offshore, and the domestic
market is contracting. Meanwhile, production is forecast to trend upwards
globally due to growth markets in China and emerging countries as well as
recovery of the North American market. Net sales of metalworking oils andfluids, our key products, are highly reliant on the automobile industry, andgoing forward, we will actively invest management resources in regions withexpanding markets to grow our business performance. In addition, we willbuild strategies and structures capable of continuously improving profit andprofitability and boost our competitiveness amidst the sharp rise in the priceof raw materials due to yen depreciation.
Based on this understanding, we are following the basic policies below in the
17th Medium-Term Plan that started in April 2014 and deploying businesswith a global viewpoint throughout the world in addition to Japan.

11. Start up new production bases in India and Mexico, and acceleratebusiness expansion in the three segments of Southeast Asia/India, Northand South America, and China. At the same time, reinforce the researchand development structure in each segment, start up the ASEAN
Technical Center in Thailand, expand research facilities in the UnitedStates, and actively develop and launch new products that support
technology and local needs, including in Mexico.
2. Create an organization that integrates sales and technology, andimprove customer satisfaction by speeding up customer service andproduct development. Also, reorganize the agency network to boost
sales.
3. Leverage the Yushiro global network to improve profits in Japan andoverseas through accurate assessment of raw material information,
selection of best suppliers, and supply of all product categories from thebest production base.
4. Investigate development and commercialization of chemical productswith applications in civil engineering and infrastructure sectors as wellas aim to enter new business sectors through adoption of technology,
business alliances and M&As.

Future Issues and Challenges
We believe that we will need to tackle the following issues in order to makeeffective use of our overseas sites in North and South America, China, andSoutheast Asia/India and boost our earnings amidst the global expansion in
automobile production.
1. Structures to support global expansion of our business (secure and train
human resources, including staff in each region, strengthen
coordination between Japan and overseas)
2. Development of products that are differentiated from those of ourcompetitors and reinforcement of service systems
3. Creation of a purchasing network that can adjust to fluctuations in raw
material prices
4. Strengthened corporate governance for overseas subsidiaries andaffiliates

Basic policy for profit distribution
The Company’s basic policy for profit distribution is to provide shareholder
returns in consideration of our global business expansion and consolidated
business results. Shareholder returns are determined upon consideration of
the capital investments that are required to improve corporate value.
Yen in millions

Fiscal Years ended March 31,

Net sales
Operating income

U.S. dollars in thousands

2015

2014

2015

¥29,061¥26,833$241,836

1,569

1,409

13,062

Net income

1,703

1,495

14,173

Total assets

38,50634,856

320,435

Net assets

29,01525,604

241,456

Per Share Amounts
Net income per share
Cash dividends per share
Net assets per share

Yen

U.S. dollars¥122.94¥107.97$1.02

38.00

34.00

0.31

1,967.67

1,743.00

16.37

Notes : 1. U.S. dollar amounts, converted at the rate of ¥120.17 to US$1.00, are for convenience only.
2. Net income per share is based on the average number of shares outstanding at the end of each fiscal year.
3. Japanese yen amounts of less than one million have been excluded.

2

REVIEW OF OPERATIONSThe Yushiro Group consists of Yushiro Chemical Industry Co.,
Ltd., three domestic subsidiaries, twelve overseas subsidiaries
and three affiliates, and its major businesses are the production
and sales of metalworking oils and fluids, chemicals for building
maintenance. We have also expanded our business to include thepurchase and sale of products related to each business, logistics
and other services.

Review of Operations by Region
1. JapanIn the metalworking oils and fluids business, despite a difficult business environment
evidenced by lackluster domestic automobile production due to a slump in domestic
demand, net sales exceeded those of the previous fiscal year as a result of sales
expansion. In the building maintenance chemicals business, net sales fell short ofthose of the previous fiscal year due to the impact of the consumption tax hike.
As a result, net sales in Japan increased 0.8% over the previous fiscal year to ¥16,327
million. Segment income (operating income) fell 1.6% to ¥581 million.
2. North and South America
In North and South America, net sales and profit exceeded those for the previous
fiscal year thanks in part to increased demand from Japanese automobile
manufacturers, our main customers, and the acquisition of new customers among
American automobile manufacturers in view of the robust domestic economy in the
United States. Net sales in Mexico, where a new plant was established in July 2014,
also exceeded those of the previous fiscal year for the same reasons as outlined for theUnited States. Profits, however, were below the previous fiscal year as a result of
increased startup costs incurred on the new plant. Meanwhile, in Brazil, automobile
production declined sharply from the previous fiscal year due to the double impact ofan economic recession and high inflation, resulting in net sales and profit both falling
below those of the previous fiscal year.
As a result, net sales rose 17.0% over the previous fiscal year to ¥4,818 million.
Segment income (operating income) fell 16.8% from the previous fiscal year to ¥173
million.
3. China
The automobile industry in China experienced a sharp slowdown in growth,
although the volume of automobile production exceeded the previous fiscal year.
Japanese automobile manufacturers in China saw their market share eroded byAmerican and European automakers. In addition, the steel industry witnessed the
reduced growth of steel production due to the real estate market entering an
adjustment phase, mainly in the housing market.
As a result of these circumstances, net sales grew 22.6% over the previous fiscal yearto ¥4,476 million, backed by expansion in sales of cutting oil, the main product.
Segment income (operating income) increased 53.9% over the previous fiscal year to¥636 million.
4. Southeast Asia/India
In Thailand and India, the volume of automobile production fell short of theprevious fiscal year, while production in Indonesia grew sluggishly. Net sales,
however, surpassed those of the previous fiscal year as the result of expansion in sales
to Japanese automobile manufacturers and the acquisition of new customers. In
Malaysia, domestic business faced an uphill battle due to a downturn in automobile
production. Net sales nonetheless exceeded those of the previous fiscal year, backed
by increased exports to the Philippines and Vietnam. Meanwhile, ATC (ASEAN
Technical Center) in Thailand, which started becoming fully operational in April
2014, embarked on the development of products meeting the needs of the local
market and has achieved good results, albeit at a gradual pace.
As a result, net sales rose 19.7% over the previous fiscal year to ¥3,438 million.
Segment income (operating income) fell 5.9% from the previous fiscal year to ¥199
million due to increased costs associated with the start of production at the plant inIndia, which became fully operational in April 2014.
New Subsidiary
The Company acquired Japan Cee-Bee Chemical Co., Ltd. (hereafter referred to as
JCBC) and made it a subsidiary on April 13, 2015. The purposes of the acquisition
and the synergies to be gained include supplementing the Company’s core businessand to expand JCBC’s business by leveraging the Company’s overseas production
bases.

3

Subsidiaries and Associated Companies
Overseas Subsidiaries
Yushiro Manufacturing America Inc.
783 West Mausoleum Road, P.O. Box 217
Shelbyville, Indiana 46176-9720 U.S.A.
Phone: (1) 317-398-9862 Fax: (1) 317-392-4818
URL: http://www.yushirousa.com/
Yushiro Mexico S.A. de C.V.
Plaza de la No.100 Interior 115 Edificio Puerto Interior Pisa 1
Colonia Puerto Interior. CP 36275 Silao. Guanajuato. Mexico
Phone: (52)-449-9123-133 ext.2
Yushiro do Brasil Indústria Química Ltda.
Av. Henry Néstle, 3100 Caçapava, CEP 12281-970,
São Paulo, Brazil
Phone: (55) 12-3654-8100 Fax: (55) 12-3654-8101
Shanghai Yushiro Chemical Industry Co., Ltd.
881 Fulian Road, Baoshan District,
Shanghai City, P.R. China 201906
Phone: (86) 21-3604-1188 Fax: (86) 21-3604-0666
URL: http://www.yushiro.com.cn/
Qidong Yushiro Chemical Industry Co., Ltd.
New Qidong Port North
Qidong City, Jiangsu, Province, P.R. China 226264
Phone: (86) 513-8369-9942 Fax: (86) 513-8369-9943
URL: http://www.yushiro.com.cn/
Yushiro Malaysia Sdn. Bhd.
14, Jalan Utama 2/28, Pusat Perindustrian Maju Jaya,
47100 Puchong, Selangor Darul Ehsan, Malaysia
Phone: (60) 3-8061-9737 Fax: (60) 3-8062-2731
URL: http://www.yushiro.com.my/
Yushiro (Thailand) Co., Ltd.
AMATA Nakorn Industrial Estate 700/533 Moo7,
Don Hua Roh, Muang, Chonburi 20000, Thailand
Phone: (66) 3845-4873 Fax: (66) 3845-4879
Yushiro India Company Private Limited
201, JMD Regent Square, M.G.Road,
Gurgaon-122002 (Haryana), India
Phone: (91)124-424-1650 Fax: (91)124-424-1652
PT. Yushiro Indonesia
JI. Maligi, Blok B-2B, Kawasan Industry KIIC,
Karawang 41361-West Java, Indonesia
Phone: (62)21-8911-4271 Fax: (62)26-7845-7934
Overseas Associated Companies
Buhmwoo Chemical Ind. Co., Ltd. & Buhmwoo Co., Ltd.
70-3, Yangjae-Dong, Seocho-gu, Seoul, Korea
Phone: (82) 2-571-6321 Fax: (82) 2-571-6329
URL: http://www.buhmwoo.com/
San-I Chemical Co., Ltd.
7th Fl. No.48 Ming Chuang W. Rd., Taipei, Taiwan R.O.C.
Phone: (886)-02-2522-1313 Fax: (886)-02-2522-1363
URL: http://www.san-i.com.tw/Business on metalworking oils and fluids
What is "metalworking oils and fluids"• Fluids used for processing steel and other metals into specific shapes.
• Important areas of fluid performance include lubricity, cooling ability, etc.
• Mainly used in the automotive, precision processing and semiconductor
processing industries.
Products• Cutting and Grinding Oils and Fluids• Aluminum Diecasting Lubricants• Cutting Oils and Fluids for Advanced-Material• Cleaners• Rust Preventives• Rolling Oils and Fluids• Drawing Oils and Fluids• Forming Oils and Fluids• Quenching Agents• Fire Resistant Hydraulic Lubricants• Other Oils and Fluids
Customers• Automobile companies• Precision machine processing companies• Steel companies• Electric equipment companies• Other machine processing companies

6
5
4
3

Automobile
60.8%
2

1

1. Automobile manufacturer andAutomobile related: 60.8%
2. Precision machinery: 15.0%
3. Ball bearing manufacturer: 5.6%
4. Steel industry: 3.5%
5. Photo Voltaic/semiconductor: 3.4%
6. Other: 11.7%

The Company’s advantages in the field of Cutting
and Grinding Oils and Fluids• Our overwhelming share in the automobile industry; morethan 60%
The Company features its production development capacities
and quick response to changes in the automobile industry
including rationalization, changes in materials and measures
to address environmental issues.
• Our wide human network interacts with users in different
industries at “The Society of Cutting Fluids & Cutting
Technology”
About the Society
The society was launched in 1954 as an on-site research group made up of
metal processing technology researchers, and has served as an officebridging academy and industry for 60 years.
Engineers with abundant on-site experience, beginning with those from
our automotive manufacturing customers, as well as those from machine
manufactures, tooling manufactures, etc., gather to exchange information
and work together to develop higher technologies and further nurture
their expertise. This group has served as a “training room” for theseexperts throughout the history of the industry. It is therefore no
exaggeration to say that this group is a national asset supporting productdevelopment, or monozukuri.

Note: Metalworking oils and fluids business: Metalworking oils and fluids are
manufactured and sold by Yushiro Chemical Industry Co., Ltd.
In overseas markets, metalworking oils and fluids are manufactured and sold by
the Company’s subsidiaries: Yushiro Manufacturing America Inc., in the UnitedStates; Yushiro do Brasil Ind. Quimica Ltda., in Brazil; Yushiro Mexico S.A. de
C.V. in Mexico; Shanghai Yushiro Chemical Industry Co., Ltd., Qidong Yushiro
Chemical Industry Co., Ltd., and Guangzhou Yushiro Oil & Fluids Co., Ltd., in
China; Yushiro Malaysia Sdn. Bhd., in Malaysia; Yushiro (Thailand) Co., Ltd., in
Thailand; Yushiro India Company Private Limited, in India; and
P.T.Yushiro Indonesia in Indonesia; and our affiliates: Buhmwoo Chemical
Industry Co., Ltd., and Buhmwoo Co., Ltd., in South Korea and San-I ChemicalCo., Ltd., in Taiwan.

Shares of sales by customers for the fiscal year
ended March 2015.

4

CONSOLIDATED BALANCE SHEETS(Unaudited)
As of March 31, 2015 and 2014

U.S. dollars
in thousands(Note 5)

Millions of yen

Assets

2015

2014

2015

Current assets:
Cash and time deposits
Notes and accounts receivable–tradeMarketable securities
Inventories¥6,010¥5,462$50,018

5,694

5,581

47,387

340

340

2,835

3,678

3,121

30,613

Deferred tax assets

192

195

1,601

Other current assets

477

396

3,969

Allowance for doubtful accounts

(51)

(70)

(426)

16,342

15,026135,998

Buildings and structures

4,230

3,199

35,204

Machinery, equipment and vehicle

1,506

895

12,537

Total current assets
Fixed assets:

Tools, furnitures and fixtures
Land

243

2,253

4,252

34,705

Lease assets

32

21

271

Construction in progress

613

1,421

5,104

10,824

10,03390,076

820

859

6,826

Investment in securities

3,872

3,175

32,227

Investments in subsidiaries and affiliates

5,381

4,528

44,782

7

5

59

Savings premium

559

530

4,657

Long-term time deposits

461

506

3,839

(Total property, plant and equipment)(Total intangible fixed assets)Long-term loans receivable

Deferred tax assets

23

24

197

Other assets

228

182

1,897

Allowance for doubtful accounts(Total investments and other assets)
Total fixed assets
Total assets

5

270
4,170

(15)

(15)

(128)

10,518

8,936

87,53322,163

19,829184,436¥38,506¥34,856$320,435

U.S. dollars
in thousands(Note 5)

Millions of yen

Liabilities and net assets
Current liabilities:
Notes and accounts payable–trade
Short–term borrowings
Accounts payable-otherAccrued corporate taxes
Accrued bonuses
Deferred tax liabilities
Other current liabilities
Total current liabilities

2015

2014

2015

¥3,760
1,773
657
174
506
5
845
7,723

¥3,768
1,422
689
192
452
9
773
7,308

$31,290
14,762
5,475
1,449
4,212
46
7,037
64,272Long-term liabilities:
Long-term debt
Accrued retirement allowances for directors
Net defined benefit liability
Deferred tax liabilities
Other long-term liabilities
Total long-term liabilities
Total liabilities

120
114
852
468
210
1,767
9,490

240
267
1,065
184
183
1,943
9,251

1,006
950
7,096
3,898
1,754
14,70678,978

Net assets:
Shareholders' equity
Common stock
Capital surplus
Retained earnings
Treasury stock
Accumulated other comprehensive income
Net unrealized gains on securities
Currency translation adjustments
Remeasurements of defined benefit plans(Total minority interests)
Total net assets
Total liabilities and net assets

26,3004,249
3,994
18,106
(50)
958
1,391
(328)
(104)
1,756
29,015¥38,506

25,036
4,249
4,058
18,183(1,454)(889)
875(1,635)(129)
1,457
25,604¥34,856

218,861
35,361
33,241150,676(417)
7,977
11,577(2,733)(866)
14,616
241,456$320,435

6

CONSOLIDATED STATEMENTS OF INCOME(Unaudited)
For the Years Ended March 31, 2015 and 2014

U.S. dollars
in thousands(Note 5)

Millions of yen

2015

2014

2015

¥29,061¥26,833$241,836

Cost of sales

20,934

19,416174,206

Gross profit

8,127

7,416

67,630

6,557

6,006

54,567

1,569

1,409

13,062

Interest and dividend income

221

178

1,846

Equity in earnings of associated companies

602

619

5,012

Other income

199

166

1,660

Interest expenses

32

20

274

Other expenses

38

68

321

Ordinary income

2,521

2,285

20,986

Gain from sale of fixed assets

70

4

582

Gain on sales of investment securities

Net sales

Selling, general and administrative expenses
Operating income

136

–

1,138

Other extraordinary income

5

3

43

Loss on disposal of fixed assets

1

10

14

Other extraordinary losses

0

10

4

2,731

2,272

22,733

Corporate, local income enterprise taxes

629

544

5,234

Deferred taxes

82

6

684

Income before income taxes

711

551

5,919

Income before minority interests

2,020

1,721

16,813

Minority interests

(317)

(225)

(2,639)¥1,703¥1,495$14,173

Total income taxes

Net income

Note: Amendments have been made to the categorization of some items recorded under Cost of sales, and Selling, general and administrative expenses inorder to more accurately reflect our business results starting from the current fiscal year. The comparison with the current fiscal year indicates post-amendment
figures.

CONSOLIDATED STATEMENTS OF CASH FLOWS(Unaudited)
For the Years Ended March 31, 2015 and 2014

U.S. dollars
in thousands(Note 5)

Millions of yen

2015

2015

¥1,525¥1,981$12,692

Cash flows from investing activities:(923)(2,756)(7,687)

Cash flows from financing activities:

(504)

(509)

(4,198)

Effect of exchange rate changes on cash and cash equivalents

246

252

2,051

Net increase (decrease) in cash and cash equivalents

343(1,032)

2,857

4,809

5,841

40,020¥5,152¥4,809$42,878

Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year

7

2014

Cash flows from operating activities:

IMPORTANT POINTS FORMING THE BASIS OFCONSOLIDATED FINANCIAL STATEMENTS
1. Scope of Consolidation
The scope of consolidation includes all 12 consolidated subsidiaries: Yushiro
Unso Co., Ltd., Yushiro General Service Co., Ltd., Yushiro Manufacturing
America Inc., Yushiro do Brasil Indústria Química Ltda., Yushiro Mexico
S.A. de C.V., Shanghai Yushiro Chemical Industry Co., Ltd., Qidong
Yushiro Chemical Industry Co., Ltd., Guangzhou Yushiro Oil & Fluids Co.,
Ltd., Yushiro Malaysia Sdn. Bhd., Yushiro (Thailand) Co., Ltd., Yushiro
India Company Private Limited, and P.T. Yushiro Indonesia.
2. Application of the Equity Method
The three affiliates, Buhmwoo Chemical Industry Co., Ltd., Buhmwoo Co.,
Ltd., and San-I Chemical Co., Ltd. are included in the scope of application
for the equity method.
3. Fiscal Years of the Consolidated Subsidiaries
The fiscal year-end of the overseas subsidiaries, with the exception of Yushiro
India Company Private Limited, is December 31. The fiscal year-end of
Yushiro India Company Private Limited is March 31. In preparing theconsolidated financial statements, results as of that date are used, provided
that necessary adjustments are made regarding material transactions
conducted between January 1 and March 31, the consolidation closing date.
4. Significant Accounting Policies(1) Valuation standard and methods for securities
In other securities, quoted securities are stated at market value at the
fiscal year-end. Unrealized gains/losses are included in net assets, andthe cost of securities sold is computed using the moving averagemethod.
Unquoted securities are accounted for on a cost basis using the moving
average method.
(2) Valuation standard and methods for inventories
The cost method by the aggregate monthly average method is adopted(i.e. the book value reduction method based on declines in
profitability.)(3) Depreciation method used for major depreciable assets
1. Tangible fixed assets (excluding leased assets)
The Company and its consolidated domestic subsidiaries use thedeclining-balance method (however, the straight-line method isadopted for laboratory test building at the Company’s technicalresearch center, on which construction was completed in 1997 andfor buildings acquired on or after April 1, 1998 (with the exceptionof annexed facilities)). Overseas consolidated subsidiaries generally
use the straight-line method. The main terms of useful service life are
3 to 50 years for buildings and structures and 2 to 20 years for othertangible fixed assets. Inexpensive depreciable assets costing ¥100,000
to ¥200,000 are equally amortized over 3 years on a straight-line
basis.
2. Intangible fixed assets (excluding leased assets)
The amortization of intangible fixed assets is conducted by thestraight-line method. Computer software for internal use isamortized by the straight-line method over the estimated useful life
(5 years).
3. Leased assets
Assets leased under finance lease transactions without a transfer ofownership
The straight-line method in which the lease term is deemed as theuseful life, with a zero residual value, is used.
4. Long-term prepaid expenses(4) Standards for conversion of foreign currency denominated assets andliabilities to Japanese yen
Debts and credits denominated in foreign currencies are converted toyen at the actual market exchange rate on the closing date. The effect of
exchange rate changes is recorded as a gain or loss.
(5) Reserves
1. Allowance for doubtful accounts
The allowance for doubtful accounts is provided for possible bad
debts at the amount estimated based on the past debt experience fornormal receivables, plus uncollectible amounts determined byreference to the collectability of individual doubtful receivables.
2. Accrued bonuses
The accrued bonuses are provided at an estimated amount in order torecognize expenses for bonuses paid to employees over thecorresponding period.
3. Reserve for directors’ bonuses
At our subsidiaries Shanghai Yushiro Chemical Industry Co., Ltd.
and Qidong Yushiro Chemical Industry Co., Ltd., the reserve forbonuses to directors is provided at the amount estimated to be
accrued for the consolidated balance sheet date to prepare for suchpayments.
4. Accrued retirement allowances for directors
In order to prepare the reserve for retirement allowances for directors,
the Company and its subsidiaries Yushiro Unso., Ltd. and Yushiro
General Service Co., Ltd. recognized the retirement allowances for
directors at the estimated amount on the consolidated balance sheet
date based on the internal regulations.
(6) Accounting treatment for employees’ retirement benefits
Method of attributing expected retirement benefits to periods
In calculating retirement benefit obligations, the benefit formula
method is the method used for attributing expected retirement benefits
to periods up to the end of the consolidated fiscal year under review.
Treatment of actuarial difference and prior service costs
Prior service cost is posted as expenses on a straight-line basis over acertain period (10 years) within the average remaining service years of
employees as of the time of accrual.
For actuarial differences, the amount divided by a straight-line basis
over a certain period (10 years) within the remaining service years of
employees as of the time of accrual during each consolidated fiscal year
is posted as expenses from the consolidated fiscal year following the
fiscal year of accrual.
(7) Scope of funds contained within the consolidated statements of cashflows
The funds (cash and cash equivalents) included in the consolidated
statements of cash flows consist of cash on hand, deposits that can bewithdrawn at any time, and short-term investments with maturities
within three months from the acquisition date that can be easilyliquidated and are exposed to only a minimal value fluctuation risk.
(8) Other significant matters for the preparation of consolidated financial
statements
Accounting treatment of consumption tax, etc.
Consumption tax, etc. is recorded on a tax exclusive basis.
5. The U.S. dollar amounts in the financial statements for the
fiscal year ended March 31, 2015, represent translation ofJapanese yen at the rate of ¥120.17=US$1.00.

The straight-line method is adopted.
8

FINANCIAL INDICATORS
Operating Income (yen in million)

Net Sales (yen in million)
2015
2014

1,569

2015

29,061

1,409

2014

26,8332013

24,217

2013

881

2012

23,482

2012

878

2011

23,1352011

Total Assets, Net Assets (yen in million) , and ROE(%)

Net Income (yen in million)
1,703

2015

2015

1,495

2014

6.6

2013

693
1,435

2011

3.6

Total assets

31,23428,962

20,69020,714

2011

34,85625,604

22,8165.2

2012

38,50629,015

6.6

2014

1,052

2013
2012

2,078

Net assets

28,7807.7
ROE

CORPORATE DATA (as of March 31, 2015)34-16, 2-chome, Chidori, Ota-ku, Tokyo 146-8510, Japan
Phone: (03) 3750-6761 Fax: (03) 3750-1146 URL: http://www.yushiro.co.jp¥4,249 million
321
July 24, 1944
Tokyo, Nagoya and Osaka
Hokkaido, Tohoku, Kitakanto, Hamamatsu, Hokuriku, Fukuyama, Hiroshima and Kyushu

Head Office
Capital
Employees
Established
Branch Offices
Sales Offices

Directors and Auditors (as of June 24, 2015)
Eiichi Ogo
Yuji Kishi
Tatsuharu Hyakusoku
Shinji Hamamoto
Masanori ArisakaHisao Katayama

President
Managing Directors
Directors

Satoshi Sasaki
Yoshihiro Sakaguchi
Akitaka Nozue

Standing Auditors
Auditor (CPA)

STOCK INFORMATION (as of March 31, 2015)
Number of shares issued
Trading unit
Total number of shareholders
Stock listing
Securities code
Transfer agent for common stock
Independent certified public accountants
Main underwriter

13,900,065
100
5,538
First section, Tokyo Stock Exchange
5013
Mitsubishi UFJ Trust and Banking Corporation
Ernst & Young ShinNihon LLC
Nomura Securities Co., Ltd.

(millionsof yen )Market value of shares

25,00020,00015,00010,0005,000
02009/3 2010/3 2011/3 2012/3 2013/3 2014/3 2015/3

Stock pricesTerm2014.42014.52014.62014.72014.82014.9

High

1,049

1,231

1,313

1,392

1,320

1,576

1,530

1,505

Low

964

1,012

1,201

1,230

1,235

1,284

1,317

1,381

5,734 12,004

9,275

5,532

9,771

8,115

6,245 13,317(Yen/share)(Yen/share)

Trading volume(Hundred of shares)

2,448

2014.10 2014.11 2014.12

2015.1

2015.2

2015.3

1,876

1,909

1,878

1,626

1,450

1,683

1,517

1,501

9,079 17,119 13,517