Summary of Consolidated Financial Results of Taiheiyo Cement Corporation
for the Fiscal 2016 Ended March 31, 2016
May 12, 2016
Company:
Stock code:
URL:

Taiheiyo Cement Corporation5233
http://www.taiheiyo-cement.co.jp/

Fiscal 2015:
Fiscal 2016:
Fiscal 2017:

April 1, 2014-March 31, 2015
April 1, 2015-March 31, 2016
April 1, 2016-March 31, 2017

The accompanying consolidated financial results are not intended to present the financial results in accordance withaccounting principles and practices generally accepted in countries and jurisdictions other than Japan.
(All yen figures are rounded down to the nearest one million yen.)

1. Consolidated Financial Results for the Fiscal 2016(April 1, 2015 through March 3, 2016)(1) Operating Results
Net Sales
Millions of Yen
835,359
842,848

FY3/16
FY3/15

Operating income%

Millions of Yen
60,43365,406△ 0.9

0.3*comprehensive income : Fiscal 2016

21,971EPS

Diluted EPS
Yen
29.63
35.91

FY3/16
FY3/15%
△ 7.6
△ 7.1

Fiscal 2015

Profit attributable toOwners of parent
Millions of Yen% Millions of Yen%
60,225 △11.3
36,404 △17.5
25.267,890 △2.4
44,114
Ordinary income

79,736
ROE

Yen――ROA%
11.7
16.3

*equity in earnings (losses) of unconsolidated subsidiaries and affiliates Fiscal 2016

%
5.9
6.6

5,292

Operating income
to net sales%
7.2
7.8Fiscal 2015 5,293(2) Financial Position
Total assets
Millions of Yen
1,014,075
1,040,602

FY3/16
FY3/15*Equity : Fiscal 2016

Total net assets
Millions of Yen
357,073
347,490

Equity ratio

Equity per shareYen
259.11
246.31

%
31.4
29.1

318,285 Fiscal 2015 302,645(3) Consolidated Cash Flows
Cash flows fromoperating activitiesMillions of Yen
75,62777,000FY3/16
FY3/15

Cash flows frominvesting activities
Millions of Yen△ 71,099△ 31,377

Cash flows fromfinancing activities
Millions of Yen△ 4,027△ 52,713

Cash and cash equivalents
at end of year
Millions of Yen
50,07250,645

2. Dividends
Dividend per share
Total amount ofcash
dividends(annual)

1Q

2Q

3Q

4Q

Total

Yen

Yen

Yen

Yen

Yen

Millions of Yen

FY3/15
FY3/16

―
―

2.00
3.00

――

3.00
3.00

5.00
6.00

6,180
7,415

FY3/17(forecast)

―

3.00

―

3.00

6.00

Dividend ratio(consolidated)

Ratio of total amountof dividends toshareholder’sequity(consolidated)

%
13.9
20.2%
2.3
2.4

19.4

3. Consolidated Results Forecast for the Fiscal 2017 (April 1, 2016 through March 31, 2017)
Operating income

Net sales

Profit attributable toOwners of parent

Ordinary income

Millions ofYen

EPS

Millions of Yen%

Millions ofYen%

Millions of Yen%

1HFY3/17

387,000△ 6.8

18,500△ 26.718,500△ 29.911,000△ 30.4

8.95

FY3/17824,000△ 1.4

62,0002.662,000

2.9

38,0004.4

30.93%

YenThis forecast is based on the information available at the date of publication of this material and assumptions at the same date withrespect to the various factors which might have impact on the future financial results. Actual results may differ materially from thisforecast due to various factors.

Page 1 of 9

Consolidated Balance Sheets
All yen figures are rounded down to the nearest one million yen.

(Millions of Yen)

Item
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in process
Raw materials and supplies
Deferred tax assetsShort-term loans receivable
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
A. Property, plant and equipment
Buildings and structures, net
Machinery, equipment, and vehicles, net
LandConstruction in progress
Other, net
Total property, plant and equipment
B. Intangible assets
Goodwill
Other
Total intangible assets
C. Investments and other assets
Investment securities
Long-term loans receivable
Assets for retirement benefits
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assetsFY3/15(As of 3/31/15)

FY3/16(As of 3/31/16)

53,859178,350
28,5872,183
43,252
10,7055,552
9,821(2,329)329,981

53,539161,392
31,187
1,485
42,624
6,886
3,018
9,721
(938)
308,918

144,291
120,804
164,647
13,81947,001
490,565

132,708
147,151
140,726
20,95046,074
487,611

9,297
32,53841,836

6,432
37,48743,919113,747
1,249
20,338
16,84831,997(5,961)
178,219
710,6211,040,602

115,443
1,127
8,968
23,25831,483(6,655)
173,626
705,156
1,014,075

Page 2 of 9All yen figures are rounded down to the nearest one million yen.

(Millions of Yen)
ItemLiabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Commercial Papers
Current portion of bonds
Income taxes payable
Deferred tax liabilities
Provision for bonuses
Other provision
Other
Total current liabilities
Noncurrent liabilities
Bonds payable
Long-term loans payable
Deferred tax liabilities
Deferred tax liabilities for land revaluation
Liability for retirement benefits
Provision for directors’ retirement benefitsProvision for loss on business of subsidiaries
and affiliates
Provision for special repairs
Provision for asset removal
Other provision
Lease obligations
Asset retirement obligations
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-salesecurities
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustment
Retirement benefits liability adjustmentsTotal accumulated other comprehensive
incomeNon-controlling interests
Total net assets
Total liabilities and net assets

FY3/15(As of 3/31/15)

FY3/16(As of 3/31/16)

85,036
178,816
5,000
20,38010,730
0
5,642
1,060
71,149377,81773,893
160,421
450
8,351
5
5,723
751
71,631
321,229

46,710148,232
4,314
4,770
26,889514

46,155
187,471
3,527
22,814
433

138-

312
41
655
22,616
7,673
52,426315,295
693,112245
747
15,662
7,990
50,725
335,772
657,00286,17450,757
158,939(934)
294,937

86,17450,925
188,731(979)
324,851

6,908

4,755

2
4,295
649
(4,148)16
4,665(4,174)(11,829)

7,707(6,566)44,84538,787

347,490357,073

1,040,602

1,014,075

Page 3 of 9Consolidated Statements of Income
yen figures are rounded down to the nearest one million yen.

(Millions of Yen)
FY3/15(4/1/143/31/15)
842,848

FY3/16(4/1/153/31/16)
835,359

Cost of sales

642,645

640,375

Gross profit

200,203

194,983

Selling, general and administrative expenses

134,796

134,550

Operating income65,406

60,433

Interest income

554

604

Dividends income

767

959

Real estate rent

361

384

5,293

5,292

Item
Net sales

Non-operating income

Equity in earnings of unconsolidated subsidiaries
and affiliates
Other

6,860

4,216

13,837

11,456

Interest expenses

6,847

6,492

Other

4,506

5,172

11,354

11,66467,89060,225

2,488

1,666

Gain on sales of investment securities

107

1,325

Gain on step acquisitions

916-

Total non-operating income
Non-operating expenses

Total non-operating expenses
Ordinary income
Extraordinary income
Gain on disposal of property, plant, and equipment

Gain on forgiveness of debts
Other

4,569

-

801

290

Total extraordinary income

8,884

3,282

3,286
101

3,205
81

Loss on valuation of investment securities

1,231

374

Impairment loss

1,069

5,757

Business structure reform expenses

1,180

-

Other

2,518

1,497

Extraordinary loss
Loss on disposal of property, plant, and equipment
Loss on sale of investment securities

9,387

10,915

Income before income taxes and non-controlling interests

Total extraordinary losses

67,38752,592

Income taxes-current

18,17014,334

Income taxes-deferred△1,884

678

Profit51,101

37,579Profit attributable to non-controlling interests

6,986

1,175

Profit attributable to owners of parent

44,11436,404

Page 4 of 9

Consolidated Statements of Comprehensive Income
All yen figures are rounded down to the nearest one million yen.

(Millions of Yen)

Item
ProfitFY3/15(4/1/143/31/15)

FY3/16(4/1/153/31/16)

51,101

37,579Valuation difference on available-for-sale securities

1,854(1,864)

Deferred gains or losses on hedges

(14)

(5)

Revaluation reserve for land494

237

Foreign currency translation adjustment

16,002(2,869)Remeasurements of defined benefit retirement plans, net of tax

5,226(7,728)

Share of other comprehensive income of associates accounted
for using equity method

5,072(3,378)

Total other comprehensive income

28,635(15,608)

79,736

21,971

Owners of parent

68,922

21,758Non-controlling interests

10,813212

Other comprehensive income

Comprehensive income
Comprehensive income attributable to :Page 5 of 9

Consolidated Statements of Changes in Net Assets
FY3/15(4/1/14-3/31/15)
All yen figures are rounded down to the nearest one million yen(Millions of Yen)
Shareholders' equity
Capital stock

Capital surplus

86,17450,690

Balance at pre end of term
Cumulative effects of Changes inaccounting policies
Restated balance

Retainedearnings

Treasury stock

Total
shareholders’equity(936)

257,141

121,212(87)

86,17450,690(87)

121,124(936)

257,053

Issuance of new stock
Change in shares of parent arising fromtransactions with non-controllinginterests
Dividends of surplus fund

(6,142)(6,142)

Net profit of this item

44,114

44,11433

33

Reversal of revaluation reserve forland
Purchase of treasury stock66

Disposal of treasury stock

(63)

(63)

65

132

(190)

Change in scope of consolidation(190)

Net changes of items other thanshareholders’ equity
Total changes of items during the period
Balance at end of this term―

66

37,8152

37,884

86,17450,757

158,939(934)

294,937

Total othercomprehensive
incomeNoncontrollinginterests

Total net
assets(16,884)

33,055273,312(9)(97)

33,046273,214

Accumulated other comprehensive income
Valuationdifference
on availablefor-salesecurities

Balance at pre end of term
Cumulative effects of
Changes in accounting
policies
Restated balance

5,084

5,084

Deferred gains Revaluationorreserve forlosses onlandhedges

5050

4,252

4,252

Foreigncurrencytranslation
adjustment(16,799)(16,799)

Retirement
benefits
liability
adjustments(9,472)(9,472)(16,884)

Issuance of new stock
Change in shares ofparent arising fromtransactions with noncontrolling interests
Dividends of surplus
fund(6,142)
44,114

Net profit of this item
Reversal of revaluation
reserve for land
Purchase of treasury
stock
Disposal of treasury
stock
Change in scope ofconsolidation
Net changes of items
other thanshareholders’ equity
Total changes of items
during the period
Balance at end of thisterm

33(63)
132(190)

1,824(48)43

17,4495,323

24,592

11,79936,391

1,824

(48)

43

17,4495,323

24,592

11,79974,275

6,908

2

4,295

649

(4,148)

7,707

44,845

347,490

Page 6 of 9

FY3/16(4/1/15-3/31/16)
All yen figures are rounded down to the nearest one million yen(Millions of Yen)
Shareholders' equity
Capital stock

Capital surplus

86,17450,757

86,17450,757

Balance at pre end of term
Cumulative effects of Changes inaccounting policies
Restated balance

Treasury stock

Total
shareholders’equity158,939(934)

294,937

158,939(934)

294,937

Retainedearnings

Issuance of new stock
Change in shares of parent arising fromtransactions with non-controllinginterests

167

167

Dividends of surplus fund

(7,370)(7,370)Net profit of this item

36,40436,40414

14

Reversal of revaluation reserve for
land
Purchase of treasury stock0

Disposal of treasury stock

(46)

(46)

00743

Change in scope of consolidation743

Net changes of items other thanshareholders’ equity
Total changes of items during the period
Balance at end of this term―

167

29,791(45)

29,914

86,17450,925

188,731(979)

324,851

Total othercomprehensive
incomeNoncontrollinginterests

Total net
assets

Accumulated other comprehensive income
Valuationdifference
on availablefor-salesecurities

Balance at pre end of term
Cumulative effects of
Changes in accounting
policies
Restated balance

Deferred gains Revaluationorreserve forlosses onlandhedgesForeigncurrencytranslation
adjustment

Retirementbenefits
liability
adjustments

6,908

2

4,295

649

(4,148)

7,707

44,845

347,490

6,908

2

4,295

649

(4,148)

7,707

44,845

347,490Issuance of new stock
Change in shares ofparent arising fromtransactions with noncontrolling interests
Dividends of surplus
fund
Net profit of this item
Reversal of revaluation
reserve for land
Purchase of treasury
stock
Disposal of treasury
stock
Change in scope ofconsolidation
Net changes of items
other thanshareholders’ equity
Total changes of items
during the period
Balance at end of thisterm

167(7,370)36,40414(46)
0743(2,153)14369(4,823)(7,680)(14,274)(6,057)(20,331)(2,153)14369(4,823)(7,680)(14,274)(6,057)

9,582

4,755

16

4,665

(4,174)(11,829)(6,566)38,787357,073

Page 7 of 9

Consolidated Statements of Cash FlowsAll yen figures are rounded down to the nearest one million yen.

Item
Cash flows from operating activities:
Income before income taxes and minority interests(-)
Depreciation and amortization
Amortization of goodwill
Equity in losses (earnings) of unconsolidated subsidiaries
and affiliates
Loss on valuation of investment securities
Changes in asset and liability for retirement benefits(Decrease) Increase in provision for directors’ retirement
benefits
Increase in provision for bonuses(Decrease) Increase in allowance for doubtful accounts
Decrease in provision for removal of assets
Decrease in other provisionInterest and dividends income
Interest expenses
Loss(Gain) on sales of investment securities
Loss on disposal of property, plant, and equipment
Impairment loss(Increase) Decrease in notes and accounts receivable-trade
Decrease in inventories
Decrease in notes and accounts payable-trade
Business structure reform expenses
Gain on forgiveness of debts
Other, net
SubtotalInterest and dividends income received
Interest expenses paid
Income taxes paid
Cash flows from operating activities:
Cash flows from investing activities:
Decrease(Increase) in time deposits
Purchase of property, plant, and equipment
Proceeds from sales of property, plant, and equipment
Purchase of other depreciated assets
Proceeds from sales of other depreciated assets
Purchase of investment securities
Proceeds from sales and redemption of investmentsecurities
Purchase of investments in subsidiaries resulting fromchange in scope of consolidation
Proceeds from sales of investments in subsidiaries resulting
from change in scope of consolidation
Payments from sales of investments in subsidiaries
resulting from change in scope of consolidation
Payments of loans receivableCollection of loans receivable
Payments for transfer of business
Other, net
Cash flows from investing activities:
Cash flows from financing activities:
Net increase(decrease) in short-term loans payable
Increase(decrease) in commercial paper
Proceeds from long-term loans payable
Repayment of long-term loans payable
Proceeds from issuance of bonds
Redemption of bonds
Proceeds from sales of treasury stock
Purchase of treasury stock
Cash dividends paid
Cash dividends paid to minority shareholders
Other, net
Cash flows from financing activities:

FY3/15(4/1/14-3/31/15)(Millions of Yen)
FY3/16(4/1/15-3/31/16)

67,38742,401
2,771

52,592
43,957
2,967(5,293)(5,292)

1,231
485

374
(1,027)

(6)

(32)

79435
(533)
(1,498)(1,322)
6,847
(5)
797
1,069
2,429
(1,069)(872)
1,180(4,569)(4,064)
107,879
1,705(6,920)(25,664)
77,000

509
(689)
(41)
(158)
(1,563)
6,492(1,243)
1,539
5,757
7,259
(3,694)(6,525)(4,268)96,9101,971(6,599)(16,655)
75,627848(38,323)5,017(79)
0(1,444)(350)(35,922)
6,061
(128)
0(342)

370

995

(516)

--

6,747

-

(1,040)(1,562)
3,631
680(31,377)

(693)
3,510
(50,863)927(71,099)(31,899)
5,000
44,752(78,335)
20,000(610)
67(50)(6,142)(583)(4,911)(52,713)(9,798)(5,000)105,866(60,005)(20,395)0(43)(7,370)(1,015)(6,216)(4,027)

Page 8 of 9

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
Decrease in cash and cash equivalents resulting from change ofscope of consolidation
Increase in cash and cash equivalents resulting from merger withunconsolidated subsidiaries
Increase(decrease) in cash and cash equivalents from corporate
division
Cash and cash equivalents at end the period

1,712(5,377)55,604(510)(10)
50,645342(596)76

138-(105)

50,64550,072

Consolidated Segment Information
All yen figures are rounded down to the nearest one million yen.

[Industry Segments]

Net sales(1) Net sales tooutside
customers(2) Intersegment
net sales
TotalSegment
operating profit(Millions of Yen)
FY3/16 (4/1/15– 3/31/16)
Construction
Environmental
Materials
Other
Business
Business

CementBusiness

MineralResources
Business

564,303

71,293

68,15475,22856,37910,42022,239

5,305

5,624

574,724

93,53373,46034,631

8,113

7,655

Eliminations

Consolidated
total

835,359－

835,359

28,842

72,433(72,433)－

80,85385,222907,793(72,433)

835,359

6,130

4,014

60,544(111)

60,433Total

All yen figures are rounded down to the nearest one million yen.

[Geographic segments]
JapanAmerica

Other(Millions of Yen)
Total

Net sales

629,672

107,680

98,007835,359

Noncurrent
assets308,518

107,981

71,110487,611

Page 9 of 9