Third Quarter of FY2014.3 Performance Outline February 5, 2014 (billions of yen) Three Months Results Three Months Results Ended Dec. 31, 2013 Ended Dec. 31, 2012 Nine Months Results Ended Dec. 31, 2013 Nine Months Results Ended Dec. 31, 2012 Previous Projections Projections Results (Full Year) (Full Year) (Previous Year) (announced on Oct. 31, 2013) FY2014.3 111.0 Net Sales FY2013.3 97.1 FY2014.3 FY2013.3 FY2014.3 FY2014.3 FY2013.3 308.7 273.9 408.0 408.0 366.9 Japan Sales 41.0 (36.9%) 40.7 (42.0%) 123.2 (39.9%) 125.2 (45.7%) 166.2 (40.7%) 166.5 (40.8%) 165.8 (45.2%) Overseas Sales 70.0 (63.1%) 56.4 (58.0%) 185.4 (60.1%) 148.7 (54.3%) 241.8 (59.3%) 241.5 (59.2%) 201.2 (54.8%) Operating Income 9.1 (8.2%) 3.6 (3.7%) 22.8 (7.4%) 10.4 (3.8%) 22.0 (5.4%) 22.0 (5.4%) 9.2 (2.5%) Ordinary Income 8.9 (8.0%) 3.5 (3.6%) 22.3 (7.2%) 9.6 (3.5%) 20.5 (5.0%) 20.5 (5.0%) 8.6 (2.3%) 6.5 (5.9%) 1.1 (1.1%) 19.0 (6.2%) 4.5 (1.6%) 18.0 (4.4%) 18.0 (4.4%) 4.1 (1.1%) (*5) 82/US$ Net Income Currency Exchange Rate (Settlement Rate) (=yen) 99/US$ 80/US$ 98/US$ 80/US$ 97/US$ 99/US$ 131/EUR 99/EUR 127/EUR 103/EUR 127/EUR 128/EUR 103/EUR ROE (*1) 10.2% 2.3% 10.3% 2.9% 7.5% 7.5% 1.9% ROA (*2) 6.0% 1.2% 6.1% 1.6% 4.5% 4.4% 1.1% 33.8 yen 5.7 yen 98.3 yen 23.0 yen 93.0 yen 93.0 yen 21.3 yen 2.2 2.9 7.1 8.7 12.0 11.3 13.8 (3.3) (2.9) (9.3) (8.3) (13.1) (12.7) (11.6) 5.7 5.6 16.5 16.6 23.0 22.9 22.1 Earnings per Share Capital Expenditure (Depreciation) R&D Expenditure Cash Flows Operating Activities 9.4 -0.1 13.7 -4.7 26.5 28.8 7.8 Investing Activities -1.6 -2.6 -4.1 -8.4 -7.3 -14.4 -12.6 7.8 ‐ -2.7 ‐ 9.6 -13.1 19.2 14.4 -4.9 88.8 83.5 80.3 81.0 82.0 Japan ‐ ‐ 6,923 7,355 6,900 6,900 7,143 Overseas ‐ ‐ 12,936 12,520 13,200 13,200 12,545 Total (*3) ‐ ‐ 19,859 19,875 20,100 20,100 19,688 （Changes from the changes in the scope of consolidation） - - (49) (170) (50) (50) (173) - - 8,395 8,036 8,200 7,700 8,198 Total Inventories at end of period Number of Employees Temporary Staff (average during the period) Sales by Business Segment Musical Instruments (*4) 69.7 (62.8%) 61.0 (62.8%) 196.7 (63.7%) 176.0 (64.3%) 258.5 (63.4%) 258.5 (63.4%) 235.5 (64.2%) 105.0 (25.7%) 105.5 (25.8%) 92.6 (25.2%) (4.9%) 20.0 (4.9%) 15.0 (4.1%) (6.0%) 24.0 (5.9%) 23.8 (6.5%) 30.6 (27.6%) 26.9 (27.7%) 79.4 (25.7%) 68.5 (25.0%) Electronic Devices 4.7 (4.2%) 3.5 (3.6%) 14.8 (4.8%) 11.4 (4.1%) Others 5.9 (5.4%) 5.7 (5.9%) 17.8 (5.8%) 18.1 (6.6%) Audio Equipment (*4) 20.0 24.5 Operating Income by Business Segment Musical Instruments Audio Equipment (*4) (*4) Electronic Devices Others 6.3 2.2 15.9 6.9 16.0 16.5 6.4 2.7 2.2 5.3 4.5 5.0 5.0 4.6 0.1 -0.7 1.3 -1.6 0.5 0.5 -2.0 0 -0.1 0.3 0.7 0.5 0 0.3 54.3 55.5 173.9 180.2 Non-Consolidated Basis Net Sales 231.4 Operating Income 2.6 (4.7%) -1.5 - 9.5 (5.5%) 0.4 (0.2%) -4.2 Ordinary Income 3.1 (5.7%) -0.5 - 15.8 (9.1%) 5.2 (2.9%) 6.2 (2.7%) Net Income 2.8 (5.2%) -1.6 - 16.9 (9.7%) 3.2 (1.8%) 5.8 (2.5%) - ＊1, 2 The ROE and ROA for the 3Q are calculated on an annually adjusted basis. ＊3 Number of Employees = Number of full-time staff at end of the period ＊4 Effective in the first quarter of FY2014.3, AV/IT segment was renamed audio equipment segment, and the PA equipment business, which was previously reported as part of the musical instruments segment has now been reported as part of the audio equipment business. The above figures of FY2013.3 reflect the new segments accordingly. ＊5 4Q Currency exchange rates US$=100JPY EUR=135JPY Consolidated financial forecasts were prepared based on information available at the time of the announcement and do not represent promises by the Company or its management that these performance figures will be attained. Actual consolidated results may differ from forecasts owing to a wide range of factors.