January 29, 2008
Nihon Dempa Kogyo Co., Ltd.
3rd Quarter Consolidated Financial Results
Tokyo, January 29, 2008 – Nihon Dempa Kogyo Co., Ltd. today announced its consolidated business results for
the nine months ended December 31, 2007, the 3rd quarter of the fiscal year ending March 31, 2008. The
following summary of the business results and the attached financial statements are unaudited and prepared in
accordance with Japanese GAAP.
1. Consolidated Financial Results for the Nine Months Ended December 31, 2007
(April 1, 2007 - December 31, 2007)
(Millions of Yen, Figures less than a million yen are omitted)
Nine months ended December 31,
(1) Results of Operations
Net sales
Operating income
Ordinary income
Net income
Earnings per share (Yen)
Earnings per share, diluted (Yen)
2006
54,869
7,355
6,664
3,806
191.10
181.55
2007
60,379
8,649
8,620
5,882
294.30
263.20
Year ended March 31,
Change
10.0%
17.6%
29.3%
54.5%
December 31,
(2) Financial Position
Total assets
Net assets
Owners' equity to total assets
Owners' equity per share (Yen)
2006
88,647
48,327
54.4%
2,421.39
March 31,
2007
92,706
54,225
58.4%
2,701.06
2007
88,449
49,259
55.6%
2,468.03
Nine months ended December 31,
(3) Conditions of Cash Flows
Net cash provided by operating activities
Net cash used in investing activities
Net cash (used in)/provided by financing activities
Cash and cash equivalents at end of period
2006
9,273
(8,222)
3,015
14,433
2007
73,307
9,427
8,551
4,716
236.76
221.20
2007
8,963
(8,191)
(3,691)
12,575
Year ended March 31,
2007
14,677
(11,501)
1,991
15,526
(4) Change in Scope of Consolidation
There was no significant change in scope of consolidation for the nine months ended December 31, 2007.
2. Consolidated business forecast for the Fiscal Year Ending March 31, 2008 (April 1, 2007 - March 31, 2008)
Millions of Yen
Year ended March 31, 2008
Net sales
80,000
Operating income
11,500
Ordinary income
11,500
Net income
7,800
Earnings per share (Yen)
389.39
There was no change in figures of forecast for the fiscal year ending March 31, 2008 from the previous
announcement dated on October 5, 2007.
Note: The estimates showing above are based on information available to the Company on the date of the
report's announcement. Due to the unforeseen circumstances, actual results may differ from such
estimates.
1
Consolidated Balance Sheets
January 29, 2008
Nihon Dempa Kogyo Co., Ltd.
(Millions of Yen, Figures less than a million yen are omitted)
December 31,
Composition
December 31,
Composition
March 31,
Composition
2006
%
2007
%
2007
%
ASSETS
Current assets:
Cash on hand and bank deposits
14,133
12,575
15,226
Notes and accounts receivable-trade
19,809
20,926
18,694
300
-
300
Inventories
8,506
8,943
8,528
Others
2,949
4,389
3,643
(60)
(46)
(76)
Short-term investments
Allowances for doubtful receivables
Total current assets
45,639
51.5
46,787
50.5
46,317
52.4
Noncurrent assets:
Total property, plant and equipment, net
35,578
38,470
34,271
Total intangible assets
1,472
1,126
1,134
Total investments and other assets
5,958
6,321
6,726
Total noncurrent assets
43,008
48.5
45,918
49.5
42,132
47.6
Total assets
88,647
100.0
92,706
100.0
88,449
100.0
2
Consolidated Balance Sheets
Nihon Dempa Kogyo Co., Ltd.
January 29, 2008
(Millions of Yen, Figures less than a million yen are omitted)
December 31,
Composition
December 31,
Composition
March 31,
Composition
2006
%
2007
%
2007
%
LIABILITIES
Current liabilities:
Notes and accounts payable-trade
Short-term loans
6,524
7,791
6,534
720
-
600
Current portion of long-term loans
3,290
1,753
3,175
Others
7,994
8,958
7,811
Total current liabilities
18,528
20.9
18,503
20.0
18,121
20.5
Noncurrent liabilities:
Convertible bonds
11,308
11,242
11,291
Long-term loans
7,699
5,945
6,991
Employee benefit obligations
Retirement allowance for directors
and statutory corporate auditors
Others
2,195
2,190
2,188
580
590
588
8
8
8
Total noncurrent liabilities
21,791
24.6
19,977
21.5
21,069
23.8
Total liabilities
40,319
45.5
38,481
41.5
39,190
44.3
NET ASSETS
Owners' equity:
Share capital
10,649
10,649
10,649
Capital surplus
10,634
10,828
10,634
Retained earnings
26,118
31,911
27,028
Treasury stock
(1,295)
(1,208)
(1,298)
Total owners' equity
46,107
52.0
52,180
56.3
47,013
53.2
Fair value reserve,
translation reserve and others:
Fair value reserve for
available-for-sale investment securities
Foreign currency translation reserve
Total fair value reserve,
translation reserve and others
Minority interests:
722
505
757
1,403
1,420
1,389
2,126
2.4
1,925
2.1
2,147
2.4
94
0.1
119
0.1
97
0.1
Total net assets
48,327
54.5
54,225
58.5
49,259
55.7
Total liabilities and net assets
88,647
100.0
92,706
100.0
88,449
100.0
3
Consolidated Statements of Income
Nihon Dempa Kogyo Co., Ltd.
January 29, 2008
(Millions of Yen, Figures less than a million yen are omitted)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Rental income
Other income
Non-operating expenses
Interest expenses
Bond issue expenses
Foreign exchange losses
Other expenses
Ordinary income
Extraordinary income
Gain on sales of property,
plant and equipment ("PPE")
Reversal of impairment for PPE
Gain on sales of investment securities
Reversal of allowances
for doubtful receivables
Government grants
Extraordinary expenses
Loss on disposal of PPE
Loss on impairment of
PPE and intangible assets
Loss on sales of investment securities
Loss on impairment of
investment securities
Loss on impairment of
golf club memberships
Income before income taxes
Current tax expenses
Deferred tax expenses / (benefits)
Minority interests
Net income
December 31,
Composition
December 31,
Composition
March 31,
Composition
2006
%
2007
%
2007
%
54,869
39,141
15,728
8,373
7,355
221
92
17
13
98
911
126
317
363
103
6,664
131
100.0
71.3
28.7
15.3
13.4
0.4
1.7
12.1
0.3
60,379
43,087
17,292
8,643
8,649
328
176
32
4
115
356
86
168
102
8,620
146
100.0
71.4
28.6
14.3
14.3
0.6
0.6
14.3
0.2
73,307
52,487
20,819
11,392
9,427
313
144
21
18
130
1,189
157
317
520
194
8,551
146
8
18
11
5
-
25
5
117
27
104
1,147
122
99
300
75
1,829
166
2.1
0.5
987
129
1,662
-
35
-
37
53
-
-
7
-
5,648
2,252
(416)
5
3,806
10.3
4.1
(0.7)
0.0
6.9
4
8,466
2,477
84
21
5,882
14.0
4.1
0.2
0.0
9.7
6,869
3,067
(922)
7
4,716
100.0
71.6
28.4
15.5
12.9
0.4
1.6
11.7
0.2
2.5
9.4
4.2
(1.2)
0.0
6.4
Consolidated Statements of Cash Flows
Nihon Dempa Kogyo Co., Ltd.
January 29, 2008
(Millions of Yen, Figures less than a million yen are omitted)
December 31,
December 31,
March 31,
2006
2007
2007
Operating activities:
Income before income taxes
5,648
8,466
6,869
Depreciation and amortisation
Loss on impairment of property,
plant and equipment and intangible assets
Interest and dividends income
5,284
5,590
7,462
987
129
1,662
(109)
(208)
(165)
Interest expenses
Increase in trade receivables
126
86
157
(2,407)
(2,325)
(1,358)
(Increase)/decrease in inventories
276
(447)
248
Increase in trade payables
165
1,381
277
Other, net
392
33
718
10,363
12,704
15,871
86
152
125
(141)
(84)
(166)
(1,035)
(3,809)
(1,152)
9,273
8,963
14,677
(7,512)
(7,195)
(10,355)
(506)
(6)
(507)
Sub-total
Interest and cash dividends received
Interest paid
Income taxes paid, net
Net cash provided by operating activities
Investing activities:
Purchase of property, plant and equipment
Purchase of investment securities
Proceeds from sales of investment securities
Other, net
Net cash used in investing activities
10
269
10
(214)
(1,259)
(649)
(8,222)
(8,191)
(11,501)
(5,952)
(600)
(6,072)
Financing activities:
Net decrease in short-term loans
Proceeds from long-term loans
1,000
-
1,000
Repayment of long-term loans
(2,659)
(2,467)
(3,481)
Proceeds from issuing convertible bonds
11,012
-
11,012
Other, net
Net cash (used in)/provided by financing activities
(386)
(623)
(467)
3,015
(3,691)
1,991
288
(32)
279
4,354
(2,951)
5,447
Cash and cash equivalents at beginning of year
10,079
15,526
10,079
Cash and cash equivalents at end of period
14,433
12,575
15,526
Net effect of currency translation on cash and cash equivalents
Net increase/(decrease) in cash and cash equivalents
5