NICHIDAI : Summary of Consolidated Financial Results for the 2nd Quarter Ended September 30, 2015

NICHIDAI CORPORATION

Summary of Consolidated Financial Results for the 2nd Quarter Ended September 30, 2015

October 30, 2015

Company name: NICHIDAI CORPORATION Listed Stock Exchange: Tokyo Securities Exchange

Code number: 6467 (URL http://www.nichidai.jp)

Company Representative: Motonobu Furuya, President & CEO

Contact Information: Hirokazu Tsuji, Director Administrative Headquarters General Manager TEL [phone] Reporting date of financial statements: November 13, 2015 Commencement date of dividend payment: December 1, 2015

(Rounded down to the nearest million yen.)

1. Consolidated Financial Results for the 2nd Quarter Ended September 30, 2015 (From April 1, 2015 to September 30, 2015)

2. Consolidated Operating Results (Total)

   (Note) Comprehensive income	FY 2015 for the 2nd Quarter	347million yen (△5.3%)
   FY 2014 for the 2nd Quarter	366 million yen (△30.0%)

   (% indicates changes in net sales compared with preceding same period.)

   
   

   Net sales	Operating Income		Ordinary Income		Net income Attributable to Owners of the Parent
   For the 2nd Quarter	Millions of Yen	％	Millions of Yen	％	Millions of Yen	％	Millions of Yen	％
   Ended Sept. 30, 2015	7,166	△1.6	441	△31.8	426	△35.0	285	△26.5
   Ended Sept. 30, 2014	7,282	8.9	646	56.8	656	49.5	388	41.7

   
   

   EPS		Adjusted EP	S
   For the 2nd Quarter	Yen	Sen	Yen ― ―	Sen
   Ended Sept. 30, 2015	31	56
   Ended Sept. 30, 2014	42	95

   
   

3. Consolidated Financial Position

Total Assets	Net Assets	Shareholders' Equity Ratio
Ended Sept. 30, 2015	Millions of Yen	Millions of Yen	％
	15,908	10,565	60.4
FY 2015	16,331	10,327	57.7

(Ref.) Shareholders' Equity FY 2015 for the 2nd Quarter 9,603 million yen FY 2015 9,426 million yen




4. Dividends

   Dividends per Share
   End of 1st Quarter		End of 2nd Quarter		End of 3rd Quarter		Year En	d	Full Year
   FY 2015	Yen ― ―	Sen	Yen	Sen	Yen ―	Sen	Yen	Sen	Yen	Sen
   			8	00			12	00	20	00
   FY 2016			10	00
   FY2016 (Forecast)	―		10	00	20	00

   (Note) Change made in forecast of dividends: N/A

   
   

5. Consolidated Forecast for the Year Ending March 2016 (From April 1, 2015 to March 31, 2016)

(% indicates changes in net sales, operating income, etc compared with preceding same period.)




Net sales	Operating Income	Ordinary Income	Net income Attributable to Owners of the Parent	EPS
Full Year	Millions ofYen ％ 14,400 △1.6	Millions ofYen ％ 920 △27.6	Millions ofYen ％ 890, △32.1	Millions ofYen ％ 580 △33.8	Yen Sen 64 08

(Note) Change made in Consolidated Forecast: N/A

※Note

1. Changes of important subsidiaries during the period (changes in specified subsidiaries that involve changes in the scope of consolidation): N/A

   
   

2. Adoption of any simplified way of accounting method or any accounting procedure specific to the preparation of quarterly financial statements: N/A

   
   

3. Changes in accounting principle, procedure or method associated with preparing the consolidated of quarterly financial results

   ① Changes resulting from revision of accounting policy Yes

   ② Changes other than ① N/A

   ③ Changes in accounting estimate N/A

   ④ Restatement N/A

   
   

4. Number of outstanding shares (ordinary shares)

① Number of outstanding shares at the end of the term (including treasury stocks) Ended Sept. 30, 2015 9,053,300 shares FY 2015 9,053,300 shares

② Number of treasury stocks at the end of the term

Ended Sept. 30, 2015 1,956 shares FY 2015 1,956 shares

③Average number of outstanding shares during the period

Ended Sept. 30, 2015 9,051,344 shares Ended Sept. 30, 2014 9,051,432 shares




* Explanation regarding appropriate use of business forecasts and other special instructions

The above forecasts of operating results are based on the information available at the time this document was released, and actual operating results may differ from these forecasts due to various factors.

1. Qualitative Information on the Second Quarter Financial Results

(1) Management's Discussion on Results of Operations

Looking at the Japanese automobile market, or our primary customer industry, during the consolidated cumulative second quarter under review, the number of cars manufactured worldwide remained almost at the same level as the previous year backed by strong sales in the North American market, despite stagnant growth in the number of cars sold for the domestic market, in which slump in light vehicles continues, and for the ASEAN regions.

Meanwhile, deceleration of the Chinese economy and other fear factors which may affect the global automobile market have been generated.

Amid such circumstances, the Forging Die Division of the Net-Shape Business enjoyed growth in overseas sales, but domestic sales were sluggish due to demand variation in the domestic market.

Consequently, segment sales amounted to 3,649 million yen (down 6.7% year-on-year).

The Assembly Business suffered more-than-expected decline in production of VG turbocharger parts due to the model changeover. Production increase of new models also fell below the plan, which deteriorated profitability. However, segment sales rose to 2,601 million yen (up 6.7% year-on-year) thanks to the favorable foreign exchange rates when consolidated financial statements including our overseas subsidiaries were prepared.

As for the Filter Business, while sales of large-size seawater strainers increased, sales for overseas markets, which did well last year, decreased. Consequently, segment sales amounted to 916 million yen (down 1.9% year-on-year).

As a result of the above, consolidated sales totaled 7,166 million yen (down 1.6% year-on-year).

On the income front, mainly reflecting decreased sales of the Forging Die Division of the Net-Shape Business and deteriorated profitability of the Assembly Business, operating income came to 441 million yen (down 31.8% year-on-year), ordinary income was 426 million yen (down 35.0% year-on-year) and net income attributable to owners of the parent was 285 million yen (down 26.5% year-on-year).