TOWA : Annual results for FY2016 136KB

FY2016 Consolidated Financial Results

(April 1, 2016 through March 31, 2017)

Company name: TOWA CORPORATION

Stock listings: First Section of Tokyo Stock Exchange

Code number: 6315

URL: http://www.towajapan.co.jp

Representative: Hirokazu Okada, President and CEO

Contact person: Kiyoshige Gamo, Executive Officer

May 11, 2017

Telephone number: [phone] Scheduled date of annual shareholders'

meeting:June 29, 2017

Scheduled dividend payment date: June 30, 2017 Scheduled filing date of financial statements: June 28, 2017

Division Manager of Corporate Planning Div．

Financial results presentation meeting: Yes (targeted at analysts)

（Monetary amounts are rounded to the nearest million yen.）

1. Consolidated Financial Results for FY2016 (April 1, 2016 through March 31, 2017)

2. Consolidated Financial Results

   (The percentage figures represent the percentage of increase or decrease against the same period of the previous year.)

   Net sales	Operating income	Ordinary income	Net income attributable to owners of parent
   FY2016	Million yen %	Million yen %	Million yen %	Million yen %
   	27,632 24.1	3,831 96.1	4,131 97.4	3,867 111.8
   FY2015	22,270 －	1,954 －	2,092 －	1,825 －

   [Note] Comprehensive income: FY2016; 4,357 million yen (266.7%) FY2015; 1,188 million yen (― %)

   Net income per share	Diluted net income per share	Return on equity	Ordinary income to total assets	Operating income to net sales
   FY2016	Yen	Yen － －	%	%	%
   	154.64		17.1	12.2	13.9
   FY2015	73.00		9.0	6.7	8.8

   [Reference] Equity in earnings of affiliates: FY2016; 2 million yen FY2015; 38 million yen

   [Note] The Company has changed its accounting policies from this consolidated fiscal year (change of revenue recognition standard). To conform to this change, figures for FY2015 have been applied retroactively.

   Year-on-year increases/decreases for FY2015 are not stated as changes in accounting policies have been applied retroactively.

3. Consolidated Financial Position

   Total assets	Net assets	Equity ratio	Net assets per share
   As of March 31, 2017	Million yen	Million yen	%	Yen
   	36,036	25,100	68.5	987.38
   As of March 31,2016	31,664	21,006	65.2	825.68

   [Reference] Equity: March 31, 2017; 24,694 million yen March 31, 2016; 20,650 million yen

   [Note] The Company has changed its accounting policies from this consolidated fiscal year (change of revenue recognition standard). To conform to this change, figures for FY2015 have been applied retroactively.

4. Consolidated Situation of Cash Flows

5. Cash flows from operating activities	Cash flows from investing activities	Cash flows from financing activities	Cash and cash equivalents at the end of FY
   FY2016	Million yen	Million yen	Million yen	Million yen
   	2,054	-1,194	-1,020	5,757
   FY2015	3,254	-1,806	-868	6,027

6. Cash Dividends

   Cash Dividends per share					Total dividend payment (annual)	Pay-out ratio (consolidated)	Dividend to net assets (consolidated)
   1st Quarter	2nd Quarter	3rd Quarter	Year-end	Annual
   FY2015	Yen － －	Yen	Yen － －	Yen	Yen	Million yen	%	%
   		0.00		10.00	10.00	250	13.7	1.2
   FY2016		0.00		16.00	16.00	400	10.3	1.8
   FY2017(E)	－	0.00	－	16.00	16.00	14.0

   [Note] The Company has changed its accounting policies from this consolidated fiscal year (change of revenue recognition standard). To conform to this change, figures for FY2015 have been applied retroactively.

7. Forecast of Consolidated Financial Results for FY2017 (April 1, 2017 through March 31, 2018)

   (The percentage figures represent the percentage of increase or decrease against the same period of the previous year.)

   Net Sales	Operating income	Ordinary income	Net income attributable to owners of parent	Net income per share
   Interim	Million Yen %	Million Yen %	Million Yen %	Million Yen %	Yen
   	14,500 2.4	2,000 1.6	2,100 2.8	1,450 -9.9	57.98
   Year-end	29,500 6.8	4,000 4.4	4,150 0.4	2,850 -26.3	113.95

8. Other information

10. Changes in significant subsidiaries during FY2016

    （Changes in specified subsidiaries resulting in changes in scope of consolidation）: None

11. Changes in accounting policies, accounting estimates and restatement

    ① Changes in accounting policies along with changes in accounting standards: Yes

    ② Other changes in accounting policies besides ① above: Yes

    ③ Changes in accounting estimates: None

    ④ Restatement: None

12. Number of shares outstanding (common shares)

① Number of shares outstanding at the end of each fiscal year (including treasury shares): FY2016 25,021,832 shares, FY2015 25,021,832 shares

② Number of treasury shares at the end of each fiscal year: FY2016 11,698 shares, FY2015 11,253 shares

③ Average number of shares outstanding during each fiscal year: FY2016 25,010,404 shares, FY2015 25,010,659 shares

(Reference) Outline of Non-Consolidated Financial Results

1. Non-Consolidated Financial Results for FY2016 (April 1, 2016 through March 31, 2017)

2. Non-Consolidated Financial Results

   (The percentage figures represent the percentage of increase or decrease against the same period of the previous year.)

   Net sales	Operating income	Ordinary income	Net income
   FY2016	Million yen %	Million yen %	Million yen %	Million yen %
   	25,591 23.6	2,253 112.6	2,383 122.8	2,862 64.9
   FY2015	20,700 －	1,059 －	1,070 －	1,735 －

   Net income per share	Diluted net income per share
   FY2016 FY2015	Yen 114.44 69.41	Yen － －

   [Note] The Company has changed its accounting policies from this consolidated fiscal year (change of revenue recognition standard). To conform to this change, figures for FY2015 have been applied retroactively.

   Year-on-year increases/decreases for FY2015 are not stated as changes in accounting policies have been applied retroactively.

3. Non-Consolidated Financial Position

4. Total assets	Net assets	Equity ratio	Net assets per share
   As of March 31, 2017	Million yen	Million yen	%	Yen
   	31,018	20,921	67.4	836.51
   As of March 31,2016	27,816	17,798	64.0	711.63

   [Reference] Equity: March 31, 2017; 20,921 million yen March 31, 2016; 17,798 million yen

   [Note] The Company has changed its accounting policies from this consolidated fiscal year (change of revenue recognition standard). To conform to this change, figures for FY2015 have been applied retroactively.

5. Forecast of Non-Consolidated Financial Results for FY2017 (April 1, 2017 through March 31, 2018)

6. (The percentage figures represent the percentage of increase or decrease against the same period of the previous year.)

   Net Sales	Ordinary income	Net income	Net income per share
   Interim	Million Yen %	Million Yen %	Million Yen %	Yen
   	13,300 0.5	1,080 13.1	740 -33.4	29.59
   Year-end	27,100 5.9	2,420 1.5	1,650 -42.4	65.97

   • This financial results report is not subject to audit.
   • Explanation on the appropriate use of future earnings projections and other special instructions The above forecasts reflect the Company's judgments and assumptions based on available information as of the announcement date and actual results could differ from the forecasts for various reasons.