1. Consolidated Financial Results for the Second quarter Ended June 30, 2012
(Under Japanese GAAP)
August 9, 2012
Company name: NEXON Co., Ltd.
Stock exchange listing: Tokyo Stock Exchange
Stock code: 3659
URL: http://www.nexon.co.jp/
Representative: Seung Woo Choi, President and Chief Executive Officer
Contact: Owen Mahoney, Chief Financial Officer and Chief Administrative Officer TEL: +81-3-3523-7910
Scheduled date for filing of Quarterly Report: August 10, 2012
Scheduled date of dividend payment commencement: -
Supplementary documents for quarterly results: Yes
Quarterly results briefing: Yes (for institutional investors and analysts)
(Amounts of less than one million yen are rounded down to the nearest million yen)
1. Consolidated performance results for the six months ended June 30, 2012 (From January 1, 2012 to June 30, 2012)
(1) Consolidated results of operations (Accumulated total) (% shows year-on-year changes)
Net sales Operating income Ordinary income Quarterly net income
Six months ended Million yen % Million yen % Million yen % Million yen %
June 30, 2012 53,253 - 28,063 - 27,045 - 19,146 -
June 30, 2011 - - - - - - - -
(Note) Comprehensive income Six months ended June 30, 2012: 23,501 million yen (-) Six months ended June 30, 2011: - million yen (-%)
Diluted quarterly net income
Quarterly net income per share
per share
Six months ended Yen Yen
June 30, 2012 44.41 43.12
June 30, 2011 - -
(Note) As the Company prepared quarterly consolidated financial statements for the first time for the nine-month period ended September 30, 2011, the figures for the six months ended June 30, 2011 and year-on-year changes
are omitted.
(2) Consolidated financial position
Total assets Net assets Equity ratio
Million yen Million yen %
June 30, 2012 295,793 202,656 67.3
December 31, 2011 235,765 177,886 73.8
(Reference) Shareholders' equity June 30, 2012: 198,931 Million yen December 31, 2011: 173,979 Million yen
2. Dividends
Annual dividends per share
End of Q1 End of Q2 End of Q3 Year-end Total
Years ended Yen Yen Yen Yen Yen
December 31, 2011 ― 0.00 ― 0.00 0.00
December 31, 2012 ― 0.00
December 31, 2012 (forecast) ― ― ―
(Note) Revisions to dividend forecast since the latest announcement: None
(Note) The Company's articles incorporation sets forth June 30 and December 31 as the record date, but the amount of forecasted dividends as of these dates is undetermined at this point.
3. Consolidated Forecast for the Fiscal Year Ending December 31, 2012 (From January 1, 2012 to December 31, 2012)
(Percentage figures for the fiscal year represent the changes from the previous year)
Net sales Operating income Ordinary income Net income Net income per share
Million yen ％ Million yen ％ Million yen ％ Million yen ％ yen
Year ending December 31, 2012 104,334 19.1 47,082 23.1 46,043 24.8 32,737 27.1 75.88
(Note) Revisions to consolidated forecast since the latest announcement: Yes
4. Other
(1) Changes in material subsidiaries during the current quarter: None
(Note) Changes in the status of specific subsidiaries resulting in changes in the scope of consolidation
(2) Application of specific accounting treatments in preparing quarterly consolidated financial statements: Yes
(3) Changes in accounting policies and estimates and restatements
(i) Changes in accounting policies due to amendment of accounting standards, etc.: Yes
(ii) Changes in accounting policies due to reasons other than (i): None
(iii) Changes in accounting estimates: None
(iv) Restatements: None
(4) Number of shares issued and outstanding (common stock)
(i) Number of shares issued and outstanding at end of period (including treasury stock)
As of June 30, 2012: 433,685,900 shares
As of December 31, 2011: 426,132,900 shares
(ii) Number of treasury shares at end of period
As of June 30, 2012: ― shares
As of December 31, 2011: ― shares
(iii) Average number of shares during the period (accumulated)
As of June 30, 2012: 431,084,043 shares
As of December 31, 2011: ― shares
(Note) As the Company prepared quarterly consolidated financial statements for the first time for the nine-month period ended September 30, 2011, the average number of shares during the period for the six months ended June
30, 2012 are omitted.
*Status of quarterly review procedures
The consolidated financial results for the second quarter ended June 30, 2012 ("quarterly financial results") is not subject to a quarterly review under the Financial Instruments and Exchange Act. Accordingly, the review
procedures for the quarterly consolidated financial statements are not completed at the time of announcement of the quarterly financial results.
*Explanation and other special notes concerning the appropriate use of the performance results forecasts
(Notes on forward-looking statements)
The forward-looking statements such as performance results forecasts included in this document are based on the information available to the Company at the time of announcement and on certain assumptions considered
reasonable. Actual results may differ significantly due to various factors.
(Supplementary documents for quarterly results)
Supplementary documents for quarterly results are available at our IR website.

2. Consolidated Forecast for the three months ending September 30, 2012 (From July 1, 2012 to September 30, 2012)
(Percentages figures for the three months period represent the changes from the same period of the previous year)
Net sales Operating income Ordinary income Net income Net income per share
Million yen ％ Million yen ％ Million yen ％ Million yen ％ yen
Three months ending September 30, 2012 24,943 3.3 9,249 -15.5 9,191 -9.6 6,598 -8.8 15.24
Besides the consolidated performance forecasts for the Year ending December 31, 2012, the Company also announces the forecast for the next quarter, in this case, the third quarter ending September 30, 2012.
In addition, when the Company calculates the revised performance forecast that operating income, ordinary income, net income to be deviated more than 30% from the latest released forecast,
or revenue to be deviated 10% from the latest released forecast, the Company will release the announcement of updated performance forecast.

3. ○Index of Attachment
1. Qualitative information on consolidated performance results for the quarter ended June 30, 2012………………………… 1
(1) Qualitative information on consolidated results of operations…………………………………………………………… 1
(2) Qualitative information on consolidated financial position……………………………………………………………… 1
(3) Qualitative information on consolidated performance results forecast………………….…………………………….… 2
2. Other information …………………………………………………………………………………………………………… 2
(1) Changes in material subsidiaries during the six months ended June 30, 2012…………………………………………… 2
(2) Application of specific accounting treatments in preparing the quarterly consolidated financial statements…………… 2
(3) Changes in accounting policies and estimates, and restatements ……….……………………………………………… 3
3. Quarterly consolidated financial statements.………………………………..……………………………………………… 4
(1) Quarterly consolidated balance sheet...…………………………………….…………………………………………… 4
(2) Quarterly consolidated statements of (comprehensive) income………………………………………………………… 5
Quarterly consolidated statement of income
For the six months ended June 30, 2012…………………………………………………………………………… 5
Quarterly consolidated statement of comprehensive income
For the six months ended June 30, 2012…………………………………………………………………………… 6
(3) Quarterly consolidated statements of cash flows………………………………………………………………………… 7
(4) Notes related to going concern assumption……………………………………………………………………………… 8
(5) Segment information…. ………………………………………………………………………………………………… 8
(6) Notes on significant changes in Shareholders’ equity, if any…………………………………………………………… 9
(7) Significant subsequent events…………………………………………………………………………………………… 9

4. 1. Qualitative information on consolidated performance results for the quarter ended June 30, 2012
(1) Qualitative information on consolidated results of operations
During the six months ended June 30, 2012, the world economy showed a moderate recovery, but the outlook is uncertain
because of the prolonged financial crisis in Europe, delay in economic recovery in developed countries and slowdown in
emerging economies’ growth. In Asia, the economic growth is slowing down due to the economic slowdown in Europe and the
US and sluggish domestic demand.
In Japan, however, despite concerns over the decline in overseas economies, production activities and individual consumption
seem to be improving due primarily to reconstruction demands, and the Japanese economy is gradually recovering.
In such environment, the Group is engaged in primarily online game business, as well as mobile game business and other
businesses, and has been striving to provide wide range of customers with high quality services and to build or acquire excellent
contents to accommodate diversifying needs of users through updating existing game titles and distributing new game titles.
As a result of our efforts, we recorded net sales of ¥53,253 million, operating income of ¥28,063 million, ordinary income of
¥27,045 million and net income of ¥19,146 million for the six months ended June 30, 2012.
Performance results by reportable segments are as follows:
(a) Japan
In Japan, while sales from game titles such as “Tales Weaver,” “Counter-Strike Online,” and “Sudden Attack” continued to
show steady growth, sales from some of the other titles decreased. As a result, net sales amounted to ¥5,917 million and segment
income amounted to ¥455 million.
(b) Korea
In Korea, steady growth of sales from “Sudden Attack” and an increase in royalty income due to significant increase in sales
from “Dungeon&Fighter” in China contributed to net sales of ¥41,879 million and segment income of ¥26,264 million.
(c) China
In China, an increase in consulting income as a result of growth of the online game market in China contributed to net sales of
¥2,002 million and segment income of ¥1,360 million.
(d) North America
In North America, the delay in update as a consequence of the hacking attempt to “Maple Story” at the end of the previous
consolidated fiscal year resulted in net sales of ¥2,496 million and segment loss of ¥244 million.
(e) Other
In other areas, sales slightly decreased on a year-on-year basis, and the impact of foreign exchange rates resulted in net sales of
¥958 million and segment income of ¥246 million.
(2) Qualitative information on consolidated financial position
(a) Cash flows
Cash and cash equivalent (“cash”) at June 30, 2012 was ¥105,940 million.
Cash flows from each activity for the six months ended June 30, 2012 and their major components are as follows:
(Cash flows from operating activities)
Net cash provided by operating activities amounted to ¥23,450 million. Major components included Income before income taxes
and minority interests of ¥25,737 million, Depreciation and amortization of ¥4,810 million, and Income taxes paid of ¥9,232
million.
(Cash flows from investing activities)
Net cash used in investing activities amounted to ¥73,131 million. Major components included an Increase in time deposits of
¥10,020 million, Purchase of stocks of subsidiaries and affiliates of ¥4,482 million, and Purchase of investment securities of
¥56,440 million.
(Cash flows from financing activities)
Net cash provided by financing activities amounted to ¥37,551 million. Major components included Proceeds from short-term
loans payable of ¥53,125 million and Repayment of long-term loans payable of ¥17,043 million.
(b) Analysis of financial position
(Assets)
Total assets as of June 30, 2012 totaled ¥295,793 million, an increase of ¥60,027 million from December 31, 2011.
Current assets as of June 30, 2012 amounted to ¥146,297 million, a decrease of ¥4,424 million mainly due to a decrease of Cash
and deposits of ¥3,389 million from December 31, 2011.
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5. Noncurrent assets as of June 30, 2012 amounted to ¥149,495 million, an increase of ¥64,452 million due to an increase of
Investment securities by ¥64,176 million from December 31, 2011.
(Liabilities)
Total liabilities amounted to ¥93,136 million, an increase of ¥35,257 million compared to the balance at December 31, 2011.
Current liabilities at June 30, 2012 totaled ¥72,653 million, an increase of ¥48,091 million from December 31, 2011. This is
mainly due to an increase of Short-term loans payable of ¥53,095 million, and a decrease of Current portion of Long-term loans
payable of ¥2,828 million.
Noncurrent liabilities totaled ¥20,483 million, a decrease of ¥12,833 million from December 31, 2011 due to a decrease of
Long-term loans payable of ¥13,767 million.
(Net assets)
Net assets as of June 30, 2012 totaled ¥202,656 million, an increase of ¥24,769 million from December 31, 2011, mainly due to
an increase of Retained earnings from recording Net income for the quarter of ¥19,146 million and an increase of Valuation
difference on available-for-sale securities of ¥3,073 million.
(3) Qualitative information on consolidated performance results forecast
We revised our sales revenue for the third quarter and thereafter considering our current situation and actual business
performance. Revision to consolidated full year business outlook for the fiscal year ending December 31, 2012 is as follows:
The following business outlook is based on information available at the time the assumption was made, and is subject to various
risks that could cause actual results to differ from expectations.
Revisions to consolidated forecast figures for the full fiscal year ending December 31, 2012 are as follows:
(Units: millions of yen, %)
Operating Net Income per
Revenues Ordinary Income Net Income
Income share
Previous forecast (A) 108,338 52,234 53,011 37,800 87.88
Revised forecast (B) 104,334 47,082 46,043 32,737 75.88
Difference (B-A) (4,004) (5,151) (6,967) (5,062) ―
Percentage change (%) (3.7) (9.9) (13.1) (13.4) ―
(Reference) Year ended
87,613 38,249 36,905 25,755 71.65
December 31, 2011
2. Other information
(1) Changes in material subsidiaries during the six months ended June 30, 2012
Not applicable.
(2) Application of specific accounting treatments in preparing the quarterly consolidated financial statements
Tax expenses are calculated as income before income taxes and minority interests for the quarter multiplied by the estimated
effective tax rate. The effective tax rate is reasonably estimated taking into consideration deferred tax accounting as the rate
applicable to income before income taxes and minority interests for the consolidated fiscal year including the quarter ended June
30, 2012.
Certain consolidated subsidiaries account for income taxes for the six months ended June 30, 2012 on a basis consistent with the
accounting for income taxes for the fiscal year.
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6. (3) Changes in accounting policies and estimates, and restatements
(Adoption of Accounting Standard for Net Income per Share, etc.)
Effective January, 1, 2012, the Company adopted Accounting Standards Board of Japan (“ASBJ”) Statement No.2, “Accounting
Standard for Net Income per Share”, issued on June 30, 2010 and ASBJ Guidance No.4 (revised 2006), “Guidance on
Accounting Standard for Net Income per Share” issued on June 30, 2010.
The Company has changed the method to calculate quarterly diluted net income per share as follows. For stock options that vest
after a specified service period, the fair value of service expected to be provided to the Company in the future is included in the
cash proceeds assumed to be received upon exercise of the stock options.
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7. 3. Quarterly consolidated financial statements
(1) Quarterly consolidated balance sheet
(Millions of yen)
December 31, 2011 June 30, 2012
Assets
Current assets
Cash and deposits 132,479 129,089
Notes and accounts receivable-trade 13,845 12,588
Short-term investment securities 12 95
Merchandise 40 49
Other 4,367 4,482
Allowance for doubtful accounts (22) (8)
Total current assets 150,722 146,297
Noncurrent assets
Property, plant and equipment 16,016 17,781
Intangible assets
Games Copyright 31,163 28,479
Goodwill 11,595 12,538
Other 1,315 1,396
Total intangible assets 44,074 42,413
Investments and other assets
Investment securities 17,002 81,178
Other 10,766 10,840
Allowance for doubtful accounts (2,815) (2,717)
Total investments and other assets 24,952 89,300
Total noncurrent assets 85,043 149,495
Total assets 235,765 295,793
Liabilities
Current liabilities
Notes and accounts payable-trade 981 934
Short-term loans payable － 53,095
Current portion of long-term loans payable 2,994 166
Income taxes payable 6,671 4,839
Unearned revenue 8,111 7,896
Provision for bonuses 1,082 712
Asset retirement obligations - current 47 17
Other 4,672 4,990
Total current liabilities 24,562 72,653
Noncurrent liabilities
Long-term loans payable 18,567 4,800
Long-term unearned revenue 5,707 5,038
Provision for retirement benefits 203 179
Negative goodwill 3,553 3,169
Asset retirement obligations - noncurrent 117 146
Other 5,167 7,149
Total noncurrent liabilities 33,316 20,483
Total liabilities 57,878 93,136
Net assets
Shareholders' equity
Capital stock 50,300 51,054
Capital surplus 50,162 50,914
Retained earnings 90,757 109,903
Total shareholders' equity 191,219 211,873
Accumulated other comprehensive income
Valuation difference on available-for-sale securities 471 3,545
Foreign currency translation adjustment (17,711) (16,487)
Total accumulated other comprehensive income (17,239) (12,941)
Subscription rights to shares 455 354
Minority interests 3,451 3,370
Total net assets 177,886 202,656
Total liabilities and net assets 235,765 295,793
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8. (2) Quarterly consolidated statements of (comprehensive) income
(Quarterly consolidated statement of income)
(For the six months ended June 30, 2012)
(Millions of yen)
Six months ended
June 30, 2012
Net sales 53,253
Cost of sales 8,223
Gross profit 45,030
Selling, general and administrative expenses 16,966
Operating income 28,063
Non-operating income
Interest income 721
Amortization of negative goodwill 460
Miscellaneous income 311
Total non-operating income 1,493
Non-operating expenses
Interest expenses 255
Foreign exchange losses 277
Equity in losses of affiliates 1,833
Miscellaneous expenses 143
Total non-operating expenses 2,510
Ordinary income 27,045
Extraordinary income
Gain on sales of noncurrent assets 3
Gain on change in equity 92
Total extraordinary income 96
Extraordinary loss
Loss on sales and retirement of noncurrent assets 40
Impairment loss 1,354
Loss on change in equity 9
Total extraordinary losses 1,404
Income before income taxes and minority interests 25,737
Income taxes 6,534
Income before minority interests 19,203
Minority interests in income 57
Net income 19,146
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9. (Quarterly consolidated statement of comprehensive income)
(For the six months ended June 30, 2012)
(Millions of yen)
Six months ended
June 30, 2012
Income before minority interests 19,203
Other comprehensive income
Valuation difference on available-for-sale securities 3,073
Foreign currency translation adjustment 1,038
Share of other comprehensive income of associates accounted for using
185
equity method
Total other comprehensive income 4,297
Comprehensive income 23,501
(Comprehensive income attributable to)
Comprehensive income attributable to owners of the parent 23,444
Comprehensive income attributable to minority interests 56
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10. (3) Quarterly consolidated statements of cash flows
(For the six months ended June 30, 2012)
(Millions of yen)
Six months ended
June 30, 2012
Operating activities
Income before income taxes and minority interests 25,737
Depreciation and amortization 4,810
Amortization of goodwill 1,200
Amortization of negative goodwill (460)
Decrease in allowance for doubtful accounts (169)
Decrease in provision for bonuses (391)
Decrease in provision for retirement benefits (28)
Interest and dividends income (747)
Interest expenses 255
Foreign exchange losses 228
Impairment loss 1,354
Equity in losses of affiliates 1,833
Decrease in notes and accounts receivable-trade 1,669
Increase in other current assets (1,764)
Decrease in notes and accounts payable-trade (63)
Decrease in unearned revenue (1,089)
Decrease in other current liabilities (253)
Other, net 36
Subtotal 32,159
Interest and dividends income received 787
Interest expenses paid (263)
Income taxes paid (9,232)
Net cash provided by operating activities 23,450
Investing activities
Increase in time deposits (10,020)
Increase in short-term investment securities (83)
Purchase of property, plant and equipment (1,473)
Proceeds from sales of property, plant and equipment 43
Purchase of intangible assets (425)
Payments for long-term prepaid expenses with increase (246)
Payments of short-term loans receivable (110)
Collection of short-term loans receivable 1,908
Collection of long-term loans receivable 4
Purchase of investment securities (56,440)
Proceeds from sales of investment securities 389
Purchase of investments in subsidiaries (559)
Purchase of stocks of subsidiaries and affiliates (4,482)
Purchase of investments in subsidiaries resulting in change in
(1,231)
scope of consolidation
Payments for transfer of business (1,750)
Payments for deposit pledged as collateral (14,032)
Proceeds from deposit released from collateral 15,043
Other, net 335
Net cash used in investing activities (73,131)
Financing activities
Increase in short-term loans payable 53,125
Proceeds from long-term loans payable 327
Repayment of long-term loans payable (17,043)
Repayments of finance lease obligations (276)
Proceeds from exercise of stock option 1,416
Other, net 1
Net cash provided by financing activities 37,551
Effect of exchange rate change on cash and cash equivalents 471
Net decrease in cash and cash equivalents (11,658)
Cash and cash equivalents at beginning of period 117,598
Cash and cash equivalents at end of period 105,940
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11. (4)Notes related to going concern assumption
Not applicable.
(5) Segment information
(Segment information)
For the six months ended June 30, 2012 (From January 1, 2012 to June 30, 2012)
1. Net sales and net income or loss by reportable segments
(Millions of yen)
Quarterly
Reportable segments
consolidate
Other Adjustments
statement
North (Note 1) (Note 2)
Japan Korea China Total of income
America (Note 3)
Net sales
Sales to third party
customers 5,917 41,879 2,002 2,496 52,295 958 － 53,253
Intersegment sales or
transfer between － 2,337 － 56 2,393 － (2,393) －
segments
Total 5,917 44,216 2,002 2,552 54,688 958 (2,393) 53,253
Segment income 455 26,264 1,360 (244) 27,836 246 (19) 28,063
(Notes) 1. “Other” includes geographical segments not included in any of the reportable segments, such as Europe.
2. The adjustment to Segment income/loss of ¥ (19) million represents elimination of intersegment transactions.
3. Segment income is adjusted to operating income presented in the consolidated statement of income.
2. Information on impairment loss on noncurrent assets or goodwill by reportable segments
(Material impairment loss on noncurrent assets)
(Millions of yen)
Reportable segments
Other Adjustments Total
North
Japan Korea China Total
America
Impairment loss 14 1,339 － － 1,354 － － 1,354
(Material changes in goodwill)
(Millions of yen)
Reportable segments
Other Adjustments Total
North
Japan Korea China Total
America
Amortization during
the period 80 1,119 － － 1,200 － － 1,200
Ending balance at end
of period 1,795 10,743 － － 12,538 － － 12,538
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12. (Material changes in negative goodwill)
(Millions of yen)
Reportable segments
Other Adjustments Total
North
Japan Korea China Total
America
Amortization during
the period － 460 － － 460 － － 460
Ending balance at end
of period － 3,169 － － 3,169 － － 3,169
(Information on gain on negative goodwill)
Not applicable.
3. Information by areas
(Net sales)
(Millions of yen)
Japan Korea China North America Other Total
5,923 15,108 25,912 2,913 3,396 53,253
(Notes) 1. Net sales are grouped into countries or areas based on customers’ location.
2. The segmentation by country or area is based on geological proximity.
3. Details of countries or areas included in each segment
(1) North America: the United States of America and Canada
(2) Other: European and Asian countries and Central and South America
(6)Notes on significant changes in Shareholders’ equity, if any
The disclosure is omitted as there was no major change.
(7)Significant subsequent events
(Loan refinancing)
On July 31, 2012, Nexon newly obtained a long-term loan from Sumitomo Mitsui Banking Corporation and simultaneously
repaid its existing loan of JPY 50,000 million obtained through a special account loan agreement executed on June 29, 2012 to
Sumitomo Mitsui Banking Corporation. We believe that the refinancing will lower our overall cost of funding in Japanese yen
and U.S. dollars and provide us with additional strategic flexibility in financing our growth initiatives. Details of the refinancing
and repayment are as follows:
(1)Lender
Sumitomo Mitsui Banking Corporation
(2)Details of the refinancing
Debt amount: JPY 34,000 million and USD 200 million
Period of debt: 5 years (from July 31, 2012 to July 31, 2017)
Terms of repayment: Nexon shall make its first repayment to Sumitomo Mitsui Banking Corporation on January 31, 2013
and thereafter make repayments of JPY 5,000 million on the end date of every six months.
Interest rate: 1.41%
(3)Date of refinancing
July 31, 2012
(4)Future outlook
Nexon does not expect its interest expenses to significantly increase or decrease due to the refinancing.
(5)Property subject to lien
Investment securities: JPY 60,443 million
The price above is the book value as of June 30, 2012.
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13. <Regarding to the accounts item in the consolidated financial statement>
With respect to the accounts items stated in this consolidated financial statement, please refer to the following chart with comparison
to offering circular.
(1) Quarterly consolidated balance sheet
Quarterly Consolidated Financial Results Offering Circular
Assets Assets
Current assets Current assets:
Cash and deposits Cash and time deposits
Notes and accounts receivable-trade Accounts receivable - trade
Short-term investment securities Trading securities
Merchandise Merchandise
Other Other current assets
Allowance for doubtful accounts Allowance for doubtful accounts
Total current assets Total current assets
Noncurrent assets -
Property, plant and equipment Property, plant and equipment:
Intangible assets Investments and other assets:
Games Copyright Game copyrights
Goodwill Goodwill
Other Other
Total intangible assets -
Investments and other assets Investments and other assets:
Investment securities Investment securities
Other Other
Allowance for doubtful accounts Allowance for doubtful accounts
Total investments and other assets -
Total noncurrent assets -
Total assets Total assets
Liabilities Liabilities and net assets
Current liabilities Current liabilities:
Notes and accounts payable-trade Accounts payable - trade
Short-term loans payable Short-term borrowings
Current portion of long-term loans payable Current portion of long-term borrowings
Income taxes payable Provision for income taxes
Unearned revenue Deferred income
Provision for bonuses Employees' bonuses
Asset retirement obligations - current -
Other Other current liabilities
Total current liabilities Total current liabilities
Noncurrent liabilities Long-term liabilities:
Long-term loans payable Long-term borrowings
Long-term unearned revenue Deferred income
Provision for retirement benefits Employees' retirement benefits
Negative goodwill Negative goodwill
Asset retirement obligations - noncurrent Asset retirement obligations
Other Other non-current liabilities
Total noncurrent liabilities Total long-term liabilities
Total liabilities Total liabilities
Net assets Net assets:
Shareholders' equity Shareholders' equity
Capital stock Common stock:
Capital surplus Capital surplus
Retained earnings Retained earnings
Total shareholders' equity Total shareholders' equity
Accumulated other comprehensive income -
Net unrealized gains (losses) on investment securities, net
Valuation difference on available-for-sale securities
of tax
Foreign currency translation adjustment Foreign currency translation adjustments
Total accumulated other comprehensive income -
Subscription rights to shares Stock options
Minority interests Non-controlling interest
Total net assets Total net assets
Total liabilities and net assets Total liabilities and net assets
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14. (2) Quarterly consolidated statements of (comprehensive) income
(Quarterly consolidated statement of income)
Quarterly Consolidated Financial Results Offering Circular
Net sales Revenues
Cost of sales Cost of sales
Gross profit Gross profit
Selling, general and administrative expenses Selling, general and administrative expenses
Operating income Operating income
Non-operating income Other income (expense):
Interest income Interest income
Amortization of negative goodwill Negative goodwill amortization
Miscellaneous income -
Total non-operating income -
Non-operating expenses -
Interest expenses Interest expense
Foreign exchange losses Foreign exchange gains (losses)
Equity in losses of affiliates Equity in earnings (losses) of affiliates
Miscellaneous expenses -
Total non-operating expenses -
Ordinary income -
Extraordinary income -
Gain on sales of noncurrent assets Gain (loss) on sales/disposal of fixed assets
Gain on change in equity -
Total extraordinary income -
Extraordinary loss -
Loss on sales and retirement of noncurrent assets Gain (loss) on sales/disposal of fixed assets
Impairment loss Impairment losses
Loss on change in equity -
Total extraordinary losses -
Income before income taxes and minority interests Income before income taxes
Income taxes Income taxes
Income before minority interests Income before minority interest
Minority interests in loss Non-controlling interest in net income (loss)
Net income Net income
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15. (3) Quarterly consolidated statements of cash flows
Quarterly Consolidated Financial Results Offering Circular
Operating activities Operating activities
Income before income taxes and minority interests Income before income taxes
Depreciation and amortization Depreciation and amortization
Amortization of goodwill Goodwill amortization
Amortization of negative goodwill Negative goodwill amortization
Decrease in allowance for doubtful accounts Increase (decrease) in allowance for doubtful accounts
Decrease in provision for bonuses Increase (decrease) in provision for employees' bonuses
Decrease in provision for retirement benefits Decrease in provision for retirement benefit expenses
Interest and dividends income Interest and dividend income
Interest expenses Interest expense
Foreign exchange losses Foreign exchange (gains) losses
Impairment loss Impairment losses
Equity in losses of affiliates Equity in losses of affiliates
Decrease in notes and accounts receivable-trade Increase in accounts receivable- trade
Increase in other current assets Decrease (increase) in other current assets
Decrease in notes and accounts payable-trade Increase in accounts payable- trade
Decrease in unearned revenue Increase (decrease) in deferred income
Decrease in other current liabilities Increase (decrease) in other current liabilities
Other, net Other - net
Subtotal Subtotal
Interest and dividends income received Interest and dividends received
Interest expenses paid Interest paid
Income taxes paid Income taxes paid
Net cash provided by operating activities Net cash provided by operating activities
Investing activities Investing activities
Increase in time deposits Decrease (increase) in time deposits
Increase in short-term investment securities Decrease (increase) in short-term investment securities
Purchase of property, plant and equipment Purchases of property, plant and equipment
Proceeds from sales of property, plant and equipment Proceeds from sales of property, plant and equipment
Purchase of intangible assets Purchases of intangible assets
Payments for long-term prepaid expenses with increase Increase in long-term prepaid expenses
Payments of short-term loans receivable Payments of short-term loans receivable
Collection of short-term loans receivable Collection of short-term loans receivable
Collection of long-term loans receivable Collection of long-term loans receivable
Purchase of investment securities Purchases of investment securities
Proceeds from sales of investment securities Proceeds from sales of investment securities
Purchase of investments in subsidiaries Purchases of shares of subsidiaries
Purchase of stocks of subsidiaries and affiliates Purchase of shares of affiliates
Purchase of investments in subsidiaries resulting in change in Proceeds from purchase of investments in subsidiaries
scope of consolidation resulting in change in scope of consolidation
Payments for transfer of business -
Payments for deposit pledged as collateral Payments of deposits pledged as collateral
Proceeds from deposit released from collateral Proceeds from withdrawal of deposits pledged as collateral
Other, net Other - net
Net cash used in investing activities Net cash used in investing activities
Financing activities Financing activities
Increase in short-term loans payable Proceeds from short-term borrowings
Proceeds from long-term loans payable Proceeds from long-term borrowings
Repayment of long-term loans payable Repayments of long-term borrowings
Repayments of finance lease obligations Repayments of lease obligations
Proceeds from exercise of stock option -
Other, net Other - net
Net cash provided by financing activities Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents Effect of exchange rate changes on cash and cash equivalents
Net decrease in cash and cash equivalents Net increase in cash and cash equivalents
Cash and cash equivalents at beginning of period Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of period Cash and cash equivalents at end of year
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