Amano : Summary Financial Statements (Consolidated) for Fiscal Year 2015 (Year Ended March 31, 2016)(579KB)

Summary Financial Statements (Consolidated)

Summary Financial Statements (Consolidated)‌‌‌‌‌‌‌‌‌‌‌

for Fiscal Year 2015 (Year Ended March 31, 2016) (Japan GAAP)‌‌‌‌

April 25, 2016

Company name:‌

Amano Corporation

Listed on: TSE

Securities code: 6436 URL http://www.amano.co.jp/

Representative:	Izumi Nakajima, President & Representative Director
Inquiries:	Kunihiro Ihara, Operating Officer General Manager Corporate Planning	Phone: +81 (45) 439-1951

Scheduled date for Ordinary General Meeting of Shareholders: June 29, 2016

Scheduled date for filing of securities report: June 29, 2016

Scheduled date for start of dividend payments: June 30, 2016

Supplementary explanation materials prepared for financial results: Yes

Briefing held on financial results: Yes (for institutional investors and analysts)‌

1. Business results for fiscal year 2015 (April 1, 2015 to March 31, 2016)‌

   (Amounts less than 1 million yen are rounded down)

   (1) Operating results

   (Percentages represent year-on-year changes)

   Net sales		Operating profit		Ordinary profit		Net income attributable to owners of the parent company
   FY 2015 (year ended March 2016)	Millions of yen	(% change)	Millions of yen	(% change)	Millions of yen	(% change)	Millions of yen	(% change)
   	119,506	8.8	12,942	38.3	13,665	34.1	8,405	23.7
   FY 2014 (year ended March 2015)‌	109,837	7.5	9,357	6.0	10,189	8.1	6,794	28.2

   Note: Comprehensive income FY 2015 (year ended March 2016): 6,793 million yen (−34.4%)

   FY 2014 (year ended March 2015): 10,355 million yen (7.9%)

   Net income per share	Diluted net income per share	Ratio of net income to equity capital	Ratio of ordinary profit to total assets	Ratio of operating profit to net sales
   FY 2015 (year ended March 2016) FY 2014 (year ended March 2015)	Yen 109.75 88.71	Yen - -	% 9.0 7.7	% 10.2 8.0	% 10.8 8.5

   Reference: Equity in earnings of affiliates FY 2015 (year ended March 2016): 148 million yen

   FY 2014 (year ended March 2015): 59 million yen

2. Financial position

   Total assets	Net assets	Equity ratio	Net assets per share
   FY 2015 (year ended March 2016)‌	Millions of yen	Millions of yen	%	Yen
   	136,965	95,606	69.5	1,242.86
   FY 2014 (year ended March 2015)	131,560	92,148	69.8	1,198.22

   Reference: Equity capital As of March 31, 2016: 95,190 million yen As of March 31, 2015: 91,772 million yen

3. Cash flows‌

4. Cash flow from operating activities‌	Cash flow from investing activities	Cash flow from financing activities	Cash and cash equivalents at end of year
   FY 2015 (year ended March 2016)	Millions of yen	Millions of yen	Millions of yen	Millions of yen
   	13,420	(6,608)	(4,308)	32,725
   FY 2014 (year ended March 2015)	7,518	(6,519)	(2,969)	30,526

5. Dividends

   Annual dividends					Total dividend amount (Year)	Payout ratio (Consolidated)	Ratio of dividend to net assets (Consolidated)
   First quarter-end	Second quarter-end	Third quarter-end	Year-end	Total
   FY 2015 (year ended March 2016)	Yen	Yen	Yen	Yen	Yen	Millions of yen	%	%
   	-	15.00	-	23.00	38.00	2,910	42.8	3.3
   FY 2014 (year ended March 2015)	-	20.00	-	28.00	48.00	3,676	43.7	3.9
   FY 2016 (year ending March 2017) (est.)	-	23.00	-	23.00	46.00	40.0

6. Forecast earnings for fiscal year 2016 (April 1, 2016 to March 31, 2017)

   (Percentages represent year-on-year changes)

   Net sales		Operating profit		Ordinary profit		Net income attributable to owners of the parent company		Net income per share
   First half	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
   	56,700	3.4	4,900	6.0	5,100	2.2	3,200	4.3	41.78
   Full year	122,000	2.1	13,000	0.4	13,500	(1.2)	8,800	4.7	114.90

   (1) Significant changes among subsidiaries during the fiscal year under review (i.e. changes among specific subsidiaries resulting in a change in the scope of consolidation):

   :

   None

7. Other matters

8. [1] Changes arising from revision of accounting standards	:	Yes
   [2] Changes to accounting policies other than those in [1] above	:	None
   [3] Changes to accounting forecasts	:	None
   [4] Restatements	:	None

9. Changes to accounting policies, changes to accounting forecasts, and restatements

   As of March 31, 2016	76,657,829 shares	As of March 31, 2015	76,657,829 shares
   As of March 31, 2016	68,109 shares	As of March 31, 2015	66,585 shares
   As of March 31, 2016	76,590,480 shares	As of March 31, 2015	76,592,083 shares

10. Number of shares issued and outstanding (common stock) [1] Number of shares issued and outstanding at the end of the

period (including treasury stock)

[2] Number of shares of treasury stock at the end of the period [3] Average number of shares outstanding

Reference: Non-consolidated results

1. Business results for fiscal year 2015 (April 1, 2015 to March 31, 2016)

2. Operating results (Percentages represent year-on-year changes)

   Net sales		Operating profit		Ordinary profit		Net income
   FY 2015 (year ended March 2016)	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
   	68,328	3.2	7,913	22.4	9,301	17.5	6,077	19.8
   FY 2014 (year ended March 2015)	66,193	2.5	6,465	(3.2)	7,918	2.4	5,073	5.4

   Net income per share	Diluted net income per share
   FY 2015 (year ended March 2016)	Yen	Yen
   	79.35	―
   FY 2014 (year ended March 2015)	66.24	―

3. Financial position

4. Total assets	Net assets	Equity ratio	Net assets per share
   FY 2015 (year ended March 2016)	Millions of yen	Millions of yen	%	Yen
   	115,118	93,116	80.9	1,215.79
   FY 2014 (year ended March 2015)	111,494	90,417	81.1	1,180.52

   Reference: Equity capital As of March 31, 2016: 93,116 million yen As of March 31, 2015: 90,417 million yen

5. Forecast earnings for fiscal year 2016 (April 1, 2016 to March 31, 2017)

   (Percentages represent year-on-year changes)

   Net sales		Operating profit		Ordinary profit		Net income		Net income per share
   First half	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
   	32,000	4.3	2,400	(10.8)	3,200	(9.7)	2,200	(6.5)	28.72
   Full year	71,500	4.6	7,600	(4.0)	9,000	(3.2)	6,200	2.0	80.95

   Note: Presentation of the implementation status of audit procedures

   These Summary Financial Statements are not subject to the audit procedures stipulated in Japan's Financial Instruments and Exchange Act. As of the date of release of these Summary Financial Statements, the financial statement audit procedures stipulated in the Act have not yet been completed.

   Note: Explanation concerning appropriate use of the earnings forecast, and other matters to note Caution regarding forward-looking statements

   Earnings forecasts and other forward-looking statements contained in this document are based on information available at the time of this document's preparation and on certain assumptions that are deemed to be reasonable. A variety of factors could cause actual results to differ significantly from the forecasts. For matters related to earnings forecasts, please see Attachment page 2: "1. Analysis of Business Results and Financial Condition."

   Obtaining supplementary financial results materials and information on the scheduled financial results briefing Supplementary financial results materials are disclosed via TDnet on the same day as the date of this document. Also, a financial results briefing for institutional investors and analysts is scheduled for Wednesday, April 27, 2016. The financial results materials to be distributed at this briefing are due to be published on the Amano Corporation website immediately following the meeting.

   • Table of Contents for Attachment

6. Analysis of Business Results and Financial Condition 2

7. Analysis of Business Results 2

8. Analysis of Financial Condition 6

9. Basic Policy on Distribution of Profits and Payment of Dividends for This Fiscal Year and the Next 7

10. Operating and Other Risk Factors 8

11. Status of the Corporate Group 9

12. Business Policies 10

13. Basic Management Policy 10

14. New Medium-Term Business Plan 10

15. Issues to Be Addressed 11

16. Basic Approach to the Selection of Accounting Standards 12

17. Consolidated Financial Statements 13

18. Consolidated Balance Sheets 13

20. Consolidated Statement of Changes in Shareholders' Equity 18

21. Consolidated Statements of Cash Flows 20

22. Notes to Consolidated Financial Statements 22

Notes Regarding the Premise of a Going Concern 22

Important Matters that Constitute the Basis for the Preparation of the Consolidated Financial Statements 22

Changes to Accounting Policies 24

Segment information 25

Per-share Data 27

Significant Subsequent Events 27

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1. Analysis of Business Results and Financial Condition‌

1. Analysis of Business Results‌

   During the fiscal year under review, although overseas economies remained unstable due to the slowdowns in emerging market economies and fluctuations in the price of crude oil, the Japanese economy appeared to be on a firm footing as corporate profits and conditions in the jobs market improved steadily, thanks partly to the weak yen, while capital investment continued to be robust.

   Amid this business environment, the Amano Group worked on global marketing and product deployment as well as the enhancement of its capacity to provide holistic solutions, based on its new medium-term business plan launched in April 2014. Under this plan, the Group set forth the management concept of "Challenge to a New Stage," a concept aimed at making the organization a "100-year company." The Amano Group also concentrated on thoroughly uncovering customer needs and strove to reduce the costs of goods sold (COGS) and selling, general, and administrative (SG&A) expenses.

   As a result of the above, during the fiscal year under review, the Company recorded sales of ¥119,506 million, up by 8.8% year-on-year. Operating profit increased by 38.3% to ¥12,942 million, ordinary profit went up by 34.1% to ¥13,665 million, and net income, which is attributable to parent company shareholders, increased by 23.7% to ¥8,405 million, resulting in increases in both income and profit.

   The following is a breakdown of sales by business division.

   Sales by business division (Millions of yen)

   Category	FY 2014 (April 1, 2014- March 31, 2015)		FY 2015 (April 1, 2015- March 31, 2016)		Change
   	Amount	Ratio (%)	Amount	Ratio (%)	Amount	%
   Time Information System business:	23,558	21.5	25,512	21.3	1,953	8.3
   Information Systems
   Time Management Products	4,100	3.7	4,165	3.5	64	1.6
   Parking Systems	51,817	47.2	55,784	46.7	3,966	7.7
   Subtotal	79,477	72.4	85,462	71.5	5,984	7.5
   Environment System business:	20,639	18.8	21,830	18.3	1,190	5.8
   Environmental Systems
   Clean Systems	9,720	8.8	12,213	10.2	2,493	25.6
   Subtotal	30,360	27.6	34,044	28.5	3,683	12.1
   Total	109,837	100.0	119,506	100.0	9,668	8.8

   Time Information System business

   Time & attendance (T&A), payroll, human-resource management, access control, and cafeteria systems

   Time recorders and time stamps

   Parking and bicycle-parking space management systems, and commissioned parking lot management service

   • Information Systems:

   • Time Management Products:

   • Parking Systems:

   • Information Systems

This business division, against the backdrop of improved corporate performance domestically, saw a growing trend of investment in information systems in relation to the Social Security & Tax Number ("My Number") system and measures to prevent leaks of personal information.

In response to these market conditions, the Company added access control and security to the list of its "3-in-1" proposal comprising time & attendance (T&A), payroll, and human-resource management, thus striving to bolster its activities to provide total solutions from system ownership to system use.

Domestic sales for the current term were as follows. Terminal device sales increased by ¥633 million (10.0%) year-on-year and software sales increased by ¥159 million (4.5%). The increase in terminal device sales was a result of multiple orders for large replacement projects, while the higher software sales was attributable to the increased orders of T&A systems for the small- and medium-sized enterprise markets.

Overall overseas sales increased by ¥713 million year-on-year (7.9%) as the sales of Accu-Time Systems Inc. in North America increased while the sales of Horosmart S.A. in Europe decreased due to the disposal of a group company.

As a result of the above, sales in this business division totaled ¥25,512 million, representing an increase of 8.3% year-on-year.

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