Quarterly Consolidated Balance Sheets: 3Q of FY2013

The quarterly consolidated balance sheets and accompanying income statements for the third quarter of FY2013 reveal a contraction in both revenue and profitability compared with the same period in FY2012. Net sales fell from ¥9,922 million to ¥6,357 million, a decline of 36%, while gross profit dropped from ¥7,083 million to ¥4,048 million. Operating income turned negative, registering a loss of ¥509 million versus a profit of ¥2,342 million in the prior year. The loss was largely driven by higher equity losses of affiliates and a significant increase in non‑operating expenses, including a ¥152 million loss on equity of affiliates and a ¥15 million loss on investments in partnership.

Net income reversed sharply, falling from ¥1,621 million to a loss of ¥1,573 million. Comprehensive income followed the same trend, declining from ¥1,631 million to a loss of ¥1,481 million. The company’s cash position remained relatively stable; cash and equivalents increased by ¥428 million to ¥9,628 million at the end of FY2013, supported by operating cash inflows and modest financing activities.

Assets shifted toward higher intangible and investment holdings. Goodwill rose from ¥178 million to ¥1,036 million, while total intangible assets increased to ¥1,169 million. Property, plant and equipment decreased from ¥916 million to ¥669 million, reflecting divestitures or write‑downs. Total assets contracted from ¥20,083 million to ¥17,623 million.

Liabilities and equity also contracted. Current liabilities fell from ¥3,731 million to ¥3,116 million, and shareholders’ equity decreased from ¥16,220 million to ¥14,318 million. Treasury stock remained a significant negative equity component at approximately ¥1,690 million.

Overall, the FY2013 third‑quarter results indicate a challenging operating environment with declining sales and profitability, offset only partially by cash generation. The company’s balance sheet reflects a shift toward higher intangible assets and reduced fixed‑asset investment, while equity erosion remains a concern.