This document has been prepared in accordance with accounting principles and practices generally accepted in Japan, and translated for reference only from the original Japanese version. The Company gives no warranty with respect to its correctness.
Sep. 20, 2011
Takara Holdings Inc.
Revision of Consolidated Business Results Forecast for the First Half
of the Fiscal Year Ending March 31, 2012
In light of recent business result trends, the Company revised the business results forecast for the first half of the fiscal year ending March 31, 2012 (from April 1, 2011, to March 31, 2012) that it announced on May 10, 2011, as stated below.
1. Revised figures for the business results forecast for the first half of the fiscal year ending March 31, 2012 (from April 1, 2011, to September 30, 2011)
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2. Reason for Revision
Net sales are expected to surpass the target, centered on strong sales at the Takara Shuzo Group, such as sales of light-alcohol refreshers / sake and sales in the Japanese food ingredients wholesale business overseas. Further, in the Takara Bio Group the gene medicine business is expected to surpass targets. As a result, the forecast for consolidated net sales was increased by ¥800 million (0.8%).
As for earnings, in addition to net sales surpassing the target, selling, general and administrative expenses are expected to be lower than the target, centered on the sales promotion expenses of the Takara Shuzo Group and the research and development expenses of the Takara Bio Group. As a result, the forecast for operating income was increased by ¥700 million (30.4%), and the forecast for ordinary income was increased by ¥700 million (29.2%).
Meanwhile, extraordinary loss arising from the Great East Japan Earthquake is expected to be more than initially anticipated. Also, the recognition of a loss on valuation of investment securities is expected due to the fall in stock prices. As a result, the forecast for net income was decreased by ¥200 million (22.2%).
Moreover, today the Company’s consolidated subsidiary Takara Bio Inc. (Tokyo Stock Exchange Mothers, securities code number: 4974), which operates a Biomedical business, has also announced a revision of its business results forecast for first half of the fiscal year ending March 31, 2012.
3. Full-year business results forecast for the fiscal year ending March 31, 2012
The Company is currently undertaking detailed analysis of a revision of consolidated business results for the full fiscal year, including whether or not revision is necessary. The Company will make an announcement in this regard when it announces its business results for the first half on November 4, 2011.
* The above-mentioned forecasts have been prepared based on the information available as of the date of announcement of this document and could differ from the business result figures scheduled to be announced on November 4, 2011.
