Dunlop Sports Co. Ltd.

（Stock Code :7825 Tokyo Stock Exchange）

Second Quarter of FY 2017 Financial Results Briefing Material August 7, 2017 2017 First Half Earnings

Summary of Consolidated Financial Results

Overseas sales was strong. Operating and pretax profits both rose.

(Billion yen）

2017

Jan-Jun

2016

Jan-Jun

y-o-y

（%）

-0.3

（Reference）

Revenue 36.2 36.4

Forecast Announced 17/2/14

Change

36.5

-0.3

1.3

(3.6%)

+1.1

0.6

(1.6%)

+0.7

Jan-Mar

y-o-y

Apr-Jun

y-o-y

16.9

+0.0

19.3

-0.3

1.0

(6.1%)

+0.5

1.4

(7.1%)

-0.4

1.2

(6.8%)

+1.0

1.3

(6.9%)

+0.3

0.6

(3.6%)

+0.8

0.7

(3.5%)

+0.1

( -1%)

Operating profit

(%)

Profit

2.4 2.3 +0.1

(6.6%) (6.3%) (+4%)

+1.3

before tax 2.5 1.2

Net profit 1.3 0.3

(+106%)

+0.9

(+278%)

*Amounts less than 100 million yen are rounded off, amounts less than

± 50 million yen are shown as zero.

y-o-y

Japanese golf equipment market -3% Japanese tennis equipment market -2%

■ vs. previous year (y-o-y) ・ vs. forecast

U.S. golf equipment market

-4%

Revenue declined slightly. Operating profit rose because of strong overseas sales, improved gross margin, and reduced expenses. Profit before tax increased as foreign exchange operations in financial revenue mainly turned profitable.

The results significantly exceeded the forecast as well.

Revenue by Products

Golf club and accessories sales declined. Golf ball sales rose.

(Billion yen）

2017

Jan-Jun

y-o-y

Amount

%

Golf clubs

15.8

-0.4

-3%

Golf balls

7.7

+0.4

+5%

Golf others

3.3

-0.5

-13%

Golf equipment

26.8

-0.5

-2%

Tennis

equipment

3.5

+0.1

+4%

License

revenue

0.3

+0.1

+22%

Sports equipment

30.5

-0.3

-1%

Services

1.3

-0.1

-7%

Wellness

4.3

+0.2

+4%

Total

36.2

-0.3

-1%

Excluding

Overseas

Japan (excl. currency)

currency effect

Golf clubs

Golf balls Golf others Total

-1.8

-0.2

-0.5

-2.5

+1.4

+0.7

+0.0

+2.0

-0.5

+0.5

-0.5

-0.5

+0.1

+0.1

-0.3

-0.1

+0.2

-0.2

*Amounts less than 100 million yen are rounded off, amounts less than ± 50 million yen are shown as zero.

■ Golf clubs

Revenue in Japan declined because of the market situation and increased competition. Revenue overseas increased for the respective brands.

■ Golf balls

Revenue increased significantly both in Japan and overseas with strong sales of the new Z-STAR product.

■ Wellness

Revenue rose with continuation of opening new compact gym outlets. Membership at existing outlets remained firm.

Dunlop Sports Co. Ltd. published this content on 07 August 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 25 August 2017 06:22:03 UTC.

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