Fuji Media : Quarterly Flash Report Results for three months ended June 30, 2017

Flash Report [Japanese GAAP] (Consolidated Basis) Results for the three months ended June 30, 2017

July 31, 2017

Company name: Fuji Media Holdings, Inc.

Stock listing: Tokyo Stock Exchange Code number: 4676 URL: http://www.fujimediahd.co.jp/en Representative: Masaki Miyauchi, President and Representative Director

Person to contact: Junji Okunogi, Senior Executive Director of Treasury & Finance Department Telephone: [phone] (key)

Scheduled date of filing quarterly securities report: August 10, 2017 Scheduled date of commencing dividend payments: ―

Availability of supplementary briefing material on quarterly financial results: Available Schedule of quarterly financial results briefing session: No

1. Consolidated Financial Results
2. Business Performance

   (Figures less than ¥1 million have been omitted.)

   Three Months ended June 30 Percentages indicate year-on-year increases/(decreases).

   Net sales		Operating income		Recurring profit		Net income attributable to owners of the parent
   Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
   2017	149,079	(1.8)	3,300	(52.0)	5,776	(38.9)	4,202	(37.9)
   2016	151,771	2.0	6,872	53.5	9,450	42.9	6,772	60.0

   (Note) Comprehensive income: Three months ended June 30, 2017: ¥16,438 million, 280.0 %,

   Three months ended June 30, 2016: ¥4,325 million, (43.0)%

   Basic earnings per share	Diluted earnings per share
   Yen	Yen
   2017	18.18	―
   2016	29.29	―

3. Financial Position

4. Total assets	Net assets	Equity ratio
   Millions of yen	Millions of yen	%
   June 30, 2017	1,200,345	694,776	56.7
   March 31, 2017	1,185,199	682,062	56.3

   (Reference) Total shareholders' equity: June 30, 2017: ¥680,308 million,

   March 31, 2017: ¥667,843 million

5. Dividends

   Year ended March 31, 2017/ Year ending March 31, 2018

   Dividends per share
   1Q	2Q	3Q	Year-end	Total
   Yen	Yen	Yen	Yen	Yen
   2017	―	20.00	―	20.00	40.00
   2018	―
   2018 (Forecast)	20.00	―	20.00	40.00

   (Note) Revision to dividends forecast: None

6. Forecasts of Consolidated Financial Results for the Fiscal Year Ending March 31, 2018

   Percentages indicate year-on-year increases/(decreases).

   Net sales		Operating income		Recurring profit
   Millions of yen	%	Millions of yen	%	Millions of yen	%
   Interim period	317,900	(3.0)	9,100	(31.6)	12,800	(27.8)
   Fiscal year	661,500	1.2	23,500	5.3	30,500	0.4

   Net income attributable to owners of the parent		Basic earnings per share
   Millions of yen	%	Yen
   Interim period	8,800	(30.9)	38.05
   Fiscal year	21,300	(22.3)	92.09

   (Note) Revision to earnings forecast: None

   Notes:

7. Significant changes in subsidiaries (changes in specific subsidiaries involving a change in the scope of consolidation) during the subject period: None

   Additions: None Deletions: None

8. Adoption of special accounting treatment in preparing the quarterly consolidated financial statements: None

9. Changes in accounting policies, changes in accounting estimates, and modifications and restatements:

10. Changes in accounting policies based on revision of accounting standards: None

11. Changes in accounting policies other than 1) above: None

12. Changes in accounting estimates: None

13. Modifications and restatements: None

14. Number of issued shares (Common stock)

15. Three months ended June 30, 2017	Year ended March 31, 2017
    1) Number of issued shares (including treasury stock) at end of the period (shares)	236,429,800	236,429,800
    2) Number of treasury stock at end of the period (shares)	5,094,338	5,405,228
    Three months ended June 30, 2016
    3) Average number of issued shares during the period (shares)	231,181,725	231,230,124

    This flash report is outside the scope of quarterly review. Explanation of appropriate use of forecasts of financial results; other important items

    The forward-looking statements made in this document, including the aforementioned forecasts, are based on all information available to the management at the time of this document's release and certain assumptions considered rational. Actual results may differ materially from the forecasts due to various factors in the future. Regarding the assumptions forming the forecast of financial results, please refer to "1. QUALITATIVE INFORMATION ON CONSOLIDATED FINANCIAL RESULTS FOR THE FIRST QUARTER OF THE FISCAL

    YEAR ENDING MARCH 31, 2018: (3) Explanation of Consolidated Financial Results Forecasts and Other Future Projections" on page 7.

    CONTENTS OF ATTACHMENT
16. QUALITATIVE INFORMATION ON CONSOLIDATED FINANCIAL RESULTS FOR THE FIRST QUARTER OF THE FISCAL YEAR ENDING MARCH 31, 2018 4
17. Explanation of Business Results 4
18. Explanation of the Financial Position 6
19. Explanation of Consolidated Financial Results Forecasts and Other Future Projections 7
20. CONSOLIDATED FINANCIAL STATEMENTS AND PRIMARY NOTES 8
22. Consolidated Balance Sheets 8
23. Consolidated Statements of Income and Consolidated Statements of Comprehensive Income 10
24. Notes to Consolidated Financial Statements 12
25. Segment Information 12
1. QUALITATIVE INFORMATION ON CONSOLIDATED FINANCIAL RESULTS FOR THE FIRST QUARTER OF THE FISCAL YEAR ENDING MARCH 31, 2018 (1) Explanation of Business Results

The Japanese government's Monthly Economic Report on the Japanese economy for the three months ended June 30, 2017 (April 1, 2017 to June 30, 2017) states, "The economy is on a moderate recovery track. With the continuing improvement trend of the employment and income situation, along with the effect of various government measures, the moderate recovery trend is expected to continue in the future." The report also states that the business outlook of corporations "is improving."

Amid this economic environment, the consolidated net sales of Fuji Media Holdings Group (the "Group") decreased during the three months ended June 30, 2017, down 1.8% from the same period of the previous fiscal year to ¥149,079 million, as decreases in the Broadcasting, Video and Music and Life Information segments offset increases in the Production, Advertising, Urban Development and Other segments.

In terms of earnings, operating income amounted to ¥3,300 million, down 52.0% year-on-year, because while increases in the Production, Urban Development and Other segments were recorded, the Broadcasting, Life Information and Advertising segments showed decreases in income and an operating loss in the Video and Music segment was posted. Recurring profit decreased 38.9% year- on-year to ¥5,776 million, and net income attributable to owners of the parent decreased 37.9% year- on-year to ¥4,202 million.

Results by operating segment are as follows.

Three months ended June 30

Net sales			Operating income (loss)
2016	2017	Change	2016	2017	Change
Millions of yen	Millions of yen	%	Millions of yen	Millions of yen	%
Broadcasting	78,297	72,884	(6.9)	5,204	1,659	(68.1)
Production	10,508	11,476	9.2	54	244	351.8
Video and Music	11,126	10,909	(2.0)	(396)	(744)	―
Life Information	32,812	32,129	(2.1)	416	54	(86.9)
Advertising	9,830	9,841	0.1	22	20	(5.5)
Urban Development	17,118	19,070	11.4	1,478	1,996	35.0
Other	6,886	7,859	14.1	104	187	79.7
Eliminations	(14,809)	(15,091)	―	(11)	(118)	―
Total	151,771	149,079	(1.8)	6,872	3,300	(52.0)