Mizuno Corp. reported net income rose 77.1 percent in its
fiscal year ended March 31. Revenues increased 0.9 percent and rose 2.8 percent in currency-neutral terms. While its Japan business was impacted by a consumer slowdown following March’s devastating earthquake and tsunami, currency-neutral sales grew 0.2 percent in Europe and 16.1 percent in the Americas. Especially in Americas, both sales and
profits “increased significantly,” according to Mizuno’s statement.

Overall net earnings rose to 2.84 billion yen ($34.9 mm) from 1.6 billion yen a year ago. Total
revenues increased to 150.0 billion yen ($1.85 bn) from 148.7 billion yen. Operating
income climbed 65.2 percent to 4.6 billion yen ($56.6 mm) from 2.8 billion yen.

Mizuno said the Great East Japan earthquake that occurred in March 2011
resulted in a slowdown in consumption in Japan, which had been strong. Sales
in Japan consequently declined from the previous year’s result, whereas
the overseas, particularly Europe and the United States, “continued to show
strong performance.”

The gross margin ratio increased grew 1.2 basis points to 42.0 percent due to the
retention of the operating profit ratio through reductions in obsolete
inventories, both in Japan and in the overseas regions, as well as due to the
decrease in purchasing costs owing to the appreciation of the yen.

Sales of running shoes and other sports shoes showed strong performance on a
global basis, with an increase of 10 percent over the previous fiscal year.

By region, Sales in Japan dipped 0.9 percent to 110.8 billion yen ($1.36 bn) from 111.8 billion yen. In the Americas, sales grew
9.5 percent to 20.2 billion yen from 18.4 billion yen ($248.5 mm) and were up 16.1 percent
on a currency-neutral basis.

In Europe, sales advanced 7.0 percent to 10.8 billion yen
($132.8 mm) from 10.1 billion yen and jumped 20.2 percent currency-neutral.

In the Asia Oceania region excluding Japan, revenues slipped 0.9 percent to 8.25 billion
yen ($101.5 mm) from 8.34 billion yen and were up 2.8 percent on a  currency-neutral basis.

For the current year, revenues are expected to reach 152.0
billion yen, representing a gain of 1.0 percent. Net earnings are expected to reach 2.5 billion yen, marking a decline of 12.6 percent.
Operating income forecase is 4.4 billion yen.