Financial Summary for FY2009

(From April 1, 2009 to March 31, 2010)

Consolidated Results

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Consolidated Financial Results
（Millions of yen）

FY2008 FY2009 Change

Net sales 1,887,170 1,678,618 -11.1%

Gross profit 314,474 296,490 -5.7%

Gross profit margin 16.7% 17.7% +1.0ppts

SG&A 271,290 259,166 -4.5%

Operating income 43,184 37,323 -13.6%

Operating margin 13.7% 12.6% -1.1ppts

Ordinary income 53,363 44,790 -16.1%

Income (Loss) before
income taxes
(4,972) 40,048 －

Net income (loss) (20,453) 31,130 －

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 Transition of Quarterly Consolidated Financial Results
(Millions of yen）

Change Change Change Change

FY2009 1Q 2Q 3Q 4Q
(y/y) (y/y) (y/y) (y/y)

Net sales 381,087 -18.2% 404,770 -16.2% 427,968 -11.1% 464,791 +1.7%

Gross profit 63,164 -13.8% 71,759 -13.7% 75,041 -2.6% 86,525 +6.9%

Gross profit margin 16.6% +0.9

ppts
17.7% +0.5
ppts
17.5% +1.5
ppts
18.6% +0.9
ppts

SG&A 61,802 -9.9% 66,286 -5.4% 62,929 -4.6% 68,165 +2.3%

Operating income 1,361 -70.9% 5,472 -58.3% 12,111 +9.4% 18,360 +28.2%

Operating margin 2.2% -4.2

ppts
7.6% -8.2
ppts
16.1% +1.7
ppts
21.2% +3.5
ppts

Ordinary income 2,623 -59.2% 7,836 -50.0% 12,083 +10.7% 22,229 +9.3%

Income before income 38.3

2,209 -65.4% 7,895 -15.2% 11,442 18,499 －
taxes times

Net income 1,913 +23.1% 5,224 -20.3% 12,367 － 11,624 －

Note 1: The above figures were announced in the quarterly reports.

Note 2: The financial results for 1Q and 3Q do not take into account Dentsu's share of net income of Publicis Groupe S.A. and amortization of
goodwill. Dentsu's share of net income of Publicis Groupe S.A. and amortization of goodwill are included in the financial results for 2Q and 4Q.

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 Consolidated Net Sales < 1 >
Breakdown by
Key Subsidiaries
Business Segment
（Millions of yen） （Millions of yen）

FY2009 Change FY2009 Change

Advertising 1,620,130 -10.1% Advertising
(95.1% of total) 5 regional Dentsu 100,016 -9.3%
Information Services 61,155 -18.6%
Dentsu Tec 129,985 -11.3%
cci 54,615* +12.0%
(3.6% of total)
Dentsu Holdings USA 29,063* -35.7%
Other Businesses 21,879 -43.0%
Beijing Dentsu 49,086 -5.5%
(1.3% of total)

Total 1,703,165 -11.0% Information Services

Eliminations (24,547) － ISID 61,155* -18.6%
Consolidated Net Sales 1,678,618 -11.1% (1) Sales of subsidiaries include internal transactions.
(2) 5 regional Dentsu includes Dentsu East Japan, Dentsu West Japan,
Dentsu Kyushu, Dentsu Hokkaido and Dentsu Okinawa.
*These figures include the net sales of each company’s respective
subsidiaries.

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Consolidated Net Sales < 2 >

Breakdown by Geographic Segment

（Millions of yen）

FY2009 Change % of Total

Americas 33,780 -40.5% 2.0%

Europe 12,290 +23.8% 0.7%
China 56,011 -6.5% 3.3%
Asia (excl. China) 41,092 -20.8% 2.4%
Eliminations (204) － －
Overseas Total 142,969 -19.9% 8.5%
Japan 1,541,552 -10.6% 91.5%
Total 1,684,521 － 100.0%
Eliminations (5,903) － －
Consolidated Net Sales 1,678,618 -11.1% －

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Consolidated Net Sales < 3 >

Newly Consolidated Subsidiaries Contributing to Net Sales

・Newly consolidated subsidiaries 7

・Eliminated 11
・Consolidated subsidiaries 122 （a decrease of 4 y/y）
・Contribution to net sales ¥7.9 billion

Main Newly Consolidated Subsidiaries

【From 1H FY2009】 【From 2H FY2009】

•Dentsu Creative X Inc. •ISID Assist, Ltd.
•Dentsu-Smart Holdings B.V. •Dentsu Creative Impact Pvt. Ltd. (India)
•Dentsu-Smart LLC •Dentsu Media Korea Inc.
•Dentsu Sports America, Inc.

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 Consolidated Operating Income

（Millions of yen）

FY2008 FY2009 Change

Gross profit 314,474 296,490 -5.7%

Personnel expenses 162,916 164,680 +1.1%
　　　　Salaries
給料手当 135,566 135,799 +0.2%
　　　 　その他
Others 27,350 28,881 +5.6%
Operating expenses 91,904 79,162 -13.9%
Depreciation and
amortization 16,469 15,323 -7.0%
SG&A 271,290 259,166 -4.5%
Operating income 43,184 37,323 -13.6%
Operating margin 13.7% 12.6% -1.1 ppts

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 Consolidated Ordinary Income and
Net Income / Loss
（Millions of yen）

FY2008 FY2009 Change

Operating income 43,184 37,323 -13.6%

Non-operating income 14,592 11,873 -18.6%
Non-operating expenses 4,413 4,407 -0.2%
Net non-operating income 10,179 7,466 -26.6%

Ordinary income 53,363 44,790 -16.1%

Extraordinary income 1,774 1,852 +4.4%
Extraordinary loss 60,110 6,594 -89.0%
Net extraordinary income (loss) (58,336) (4,742) －
Income (Loss) before
(4,972) 40,048 －
income taxes
Net income (loss) (20,453) 31,130 －

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 Consolidated Balance Sheets
（Millions of yen）
（単位：百万円）
March 31, March 31,
Change
2009 2010
Current assets 546,317 568,424 +4.0%
Fixed assets 546,226 549,811 +0.7%
Total assets 1,092,543 1,118,236 +2.4%
Current liabilities 450,075 461,595 +2.6%
Long-term liabilities 169,318 151,083 -10.8%
Total liabilities 619,394 612,679 -1.1%
Shareholders' equity 482,798 508,824 +5.4%
Valuation and translation
(30,230) (24,573) －
adjustments, etc.
Minority interests 20,581 21,306 +3.5%
Total equity 473,149 505,556 +6.8%
Total liabilities and equity 1,092,543 1,118,236 +2.4%

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Non-Consolidated Results

10
Non-Consolidated Financial Results
（Millions of yen）

FY2008 FY2009 Change

Net sales 1,447,410 1,315,072 -9.1%

Gross profit 192,716 185,479 -3.8%

Gross profit margin 13.3% 14.1% +0.8ppts

SG&A 168,845 159,165 -5.7%

Operating income 23,870 26,313 +10.2%

Operating margin 12.4% 14.2% +1.8ppts

Ordinary income 34,585 33,702 -2.6%

Income (Loss) before
income taxes
(25,466) 28,830 －

Net income (loss) (32,771) 27,055 －

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 Transition of Quarterly Non-Consolidated Financial Results
(Millions of yen）

Change Change Change Change

FY2009 1Q 2Q 3Q 4Q
(y/y) (y/y) (y/y) (y/y)

Net sales 306,674 -16.2% 311,943 -13.7% 343,664 -7.6% 352,790 +1.3%

Gross profit 40,816 -13.0% 44,149 -13.6% 48,422 +1.5% 52,091 +10.8%

Gross profit margin 13.3% +0.5

ppts
14.2% +0.1
ppts
14.1% +1.3
ppts
14.8% +1.3
ppts

SG&A 37,004 -12.8% 41,333 -6.9% 38,683 -5.2% 42,158 +2.2%

Operating income 3,812 -14.4% 2,816 -58.1% 9,738 +41.6% 9,933 +72.0%

Operating margin 9.3% -0.2ppts 6.4% -6.7ppts 20.1% +5.7ppts 19.1% +6.8ppts

Ordinary income 10,327 -18.4% 3,120 -57.6% 10,409 +37.1% 9,755 +62.9%

Income before income

10,257 -13.3% 2,563 -31.3% 10,281 － 5,729 －
taxes
Net income 8,579 +9.4% 1,304 -48.3% 12,122 － 5,048 －

Note : The above non-consolidated figures were announced in the quarterly reports.

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 Non-Consolidated Net Sales by Business Category
（Millions of yen）
1H FY2009 2H FY2009 FY2009
Business Category % of % of % of
Net Sales Change Net Sales Change Net Sales （Millions
Changeof yen）
Total Total Total

Newspapers 54,475 -25.0% 8.8% 67,789 -8.5% 9.7% 122,264 -16.7% 9.3%

Magazines 21,482 -30.2% 3.5% 21,909 -25.1% 3.1% 43,392 -27.7% 3.3%

Radio 9,517 -15.2% 1.5% 9,917 -8.1% 1.4% 19,434 -11.7% 1.5%

Television 300,108 -15.0% 48.5% 326,166 -4.0% 46.8% 626,274 -9.6% 47.6%

Time 143,819 -19.3% 23.2% 145,644 -11.8% 20.9% 289,464 -15.7% 22.0%

Spot 156,288 -10.6% 25.3% 180,521 +3.3% 25.9% 336,810 -3.6% 25.6%

Interactive Media 13,810 +6.5% 2.2% 20,796 +56.9% 3.0% 34,606 +32.0% 2.6%

OOH Media 19,468 -15.5% 3.1% 19,765 +4.0% 2.8% 39,233 -6.7% 3.0%

Creative 78,381 -14.0% 12.7% 86,591 +0.3% 12.4% 164,973 -7.0% 12.5%

Marketing /
74,168 -7.9% 12.0% 93,040 +3.0% 13.4% 167,209 -2.1% 12.7%
Promotion

Content Services 37,026 -1.8% 6.0% 38,465 -13.4% 5.5% 75,492 -8.1% 5.7%

Others 10,179 -27.3% 1.6% 12,012 -7.1% 1.7% 22,191 -17.6% 1.7%

Total 618,617 -14.9% 100.0% 696,454 -3.3% 100.0% 1,315,072 -9.1% 100.0%

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 Non-Consolidated Net Sales by Industry （Millions of yen）

1H FY2009 2H FY2009 FY 2009

Industry 前
% of % of % of
Net Sales Change Net Sales 年 Change Net Sales Change
Total Total Total
比

Information/Communications 87,824 -15.8% 14.2% 104,174 -5.1% 15.0% 191,999 -10.3% 14.6%

Beverages/Cigarettes 71,219 -8.7% 11.5% 68,776 +3.1% 9.9% 139,995 -3.3% 10.6%

Cosmetics/Toiletries 50,400 -9.2% 8.1% 52,524 +3.4% 7.5% 102,924 -3.2% 7.8%

Foodstuffs 45,811 -4.5% 7.4% 48,162 +18.2% 6.9% 93,974 +5.9% 7.1%

Finance/Insurance 38,143 -28.4% 6.2% 44,239 -4.8% 6.4% 82,383 -17.4% 6.3%

Automobiles/Related Products 32,218 -31.5% 5.2% 42,603 -24.6% 6.1% 74,822 -27.7% 5.7%
Pharmaceuticals/
38,163 -4.9% 6.2% 36,646 -4.5% 5.3% 74,809 -4.7% 5.7%
Medical Supplies
Distribution/Retailing 35,642 -3.9% 5.8% 37,468 -4.8% 5.4% 73,110 -4.4% 5.6%

Hobbies/Sporting Goods 33,899 -9.9% 5.5% 35,422 -5.7% 5.1% 69,322 -7.8% 5.3%
Food Services/
31,172 -10.0% 5.0% 36,798 +6.1% 5.3% 67,970 -2.0% 5.2%
Other Services
Home Electric Appliances/
27,321 -38.4% 4.4% 38,975 -6.2% 5.6% 66,297 -22.8% 5.0%
AV Equipment
Government/Organizations 23,335 +37.2% 3.8% 31,532 +8.0% 4.5% 54,867 +18.7% 4.2%

Transportation/Leisure 25,681 -18.0% 4.2% 28,448 -14.3% 4.1% 54,129 -16.1% 4.1%

Real Estate/Housing Facilities 17,447 -22.2% 2.8% 19,291 -6.2% 2.8% 36,738 -14.5% 2.8%

Publications 13,010 -18.8% 2.1% 14,863 -8.6% 2.1% 27,874 -13.7% 2.1%

Others* 47,324 -21.6% 7.7% 56,526 -3.4% 8.1% 103,851 -12.7% 7.9%

Total 618,617 -14.9% 100.0% 696,454 -3.3% 100.0% 1,315,072 -9.1% 100.0%

*”Others” refers to the FY2009 total of industries other than the top fifteen industries.
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 Non-Consolidated Operating Income

（Millions of yen）

FY2008 FY2009 Change

Gross profit 192,716 185,479 -3.8%

Personnel expenses 101,644 103,919 +2.2%
　 　 　 　 給料手当
Salaries 83,465 84,210 +0.9%
　 　 　 　 その 他
Others 18,178 19,709 +8.4%
Operating expenses 54,839 44,975 -18.0%
Depreciation and
amortization 12,361 10,271 -16.9%
SG&A 168,845 159,165 -5.7%
Operating income 23,870 26,313 +10.2%
Operating margin 12.4% 14.2% +1.8 ppts

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Non-Consolidated Ordinary Income and Net Income (Loss)

（Millions of yen）

FY2008 FY2009 Change

Operating income 23,870 26,313 +10.2%

Non-operating income 14,530 11,640 -19.9%
Non-operating expenses 3,815 4,251 +11.4%
Net non-operating income 10,714 7,388 -31.0%
Ordinary income 34,585 33,702 -2.6%
Extraordinary income 1,448 1,792 +23.7%
Extraordinary loss 61,499 6,663 -89.2%
Net extraordinary income (loss) (60,051) (4,871) －
Income (Loss) before
(25,466) 28,830 －
income taxes
Net income (loss) (32,771) 27,055 －

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Outlook for Full-Term FY2010

17
 FY2010 Consolidated Results Outlook
(Millions of yen)

FY2009 FY2010
Change
Actual Forecast
Net sales 1,678,618 1,737,900 +3.5%

Gross profit 296,490 309,700 +4.5%

Gross profit margin 17.7% 17.8% +0.1 ppts

SG&A 259,166 270,000 +4.2%

Operating income 37,323 39,700 +6.4%

Operating margin 12.6% 12.8% +0.2 ppts

Ordinary income 44,790 45,900 +2.5%

Income before income taxes 40,048 46,000 +14.9%

Net income 31,130 25,400 -18.4%

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 FY2010 Non-Consolidated Results Outlook
(Millions of yen)

FY2009 FY2010
Change
Actual Forecast
Net sales 1,315,072 1,333,900 +1.4%
Gross profit 185,479 188,100 +1.4%
Gross profit margin 14.1% 14.1% - 0.0 ppts
SG&A 159,165 158,600 -0.4%
Operating income 26,313 29,500 +12.1%
Operating margin 14.2% 15.7% +1.5 ppts
Ordinary income 33,702 36,400 +8.0%
Income before income taxes 28,830 43,400 +50.5%
Net income 27,055 26,200 -3.2%

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