Financial Statements(under Japanese GAAP)
February 10, 2020
Company nameIFIS JAPAN LTD.
Stock Exchange listing TSE
Code number7833
URL http://www.ifis.co.jp
Representative President
Kazuharu Osawa
ContactDirectorHiroki Osawa
TEL 81-(3)6825-1250
Scheduled date of annual shareholder’s meeting
March 19, 2020
Scheduled start date of dividend
March 23, 2020
Scheduled submission date of annual security report
March 23, 2020
Preparation of supplementary material on earnings：Yes：Yes (for analysts)
Holding of earnings performance review(Fractions less than ¥1 million have been omitted.)
1. Consolidated Financial Results for the Fiscal Year Ended December 31, 2019
(January 1, 2019 to December 31, 2019)(1) Consolidated Operating Results(Percentages figure represent changes from same period of previous year.)Net sales
Operating income
Ordinary income
Net income¥ million％ ¥ million％ ¥ million％ ¥ million％
Fiscal year ended
December 2019
5,564
2.18593.1864
3.1
570
3.8
Fiscal year ended
December 2018
5,450
10.9
833
21.9
838
22.5
549
26.6
(Note) Comprehensive income (loss)
Fiscal year ended December 2019¥568 million (4.2%)
Fiscal year ended December 2018¥545 million (25.1%)
Net income
Diluted net
per share income per share

Return on
EquityReturn on assets

Profit margin onsales

％

％

18.4

15.4

19.9

15.3

¥
¥％
Fiscal year ended－December 2019
59.02
14.9
Fiscal year ended－December 2018
56.88
16.4
(Reference) Earnings on investments in equity-method affiliates
Fiscal year ended December 2019
¥2 million
Fiscal year ended December 2018
¥2 million(2) Consolidated Financial Position
Total assets
Net assets¥ million¥ millionFiscal year ended
December 2019
4,904
4,075
Fiscal year ended
December 2018
4,511
3,584(Reference) Equity
Fiscal year ended December 2019
Fiscal year ended December 2018

Equity ratio

Net assets per share％¥

83.1

421.9479.5¥4,075 million¥3,584 million

371.10(3) Cash FlowsNet cash provided Net cash provided Closing balance ofby (used in)by (used in)cash and cash
investment
financing activities equivalents
activities¥ million¥ million¥ million¥ million

Net cash providedby (used in)operating activitiesFiscal year ended
December 2019575-77-77

3,536

Fiscal year ended
December 2018

743

41-67

3,115

1

2. Dividends
Annual dividends
1st Qtr2nd Qtr

3rd Qtr

Year-end

Dividend Dividends
Total cash payout
on equity
Total dividends ratio(conso (consolidatlidated)ed)¥ ¥million％％¥¥¥¥

Fiscal year ended
December 2018

－0.00

－

8.00

8.00

77

14.1

2.3

Fiscal year ended
December 2019
Fiscal year ending
December 2020
(Estimated)

－

0.00

－

18.00

18.00

173

30.5

4.5

－

0.00

－

19.00

19.00－

30.9－

3. Projected Results for Fiscal year 2020(January 1 to December 31, 2020)(Percentages figure represent changes from same period of previous year.)
Operating
Net income
Net sales
Ordinary income
Net income
incomeper share¥ million％ ¥ million％ ¥ million％ ¥ million％¥First half ending
3,000
3.6420-9.7
420-9.9277-9.8
28.68
Jun. 2020
Fiscal year ending
Dec. 2020

6,000

7.8

900

4.8

900

4.1

594

4.2

61.49

＊Notes(1) Significant changes in subsidiaries during the period (changes in specified subsidiaries resulting in thechange in consolidation scope): None
(2) Changes in accounting policies, estimates, and restatements:
1) Changes in accounting policies in accordance with revisions of accounting standards: None
2) Changes other than 1) above: None
3) Changes in accounting estimates: None
4) Restatements: None
(3) Number of shares outstanding (common stock)
Number of shares
outstanding at term
Fiscal year ended
Fiscal year ended
1)
10,242,000 shares
10,242,000 sharesend (including treasury December 2019
December 2018stock)
Number of shares of
Fiscal year endedFiscal year ended
2) treasury stock at term
582,305 shares582,239 shares
December 2019
December 2018end
Average number of
Fiscal year ended
Fiscal year ended3) shares during the9,659,738 shares
9,659,762 shares
December 2019
December 2018
period2

(Reference) Non-Consolidated Financial Results
1. Non-Consolidated Financial Results for the Fiscal Year Ended December 31, 2019
(January 1 to December 31, 2019)(1) Non-Consolidated Operating Results(Percentages figure represent changes from same period of previous year.)Net sales
Operating income
Ordinary incomeNet income¥ million％ ¥ million％ ¥ million％ ¥ million％
Fiscal year ended
December 2019

3,404

2.2620

6.4

623

6.3

430

7.1

Fiscal year ended
December 2018

3,330

9.5

583

15.0

585

15.1

401

16.0

Net income per share
Fiscal year ended December 2019
Fiscal year ended December 2018(2)Non-Consolidated Financial Position
Total assets¥ million

Diluted net income per share¥44.52
41.58
Net assets¥ million¥－－

Equity ratio％Net assets per share¥

Fiscal year ended
December 2019

3,738

3,312

88.6342.96

Fiscal year ended
December 2018

3,438

2,960

86.1

306.45(Reference)

EquityFiscal year ended December 2019
Fiscal year ended December 2018

¥3,312 million¥2,960 million

2. Non-Consolidated earnings forecasts for Fiscal year 2020(January 1 to December 31, 2020)(Percentages figure represent changes from same period of previous year.)
Net income per
Net sales
Ordinary income
Net income
share¥ million％ ¥ million％ ¥ million％¥First half ending
Jun. 2020

1,780

1.2

317-6.8

216-7.0

22.36

Fiscal year ending
Dec. 20203,560

4.66636.4452

5.1

46.79* Disclosure regarding execution of audit procedures
At the time of disclosure of this earnings report, audit procedures in accordance with the Financial
Instruments and Exchange Act are in progress.
Note to ensure appropriate use of forecasts, and other noteworthy items（Cautionary note on forward-looking statements and other information）
The forward-looking statements, including earnings forecasts, contained in these materials are based on
information currently available to the Company and on certain assumptions deemed to be reasonable. Actual
business and other results may differ substantially due to various factors.
(Means of contents of supplementary material on earnings and earnings performance review)
The Company holds presentations for analysts regarding the six-month and year-end results. Distributed
presentation materials and audio recordings from performance reviews are available on the Company’swebsite.

3Consolidated Financial Statements(1)Consolidated balance sheet(Thousands of yen)
Fiscal year ended
December 31, 2018
(Assets)
Current assets
Cash and deposits
Notes and accounts receivable-trade
Work in process
Other
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and accompanying facilities
Accumulated depreciation
Buildings and accompanying
facilities, NetTools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, Net
Total Property, plant and equipment
Intangible assets
Goodwill
Software
Software in progress
Other
Total intangible assets
Investments and other assets
Investment securities
Stock of affiliated company
Affiliated company investments
Guarantee deposits
Deferred tax assets
Other
Total investment and other assets
Total noncurrent assets
Total assets

4

Fiscal year ended
December 31, 2019

3,127,500
524,968
45,91842,5623,740,948

3,549,540
523,956
65,67556,7604,195,932

45,696-18,075

45,696-20,662

27,621

25,034

148,3171115,503
32,81360,435

165,266-125,872
39,39364,428343,42275,972
10,9501,469
431,814285,447
109,285
4,043
1,469
400,246

25,7002,360
56,50985,57092,06816,342
278,550
770,799
4,511,748

24,971
2,360
57,39384,19559,02016,030243,973
708,648
4,904,580

(Thousands of yen)
Fiscal year endedDecember 31, 2018
Liabilities
Current liabilities
Accounts payable-trade
Accounts payable-other
Income taxes payable
Advances received
Provision for bonuses
Provision for directors’ bonuses
Other
Total current liabilities
Noncurrent liabilities
Net defined benefit liability
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on securities (otherthan subsidiaries and affiliatedcompanies)
Currency adjustment accountTotal accumulated other comprehensive
incomeTotal net assets
Total net liabilities

5

Fiscal year ended
December 31, 2019

223,585
103,717
194,598
117,676
39,4684,460
120,653804,159

211,511
105,618
135,528
121,266
16,471
113,306
703,70312,756
110,074
122,830
926,989

15,117
109,982
125,100
828,804

382,510438,3102,834,368-77,929
3,577,258

382,510438,310
3,327,176-77,975
4,070,020

-366

-368

7,866

6,123

7,500

5,755

3,584,758
4,511,748

4,075,776
4,904,580

(2) Consolidated statements of income and consolidated statements of comprehensive income(Consolidated Statement of Income)(Thousands of yen)
Fiscal year ended
December 31, 2018
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Investment gain by equity method
Subsidy income
Insurance cancellation refund
Other
Total non-operating income
Non-operating expenses
Foreign exchange losses
Other
Total non-operating expenses
Ordinary income
Extraordinary loss
Loss on retirement of noncurrent assets
Total extraordinary loss
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Net income
Profit attributable to owners of parent

6

Fiscal year ended
December 31, 20195,450,485
3,267,257
2,183,227
1,350,123
833,104

5,564,131
3,322,919
2,241,211
1,382,012
859,199

1,355
178
2,592
1,800
571
6,498

769
163
2,627
1,070
994
637
6,262

1,080
18
1,098
838,503

1,186
22
1,208
864,25330
30
838,473295,406-6,366
289,039
549,433
549,433

95
95
864,158
261,115-32,956
294,071570,086
570,086

(3)Consolidated statement of cash flows(Thousands of yen)
Fiscal year ended
December 31, 2018
Net cash provided by (used in) operating
activities
Income before income taxes
Depreciation and amortization
Amortization of goodwill
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for directors
bonuses
Increase (decrease) in net defined benefit
liability
Interest and dividends income
Investment gain(loss) by equity method
Loss on retirement of noncurrent assets
Decrease (increase) in notes and accounts
receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts
payable-trade
Increase (decrease) in accrued consumption
taxes
Other
SubtotalInterest and dividends income received
Income taxes paid
Refund of income taxes
Net cash provided by (used in) operating
activities

7

Fiscal year ended
December 31, 2019

838,473
55,02958,412
21,446864,158
53,03557,974-22,996

4,460-4,460-3,7492,361-1,533-2,59230-933-2,62795-50,021

4,602

4,264

-19,757-3,092-12,073

12,883534-1,153932,857
2,374-211,633
20,184-13,722
906,190
1,309-332,,120-743,783

575,379

(Thousands of yen)
Fiscal year ended
December 31, 2018
Net cash provided by (used in) investment
activities
Purchase of property, plant and equipment
Purchase of intangible assets
Proceeds from redemption of securities
Proceeds from collection of guarantee
deposits
Payments for insurance premium reserve
Proceeds from cancellation of insurance
funds
Payments into time deposits
Proceeds from withdrawal of time deposits
Collection of loans receivable fromemployees
Net cash provided by (used in) investment
activities
Net cash provided by (used in) financing
activities
Purchase of Treasury stock
Cash dividends paid
Net cash provided by (used in) financing
activities
Increase (decrease) in cash and cash
equivalents
Opening balance of cash and cash equivalents
Closing balance of cash and cash equivalents

8

Fiscal year ended
December 31, 2019-10,338-38,980
50,160-18,693-58,005
83

100

--502

-502

-

1,102

-1,20140,000-1,201-

2,000-

41,238-77,216-1-67,618-46-77,278-67,619-77,324

717,401

420,8382,398,484
3,115,886

3,115,886
3,536,725