Summary of Financial Statements for the Second Quarter of theYear Ending December 31, 2019 (J-GAAP) (Consolidated）
August 13, 2019
Company
Segue Group Co., Ltd.
Stock Code3968
URL: https://segue-g.jp/
Representative
Yasuyuki Aisu, President and CEOContact
Yasuhiro Fukuda, CFO
Expected date of filing of quarterly report
Expected starting date of dividend payment
Preparation of quarterly supplementary financial document
Quarterly results briefing

Stock Exchange: Tokyo Stock Exchange

T E L: +81-3-6228-3822: August 13, 2019
: : Yes: Yes (for institutional investors and analysts)（Rounded down to million yen）

１. Consolidated business results for the six months ended June 2019
(January 1, 2019 through June 30, 2019)(1) Consolidated results of operations(Percentages indicate year-over-year changes)
Net sales

Operating income

Ordinary income

Million yen% Million yen% Million yen
Q2 FY 2019
5,056
12.53097.2305Q2 FY 2018
4,493
20.1
288
-1.9294(Note) Comprehensive income
Q2 FY 2019: 229 million yen (40.5%)
Q2 FY 2018: 163 million yen (-20.8 %)Net income
Diluted net income perper shareshareYen
Yen
34.95
34.19
Q2 FY 2019
43.46
42.15
Q2 FY 2018%
3.7-3.4

Net income attributable toowners of parent

Million yen
200
246%
-18.8
14.8

(2) Consolidated financial position
Total assets

Shareholders’ equity
ratio%
42.4
45.8

Net assets

Million yen
Q2 FY 2019
6,187
FY 2018
5,350(Reference) Shareholders’ equity:
Q2 FY 2019: 2,623 million yen
FY 2018: 2,450 million yen

Million yen
2,641
2,450

2. Dividends
End of 1Q
Yen

End of 2Q
Yen
0.00
0.00

FY 2018
FY 2019
FY 2019 (forecast)(Note) Revisions to dividend forecast for the current quarter: None

Annual dividend
End of 3Q
Yen-Year-end

TotalYenYen

10.00

10.00

10.00

10.00

3．Forecast of consolidated business results for the fiscal year ending December 2019
(Percentages indicate year-over-year changes)(January 1, 2019 through December 31, 2019)
Net sales
Million yen

Operating income%Million yen%

Full year
9,476
8.1
566
17.0
(Note) Revisions to business forecast for the current quarter: None1

Ordinary income
Million yen%

574

18.1

Net income
attributable to ownersof parent
Million yen%371-1.4

Net incomeper share
Yen64.92

*Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries accompanying changes inthe scope of consolidation): None
(2) Application of accounting procedures specific to preparation of the consolidated quarterly financial statements:
None(3) Changes in accounting policies, accounting estimates and restatement①Changes in accounting policies associated with revision of accounting standards:②Changes in accounting policies other than ①③Changes in accounting estimates④Restatement: None: Yes: None: None

(4) Shares outstanding (common stock)① Number of shares outstanding at the end of period (treasury stock included)
Q2 FY 2019
5,732,400 shares
FY 2018
5,729,200 shares② Treasury stock at the end of period
Q2 FY 2019118 shares
FY 2018
41 shares③ Average number of stock during period (quarterly cumulative period)
Q2 FY 2019
5,730,621 shares
Q2 FY 2018
5,679,359 shares*Quarterly financial summary is not subject to auditing procedures by certified public accountants or auditingfirms.
*Explanation regarding appropriate use of business forecasts and other special instructions
 Forecasts regarding future performance in this material are based on information currently available to the company
and certain assumptions that the company deems to be reasonable at the time this report was prepared. The Company
does not promises about the achivements. Actual results may differ significantly from the forecasts due to variousfactors.
 The Company plans to hold a briefing for institutional investors and analysts on Wednesday, August 21, 2019. The
materials of this briefing is scheduled to be posted on the Company's website promptly after the briefing.

22. Quarterly Consolidated Financial Statements(1) Quarterly consolidated balance sheets(Thousand yen)
FY 2018(As of Dec. 31, 2018)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable
Electronically Recorded Monetary Claims
Inventory assets
Advance payments - trade
Accounts receivable - other
Other
Allowance for doubtful accounts
Total current assets

Q2 FY 2019
(As of June 30, 2019)

1,663,362

2,020,293

1,166,419
23,445

1,380,845
40,117686,196
485,479

471,794536,873

266,287
69,027-1,0834,359,135

427,51483,515-2,248
4,958,707

42,974-28,114
14,86056,738-29,842
26,895-

8,316-6,053

Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Automotive equipment
Accumulated depreciation-2,263Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net

Vehicles, net

800,792-648,461
152,331827,681-677,381
150,300

Land
Total property, plant and equipment

639
167,831639
180,098

62,759129,517

Software
Software in progress
OtherTotal intangible assets

10,955
144,926
839
219,481

151,747
27,371
1,209
309,846

Investments and other assets
Investment securities

355,633

455,151

Long-term rental deposit
Deferred tax assets

93,81367,82496,573
94,485

Insurance funds
Claims in bankruptcy

70,1052,241

73,943
6,478

Other
Allowance for doubtful accounts

16,097-2,07518,055-6,312

Total investments and other assets
Total non-current assets

603,639
990,951

738,375
1,228,321

5,350,087

6,187,029

Intangible assets
Goodwill

Total assets3

(Thousand yen)
FY 2018(As of Dec. 31, 2018)

Q2 FY 2019
(As of June 30, 2019)

Liabilities
Current liabilities
Accounts payable-trade595,159

648,364

Current portion of long-term loans payable
Accounts payable

112,106

11,028
114,654

Accrued expenses
Income taxes payable

146,071
129,385

244,819
140,171

Accrued consumption taxes
Provision for bonuses

33,017821

67,9232,465

1,620,429
48,951
2,685,943

2,018,230
50,085
3,297,742

Advances received
OtherTotal current liabilities
Non-current liabilities
Long-term debt-13,872

146,804
66,598

166,816
66,598

213,4022,899,346

247,286
3,545,029

505,788506,166

278,288
1,520,357-79
2,304,355

278,666
1,663,357-213
2,447,976

147,002-617
146,385

175,904-344
175,560

Share subscription rights
Total net assets

2,450,741

18,4632,641,999

Total liabilities and net assets

5,350,087

6,187,029

Obligations for retirement pay
Long-term accounts payable - otherTotal non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Other accumulated comprehensive income
Valuation difference on securities
Deferred gains or losses on hedges
Total other accumulated comprehensive income4(2) Quarterly Consolidated Statements of Income and Statements of Comprehensive Income
Quarterly Consolidated Statement of Income
Second Quarter(Thousand yen)
Q2 FY 2019
(January 1, 2019
to June 30, 2019)

Q2 FY 2018
(January 1, 2018
to June 30, 2018)
Net sales
Cost of sales

4,493,460
3,389,891

5,056,274
3,762,973

Gross profit
Selling, general and administrative expenses

1,103,568
815,231

1,293,301
984,133

288,336

309,168

78

51

12,093880
1,177
14,231

5,725
2,286
856
8,918

152
7,605
312

83
12,342372

Total non-operating expenses
Ordinary income

8,070
294,497

12,799305,288

Extraordinary income
Gains on sales of investment securities
Gain on reversal of share subscription rights
Total extraordinary income

66,36866,368

209
209

Profit before income taxes

360,866

305,497

Income taxes
Income taxes-deferred
Total income tax

139,132-25,069
114,062

127,542-22,336
105,206

246,804

200,291Operating income
Non-operating income
Interest Income and Dividends
Surrender value of insurance
Subsidy income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange loss
OtherNet income
Net income attributable to owners of non-controllinginterests
Net income attributable to owners of parent

246,804-

5200,291-

Quarterly Consolidated Statement of Comprehensive Income
Second Quarter(Thousand yen)
Q2 FY 2019
(January 1, 2019
to June 30, 2019)

Q2 FY 2018
(January 1, 2018
to June 30, 2018)
Net income
Other comprehensive income
Valuation difference on securities
Deferred gains or losses on hedges
Total other comprehensive income
Comprehensive income
BreakdownComprehensive income attributable toowners of parent
Comprehensive income attributable toowners of non-controlling6

246,804

200,291-89,853
6,339-83,51428,901
272
29,174

163,290

229,466

163,290

229,466--