February 5, 2016

COMSYS Holdings Corporation
Consolidated Financial Results for the Third Quarter Ended December 31, 2015
Under Japanese GAAP
Head Ofﬁce:
17-1, Higashigotanda 2-chome, Shinagawa-ku, Tokyo 141-8647, Japan
Stock Exchange Listings: First Section of Tokyo Stock Exchange (Securities code: 1721)
URL:
http://www.comsys-hd.co.jp
Representative:
Hajime Takashima, President and Representative Director
For Inquiry:
Hidehiko Ozaki, Director and General Manager of Finance & Accounting Department (Telephone: 81-3-3448-7000)
Scheduled Filing of Quarterly Securities Report: February 9, 2016
Scheduled Commencement of Dividend Payment: —Supplementary Materials on Quarterly Results:
Attached
IR Presentation on Quarterly Results:
Not scheduled
Amounts less than one million yen have been omitted.

1. Consolidated Financial Results (for the nine months ended December 31, 2015)(1) Consolidated Operating Results(Millions of yen, except per share data and percentages)

Net Sales

Operating Income

Net Income Attributableto Owners of Parent

Recurring Proﬁt

Nine months ended December 31, 2015 ¥201,457(8.6)%¥11,351(33.1)%¥11,676(32.7)%¥7,294(30.4)%

Nine months ended December 31, 2014

0.9

16,960(4.5)

17,344(4.5)

10,485(2.3)

220,303

Notes: 1. Comprehensive income: Nine months ended December 31, 2015: ¥7,781 million [(31.1)%]
Nine months ended December 31, 2014: ¥11,285 million [(4.4)%]
2. Percentages indicate the percentage change from the corresponding period of the previous fiscal year.

Net Income per ShareNet Income per Share (Diluted)

Nine months ended December 31, 2015

¥64.46¥64.19Nine months ended December 31, 2014

88.93

88.39

(2) Consolidated Financial Position(Millions of yen, except percentages)

Total Assets

Net Assets

Equity Ratio

As of December 31, 2015

¥244,650¥193,656

78.7%

As of March 31, 2015

264,019

194,038

73.0(Reference) Shareholders’ Equity:

As of December 31, 2015: ¥192,538 million

As of March 31, 2015: ¥192,774 million

2. Cash Dividends for Shareholders of Common Stock(Yen)

Cash Dividends per Share over the Fiscal YearEnd of 1st QuarterEnd of 2nd QuarterEnd of 3rd Quarter

Year ended March 31, 2015

¥ —¥15.00¥ —Year ending March 31, 2016

—15.00—Year ending March 31, 2016 (Forecast)Year-End

Annual¥15.00¥30.00

20.00

35.00

Note: Most recently announced revisions to dividend forecast: No

3. Consolidated Earnings Forecast (for the ﬁscal year ending March 31, 2016)
Net SalesYear ending March 31, 2016

¥331,000

0.7%(Millions of yen, except per share data and percentages)

Operating Income

Recurring Proﬁt

Net Income Attributable
Net Income per Shareto Owners of Parent¥28,000¥28,500¥17,000

Notes: 1. Most recently announced revisions to consolidated earnings forecast: No
2. Percentages indicate the percentage change from the previous ﬁscal year.

1.2%

1.3%

1.4%

¥150.22

COMSYS Holdings Corporation (1721)
Consolidated Financial Results for the Third Quarter Ended December 31, 2015

*Notes:(1) Changes in significant subsidiaries during the period under review (changes to subsidiaries that would alter the scope ofconsolidation): No(2) Adoption of accounting methods specific to quarterly consolidated financial statements: No(3) Changes in accounting policies, changes in accounting estimates and restatements of prior period financial statements
due to error correctiona) Changes in accounting policies due to revisions of accounting standards: Yesb) Changes in accounting policies due to other reasons: Noc) Changes in accounting estimates: Nod) Restatements of prior period financial statements due to error correction: No(4) Number of shares issued (common stock)a) Number of shares issued (including treasury stock)b) Number of treasury stockc) Average number of shares issued in the period

As of December 31, 2015
141,000,000 shares
29,118,077 shares

As of March 31, 2015
145,977,886 shares
31,414,907 shares

Nine months ended December 31, 2015
113,170,089 shares

Nine months ended December 31, 2014
117,901,945 shares*Statement regarding the Implementation Status of Quarterly Review ProceduresThis Consolidated Financial Results report is not subject to the quarterly review procedures prescribed under the Financial Instruments andExchange Act. At the time of disclosing the quarterly consolidated financial results report, however, quarterly financial statement review procedures
have not been completed.
*Disclaimer concerning the Proper Use of Business Results Forecasts and Other Relevant Specific Items
Forward-looking statements including earnings forecasts contained in this document are based on certain reasonable assumptions and beliefs inlight of information currently available to management. Readers are advised that actual results may differ materially from forecasts due to a varietyof factors. With respect to the conditions that underpin earnings forecasts as well as cautionary statements regarding the proper use of earnings
forecasts, please refer to “(3) Discussion of Forward-Looking Information, including Consolidated Earnings Forecasts” under “1. Qualitative
Information Regarding Consolidated Financial Results for the Period under Review” of this Consolidated Financial Results report in theAccompanying Materials section on page 3.

2

COMSYS Holdings Corporation (1721)
Consolidated Financial Results for the Third Quarter Ended December 31, 2015

Accompanying Materials
1. Qualitative Information Regarding Consolidated Financial Results for the Period under Review(1) Discussion of Operating Results
During the cumulative third quarter period (April 1, 2015 to December 31, 2015) of the fiscal year ending March 31,
2016, the Japanese economy trended toward a moderate recovery, showing improvements in corporate performance and theemployment environment due to the effects of economic policies taken by the Japanese government and monetary easing
carried out by the Bank of Japan. Nevertheless, the outlook remained uncertain, with concerns rising about the economic
slowdown in China and emerging countries and the ongoing slump in crude oil prices.
In the information and communications field, the COMSYS Group’s principal area of activity, there weresignificant changes in the content of services and market conditions. These changes included new expansion in demand
due to the wholesaling of optical access services (the optic fiber collaboration model), and technical innovation aimed atdiversifying and adding functionality to smartphones and tablets taking advantage of the expansion of service areas forhigh-speed wireless broadband, such as LTE. Moreover, in the public and private sectors, further growth was anticipated insocial infrastructure investment related to various endeavors, including innovation in areas such as healthcare, disasterprevention, and e-government using ICT to link goods and services, policies for building national resilience, developmentof the environment and energy business, and preparation for the Tokyo Olympics and Paralympic Games.
The COMSYS Group took initiatives for top-line expansion, which included entering the solar and other
ecological innovation businesses, and engaging in activities to obtain orders in response to rising public sector and ICT
investment. In addition, efforts in new business domains focused on the smart society. Moreover, the Group worked totransfer personnel to growth businesses and to improve profit through such means as increasing construction efficiency
and cutting costs.
Under these circumstances, orders received in the third quarter period decreased 1.2% year on year to ¥246,964
million, and net sales were down 8.6% year on year to ¥201,457 million, mainly due to the decrease in capital expendituresof telecommunications carriers. Contract backlogs were up 20.2% year on year to ¥143,668 million.
From a profit perspective, the COMSYS Group worked to make cost reductions through structural reforms, but
this was insufficient to offset the decline in net sales. As a result, operating income fell by 33.1% year on year to ¥11,351
million, and net income attributable to owners of the parent company declined by 30.4% year on year to ¥7,294 million.
(2) Discussion of Financial Position
Total assets as of December 31, 2015 amounted to ¥ 244,650 million, down ¥19,368 million compared with the end of theprevious fiscal year. This was mainly attributable to a decrease in notes and accounts receivable – trade. Liabilities
decreased ¥18,986 million compared with the end of the previous fiscal year, to ¥50,994 million. This was largely
attributable to a decrease in accounts payable – trade. Despite an increase in retained earnings, net assets decreased by ¥381
million compared with the end of the previous fiscal year, to ¥193,656 million. This was primarily attributable to theacquisition of treasury stock.
In accordance with each of the aforementioned factors, the equity ratio improved 5.7 percentage points comparedwith the end of the previous fiscal year to 78.7%.
(3) Discussion of Forward-Looking Information, including Consolidated Earnings Forecasts
Turning to the consolidated earnings forecast for the full fiscal year ending March 31, 2016, there are no changes to dataand information announced on May 8, 2015.

3COMSYS Holdings Corporation (1721)
Consolidated Financial Results for the Third Quarter Ended December 31, 2015

2. Quarterly Consolidated Financial Statements(1) Consolidated Balance Sheets
Millions of yen

ASSETS
Current assets:
Cash and cash equivalents
Notes and accounts receivable—trade
Inventories:
Accumulated cost of construction in progress
Other
Other current assets
Less: Allowance for doubtful receivables
Total current assets
Fixed assets:
Property and equipment:
Buildings and structures, net
Land
Other, net
Total property and equipment
Intangible fixed assets
Goodwill
Other intangible fixed assets
Total intangible fixed assets
Investments and other assets:
Investment securities
Other assets
Less: Allowance for doubtful receivables
Total investments and other assets
Total fixed assets
Total assets

4

As of March 31, 2015

As of December 31, 2015

33,496
93,513

26,85560,793

15,215
687
9,021
(55)
151,878

32,059
628
9,451
(34)
129,754

26,13339,7706,391
72,29528,421
39,7695,468
73,658

3,394
4,249
7,643

3,083
3,937
7,021

12,70021,751(2,250)32,201
112,140
264,019

12,33024,000(2,113)34,216
114,896244,650

COMSYS Holdings Corporation (1721)
Consolidated Financial Results for the Third Quarter Ended December 31, 2015

Millions of yen

LIABILITIESCurrent liabilities:
Accounts payable—trade
Short-term bank loans
Income taxes payable
Advances received on construction in progress
Allowances
Other current liabilities
Total current liabilities
Long-term liabilities:
Deferred tax liabilities for unrealized gains on land revaluation
Net defined benefit liability
Allowance for directors’ retirement benefits
Other long-term liabilities
Total long-term liabilitiesTotal liabilities
NET ASSETS
Shareholders’ equity:
Common stock
Additional paid-in capital
Retained earnings
Treasury stock, at cost
Total shareholders’ equity
Accumulated other comprehensive loss:
Unrealized gain on other securities
Unrealized loss on land revaluation
Remeasurements of defined benefit plans
Total accumulated other comprehensive loss
Subscription rights to shares
Non-controlling interests
Total net assets
Total liabilities and net assets

5

As of March 31, 2015

As of December 31, 2015

44,675
100
3,852
1,540
273
10,34960,791

30,117
109
215
3,294
207
7,053
40,999

1,508
3,784
222
3,673
9,189
69,980

1,508
3,997
200
4,288
9,995
50,99410,00056,615
164,836(34,852)
196,599

10,00051,246
168,721(34,073)
195,895

2,638(7,936)
1,473(3,824)500762
194,038
264,019

2,910(7,936)
1,669(3,356)503
613
193,656
244,650

COMSYS Holdings Corporation (1721)
Consolidated Financial Results for the Third Quarter Ended December 31, 2015

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Consolidated Statements of Income
Millions of yenNet sales
Cost of sales
Gross profits
Selling, general and administrative expenses
Operating income
Other income:Interest income
Dividend income
Reversal of allowance for doubtful receivables
Foreign exchange gains
Other
Total other income
Other expenses:
Interest expenses
Foreign exchange losses
Provision for allowance for doubtful receivables
Other
Total other expenses
Recurring profit
Extraordinary income:Gain on sales of investment securities
Gain on payback of insurance payments
Gain on negative goodwill
Other
Total extraordinary income
Extraordinary loss:
Loss on disposal of fixed assets
Loss on impairment of fixed assets
OtherTotal extraordinary loss
Income before income taxes and other adjustments to net income
Income taxes:
Current
Deferred
Total income taxes
Net income
Net income (loss) attributable to non-controlling interests
Net income attributable to owners of parent

6

Nine months ended
December 31, 2014

Nine months ended
December 31, 2015

220,303
188,075
32,227
15,267
16,960201,457
175,526
25,93014,57911,351

37
204
—
143
204
590

46
159
103
—
192
500

5—
148
52
206
17,344

7
102
461
175
11,676

46
31
—
49
127

44386
82
47783
20184
288
17,182

75
425
150
651
11,503

4,456
2,291
6,747
10,435(50)
10,485

2,103
2,085
4,189
7,314
19
7,294

COMSYS Holdings Corporation (1721)
Consolidated Financial Results for the Third Quarter Ended December 31, 2015

Consolidated Statements of Comprehensive Income
Millions of yen
Nine months ended
December 31, 2014

Income before minority interests
Other comprehensive income:Unrealized gain on other securities
Remeasurements of defined benefit plans
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of the parent
Comprehensive income (loss) attributable to non-controlling interests

7

Nine months ended
December 31, 2015

10,435

7,314

554
295
850
11,285

270
196
467
7,781

11,329(43)

7,76416