Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Three Months Ended September 30, 2018
(Based on Japanese GAAP)
November 9, 2018
Company name:
Trust Tech Inc.
Stock exchange listing: Tokyo
Stock code:
Representative:

2154
URL http://www.trust-tech.jp/
President and Representative Director
Yutaka Nishida

Inquiries:Director, Senior Managing Corporate
Executive Officer

Noriyuki Murai

TEL

Scheduled date to file Quarterly Securities Report:
Scheduled date to commence dividend payments:

November 13, 2018–

Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:YesNo

03-5777-7727(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the three months ended September 30, 2018 (from July 1, 2018 to September 30, 2018)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%Three months ended September 30, 2018
18,717
56.3
1,068
10.3
1,077
10.2
664
8.5
Three months ended September 30, 2017
11,977
16.6
968
94.4
978 106.0
612 188.2
Note: Comprehensive income

Three months ended September 30, 2018¥503 million [(27.7) %]Three months ended September 30, 2017¥696 million [145.2 %]Earnings per share

Diluted earnings per share

Yen
31.40
31.54

Three months ended September 30, 2018
Three months ended September 30, 2017

Yen
31.28
31.48

(2) Consolidated financial position
Total assets
As of September 30, 2018
As of June 30, 2018
Reference: EquityNet assets

Millions of yen
27,81328,127

As of September 30, 2018:

Equity ratio

Millions of yen
13,463
13,715

%
47.8
48.3

¥13,296 million

As of June 30, 2018:¥13,581 million
Note: The Company has applied the “Partial Amendments to Accounting Standard for Tax Effect Accounting” (ASBJ Statement No. 28,February 16, 2018) and relevant Guidances effective from the beginning of the first quarter of the fiscal year ending June 30, 2019. Accordingly,
figures in the consolidated financial position as of June 30, 2018 are those after retrospective application of the standard and guidances.
2. Cash dividends
Annual dividends per share

Year ended June 30, 2018Year ending June 30, 2019

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––

Yen
20.00

Yen–

Yen
35.00

Yen
55.00

30.00

–

40.00

70.00

Year ending June 30, 2019 (Forecast)
Note: Revision of cash dividend forecast most recently announced: No1Total3. Forecast of consolidated financial results for the year ending June 30, 2019 (from July 1, 2018 to June 30, 2019)
Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%Yen

Net sales
Millions of yen
Six months ending
December 31, 2018
Full year

39,188

32.1

2,550

15.4

2,500

13.6

1,600

21.9

75.55

82,000

25.5

6,000

39.6

5,900

39.5

3,700

44.0

174.70Note: Revision of consolidated financial results forecast most recently announced: No
4. Notes(1) Changes in significant subsidiaries during the three months ended September 30, 2018(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

No(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Changes in accounting policies due to other reasons:

NoNoChanges in accounting estimates:
Restatement of prior period financial statements:

NoNo(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of September 30, 2018

21,179,800 shares As of June 30, 2018

21,179,400 shares

Number of treasury shares at the end of the period
As of September 30, 2018687 shares As of June 30, 2018532 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Three months ended September 30,2018

21,179,147 sharesThree months ended September 30,
2017

19,432,664 shares* Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an audit corporation.
* Explanation of the appropriate use of earnings forecasts and other special notes
Earnings forecasts and other forward-looking statements stated in this document are based on information available to the Company and certain
assumptions that the Company considers to be reasonable. The actual results may differ materially from the forecasts due to various factors.

2Quarterly consolidated financial statementsConsolidated balance sheets(Millions of yen)
As of June 30, 2018

As of September 30, 2018

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Intangible assets
Goodwill
Other

9,410
10,045

8,162
10,313

763
(28)

871
(24)

20,19019,324

595

643

5,658

6,286

301

289

Total intangible assets

5,960

6,576

Investments and other assets

1,380

1,269

Total non-current assets

7,936

8,489

28,127

27,8132,1452,258

196
300

196300Accrued expenses
Income taxes payable

4,208
1,017

3,399
369

Accrued consumption taxes
Provision for bonuses

1,817
966

1,796
1,792

Total assets
Liabilities
Current liabilities
Short-term loans payable
Current portion of bonds
Current portion of long-term loans payable

Other

1,754

2,115

Total current liabilities

12,405

12,228

Bonds payable
Long-term loans payable

910
900

812
756

Net defined benefit liability
Other

47
147

48
504

Non-current liabilities

Total non-current liabilities

2,005

2,122

14,411

14,350Capital stock
Capital surplus

4,199
3,356

4,199
3,304

Retained earnings
Treasury shares

5,830
(0)

5,753
(1)

Total shareholders' equity

13,385

13,256

Total liabilities
Net assets
Shareholders' equity

3

(Millions of yen)
As of June 30, 2018

As of September 30, 2018

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment

0195

039

Total accumulated other comprehensive income

196

39

3130

3
162

13,715

13,46328,127

27,813

Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

4Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Millions of yen)Three months ended

Three months ended

September 30, 2017

September 30, 2018

Net sales
Cost of sales

11,977
9,367

18,717
14,916Gross profit

2,610

3,801

Selling, general and administrative expenses

1,641

2,732

968

1,068

Interest income
Subsidy income012015

Foreign exchange gains
Share of profit of entities accounted for using equity method

1018–

Other

12

Total non-operating income

1736

Interest expenses
Share of loss of entities accounted for using equity method

7–

200

Other

05

Operating profit
Non-operating income

Non-operating expenses

Total non-operating expenses

727

978

1,077

0–

0–

30

30

Profit before income taxes

974

1,077

Income taxes - current
Income taxes - deferred

321
29309
106

Total income taxes

351

415

Profit623

662

Ordinary profit
Extraordinary income
Gain on reversal of share acquisition rights
Total extraordinary incomeExtraordinary losses
Loss on retirement of non-current assets
Total extraordinary losses

Profit (loss) attributable to non-controlling interests

10(2)Profit attributable to owners of parent

612

664

5Consolidated statements of comprehensive income (cumulative)(Millions of yen)

ProfitOther comprehensive income

Three months ended

Three months ended

September 30, 2017

September 30, 2018
623

662

Valuation difference on available-for-sale securities
Foreign currency translation adjustment072(0)(157)

Share of other comprehensive income of entities accounted
for using equity method0(0)Total other comprehensive income

72(158)

696

503

681

508

14(5)

Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

6