Translation
October 30, 2020

Consolidated Financial Results
for the Second Quarter of the Fiscal Year Ending March 31, 2021
<under Japanese GAAP>
Company name:
Listing:
Stock code:
URL:
Representative:
Contact:

Yamato Holdings Co., Ltd.
Tokyo Stock Exchange
9064
https://www.yamato-hd.co.jp/
Yutaka Nagao, President
Atsushi Kashimoto, Executive Officer, in charge of Financing and Accounting
Tel: +81-3-3541-4141 (from overseas)
Scheduled date of the submission of quarterly securities report:
November 13, 2020
Scheduled date of the commencement of dividend payment:
December 10, 2020
Preparation of supplementary materials on quarterly financial results:
Yes
Holding of quarterly financial results meeting:Yes(Amounts less than 1 million yen are discarded.)1.

Consolidated financial results for the second quarter of fiscal year 2021
(cumulative: from April 1, 2020 to September 30, 2020)(1) Consolidated operating results

For the six months ended
September 30, 2020
September 30, 2019
(Note) Comprehensive income:(Percentages represent year-on-year changes.)
Profit attributable toOperating revenue
Operating profit
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
806,067
0.7
26,915333.2
27,933923.0
14,186—800,1261.4
6,213(73.5)
2,730(88.0)(3,459)—For the six months ended September 30, 2020:
16,955 million yen (— %)For the six months ended September 30, 2019:(4,202) million yen (— %)Basic earnings per share

For the six months ended
September 30, 2020
September 30, 2019

Diluted earnings
per share

Yen
37.60
(8.77)Yen——(2) Consolidated financial position
Total assets
Net assets
Equity-to-asset ratio
As ofMillions of yen
Millions of yen%
September 30, 2020
1,042,443
533,895
50.5
March 31, 2020
1,100,739
562,835
50.4(Reference) Equity:
As of September 30, 2020:
526,179 million yen As of March 31, 2020: 555,173 million yen

2.

Dividends
First quarter
Yen——

Second quarter
Yen
15.00
16.00

Annual dividends
Third quarter
Yen—

Fiscal year-end
Yen
26.00

—

16.00

Fiscal 2020
Fiscal 2021
Fiscal 2021 (Forecast)(Note) Revisions to the forecasts most recently announced: None
Breakdown of year-end dividends in fiscal year ended March 31, 2020:

Total

Ordinary dividends:
16.00 yen
Commemorative dividends: 10.00 yen

Yen
41.00
32.00

3.

Consolidated earnings forecasts for fiscal year 2021 (from April 1, 2020 to March 31, 2021)
Operating revenue

Operating profit

Millions of yen%
Millions of yen%
Full year
1,646,000
1.0
68,00052.1(Note) Revisions to the forecasts most recently announced: Yes(Percentages represent year-on-year changes.)
Basic
Profit attributable toOrdinary profit
earnings
owners of parent
per share
Millions of yen%
Millions of yen%
Yen
68,00067.4
35,00056.8
93.55* Notes(1) Changes in significant subsidiaries during the six months under review (changes in specified subsidiaries
resulting in the change in scope of consolidation): None
(2) Application of specific accounting for preparing the quarterly consolidated financial statements: Yes(Note) For details, please see “2. Consolidated Financial Statements and Significant Notes Thereto, (4) Notes to consolidated financial
statements (Application of specific accounting for preparing the quarterly consolidated financial statements)” of the attached materials
to the quarterly financial results report on page 14.

(3) Changes in accounting policies, changes in accounting estimates, and restatementa. Changes due to revision to accounting standards, etc.: Noneb. Changes other than a:
Nonec. Changes in accounting estimates:
None
d. Restatement:
None(4) Number of issued shares (common shares)
a. Number of issued shares as of the end of the period (including treasury shares)
As of September 30, 2020:
411,339,992 shares
As of March 31, 2020:
411,339,992 sharesb. Number of treasury shares as of the end of the period
As of September 30, 2020:
40,314,605 Shares
As of March 31, 2020:
26,124,409 sharesc. Average number of shares during the period (cumulative from the beginning of the fiscal year)
For the six months ended September 30, 2020:
377,257,203 Shares
For the six months ended September 30, 2019:394,274,361 shares*Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an
audit corporation.
*Proper use of earnings forecasts and other noteworthy events• Descriptions of the above financial projections and other data are based on information currently available to the Company and certain
assumptions that the Company considers to be reasonable. Actual financial results may differ significantly from the projections for various
reasons. For points to note when using such assumptions and financial projections, please see “1. Qualitative Information on Settlement of
Accounts for the Three Months, (3) Explanation of consolidated earnings forecasts and other forward-looking statements” of the attachedmaterials to the quarterly financial results report on page 8.
• The Company plans to post supplementary materials on quarterly financial results on the Company’s website promptly after theannouncement of the quarterly financial results.

Attached Materials
Index
1. Qualitative Information on Settlement of Accounts for the Six Months ................................................................... 2(1) Explanation of operating results ...................................................................................................................... 2(2) Explanation of financial position ...................................................................................................................... 8(3) Explanation of consolidated earnings forecasts and other forward-looking statements .................................. 8
2. Consolidated Financial Statements and Significant Notes Thereto ........................................................................ 9(1) Consolidated balance sheet ............................................................................................................................ 9(2) Consolidated statement of income and consolidated statement of comprehensive income .......................... 11
Consolidated statement of income (cumulative) ............................................................................................ 11
Consolidated statement of comprehensive income (cumulative) .................................................................. 12(3) Consolidated statement of cash flows ........................................................................................................... 13(4) Notes to consolidated financial statements ................................................................................................... 14(Notes to premise of going concern) ............................................................................................................. 14(Notes on significant changes in the amount of shareholders’ equity)........................................................... 14(Changes in scope of consolidation and equity method application) ............................................................. 14(Application of specific accounting for preparing the quarterly consolidated financial statements) ............... 14(Segment information, etc.) ........................................................................................................................... 14(Important subsequent matters) .................................................................................................................... 16
3. Supplementary Information .................................................................................................................................. 17
Operating revenue by business............................................................................................................................ 17-1-

1. Qualitative Information on Settlement of Accounts for the Six Months(1) Explanation of operating results
During the six months ended September 30, 2020, economic activities which had been stagnant due to theglobal spread of the novel coronavirus disease (COVID-19) began to reopen. The outlook for economic
recovery both in Japan and overseas remains unknown given uncertainties as to the status of COVID-19
transmission ahead and timing as to when the pandemic might subside. Moreover, in the logistics industry,
COVID-19 has accelerated growth in the e-commerce domain due to an expansion in e-commerce users amida scenario of changes in lifestyles and the business environment brought about by developments such ascompanies promoting telework arrangements and a shift to online services in the fields of medicine andeducation. On the other hand, with the reopening of global economic activities, in addition to a move toward
recovery in lifestyle activities and trade, we are seeing signs of a bottoming out in business sentiment in theservice industry mainly due to a public-private campaign to spur demand, but the effects on the future businessenvironment remain unclear.
Under such circumstances, the Yamato Group aims to continuously contribute to the realization of a prosperous
society by creating a “new logistics ecosystem” that meets the needs of customers and society. To such ends,
we are promoting initiatives based on our transformation plan “YAMATO NEXT100,” which serves as a granddesign for management over the medium to long term. These initiatives involve engaging in business
transformations encompassing the threefold aims of giving rise to the digital transformation (DX) of TA-Q-BIN,
establishing an e-commerce ecosystem, and strengthening the corporate logistics business. These initiatives
also involve engaging in infrastructure transformations encompassing the threefold aims of renewing Groupmanagement systems, shifting to data-driven management style, and implementing sustainability initiatives.
During the six months ended September 30, 2020, as the future spread of COVID-19 and when the pandemic
might subside being unclear, with the safety of our customers and employees as the top priority, we strove tocontinually provide logistics services, including TA-Q-BIN. Furthermore, we have worked to identify issues
encountered by our customers due to changes in lifestyles and the business environment. In the burgeoning ecommerce field, we strove to expand sales for new delivery services and to further improve convenience,
responding to diversifying needs. We have also been working to address customers’ business challenges. This
has entailed strengthening account management on a Group-wide basis and providing solutions tailored topharmacies engaged in the remote prescription domain of the telehealth field.
Our consolidated financial results for the six months ended September 30, 2020 are as follows.
(Millions of yen)
Item
Operating revenue
Operating profit
Ordinary profit
Profit attributable toowners of parent

For the six months ended
September 30, 2019
800,126
6,213
2,730

For the six months ended
September 30, 2020
806,067
26,91527,933(3,459)14,186

ChangeGrowth (%)

5,941
20,701
25,203

0.7
333.2
923.0

17,645―For the six months ended September 30, 2020, operating revenue amounted to 806,067 million yen, up 5,941
million yen from the previous year. This is largely attributable to having achieved an increase in the parcel
delivery volume as a result of having taken action in the burgeoning e-commerce domain.
For the six months ended September 30, 2020, operating expenses amounted to 779,152 million yen, down
14,760 million yen from the previous year. This was mainly due to controlling costs by increasing the efficiency
of collection and delivery through the optimal allocation of management resources based on data analysis andpromoting increased efficiency of our trunk-route transportation amid increasing parcel delivery volume.
As a result, for the six months ended September 30, 2020, operating profit amounted to 26,915 million yen, up
20,701 million yen from the previous fiscal year.
Initiatives for the entire Yamato Group① In response to the spread of COVID-19 and to ensure that customers can use TA-Q-BIN with peace ofmind, we have been making sure that employees practice full hygiene management, implementing
contact-free deliveries and other infection prevention measures when interacting with customers, using our
website and other channels to share information, and continuing to provide logistics services, including TAQ-BIN.
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② We have been engaging in reform of the Group management structure geared to achieving sustainablegrowth, and accordingly promoting initiatives to achieve our three business transformations and three
infrastructure transformations, based on our transformation plan “YAMATO NEXT100” which has beenformulated to serve as a grand design for management of the Yamato Group over the medium to long termgoing forward.
③ In order to promote “Inclusive Management” that enables personnel to focus more on our customers, wehave been shifting to data-driven management style which has involved streamlining and standardizing
our logistics operations through digital transformation (DX), and have been giving rise to objective andscientific decision-making largely by implementing demand and operating amount forecasts and making
optimal allocations of management resources, on the basis of data analysis.
④ In response to social needs, we have been working toward creating a logistics service that caters
specifically to the shift to e-commerce by industries and establishing an e-commerce ecosystem in orderto capitalize on the high growth potential of e-commerce. In the six months ended September 30, 2020,
we promoted efforts to expand sales for our new “EAZY” delivery service that improves convenience,safety, and efficiency with respect to purchase, delivery, and pick-up by connecting e-commerce users ande-commerce companies, and delivery service providers across the board in real-time using digital
information, through our partnerships with major e-commerce companies. Additionally, to optimize logistics
for e-commerce vendors with stores in online shopping malls, we promoted efforts to expand sales forservices that completely or partially replace operational functions from order receiving to shipping anddelivery. Moreover, based on alliances with partners with digital technology, we began accepting
applications for storefronts to serve as pick-up locations to provide new services that increase theconvenience of receiving and returning products purchased through e-commerce.
⑤ In order to strengthen corporate logistics business, we have been combining the Group’s management
resources for corporate business such as specialist human resources at each Group company, logistics
and distribution functions, and the trunk-route transportation network connecting our distribution centers.
We have also been promoting initiatives for addressing customers’ business challenges and building a
database to provide solutions based on highly accurate, real-time information. Furthermore, we willcontinue to strengthen the management of our international businesses.
⑥ In order to strike a balance between sustainable growth and the development of a sustainable society, we
have been promoting sustainability initiatives, and have furthermore been taking steps to address material
issues that have been identified with the aim of increasing the efficiency of transportation and providing
delivery that is better for the planet, our lifestyles, and the economy, by attentively connecting people withresources and data. This effort has been underpinned by our dual visions in terms of paving the way to asustainable future, one of which is “Connect. Deliver the Future via Green Logistics.” and the other ofwhich is, “Through Co-Creation and Fair Business Activities, Help Create a Society That ‘Leaves No One
Behind.’”⑦ With the aim of revamping the Group’s management structure in order to further enhance a management
structure that enables us to confront customer and social needs, we have been promoting development ofa framework in order to shift to a management structure comprising four Business Divisions (Retail,
Regional Corporate, Global Corporate, and EC), a fully optimized organization structured according tocustomer segments effective from April 2021, and four Functional Divisions (Transportation, Platform, IT,
Professional Service).
Summary of each operating segment

 Delivery
The delivery volume of TA-Q-BIN and Kuroneko DM-Bin services are as follows.
(Million parcels / units)
Category
TA-Q-BIN
Kuroneko DM-Bin

For the six months ended
September 30, 2019
879
519

For the six months ended
September 30, 2020
994
398

Change115(121)

Growth (%)
13.1(23.4)① In the Delivery Business, the Yamato Group concentrated on TA-Q-BIN-centered business development,
aiming to provide infrastructure that best suits our customers and contribute to enriching people’s lives.

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② In the six months ended September 30, 2020, as the future spread of COVID-19 and when the pandemic
might subside being unclear, with the safety of our customers and employees as the top priority, we
pursued stable operations of our TA-Q-BIN network. In addition, we have been engaging in streamlining
collection and delivery, labor operations and administrative tasks by promoting digitization of our overalllogistics operations, and in advancing structural reform of trunk-route transportation for the purpose of
optimizing the entire network for streamlining transportation.
③ With respect to the burgeoning e-commerce domain, we promoted efforts to expand sales for our new“EAZY” delivery service that improves convenience, safety, and efficiency with respect to purchase,delivery, and pick-up by connecting e-commerce users and e-commerce companies, and delivery service
providers across the board in real-time using digital information, through our partnerships with major ecommerce companies. Moreover, based on alliances with partners with digital technology, we began
accepting applications for storefronts to serve as pick-up locations to provide new services that increase
the convenience of receiving and returning products purchased through e-commerce.
④ As for individual customers, we have been taking steps to offer greater convenience by providing services
that enable such customers to complete TA-Q-BIN sending procedures using their smartphones, andproviding them with access to features such as online payment settlement and anonymous delivery.
Meanwhile with respect to corporate clients, we have been promoting initiatives for addressing theirbusiness challenges. Such efforts have involved striving to identify issues encountered by our customers
due to changes in the business environment and strengthening account management in coordinatedefforts of the Group. A specific example of such initiatives is our provision of solutions tailored topharmacies engaged in the remote prescription domain.
⑤ We have been taking steps to improve services for residents geared toward resolving issues facing
communities. In part, this has involved collaborating with numerous municipalities and companies in efforts
that entail helping those who have difficulties doing their shopping and helping to watch over elderly
residents. Moreover, we have also been helping to revitalize local industry particularly through initiatives
that involve supporting tourism and helping to expand sales channels for locally produced products.
⑥ Operating revenue amounted to 674,279 million yen, up 5.3% from the previous fiscal year owing to ahigher parcel delivery volume as a result of having taken action in the burgeoning e-commerce domain.
Operating profit amounted to 19,658 million yen, an improvement of 23,221 million yen from the previous
fiscal year from increasing the efficiency of collection and delivery through the optimal allocation ofmanagement resources based on data analysis and promoting increased efficiency of our trunk-routetransportation amid increasing parcel delivery volume.

 BIZ-Logistics① In the BIZ-Logistics Business, the Yamato Group is providing customers with innovative logistics systems
by combining management resources such as the TA-Q-BIN network with logistics functions, maintenanceand recall handling functions, cleansing functions for medical devices and international transportation
functions.
② For e-commerce, we are offering various one-stop services including placing and accepting orders, visualmonitoring of inventories for customers and enabling speedier shipments. Moreover, we have been
providing services to medical device-related business operators that help such customers revolutionize
logistics through our comprehensive support extending beyond delivery to encompass cleaning,
maintaining and relending surgical equipment returned by hospitals. In the six months ended September
30, 2020, through our partnerships with major e-commerce companies, to optimize logistics for ecommerce vendors with stores in online shopping malls, we promoted efforts to expand sales for services
that completely or partially replace operational functions from order receiving to shipping and delivery,
thereby addressing challenges encountered by our customers due to changes in the businessenvironment. Moreover, to increase the efficiency of delivery operations for prescription drugs, over-thecounter drugs, and medical devices we took steps to strengthen ties with pharmaceutical distributors.
③ Operating revenue amounted to 68,767 million yen, down 3.1% from the previous fiscal year mainly
resulting from decreases in our handling of overseas lifestyle support services and fine art transport due torestrictions placed on movement and cancellations of art exhibitions associated with the spread of COVID19. Operating profit amounted to 1,248 million yen, down 48.8% from the previous year.

-4- Home Convenience① In the Home Convenience Business, we are working toward enabling customers to achieve greater
convenience and comfort in their lives through daily lifestyle support businesses that draw on the YamatoGroup’s nationwide network. In the six months ended September 30, 2020, we worked to improve thequality of our “My Moving” moving-related services for one-person households who are individual
customers and expand the service territory, while starting to provide the same services for employees ofour corporate clients.
② Operating revenue amounted to 12,451 million yen, down 13.1% from the previous fiscal year mainly due
to a decrease in moving demand as a result of the spread of COVID-19, as well as a decrease in ourhandling of some customer business as a result of carrying out adequate pricing initiatives with respect tothe “Raku Raku Household TA-Q-BIN” service. As for profits, the segment posted an operating loss of
3,857 million yen.

 e-Business① In the e-Business, the Yamato Group helps customers streamline their business processes and solve
potential issues by proactively developing solution platform business that combines logistics technology
and financial technology with information technology. In addition to the conventional information
technologies, we are promoting use of emerging technologies that harness artificial intelligence (AI), theInternet of things (IoT) and other such innovations to accelerate growth of the Yamato Group businesses.
② As a service for helping our customer streamline their operations and ensuring greater convenience of
end-users, we offer the “Multi-value Charge Service” which facilitates cashless payments involving emoney and other payment options of a user’s choice, such that are made to individuals from businessenterprises involved in second-hand item purchasing and e-commerce returned merchandise. During thesix months ended September 30, 2020, we promoted to expand sales of our “Telework Support Solutions”
that enable users to build teleworking environments and make it possible for them to handle functions
such as the placement and acceptance of orders and billing using the Internet, thereby addressing
challenges encountered by our customers due to changes in the business environment.
③ Operating revenue amounted to 13,395 million yen, down 10.3% from the previous fiscal year mainly as aresult of system support for addressing the lower rate of taxation recoiling from the previous fiscal year,
and despite increased use of the “Web-based Shipment Control Service” for assisting with orderacceptance and dispatching operations as a result of having taken action in the burgeoning e-commercedomain. Operating profit amounted to 4,789 million yen, down 9.2% from the previous year.

 Financial① In the Financial Business, the Yamato Group has been developing settlement and financial services
tailored to a range of customer needs for payment collection of mail-order products and business-tobusiness transaction settlement.
② With respect to our payment settlement services, in addition to providing our mainstay service “TA-Q-BIN
Collect,” we have also been promoting increased customer use of both our “Kuroneko Web Collect”
comprehensive internet-based transaction settlement service, “Kuroneko Pay After Delivery Services” andour e-money settlement services. In the six months ended September 30, 2020, we worked to expand
sales of our “Raku-uru Cart” service, which helps business operators newly enter the e-commerce market
by providing one-stop support in terms of shopping cart function, payment settlement, and delivery
services, thereby addressing challenges encountered by our customers due to changes in the businessenvironment.
③ Operating revenue amounted to 19,802 million yen, down 49.0% from the previous fiscal year mainly due
to scope of consolidation changes associated with a partial transfer of Yamato Lease Co., Ltd., which
engages in the lease service business, and despite an increase in use of our “TA-Q-BIN Collect,”“Kuroneko Web Collect,” and “Kuroneko Pay After Delivery Services,” as a result of having taken action in
the burgeoning e-commerce domain. Operating profit amounted to 3,024 million yen, down 9.3% from theprevious year.

-5- Autoworks① In the Autoworks Business, we offer vehicle maintenance services that enable servicing without the needto stop business operations, thereby facilitating operational safety and extended vehicle uptime of
medium-sized transportation companies that have multiple locations. Furthermore, we provide services
that help our customers improve their asset utilization ratios, by adding options of “maintaining andsafeguarding logistics facilities and equipment, and improving such workplace environments,” along with“offering insurance plans tailored to customer risk management needs” which provide coverage for such
assets and employees.
② During the six months ended September 30, 2020, we launched business operations of our Tosu plant,
which constitutes our 27th location hosting a “Superworks” maintenance plant for achieving operational
efficiency. We also further strengthened our network and carried out initiatives to increase sales of ourmaintenance services through close communication with customers.
③ Operating revenue amounted to 11,097 million yen, down 13.2% from the previous year mainly as a resultof a decrease in fuel sales volume. Operating profit amounted to 2,143 million yen, down 18.5% from theprevious year.

 Other① The “JITBOX Charter service” provides transportation by transport box. The service takes advantage of its
network consisting of multiple companies and provides added value to customers through timely delivery
and frequent, right-volume delivery. In the six months ended September 30, 2020, we continued to work to
expand sales of our services with the future spread of COVID-19 and when the pandemic might subside
being unclear.
② Operating profit excluding dividends which Yamato Holdings Co., Ltd. received from the Group companies
decreased 62.9% from the previous fiscal year to 381 million yen.
ESG Initiatives① The Yamato Group places utmost priority on protecting human life and conducts a range of safetymeasures. Accordingly, its transport safety management practices in that regard involve drawing up its
Safety Management Regulations, building up its transport safety management systems, and formulating
fiscal year plans, all centered on respective Group companies whose main operations involve transport.
During the six months ended September 30, 2020, the Yamato Group carried out the “Zero Traffic
Accidents Campaign” in order to improve safety awareness on a Group-wide basis. In addition, since 1998
we have been holding our “Safety Classes for Children,” through which we convey the importance of traffic
safety, in day care facilities, kindergartens and elementary schools across Japan.
② Based on its corporate philosophy, the Yamato Group carries out business activities in accordance withthe law and social norms and actively promotes compliance management. Striving to maximize corporate
value by effectively utilizing the management resources of the Group is one of the top priorities ofmanagement, and we have implemented measures and bolstered management systems as part of ourcorporate governance initiative. Moreover, we engaged in efforts to furthermore strengthen our Group
governance with the aim of enhancing sound Group management. During the six months ended
September 30, 2020, we engaged in efforts that included strengthening the merchandise inspection
systems of the overall Yamato Group and upgrading the whistle-blower system.
③ The Yamato Group recognizes that its approximately 220,000 employees are the Group’s greatest asset,
and accordingly acts to create an employee-friendly and rewarding working environment where employees
can take a vibrant approach to work, in order to heighten employee satisfaction and to serve as acompany where a diverse range of talent chooses to work. In the six months ended September 30, 2020,
we continued to engage in efforts that include building appealing personnel systems, adopting aperformance evaluation scheme that encourages independent and autonomous behavior, and reestablishing an educational system. We also introduced newly designed uniforms focused on “employeefriendly” and “environmentally friendly” while using plant-based materials that contribute to reducing
carbon dioxide, realizing further increases in functionality, safety, and comfort.

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④ The Yamato Group recognizes that climate change is a crucial issue with respect to making the notion of asustainable society a reality, and accordingly identifies and evaluates risks and opportunities associatedwith climate change. Moreover, we have been taking action to achieve the vision of virtually zero carbon
dioxide emissions (in-house emissions), established as a long-term goal, through efforts that involve
shifting to use of vehicles that produce lower carbon dioxide emissions, developing and introducing nextgeneration mobility including electric vehicles, and handling collection and delivery in a manner that does
not involve use of automobiles. Moreover, we have been engaging in other initiatives that involve reducing
carbon dioxide emissions by heightening the efficiency of our trunk-route transportation to major cities andextending operations served by our “Super-Full Trailer SF25,” which helps reduce long-haul driverworkloads. We also hold “Kuroneko Yamato Environmental Class” sessions designed to provide support
for environmental education of children who will bear responsibilities of the next generation. We have heldsuch classes on an ongoing basis nationwide since 2005.
⑤ Aiming to create more sustainable social value, the Yamato Group promotes initiatives for sharing value
with society based on the concept of “Creating Shared Value (CSV).” During the six months ended
September 30, 2020, we promoted our “combined passenger-cargo” operations using scheduled-routepassenger buses and railways, thereby helping to improve lifestyle services for local residents by keeping
scheduled bus and railway networks running in hilly and mountainous areas where populations aresubstantially declining and getting older, and also by streamlining distribution in those locations. In
addition, for residents in suburban areas which are undergoing changes with respect to people’s life
stages, we have been providing support for community development geared to ensuring that local
residents are able to lead comfortable lives. Our efforts have involved helping to revitalize local
communities where we have our business locations, and providing such residents with lifestyle support
services that include handling shopping and housekeeping on their behalf.
⑥ Aspiring to be a company that continually evolves in step with society, led by Yamato Welfare Foundation,
the Yamato Group conducts various activities to help realize a society in which disabled people canexperience the joy of working autonomously. Specifically, we engage in ongoing programs that support
economic independence of people with disabilities, such that include actively employing people withdisabilities at the Swan Bakery which makes and sells bread, providing them with workplaces through theconsigned delivery of Kuroneko DM-Bin, and operating job-finding support facilities where they take part intraining to acquire skills and knowledge necessary for employment.
⑦ The Yamato Group has been promoting sustainability initiatives with the aim of striking a balance between
sustainable growth and the development of a sustainable society, based on its transformation plan
“YAMATO NEXT100,” which serves as a grand design for management over the medium to long term.
Under our “Connect. Deliver the Future via Green Logistics” and “Through Co-Creation and Fair Business
Activities, Help Create a Society That ‘Leaves No One Behind’” visions for a sustainable future, we willachieve logistics that are friendly to the environment, lifestyle, and economy by connecting people,
resources, and data in a highly sophisticated manner, and making transportation more efficient. Moreover,
we will accordingly promote initiatives with respect to material issues identified in relation to theenvironment and material issues related to society, the former of which include Energy & Climate,
Atmosphere, Resource Circulation & Waste, and Resilience of Companies & Society, and the latter ofwhich include Labor, Human Rights & Diversity, Safety & Security, Data Utilization & Security, Supply
Chain Management, and Local Community.

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(2) Explanation of financial position(Assets, liabilities and net assets)
Total assets were 1,042,443 million yen as of September 30,2020, down 58,296 million yen from the end of theprevious fiscal year. The decrease was largely attributable decreases in investments in leases and assets forrent of 53,886 million yen and 11,061 million yen, respectively, associated with having excluded Yamato Lease
Co., Ltd. from the scope of consolidation, despite a 26,673 million yen increase in cash and deposits.
Liabilities decreased 29,356 million yen to 508,548 million yen from the end of the previous fiscal year. The
decrease was largely attributable to a 25,500 million yen decrease in borrowings.
Total net assets were 533,895 million yen, down 28,939 million yen from the end of the previous fiscal year. The
major factors included the recording of profit attributable to owners of parent of 14,186 million yen, payment ofdividends of surplus of 10,015 million yen and purchase of treasury shares amounting to 35,693 million yen.
Accordingly, the equity ratio changed to 50.5% from 50.4% of the previous fiscal year.
(Cash flows)
Net cash provided by operating activities for the six months ended September 30, 2020 amounted to 29,992
million yen. Compared with the year-ago period, the amount of net cash provided increased by 28,254 million
yen. This is largely attributable to a 24,465 million yen increase due to the recording of profit before income
taxes of 26,975 million yen, and an 8,510 million yen decrease in income taxes paid.
Net cash provided by investing activities was 71,552 million yen, a difference of 105,407 million yen comparedwith net cash used in investing activities in the year-ago period. This is largely attributable to a 93,866 million
yen increase in collection of loans receivable.
Net cash used in financing activities was 74,318 million yen. Compared with the year-ago period, the amount of
net cash used increased by 60,718 million yen. This is largely attributable to a decrease in proceeds fromborrowings of 19,700 million yen and an increase in purchase of treasury shares of 35,706 million yen.
As a result of the above, cash and cash equivalents were 223,595 million yen as of September 30, 2020, up
26,932 million yen from the end of the previous fiscal year.
(3) Explanation of consolidated earnings forecasts and other forward-looking statements
Economic activities which had been stagnant due to the global spread of COVID-19 began to reopen. The
outlook for economic recovery both in Japan and overseas remains unknown given uncertainties as to thestatus of COVID-19 transmission ahead and timing as to when the pandemic might subside. Moreover, in thelogistics industry, COVID-19 has accelerated growth in the e-commerce domain due to an expansion in ecommerce users amid a scenario of changes in lifestyles and the business environment brought about by
developments such as companies promoting telework arrangements and a shift to online services in the fieldsof medicine and education. On the other hand, with the reopening of global economic activities, in addition to amove toward recovery in lifestyle activities and trade, we are seeing signs of a bottoming out in businesssentiment in the service industry mainly due to a public-private campaign to spur demand, but the effects on the
future business environment remain unclear.
Amid these conditions, for the full fiscal year ending March 31, 2021, we deem that operating revenue is likely
to exceed that of the previous fiscal year largely as a result of our taking action in the burgeoning e-commercedomain. Meanwhile, in terms of operating expenses, we deem that expenses associated with developing
delivery networks and promoting structural reforms are likely to rise. However, we are continuing to work to
optimize costs through optimal allocations of management resources based on data analysis and heightened
efficiency of our trunk-route transportation.
The Yamato Group has made changes to the consolidated earnings forecasts for the full year of the fiscal year
ending March 31, 2021 since the announcement made on July 31, 2020.

-8-

2. Consolidated Financial Statements and Significant Notes Thereto(1) Consolidated balance sheet(Millions of yen)
As of March 31, 2020

As of September 30, 2020

AssetsCurrent assets
Cash and deposits

197,226

223,899

Notes and accounts receivable - trade

213,980

192,520

Accounts receivable - installment

46,08844,734

Lease receivables and investments in leases

53,886―Merchandise and finished goods

552

426

Work in process

165

324

Raw materials and supplies

3,497

1,883

Other

28,92528,193

Allowance for doubtful accounts(1,439)(1,420)Total current assets

542,884

490,561

362,314366,701

Accumulated depreciation(208,753)(210,328)

Buildings and structures, net

153,561

156,373

Non-current assets
Property, plant and equipment
Buildings and structures

Vehicles

214,177

212,343(193,345)(194,369)

20,831

17,974Land

175,158

174,281

Leased assets

31,26038,213

Accumulated depreciation(8,501)(12,311)

Leased assets, net

22,75925,901

161,292

132,610(109,768)(97,571)

Accumulated depreciation
Vehicles, net

Other
Accumulated depreciation
Other, net

51,52435,038423,835

409,569

20,96524,562

Investment securities

40,31044,908

Other

74,30673,949Allowance for doubtful accounts(1,562)(1,109)Total investments and other assets

113,054

117,748557,855

551,881

1,100,739

1,042,443

Total property, plant and equipment
Intangible assets
Investments and other assets

Total non-current assets
Total assets-9-

(Millions of yen)
As of March 31, 2020

As of September 30, 2020

Liabilities
Current liabilities
Notes and accounts payable - trade147,081

129,329

Short-term borrowings

75,50054,000Current portion of bonds payable

10,00010,000

Lease obligations

3,578

4,783

Income taxes payable

20,377

17,897

Deferred installment income

5,028

4,808

Provision for bonuses

35,86647,851

Other

111,379

109,298

Total current liabilities

408,811

377,967

Long-term borrowings

14,00010,000

Lease obligations

21,76024,523Retirement benefit liability

79,23080,436

Non-current liabilities

Other

14,102

15,620Total non-current liabilities

129,093

130,580

537,904

508,548

Share capital

127,234

127,234

Capital surplus

36,81336,813Retained earnings

441,746445,917

Total liabilities
Net assets
Shareholders’ equity

Treasury shares(54,770)(90,464)

Total shareholders’ equity

551,024

519,501

8,157

10,192Foreign currency translation adjustment(317)(1,195)Remeasurements of defined benefit plans(3,692)(2,317)

Total accumulated other comprehensive income

4,148

6,678

7,662

7,715

562,835

533,895

1,100,739

1,042,443

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

Non-controlling interests
Total net assets
Total liabilities and net assets- 10 -

(2) Consolidated statement of income and consolidated statement of comprehensive income
Consolidated statement of income (cumulative)(Millions of yen)
For the six months ended
September 30, 2019

For the six months ended
September 30, 2020

Operating revenue

800,126

806,067

Operating costs

765,664

748,694

Operating gross profit

34,462

57,373

Selling, general and administrative expenses

28,24830,457

Operating profit

6,213

26,915Interest income

78

107

Dividend income

646

680

Other

510

1,227

Total non-operating income

1,235

2,014

Interest expenses

208

351

Share of loss of entities accounted for using equity method

3,684

311

Other

826

333

Total non-operating expenses

4,719

996

2,730

27,933Gain on sales of non-current assets

3

704

Other

―

207

Total extraordinary income

3

911

Loss on retirement of non-current assets

177

131

Impairment loss

45

222

Non-operating income

Non-operating expenses

Ordinary profit
Extraordinary income

Extraordinary losses

Loss on valuation of investment securities

0349

Loss associated with measures to address COVID-19

―

1,163

Other

0

2

224

1,869

2,509

26,975

Income taxes

5,802

12,704

Profit (loss)(3,292)

14,271

Profit attributable to non-controlling interests

167

84

Profit (loss) attributable to owners of parent(3,459)14,186

Total extraordinary losses
Profit before income taxes- 11 -

Consolidated statement of comprehensive income (cumulative)(Millions of yen)
For the six months ended
September 30, 2019
Profit (loss)

For the six months ended
September 30, 2020

(3,292)

14,271

Valuation difference on available-for-sale securities(1,167)2,189

Foreign currency translation adjustment

(180)

(883)

Remeasurements of defined benefit plans, net of tax

711

1,373

Share of other comprehensive income of entities accounted
for using equity method

(273)

4

Total other comprehensive income

(910)

2,684

(4,202)

16,955Comprehensive income attributable to owners of parent(4,313)

16,716Comprehensive income attributable to non-controllinginterests

110

239

Other comprehensive income

Comprehensive income(Breakdown)- 12 -

(3) Consolidated statement of cash flows(Millions of yen)
For the six months ended
September 30, 2019

For the six months ended
September 30, 2020

Profit before income taxes

2,509

26,975

Depreciation

25,53322,442

45

222

Cash flows from operating activities

Impairment loss
Increase (decrease) in retirement benefit liability

1,061

1,205

Increase (decrease) in provision for bonuses

9,622

12,056

Share of loss (profit) of entities accounted for using equity
method3,684

311

Decrease (increase) in trade receivables

1,122(3,859)

Increase (decrease) in trade payables(15,436)(14,484)

Other, net(4,579)(1,704)

Subtotal

23,563

43,165Interest and dividends received

712

891

Interest paid

(253)

(291)

(22,284)(13,773)

1,737

29,992(30,936)(15,176)

Proceeds from sales of property, plant and equipment

2,521

1,736

Purchase of investment securities

Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment

(356)

(613)

Proceeds from sales of investment securities―

99

Payments for sales of shares of subsidiaries resulting inchange in scope of consolidation

―

(484)

Loan advances(2,222)(1,780)

Collection of loans receivable

1,297

95,164

Other payments(5,988)(8,466)

Other proceeds

1,829

1,074

(33,854)

71,552

10,000(20,000)

Repayments of lease obligations(2,199)(2,923)

Repayments of long-term borrowings(15,800)(5,500)(0)(35,707)(5,520)(10,001)

(79)

(185)

(13,600)(74,318)

(195)

(293)

Net increase (decrease) in cash and cash equivalents(45,913)26,932

Cash and cash equivalents at beginning of period

194,650

196,662

Cash and cash equivalents at end of period

148,737

223,595

Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term borrowings

Purchase of treasury shares
Dividends paid
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents- 13 -

(4) Notes to consolidated financial statements(Notes to premise of going concern)
Not applicable.
(Notes on significant changes in the amount of shareholders’ equity)
Not applicable.
(Changes in scope of consolidation and equity method application)
Material changes in scope of consolidation
Effective from the first quarter of the fiscal year ending March 31, 2021, Yamato Lease Co., Ltd. is excluded
from the scope of consolidation upon partial transfer of its shares.
Moreover, effective from the first quarter of the fiscal year ending March 31, 2021, YMT-GB, an investment
limited partnership, has been established and is included in the scope of consolidation.
Material changes in scope of equity method application
Effective from the first quarter of the fiscal year ending March 31, 2021, Yamato Lease Co., Ltd. is includedin the scope of the equity method, having been excluded from the scope of consolidation upon partial
transfer of its shares.
(Application of specific accounting for preparing the quarterly consolidated financial statements)
Calculation of tax expenses
Tax expenses are calculated by multiplying the profit before income taxes by the reasonably estimated effective
tax rates after the application of tax effect accounting to the profit before income taxes for the fiscal year
including the second quarter under review.
(Segment information, etc.)[Segment information]
I
For the six months ended September 30, 2019
1. Information regarding the amounts of operating revenue and profit or loss by reportable segment(Millions of yen)
BIZ-Logistics

Home
Convenience

e-Business

Financial

640,42271,001

14,333

14,937

38,84928,087

5,745

5,745

20,972

1,414

668,510(3,562)

76,747
2,437

20,079(5,267)35,9095,275

40,263
3,334

Reconciliation(Note 3)

Amountrecorded inconsolidated
statement ofincome(Note 4)

DeliveryOperating revenue
Operating revenue from customers
Inter-segment operating revenue ortransfers
Total
Segment profit (loss)

Autoworks

Other(Notes 1, 2)

Total

Operating revenue
Operating revenue from customers
12,7807,800
800,126―
800,126
Inter-segment operating revenue or
15,79351,168
128,928(128,928)―
transfers
Total
28,57458,969929,054(128,928)
800,126
Segment profit (loss)
2,630
36,80941,656(35,442)
6,213
Notes: 1. Other includes business-to-business distribution via JITBOX Charter and shared services, etc.
2. Operating revenue in Other includes dividends which the Company received from the Group companies as a pure holding
company and the effect of this on operating revenue and segment profit is 36,523 million yen.
3. The adjustment of segment profit resulted from eliminating transactions among segments, etc.
4. An adjustment was made between segment profit and operating profit in the consolidated statement of income.

- 14 -

2. Information regarding impairment losses of non-current assets or goodwill, etc. by reportablesegment(Significant impairment loss on non-current assets)
Descriptions are omitted, as the value is immaterial.

- 15 -

II

For the six months ended September 30, 2020
1. Information regarding the amounts of operating revenue and profit or loss by reportable segment(Millions of yen)
BIZ-Logistics

Home
Convenience

e-Business

Financial

674,279

68,767

12,451

13,39519,802

29,341

6,372

5,369

23,29623

703,621
19,65875,1401,248

17,820(3,857)

36,692
4,789

19,826
3,024

Reconciliation(Note 3)

Amountrecorded inconsolidated
statement ofincome(Note 4)

DeliveryOperating revenue
Operating revenue from customers
Inter-segment operating revenue ortransfers
Total
Segment profit (loss)

Autoworks

Other(Notes 1, 2)

Total

Operating revenue
Operating revenue from customers
11,0976,275
806,067―
806,067Inter-segment operating revenue or
15,98745,391
125,783(125,783)―
transfers
Total
27,08551,666
931,851(125,783)
806,067
Segment profit (loss)
2,143
27,06054,068(27,152)
26,915
Notes: 1. Other includes business-to-business distribution via JITBOX Charter and shared services, etc.
2. Operating revenue in Other includes dividends which the Company received from the Group companies as a pure holding
company and the effect of this on operating revenue and segment profit is 29,568 million yen.
3. The adjustment of segment profit resulted from eliminating transactions among segments, etc.
4. An adjustment was made between segment profit and operating profit in the consolidated statement of income.

2. Information regarding impairment losses of non-current assets or goodwill, etc. by reportablesegment(Significant impairment loss on non-current assets)
Descriptions are omitted, as the value is immaterial.
(Important subsequent matters)(Cancellation of treasury shares)
At the meeting held on September 24, 2020, the Board of Directors resolved to cancel treasury shares of
the Company in accordance with the provisions of Article 178 of the Companies Act.
1. Type of shares canceled:
2. Total number of shares canceled:
3. Date of cancellation
4. Total number of issued shares after cancellation- 16 -

Common shares of the Company
22,764,400 shares (ratio to the total number ofissued shares prior to cancellation: 5.53%)
October 13, 2020
388,575,592 shares3. Supplementary Information
Operating revenue by businessBusiness segment

Delivery

BIZ-Logistics

Home
Convenience

e-Business

Financial

Autoworks

Other

TA-Q-BIN
Kuroneko DM-Bin
Express
OthersEliminations
Total
Logistics
Trading logistics
service
OthersEliminations
Total
Home convenience
Eliminations
Total
Credit card solution
IT operating
Web-based mail ordersolution
OthersEliminations
Total
Payment
Lease service
Credit & Finance
OthersEliminations
Total
Truck solution
OthersEliminations
Total
JITBOX Charter service
OthersEliminations
Total
Total

For the six months ended
September 30, 2019
AmountRatio(Millions of yen)(%)
592,59474.1
33,223
4.2
20,671
2.6
48,182
6.0(54,249)(6.8)
640,42280.0
48,361
6.0

For the six months ended
September 30, 2020
AmountRatio(Millions of yen)(%)
635,568
78.8
26,6493.3
19,486
2.4
50,377
6.2(57,802)(7.2)
674,279
83.7
48,835
6.1

7.3(19.8)
(5.7)
4.6
6.5
5.3
1.0

Fiscal year ended March 31,
2020
AmountRatio(Millions of yen)(%)
1,217,572
74.7
64,104
3.9
41,608
2.6
97,4966.0(110,713)(6.8)
1,310,067
80.4
99,414
6.1

19,773

2.5

20,9792.6

6.1

41,796

2.6

16,196(13,329)71,001
20,082(5,749)14,333
5,422
4,117

2.0
(1.7)
8.9
2.5
(0.7)
1.8
0.7
0.5

13,950(14,997)
68,767
17,821(5,370)12,451
5,155
4,020

1.7
(1.9)
8.5
2.2
(0.7)
1.5
0.6
0.5

(13.9)
12.5(3.1)(11.3)(6.6)(13.1)(4.9)(2.4)

31,669(28,946)
143,934
39,210(11,404)
27,805
11,529
8,138

1.9
(1.8)
8.8
2.4
(0.7)
1.7
0.7
0.5

3,408
25,887(23,898)
14,937
14,637
20,294
1,712
3,650(1,445)38,84925,435
4,421(17,075)
12,780
6,783
54,341(53,324)7,800
800,126

0.4

2,239

0.3

(34.3)

6,190

0.4

3.2
(3.0)
1.9
1.8
2.5
0.2
0.5
(0.2)
4.9
3.2
0.6
(2.1)
1.6
0.8
6.8
(6.7)
1.0
100.0

28,015(26,035)
13,395
16,573
―
1,534
1,748
(54)
19,802
23,902
4,429(17,234)
11,097
5,601
48,168(47,495)
6,275
806,067

3.5
(3.2)
1.7
2.1
―
0.2
0.2
(0.0)
2.5
3.0
0.5
(2.1)
1.4
0.7
6.0
(5.9)
0.8
100.0

8.2
8.9
(10.3)
13.2―(10.4)(52.1)(96.3)(49.0)
(6.0)
0.2
0.9
(13.2)(17.4)(11.4)(10.9)(19.6)
0.7

53,309(48,589)
30,57929,44840,3063,344
6,848(2,875)77,07249,806
8,734(33,618)
24,922
13,37371,724(69,334)
15,763
1,630,146

3.3
(3.0)
1.9
1.8
2.5
0.2
0.4
(0.2)
4.7
3.1
0.5
(2.1)
1.5
0.8
4.4
(4.3)
1.0
100.0

- 17 -

Change(%)