Translation

April 30, 2015

Consolidated Financial Results for the Year Ended March 31, 2015
<under Japanese GAAP>
Company name:
Listing:
Stock code:
URL:
Representative:
Contact:

Yamato Holdings Co., Ltd.
Tokyo Stock Exchange9064
http://www.yamato-hd.co.jp/
Masaki Yamauchi, President
Kenichi Shibasaki, Managing Executive Officer, in charge of Financing and Accounting
Tel: +81-3-3541-4141 (from overseas)
Scheduled date of the ordinary general meeting of shareholders: June 23, 2015
Scheduled date of the commencement of dividend payment:
June 2, 2015
Scheduled date of the submission of annual securities report:
June 19, 2015
Preparation of supplementary materials on financial results:
Yes
Holding of financial results meeting:Yes(Amounts less than 1 million yen are discarded.)

1. Consolidated financial results for fiscal year 2015 (from April 1, 2014 to March 31, 2015)(1) Consolidated operating results
Operating revenue

Operating income(Percentages indicate year-on-year changes.)
Ordinary income
Net income

For the year ended Millions of yen% Millions of yen%
Millions of yen
March 31, 2015
1,396,708
1.6
68,9479.3
70,889March 31, 2014
1,374,610
7.2
63,096(4.7)
64,664(Note) Comprehensive income:For the year ended March 31, 2015: 46,243 million yen (17.9 %)For the year ended March 31, 2014: 39,225 million yen (0.7 %)Net income pershare

Net income pershare - fully diluted

%
9.6
(4.9)

Millions of yen
37,533
34,776

Ratio of ordinary
income to total
assetsReturn on equity

For the year ended
Yen
Yen
%
March 31, 2015
90.41
88.26
6.7
March 31, 2014
82.22
80.18
6.4
(Reference) Equity in earnings of affiliates:
For the year ended March 31, 2015: — million yen
For the year ended March 31, 2014: — million yen

%
6.7
6.5

%
7.9
(1.0)

Ratio of operating
income to operating
revenue%
4.9
4.6(2) Consolidated financial position
Total assets
As ofMarch 31, 2015
March 31, 2014
(Reference) Equity:

Net assets

Equity ratio

Net assets per share

Millions of yen
Millions of yen%
1,082,531
571,199
52.2
1,032,134
560,172
53.4
As of March 31, 2015: 565,521 million yen
As of March 31, 2014: 551,379 million yen

Yen
1,368.66
1,316.12(3) Consolidated cash flows
Cash flows fromoperating activities
For the year ended
March 31, 2015
March 31, 2014

Millions of yen
92,62080,075

Cash flows frominvesting activities
Millions of yen(58,485)(64,935)

Cash flows fromfinancing activities
Millions of yen(7,168)(9,033)

Cash and cash equivalents
at end of period
Millions of Yen
247,051
219,395

2.

Dividends
Annual dividendsFirstquarter

SecondquarterYen

Thirdquarter

Fiscalyear-end

Fiscal 2014
Fiscal 2015

—
—

Yen
12.00
12.00

—
—

Yen
12.00
13.00

Yen
24.00
25.00

Fiscal 2016
(Forecast)

—

13.00

—

13.00

26.00

3.

Yen

Total

Total annual
dividends

Payout ratio(consolidated)

Dividends onequity(consolidated)

Millions of yen
10,111
10,409

%
29.2
27.7

%
1.9
1.9

25.2

Consolidated earnings forecasts for fiscal year 2016 (from April 1, 2015 to March 31, 2016)
Operating revenue

Half year
Full year

Millions of yen
689,000
1,430,000

Operating income
%
2.3
2.4

Millions of yen
22,00072,000Ordinary income
%
3.4
4.4

Millions of yen
22,50073,000(Percentages indicate year-on-year changes.)
Net
Profit attributable toincomeowners of parent
per share
%
0.8
3.0

Millions of yen
12,50043,000

%
2.9
14.6

Yen
30.06
103.09* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change
in scope of consolidation): None
(2) Changes in accounting policies, changes in accounting estimates, and restatementa. Changes due to revision to accounting standards, etc.:
Yesb. Changes other than a:Yesc. Changes in accounting estimates:
None
d. Restatement:
None(Note) For details, please see “Changes in accounting policies” of the attached materials to the financial results report on page 28.

(3) Number of issued shares (common shares)
a. Number of issued shares as of the end of the period (including treasury shares)
As of March 31, 2015:
435,564,792 shares
As of March 31, 2014:
454,684,992 sharesb. Number of treasury shares as of the end of the period
As of March 31, 2015:
22,370,985 shares
As of March 31, 2014:
35,742,057 sharesc. Average number of shares during the period
For the year ended March 31, 2015:
415,131,038 shares
For the year ended March 31, 2014:
422,941,014 shares(Note) For details of the number of shares used to calculate consolidated net income per share, please refer to “Per Share Information”
on page 48.

(Reference) Overview of non-consolidated financial results
1. Non-consolidated financial results for fiscal year 2015 (from April 1, 2014 to March 31, 2015)(1) Non-consolidated operating results
Operating revenue
For the year ended
March 31, 2015
March 31, 2014

Millions of yen
27,75629,197

%
(4.9)
28.6

Millions of yen
23,071
24,407

Net income per share
For the year ended
March 31, 2015
March 31, 2014

(Percentages indicate year-on-year changes.)
Ordinary income
Net income

Operating income

Yen
44.88
49.16

%
(5.5)
32.8

Millions of yen
24,41525,343

%
(3.7)
32.1

Millions of yen
18,632
20,791%(10.4)
66.4

Net income per share - fully diluted
Yen
43.82
47.94

(2) Non-consolidated financial position
Total assets

Net assets

Equity ratio

As ofMillions of yen
Millions of yen%
March 31, 2015
527,627
378,122
71.7
March 31, 2014
489,597
383,650
78.4(Reference) Equity: As of March 31, 2015: 378,122 million yen
As of March 31, 2014: 383,650 million yen

Net assets per shareYen
915.12915.76* Indication regarding execution of audit procedures
At the time of the disclosure of this financial results report, the audit procedures in accordance with the Financial Instruments and Exchange
Act are in progress.

* 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 we consider 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 “Analysis of operating results and financial position”.
• The Company plans to hold a financial results meeting for analysts on May 1, 2015. The materials distributed at this financial results meetingshall be posted on the Company’s website after the meeting has been held.

Attached Materials
Index
1. Analysis of Operating Results and Financial Position ............................................................................................. 5(1) Analysis of operating results ............................................................................................................................. 5(2) Analysis of financial position ........................................................................................................................... 10(3) Basic profit distribution policy and dividends for fiscal 2015 and 2016 ............................................................ 11
2. Status of the Corporate Group .............................................................................................................................. 12
3. Management Policy............................................................................................................................................... 14(1) Basic corporate management policies, medium- to long-term corporate management strategies and target
management indicators ................................................................................................................................... 14(2) Issues to be addressed by the Company ........................................................................................................ 14
4. Fundamental Approach to Selection of Accounting Standards ............................................................................. 15
5. Consolidated Financial Statements ....................................................................................................................... 16(1) Consolidated balance sheet ............................................................................................................................ 16(2) Consolidated statement of income and consolidated statement of comprehensive income............................ 19(3) Consolidated statement of changes in equity .................................................................................................. 22(4) Consolidated statement of cash flows ............................................................................................................. 24(5) Notes to consolidated financial statements ..................................................................................................... 26(Notes to premise of going concern) ..................................................................................................................... 26(Significant matters forming the basis of preparing the consolidated financial statements) .................................. 26(Changes in accounting policies) .......................................................................................................................... 28(Consolidated balance sheet) ............................................................................................................................... 29(Consolidated statement of income)...................................................................................................................... 30(Consolidated statement of comprehensive income) ............................................................................................ 31(Consolidated statement of changes in equity) ..................................................................................................... 31(Consolidated statement of cash flows) ................................................................................................................ 33(Segment Information) .......................................................................................................................................... 33(Tax Effect Accounting) ......................................................................................................................................... 38(Financial Instruments).......................................................................................................................................... 39(Securities) ............................................................................................................................................................ 44(Retirement Benefit) .............................................................................................................................................. 46(Per Share Information)......................................................................................................................................... 48(Important Subsequent Matters) ........................................................................................................................... 48(Other Notes, etc.)................................................................................................................................................. 48
6. Others ................................................................................................................................................................... 49
Operating revenue by business ............................................................................................................................ 49
7. Non-consolidated Financial Statements ................................................................................................................ 51(1) Non-consolidated balance sheet ..................................................................................................................... 51(2) Non-consolidated statement of income ........................................................................................................... 53(3) Non-consolidated statement of changes in equity ........................................................................................... 54-4-

1. Analysis of Operating Results and Financial Position(1) Analysis of operating results
In the fiscal year ended March 31, 2015, despite a visible trend toward improvement in the overall economic
environment in Japan amid improvement in corporate earnings, lagging recovery in personal consumption wasevident given the post-consumption tax hike pull-back in demand, rising prices in step with the weakening yen,and other factors. Moreover, the Yamato Group also faced harsh operating circumstances as tight labor market
conditions persisted. Operating in this environment, we worked toward achieving the objectives of theLong-Term Management Plan “DAN-TOTSU Management Plan 2019” and the Medium-Term Management
Plan “DAN-TOTSU Three-Year Plan STEP.” To that end, we focused our efforts on taking steps to create abusiness model for generating a high level of added value while pursuing greater sophistication of our existing
businesses, by fusing logistics networks that have been developed and business resources of individual Group
companies.
In the Delivery Business, delivery volumes were sluggish due in part to stagnating personal consumption andthe effect of surging demand ahead of the consumption tax hike in the previous fiscal year. Nevertheless,revenue increased amid gains in TA-Q-BIN unit prices as a result of our efforts to promote collection ofadequate fees. With respect to profits, income also increased due to factors that included thorough costmanagement in line with operating volumes encompassing personnel expenses, costs of outsourcing work,and other expenditures.
In the non-delivery businesses, we took steps to expand our existing service offerings by enlisting the strengthsof Group companies, while also drawing on Group-wide ties as we continued to aggressively pursue solution
sales geared toward addressing customers’ business challenges.
Our consolidated financial results for the fiscal year ended March 31, 2015 were as follows.
Item

Fiscal 2014

Fiscal 2015

(Millions of yen)
Growth (%)

ChangeOperating revenue

1,374,610

1,396,708

22,098

1.6

Operating income

63,096

68,9475,850

9.3

Ordinary income

64,66470,8896,225

9.6

Net income

34,77637,5332,757

7.9

During the fiscal year ended March 31, 2015, we purchased treasury shares of 11.96 million shares, for a totalacquisition cost of about 30.0 billion yen, and retired 19.12 million shares of treasury shares as a measure forshareholder return, based on a resolution passed at the Board of Directors meeting on October 30, 2014.
Initiatives for the entire Yamato Group
a.

b.

c.

The Yamato Group has been pursuing its “Value Networking” design, on the basis of creating businessmodels for generating a high level of added value through the combined efforts of our respective
businesses, while at the same time contributing to growth strategies for the Japanese economy.
Meanwhile, we are also taking steps to forge a robust corporate culture that acts as a foundation forbusiness creation and development.
To further promote our “Value Networking” design, we have been drawing on alliances with Group
companies in promoting solution sales, and crafting business models that deliver a high level of added
value by leveraging our business network. Also, to address varied customer needs in Japan and overseas,
we have been making more effective use of our innovative network platform consisting of the “Haneda
Chronogate,” “Atsugi Gateway” and “Okinawa International Logistics Hub” facilities, in addition to ourexisting “last mile” network.
We continued to drive initiatives geared toward forging a more robust corporate culture. To that end, we
worked on enhancing the efficiency and dependability of operations, in part by improving our transportsystems and by using our information technology network to enable visual monitoring of operating
volumes. In addition, we redoubled our employee education efforts and focused on building systems for

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d.

e.

ensuring that we honor promises made to our customers. Moreover, we actively engaged in CSR-related
activities linked to Yamato Group business endeavors, such as through environmental and safetymeasures, and efforts to prosper communities.
With respect to initiatives geared toward overseas markets, we have been expanding the nations where
we do business by establishing local subsidiaries in Mexico and Vietnam, while also actively working to
expand our networks through efforts that include launching sales of our “International Cool TA-Q-BIN”
services for deliveries to Hong Kong, followed by deliveries to Taiwan.
We have been taking aggressive action to reduce costs through efforts that include implementing
thorough controls on costs linked to operating volumes and also pursuing measures to improve
productivity, amid a deteriorating external cost environment marked by a tightening labor market.

Summary of each operating segment● Delivery
The delivery volumes of TA-Q-BIN and Kuroneko Mail services are as follows.
Category

Fiscal 2015

(Million parcels/units)
Growth (%)

ChangeTA-Q-BIN

1,665

1,622

(43)

(2.6)

Kuroneko Mail

2,084

1,901

(183)

(8.8)

a.
b.

c.

d.

e.

f.

Fiscal 2014

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.
We have been working to address our failure to fully implement in-house rules for the “Cool TA-Q-BIN”
delivery service, which came to light in October 2013. To that end, we have established a division withfull-time employees dedicated to the task of maintaining and improving service quality. We have also
been working to upgrade systems, thereby bringing in the necessary equipment and supplies and making
it possible to visually monitor operating volumes through enhancements to our IT platform. During the
fiscal year ended March 31, 2015, these actions enabled us to maintain high quality service. Goingforward, we will redouble our efforts to ensure better quality results, without fail, at a level that earns thetrust of our customers.
For our individual customers, we have been developing a range of services geared toward customers of
the “Kuroneko Members” service. In the fiscal year ended March 31, 2015, we took steps to upgrade andexpand our “TA-Q-BIN Pick-Up Location Selection Service” which offers our customers the option ofpicking up merchandise they have purchased online at either a Yamato Transport Co., Ltd. delivery depot
or convenience store. We maintained favorable results with respect to customer use of Yamato Transport
Co., Ltd.’s proprietary “Kuroneko Member Discount” service which offers TA-Q-BIN discount pricing
through easy settlement of payments using e-money cards.
With respect to corporate clients, we have been actively pursuing sales activities geared toward bringing
about greater use of various services that provide high added value beyond TA-Q-BIN shipping. In
addition, we continued to undertake initiatives for ensuring collection of adequate fees for the task ofproviding consistent quality with respect to TA-Q-BIN deliveries. Also, during the fiscal year ended March
31, 2015, the Yamato Group actively developed its “building and town management services” whichcentralize pickup and delivery within large commercial facilities and large multi-function complexes,
thereby enabling us to generate new orders for business involving such operations in various regions
nationwide.
Efforts in our business geared toward revitalizing communities have involved various initiatives to address
locally-based hardships and challenges. For instance, we are working in collaboration with municipalities
and other entities in providing support with regard to watching over elderly residents, helping those living
in remote areas who face difficulties doing their shopping, and providing support in expanding sales
channels for local products. Additionally, we have been developing services that provide greater
convenience to people traveling in Japan accessing train stations and airports. Our service offerings inthis area include temporary safekeeping of personal baggage and same-day baggage delivery to lodging
facilities using our transportation network.
During the fiscal year ended March 31, 2015, we discontinued our Kuroneko Mail service to eliminate
risks posed to customers of potentially incurring penalties when shipping parcels, given prevailing legal
ambiguities with respect to the postal mail “correspondence” designation. Also, we announced we would

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g.

launch our new “Kuroneko DM-Bin” service on April 1, 2015, which takes the place of the discontinued
Kuroneko Mail service. We also announced that in conjunction with that, we would launch two services on
April 1, 2015, “TA-Q-BIN Compact” and “Nekopos,” for enabling simple deliveries of small parcels at
reasonable fees in response to such needs in the growing mail-order market.
Operating revenue amounted to 1,101,438 million yen, up 0.2% from the year-ago period as a result ofbetter TA-Q-BIN unit pricing in part due to our ongoing efforts in promoting collection of adequate fees.
Meanwhile, operating income was 39,205 million yen, up 9.6% from the year-ago period as a result of
cost control initiatives which included pursuing efforts to keep costs in line with operating volumes andcreating optimal designs for pickup and delivery operations and transportation systems.

● BIZ-Logistics
a. 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,maintenance and recall handling functions, cleansing functions for medical devices and internationaltransportation functions.
b. We have been expanding the Yamato Group’s services for the mail-order industry into wide ranging
offerings designed to address customer demands. Such services include support for placing andaccepting orders, services for visually monitoring inventories and even assistance with shipments. In thefiscal year ended March 31, 2015, we increased revenues as a result of gaining new business for suchservices while growing sales to existing customers.
c. With respect to our services that involve handling product maintenance and recalls, we have beendeveloping integrated services where we handle collection, repairs and returns of faulty products, while
also expanding total support services for dealing with corporate product recalls and product collection. In
the fiscal year ended March 31, 2015, revenues increased steadily partially as a result of having achievedfavorable results with respect to use of our integrated repair services, and landing new business involving
product recalls.
d. For medical service providers, we have been developing medical device loaner support (storage, cleaningand delivery) and other services that help revolutionize logistics operations. During the fiscal year ended
March 31, 2015, we generated higher revenues in this area through active efforts to develop suchbusiness, including the launch of new logistics center operations in the Haneda Chronogate facility for amajor foreign-owned medical device manufacturer.
e. Operating revenue amounted to 103,821 million yen, up 15.0% from the year-ago period mainly due tofirm results with mail-order services and services that involve handling product maintenance and recalls.
Operating income was 4,682 million yen, up 37.6% from the year-ago period.
● Home Conveniencea. In the Home Convenience Business, we are working toward enabling customers to achieve greater
convenience and comfort in their lives through lifetime lifestyle support businesses and corporate
enterprise support business that draw on the Yamato Group’s nationwide network.
b. With respect to individual customers, the Yamato Group operated a variety of services to assist in daily
life such as the “Raku Raku Household TA-Q-BIN” service for delivering large furniture items and home
appliances and moving-related services. In the fiscal year ended March 31, 2015, we actively pursued
sales activities, which included stepping up campaigns promoting our existing services while also
engaging in nationwide sales of our “Comfortable Lifestyle Support Service” which helps resolve everyday
inconveniences involving house cleaning and collection of unwanted items. In addition, we continued
pushing forward in promoting our traveling sales services where we offer furniture and household
electrical appliances to customers in remote areas.
c. For our corporate clients, we have been developing business support services mainly geared toward
corporations, including office relocation services and our “Technical Network Business” where the YamatoGroup and our construction and installation contractors combine networks so that we can provide
one-stop support handling everything from household equipment delivery and set-up, to installation andmaintenance of such equipment. In the fiscal year ended March 31, 2015, we actively pursued sales
activities for our “Technical Network Business,” thereby achieving far greater customer use of thoseservices.

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d.

Operating revenue amounted to 48,475 million yen, down 0.5% from the year-ago period despite
aggressive sales activities in areas such as our “Comfortable Lifestyle Support Service” and our“Technical Network Business,” due to a decrease in delivery volumes of consumer durables such as
furniture and home appliances in part as a result of a pullback in demand following the consumption tax
hike. Operating income was 613 million yen, up 181.9% from the year-ago period, partially as a result ofstringent cost management involving personnel-related expenses and other outlay, as well as productivity
gains.

● e-Businessa. In the e-Business, the Yamato Group helps customers streamline their business processes and solve
potential issues by proactively conducting solution platform business that combine logistics technology
and financial technology with information technology.
b. With respect to services for assisting with order-acceptance and dispatching operations, the YamatoGroup provides a “Web-based Shipment Control” that comprehensively supports such operations as
dispatch information processing, printing of delivery slips, and freight tracking. In the fiscal year ended
March 31, 2015, service-use results were favorable, particularly among clients in the mail-order market
who ship packages from multiple remote locations.
c. The Yamato Group has been developing services for customers whose needs involve managing products
on an individual basis, such that combine serial acceptance/dispatch control in warehouses, inventory
tracking and other information-related services with services involving affixing data to products and partial
processing of merchandise. In the fiscal year ended March 31, 2015, revenues increased steadily as use
from telecommunications equipment-related services customers increased.
d. For municipal governments, we have been actively developing services designed to lighten administrative
workloads while helping to improve public services. For instance, we are now offering “Furusato Tax
Program Total Support Service” and “Online Account Transfer Acceptance Service” that facilitates banktransfers for taxes and insurance premiums.
e. Operating revenue amounted to 40,486 million yen, down 0.8% from the year-ago period despite steadyresults with orders, due to factors such as a pullback in demand in IT-related investment associated withthe consumption tax hike, and changes in scheduled delivery dates. Operating income was 7,756 million
yen, down 3.7% from the year-ago period due in part to increased expenses associated with setting up
new offices.
● Financial
a. In the Financial Business, the Yamato Group has been developing settlement and financial services
tailored to a range of customer needs for payment collection on mail-order product deliveries, B2B
transaction settlement, and vehicle leasing.
b. With respect to payment settlement services, in addition to providing our mainstay product “TA-Q-BIN
Collect,” we also promoted increased customer use of both our “Kuroneko Web Collect”
comprehensive internet-based transaction settlement service and our e-money settlement services
provided in conjunction with our e-Business operations. In the fiscal year ended March 31, 2015, we
actively developed business through efforts that included further expanding capabilities of “Kuroneko
Web Collect” by upgrading the service and pursuing alliances with e-commerce website design firms.
With respect to e-money related services, we achieved increases both in numbers of e-moneytransactions and cash values of transactions. This was partially due to greater sales in rental services
involving our “Multi e-money Settlement Terminals,” through which full-scale sales started during the
fiscal year ended March 31, 2015.
c. In the lease services business, there was growth in numbers of contracts and the amount of assets
amid continuous efforts to propose solutions on the basis of extensive assessments of customer
needs particularly with respect to leases of previously-owned cars. Moreover, we generated
increased revenues as a result of accepting operating lease applications for high-quality vehicles
from a broad base of customers including companies in transportation and food businesses,
premised on the condition that they purchase or re-use the vehicles after their leases expire.
d. Operating revenue amounted to 66,658 million yen, up 6.3% from the year-ago period, mainly owing
to an increase in contracts for truck leases in the lease services business. Meanwhile, operating-8-

income was 8,918 million yen, down 5.2% from the year-ago period due in part to a decrease in“TA-Q-BIN Collect” delivery volumes stemming from factors such as lagging recovery in personal
consumption.
● Autoworks
a. In the Autoworks Business, the Yamato Group develops its “24-hour-a-day, 365-day-a-year service thatenables customers to service their vehicles without stopping operation,” thereby providing value tologistics operations and logistics service providers primarily in the form of “vehicle maintenanceconvenience,” “ensuring compliance with statutory vehicle inspections,” and “reduced maintenanceexpenses.” Furthermore, to better provide one-stop service solutions geared toward customer business
operations, we have added services for “maintaining and safeguarding logistics facilities and equipment,
and improving such workplace environments,” along with “insurance agency services where we offer risk
management-related insurance plans tailored to customer needs.”b. In the fiscal year ended March 31, 2015, the Yamato Group steadily increased the number of vehicles
serviced partially as a result of the strong performance of the “Maintenance Package,” which evens out
the monthly vehicle maintenance expenses along with moves to better differentiate ourselves from ourcompetitors by expanding content of our “Repairworks” services entailing periodic on-site customer visits.
c. Operating revenue amounted to 27,153 million yen, up 5.9% from the year-ago period due to favorable
results from the mainstay truck maintenance and other services. Operating income was 3,733 million yen,up 14.1% from the year-ago period.
● Othera. 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 fiscal year ended March 31, 2015, the service
generated increased revenues partially as a result of developing information systems and improving
service quality, and also due to favorable results from existing service offerings.
b. Operating income in Other excluding dividends which Yamato Holdings Co., Ltd. received from the Group
companies increased 65.2% from the year-ago period to 1,577 million yen.
CSR Initiatives
a. The Yamato Group places utmost priority on protecting human life and conducts a range of safetymeasures. In the fiscal year ended March 31, 2015, a total of more than 2.58 million children have now
participated in the “Safety Classes for Children” that the Group has continuously conducted in elementary
schools, etc. across Japan. Moreover, we engaged in a range of Group-wide initiatives geared towardraising safety awareness and improving driving skills. This included the “Yamato Transport Nationwide
Safety Competition,” which is held annually by Yamato Transport Co., Ltd. and drew participants fromother Group companies. We have also initiated efforts aimed at helping to address the issue of traffic
accidents in Malaysia. To that end, we work with a private Malaysian driving school, providing them with
our expertise on traffic safety instruction which we have built up over time.
b. The Yamato Group has established the “Environmental Conservation Declaration” on the basis of theGroup corporate philosophy, and moreover works to ensure that our distribution mechanisms areenvironmentally sound. At the same time, the Yamato Group works to heighten employee awareness ofenvironmental conservation issues, and accordingly the Group pursues environmental conservation
initiatives under our policy of “Nekology” (combining “Kuroneko” with “ecology”). In February 2015, our“Yamato Group Corporate Social Responsibility Report 2014” received an award for “Excellence inReporting Measures to Combat Global Warming” at the “18th Environmental Communication Awards”
hosted by Japan’s Ministry of the Environment and other organizations.
c. 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 can freely
enjoy a lifestyle as a member of the workforce. 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 Mail, and operating job-finding support facilities where they take part in

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d.

training to acquire skills and knowledge necessary for employment.
Aiming to create more sustainable social value, the Yamato Group promotes initiatives for sharing value
with society based on “Creating Shared Value (CSV).” In the fiscal year ended March 31, 2015, theYamato Group continuously worked in collaboration with government bodies on 1,012 separate occasionsin providing support with regard to watching over elderly residents and helping those living in remoteareas who face difficulties doing their shopping, lending support to small- and medium-sized enterprises
in conjunction with local governments, and other such initiatives taken in the course of performing myriad
services that draw on the Yamato Group’s managerial resources.

Outlook for fiscal 2016
Looking ahead at the economy, we anticipate moderate recovery in personal consumption in line withimprovements in corporate earnings and a rosier employment picture. On the other hand, the situation is likely
to remain uncertain in part given the potential for economic downside overseas.
In this environment, the Yamato Group will take steps in the Delivery Business that involve providing services
which offer greater customer convenience, maintaining levels of quality, while also pursuing a strategy ofpricing adequately in line with costs. In the non-delivery businesses, we will reinforce solution sales anddevelop a business model for generating a high level of added value by leveraging the Group’s businessresources.
On the cost front, we will improve productivity and control costs through efforts that include allocating adequate
resources in line with operating volumes.
We expect operating revenue will be 1,430.0 billion yen, with operating income at 72.0 billion yen, ordinary
income at 73.0 billion yen and profit attributable to owners of parent at 43.0 billion yen.
(2) Analysis of financial position
a. Analysis of assets, liabilities, net assets and cash flows
Total assets were 1,082,531 million yen as of March 31, 2015, up 50,397 million yen from the end of theprevious fiscal year. The major factors in this were increases in cash and deposits of 27,250 million yen,lease investment assets of 9,619 million yen and investment securities of 8,447 million yen.
Liabilities increased 39,369 million yen to 511,331 million yen from the end of the previous fiscal year. The
major factor in this was an increase in loans payable of 39,641 million yen.
Total net assets were 571,199 million yen, up 11,027 million yen from the end of the previous fiscal year.
The major factors included the recording of net income of 37,533 million yen, the dividends of surplus of
10,065 million yen, the purchase of treasury shares amounting to 30,587 million yen, and the issuance oftreasury shares amounting to 10,745 million yen upon the exercise of subscription rights to sharesattached to bonds with subscription rights to shares.
Accordingly, the equity ratio decreased by 1.2% from the end of the previous fiscal year to 52.2%.
Net cash provided by operating activities amounted to 92,620 million yen, which is an increase of 12,544
million yen compared with the year-ago period. The major factors here included 69,157 million yen inincome before income taxes and minority interests and 46,078 million yen in depreciation, which combined
generated a 7,069 million yen increase in cash inflows over the year-ago period.
Net cash used in investing activities was 58,485 million yen. Compared with the year-ago period, theamount of net cash used decreased by 6,450 million yen. This is largely attributable to expenditures of
54,308 million yen used for the purchase of property, plant and equipment, which is a decrease of 10,903
million yen compared with the year-ago period.

- 10 -

Net cash used in financing activities was 7,168 million yen. Compared with the year-ago period, theamount of net cash used decreased by 1,864 million yen. This is largely attributable to a more favorable
net balance of loans payable, which stood at 39,432 million yen, an increase of 23,291 million yen
compared with the year-ago period, offsetting expenditures of 30,592 million yen used for the purchase oftreasury shares, which is an increase of 20,579 million yen compared with the year-ago period.
As a result of the above, cash and cash equivalents were 247,051 million yen as of March 31, 2015, up
27,656 million yen from the end of the previous fiscal year.
b.

Trends in cash flows
146th term
Fiscal 2011

147th term
Fiscal 2012

148th term
Fiscal 2013

149th term
Fiscal 2014

Equity ratio (%)

57.3

56.0

56.2

53.4

52.2

Equity ratio on market value basis (%)

63.0

59.8

77.6

90.3

105.8

Ratio of interest-bearing debts to cash flows

1.2

1.3

1.3

1.3

1.5

Interest coverage ratio

57.9

57.0

75.8

110.5

139.8

Note:

-

150th term
Fiscal 2015

Equity ratio: Equity/total assets
Equity ratio on market value basis: Stock market capitalization/total assets
Ratio of interest-bearing debts to cash flows: Interest-bearing debts/operating cash flows
Interest coverage ratio: Operating cash flows/interest payment
Every indicator is calculated based on consolidated financial figures.
Stock market capitalization is calculated by multiplying closing stock price at fiscal year-end by the number of shares issued at
fiscal year-end (excluding treasury shares).
Operating cash flows represent cash flows from operating activities in the consolidated statements of cash flows.
Interest-bearing debts represent the liabilities in the consolidated balance sheet on which interest is paid.
Interest payment represents interest expenses paid in the consolidated statements of cash flows.

(3) Basic profit distribution policy and dividends for fiscal 2015 and 2016
As a pure holding company, the Company conducts its business with the goal of maximizing the entire Group’s
corporate value. Accordingly, with respect to the dividends from surplus, the Company’s policy is to pay
dividends with the goal of having a payout ratio of 30% of consolidated net income. Retained earnings are used
to facilitate the growth of the Group as a whole through capital expenditure—to strengthen the network, one ofour management resources, and develop new businesses and products, for example—and investments are
aimed at raising the corporate value in the future. Finally, the use of treasury shares is strategically positioned
for flexible utilization, such as M&A, as a part of our capital policy.
For the fiscal year under review, we plan to pay a 13 yen dividend per share, bringing the annual dividend to 25
yen, of which 12 yen has already been disbursed as an interim dividend.
We will decide on dividends for the next fiscal year based on profit attributable to owners of parent inaccordance with our basic profit distribution policy.

- 11 -

2. Status of the Corporate GroupThe Yamato Group consists of Yamato Holdings Co., Ltd. (the Company), 47 subsidiaries and 3 affiliates. The main
businesses are Delivery business, BIZ-Logistics business, Home Convenience business, e-Business, Financial
business, Autoworks business, and other services related to these businesses.
The relationship among contents of business, the position of each subsidiary or affiliate in aforementioned
businesses and reportable segments are as follows:Businesssegment
DeliveryContent of business and main products

Main companies

TA-Q-BIN, Cool TA-Q-BIN, TA-Q-BIN Time Service,Worldwide Delivery Service, Golf, Ski & Airport Round Trip
TA-Q-BIN, Super-Speed TA-Q-BIN, Kuroneko Mail,domestic air cargo transport and Express Delivery Service

Yamato Transport Co., Ltd.; Okinawa Yamato Transport
Co., Ltd.; Yamato Global Express Co., Ltd.; Express
Network Co., Ltd.; Yamato Contact Service Co., Ltd.*;
Yamato (China) Transport Co., Ltd.; Yamato Transport(HK) Ltd.; and one other company(Total: 8 companies)
Yamato Logistics Co., Ltd.; Yamato Global Logistics Japan
Co., Ltd.; Yamato Multi-Maintenance Solutions Co., Ltd.;
Yamato Packing Service Co., Ltd.; Yamato Packing
Technology Institute Co., Ltd.; Konan Industry Co., Ltd.;YAMATO TRANSPORT U. S. A., INC.; YAMATO
TRANSPORT EUROPE B. V.; Yamato International
Logistics Co., Ltd.; Yamato International Logistics (HongKong) Ltd.; TAIWAN YAMATO INTERNATIONALLOGISTICS INC.; YAMATO TRANSPORT (S) PTE. LTD.;
YAMATO TRANSPORT (M) SDN. BHD.; and seven othercompanies(Total: 20 companies)
Yamato Home Convenience Co., Ltd.

BIZ-Logistics

Logistics, medical products distribution services,
Maintenance Support Service, recall support service,international intermodal transportation service andoverseas lifestyle support services

Home
Convenience

Pickup, delivery and installation of household goods andelectric appliances, moving and lifestyle support services,and merchandising services
System development, sales of system package solutions,distribution information services and information security
service
TA-Q-BIN Collect service, Internet total settlement service,
B2B logistics settlement service and comprehensive leaseservices(Total: 1 company)
Yamato System Development Co., Ltd.; Yamato Web
Solutions Co., Ltd.; and one other company(Total: 3 companies)
Financial
Yamato Financial Co., Ltd.; Yamato Credit & Finance Co.,
Ltd.; Yamato Lease Co., Ltd.; Yamato Payment Service(HK) Ltd.; and one other company(Total: 5 companies)
Autoworks
Vehicle maintenance business, fuel sales and nonlife
Yamato Autoworks Co., Ltd.; Yamato Autoworks Iwate Co.,
insurance agent businessLtd.; Yamato Autoworks Hokushinetsu Co., Ltd.; Yamato
Autoworks Shikoku Co., Ltd.; Yamato Autoworks Okinawa
Co., Ltd.
(Total: 5 companies)
Other
JITBOX Charter, staffing services and shared services
Yamato Holdings Co., Ltd.; YAMATO ASIA PTE. LTD.;
BoxCharter Co., Ltd.; Yamato Box Charter Co., Ltd.;
Yamato·Staff·Supply Co., Ltd.; Yamato Management
Service Co., Ltd.; Yamato Multi Charter Co., Ltd.; Kobe
Yamato Transport Co., Ltd.; and one other company(Total: 9 companies)* From the fiscal year ended March 31, 2015, Yamato Contact Service Co., Ltd. has been reclassified for inclusion in the Delivery Businesssegment, from the e-Business segment previously.
e-Business- 12 -

The business structure diagram of the corporate group is as follows:
YAMATO ASIA PTE. LTD.

Yamato Holdings Co., Ltd.

Okinawa Yamato Transport Co., Ltd.

Mutualtransport

Yamato Global Express Co., Ltd.
Express Network Co., Ltd.

Controlling business in Southeast Asia

Delivery Business

Operations
consignment

Yamato Transport Co., Ltd.

Yamato Contact Service Co., Ltd.

Mutual transport
Yamato (China) Transport Co., Ltd.
Yamato Transport (HK) Ltd.

Mutualtransport

Planning and proposal
Packing materials

Mutualtransport

BIZ-Logistics Business
Domestic

Yamato Dialog & Media Co., Ltd.

Transport, collection andlease

Merchandise marketing

Home Convenience Business

Financial BusinessYamato Home Convenience Co., Ltd.

Yamato Financial Co., Ltd.
Yamato Credit & Finance Co., Ltd
Yamato Lease Co., Ltd.
Yamato Payment Service (HK) Ltd.

Yamato Logistics Co., Ltd.
Yamato Global Logistics Japan Co., Ltd.
Yamato Multi-Maintenance Solutions
Co., Ltd.
Yamato Packing Service Co., Ltd.
Yamato Packing Technology InstituteCo., Ltd.
Konan Industry Co., Ltd.

System development
and contract calculation

Overseas

President Collect Service Co., Ltd.

System Development
and contract calculation

YAMATO TRANSPORT U. S. A., INC.
YAMATO TRANSPORT EUROPE B. V.
Yamato International Logistics Co., Ltd.
Yamato International Logistics (HongKong) Ltd.
TAIWAN YAMATO INTERNATIONALLOGISTICS INC.
YAMATO TRANSPORT (S) PTE. LTD.
YAMATO TRANSPORT (M) SDN. BHD.

e-BusinessYamato System Development Co., Ltd.
Yamato Web Solutions Co., Ltd.
System development
and contract calculation

YAMATO LOGISTICS INDIA PVT. LTD.
Six other companies

ISS Co., Ltd.

System development
and contract calculation
Fuel, transport equipment and vehicle maintenance
Autoworks BusinessYamato Autoworks Co., Ltd.
Yamato Autoworks Iwate Co., Ltd.
Yamato Autoworks Shikoku Co., Ltd.

Yamato Autoworks Hokushinetsu Co., Ltd.
Yamato Autoworks Okinawa Co., Ltd.

Systemdevelopment
and contract
calculation

Fuel, transport equipment and vehicle
maintenanceAccounting operations support
Personnel affairs operations support

Other
Sales support

Yamato Management Service Co., Ltd.

BoxCharter Co., Ltd.
Yamato·Staff·Supply Co., Ltd.

Sales
supportYamato Box Charter Co., Ltd.
Yamato Multi Charter Co., Ltd. Mainline
Kobe Yamato Transport Co., Ltd. transport Swan Co., Ltd.

Staffing
services

The company that submits
consolidated financial statements

Consolidated subsidiaries- 13 -

Non-consolidated subsidiaries oraffiliates

3. Management Policy(1) Basic corporate management policies, medium- to long-term corporate management strategies andtarget management indicators
With regard to the basic corporate management policies and medium- to long-term corporate management
strategies, disclosure is omitted as there have been no significant changes to the contents since they weredisclosed in the Consolidated Financial Results for the Year Ended March 31, 2014 (disclosed on April 30,2014).
While expectations are rising for the recovery of the Japanese economy, given that uncertain conditions still
remain, the Yamato Group aims to achieve the quantitative management targets indicated in “Outlook for fiscal
2016” on page 10.
Consolidated Financial Results for the Year Ended March 31, 2014 may be viewed at the following websites:(Website of the Company)
http://www.yamato-hd.co.jp/(Website of the Tokyo Stock Exchange (“Listed Company Information” page))
http://www.jpx.co.jp/listing/co-search/index.html(2) Issues to be addressed by the Company
With the aim of achieving satisfaction among our shareholders, customers, society and employees, the YamatoGroup will pursue the following strategies on the basis of the long-term business plan “DAN-TOTSUManagement Plan 2019” and the medium-term business plan “DAN-TOTSU Three-Year Plan STEP” initiated in
April 2014.
a. We will contribute to Japanese economic growth strategies by pushing ahead with our “Value Networking”
design which aspires to revolutionize logistics. In that regard, during the previous fiscal year we further
developed our “last mile” network through our new logistics centers which include the “Haneda
Chronogate,” “Atsugi Gateway” and “Okinawa International Logistics Hub” facilities. Going forward, we will
work toward creating and developing a business model that can generate a high level of added value that
improves logistics speed, quality and costs, by fusing our business resources in areas such as
information, logistics and transaction settlement within this network.
b. With respect to business expansion in Asian and other overseas markets, we will steadily work toward
developing our borderless logistics network centered on the Okinawa International Logistics Hub. We will
also adequately assess local needs and do what it takes to more firmly establish our high-quality logistics
services in local markets.
c. With respect to the mail-order market which is expected to keep growing rapidly, we are supporting
market growth with our new TA-Q-BIN services, “TA-Q-BIN Compact” and “Nekopos,” which provide
heightened convenience in regard to picking up parcels, and address the needs for simple deliveries ofsmall parcels for reasonable fees. We will also continue initiatives geared toward providing greater
convenience to our customers who used our Kuroneko Mail service for sending direct mail and otheritems, by offering them our new “Kuroneko DM-Bin” mailbox posting service. Moreover, drawing on the
Yamato Group’s business resources, we will promote our total solutions for mail-order business operators,
including those that involve providing a comprehensive range of services spanning launch of mail-orderwebsites, settlement of payments, order receipts management, inventory control and deliveries.
d. We will place top priority on maintaining service quality levels as we strive to heighten productivity andcontrol costs across every aspect of Group operations, including collection and delivery, back-office andsorting operations. Meanwhile, for the proprietary services and value-added business models provided by
the Yamato Group, we will increasingly enhance our ability to generate profits by promoting our strategy
of pricing adequately in line with costs.
e. We will rethink our attitudes toward the traditional working lifestyles, and address the issue of future labor
shortage by offering a wide variety of working lifestyles that respectively suit women, seniors andforeigners. By promoting diversity initiatives that create opportunities for such working lifestyles, we willsecure new labor capacity.

- 14 -

f.
g.

Our efforts to forge a robust corporate culture will involve placing top priority on ensuring levels of qualitythat instill customer confidence while increasing employee satisfaction, strengthening both legal andfinancial governance, and pursuing CSR initiatives.
We will build a platform that links us with government bodies and corporations in various regions
throughout Japan, with the aim of providing support to people in their daily lives and revitalizing their local
communities. Moreover, we will strive to become the group of companies which is the most appreciatedand trusted by society by creating value that can be shared among corporations and society throughefforts to promote safety, environmental and other measures as we engage in our core operations.

4. Fundamental Approach to Selection of Accounting Standards
The Yamato Group has adopted Japanese GAAP because the Group engages in business primarily in Japan.
However, we intend to give ongoing consideration to IFRS and other accounting standards aligned withupcoming expansion into Asia and other locations overseas.

- 15 -

5. Consolidated Financial Statements(1) Consolidated balance sheet(Millions of yen)
As of March 31, 2014

As of March 31, 2015

AssetsCurrent assets
Cash and deposits

220,147

247,398

Notes and accounts receivable - trade188,144

187,833

Accounts receivable - installment

39,48042,007

Lease investment assets

35,32844,948Merchandise and finished goods

780

721

Work in process

234

512

Raw materials and supplies

2,222

2,101

Deferred tax assets

16,547

15,687

Other

26,063

26,333

Allowance for doubtful accounts(1,591)(1,338)

Total current assets

527,359566,205

329,288334,119

Accumulated depreciation(174,246)(185,622)

Buildings and structures, net

155,042

148,497

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

Machinery and equipment

53,81155,448

Accumulated depreciation(32,395)(35,706)

Machinery and equipment, net

21,416

19,741

187,881

194,198(171,770)(176,205)

16,11017,992

Land

188,343

187,964

Lease assets

23,94424,028(15,201)(17,181)

VehiclesAccumulated depreciation
Vehicles, net

Accumulated depreciation
Lease assets, net

8,742

6,846

Construction in progress

7,894

16,025

Other79,27285,372(59,695)(62,338)

Accumulated depreciation
Other, net

19,577

23,033

417,127

420,101

Software12,342

12,646

Other

5,175

4,953

Total intangible assets

17,51817,600Total property, plant and equipment
Intangible assets- 16 -

(Millions of yen)
As of March 31, 2014

As of March 31, 2015

Investments and other assets
Investment securities* 26,119* 34,567

Long-term loans receivable

1,062

1,040

Lease deposits

18,46817,901

167

255

21,686

21,977

Net defined benefit asset
Deferred tax assets
Other

3,973

3,998

Allowance for doubtful accounts(1,350)(1,116)

Total investments and other assets

70,12878,624

504,774

516,325

1,032,134

1,082,531

Notes and accounts payable - trade

172,463

157,479

Short-term loans payable

36,411

34,443—9,660

Lease obligations

4,784

2,733

Income taxes payable

20,90720,024

Deferred installment income

5,349

5,655

Provision for bonuses

29,51530,236

Other

77,92796,800Total current liabilities

347,360

357,034

Bonds with subscription rights to shares

20,000—Long-term loans payable

42,266

83,876

Lease obligations

4,379

4,655

Deferred tax liabilities

1,808

3,947

Net defined benefit liability

47,22453,023

Total non-current assets
Total assets
Liabilities
Current liabilities

Current portion of bonds with subscription rights tosharesNon-current liabilities

Other
Total non-current liabilities
Total liabilities- 17 -

8,923

8,794

124,601

154,297

471,961

511,331(Millions of yen)
As of March 31, 2014

As of March 31, 2015

Net assets
Shareholders’ equity
Capital stock

127,234

127,234

Capital surplus

100,863

70,209Retained earnings

371,965

395,352

Treasury shares(56,079)(43,007)

Total shareholders’ equity

543,984

549,789

8,769

13,847

Foreign currency translation adjustment

342

1,169

Remeasurements of defined benefit plans(1,717)715

Total accumulated other comprehensive income

7,395

15,731

Minority interests

8,792

5,678

Total net assets

560,172

571,199

1,032,134

1,082,531

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

Total liabilities and net assets- 18 -

(2) Consolidated statement of income and consolidated statement of comprehensive income(Consolidated statement of income)(Millions of yen)
For the year ended
March 31, 2014

For the year ended
March 31, 2015

Operating revenue

1,374,610

1,396,708

Operating cost

1,274,470

1,290,714

Operating gross profit

100,139

105,993

Selling, general and administrative expenses
Personnel expenses

21,076

21,905

Provision for bonuses

825

826

Retirement benefit expenses

1,237

957

Commission fee

3,240

3,788

Taxes and dues

3,586

3,804

Provision of allowance for doubtful accounts

774

373

Depreciation

2,178

2,123

Other

6,186

5,050

Total selling, general and administrative
expenses

37,04337,04663,096

68,947

Interest income

92

89

Dividend income

530

584

Foreign exchange gains—

520

Gain on sales of vehicles

208

297

Other

1,851

1,479

Total non-operating income

2,681

2,969

Interest expenses

411

398

Rent expenses

160

125

Other

541

504

Total non-operating expenses

1,114

1,027

64,66470,889*1 1,899

410

0

6

Compensation for damage received—

257

Compensation income

37

245

Penalty received—

232

Operating income
Non-operating income

Non-operating expenses

Ordinary income
Extraordinary income
Gain on sales of non-current assets
Gain on sales of investment securities

Other
Total extraordinary income- 19 -

—

36

1,937

1,190

(Millions of yen)
For the year ended
March 31, 2014

For the year ended
March 31, 2015

Extraordinary loss
Loss on retirement of non-current assets

439

Impairment loss

*2

216

412
*2

1,791

Loss on valuation of investment securities

3—

Loss on litigation

—

704

Other

60

13

Total extraordinary loss

720

2,921

Income before income taxes and minority interests

65,882

69,157

Income taxes - current

32,60429,814

Income taxes - deferred(1,601)

1,739

Total income taxes

31,00331,554

Income before minority interests

34,87937,602102

69

34,77637,533

Minority interests in income
Net income- 20 -

(Consolidated statement of comprehensive income)(Millions of yen)
For the year ended
March 31, 2014
Income before minority interests

For the year ended
March 31, 2015

34,87937,602

Valuation difference on available-for-sale securities

2,938

5,370

Foreign currency translation adjustment

1,408

826

—

2,442

* 4,346* 8,640

39,22546,243Comprehensive income attributable to owners ofparent38,82545,877

Comprehensive income attributable to minority
interests

400

365

Other comprehensive income

Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income(Breakdown)- 21 -

(3) Consolidated statement of changes in equity
For the year ended March 31, 2014
(Millions of yen)
Shareholders’ equity
Capital stock
Balance at beginning of current
periodCapital surplus

127,234

Retained earnings

111,290

Total shareholders’equityTreasury shares

347,358(56,495)

529,387

Changes of items during
periodDividends of surplus(10,169)

Net income

34,776(10,169)
34,776

Purchase of treasury shares
Disposal of treasury shares
Retirement of treasury
shares(10,011)(10,011)0

0

0(10,427)

10,427—

Net changes of items otherthan shareholders’ equity
Total changes of items during
periodBalance at end of current
period—(10,427)

24,607416

14,596

127,234

100,863

371,965(56,079)

543,984

Accumulated other comprehensive income

Balance at beginning of current
periodValuationdifference on
available-for-salesecurities

Foreigncurrencytranslation
adjustment

Remeasurementsof defined benefit
plans

Total accumulated
othercomprehensive
income6,095(1,032)—

5,063

Minority interests

Total net assets

8,463

542,914

Changes of items during
periodDividends of surplus(10,169)

Net income

34,776

Purchase of treasury shares(10,011)

Disposal of treasury shares

0

Retirement of treasury
shares—Net changes of items otherthan shareholders’ equity

2,674

1,374

(1,717)

2,331

329

2,661

Total changes of items during
period

2,674

1,374

(1,717)

2,331

329

17,257

Balance at end of current
period8,769

342(1,717)

7,395

8,792

560,172- 22 -

For the year ended March 31, 2015
(Millions of yen)
Shareholders’ equity
Capital stock
Balance at beginning of current
periodCapital surplus

127,234

Retained earnings

100,863

371,965

Cumulative effects ofchanges in accounting
policies
Restated balance

Total shareholders’equityTreasury shares(56,079)

543,984(4,080)127,234

100,863(4,080)367,884(56,079)

539,903

Changes of items during
periodDividends of surplus(10,065)

Net income

37,533(10,065)
37,533Purchase of treasury shares
Disposal of treasury shares
Retirement of treasury
sharesChange in ownershipinterest of parent related totransactions with
non-controlling interests(30,587)(30,587)(404)

10,745

10,340(31,507)

31,507

—

1,257

1,406

2,664

Net changes of items otherthan shareholders’ equity
Total changes of items during
periodBalance at end of current
period—(30,654)

27,467

13,071

9,885

127,234

70,209395,352(43,007)549,789

Accumulated other comprehensive income

Balance at beginning of current
periodValuationdifference on
available-for-salesecurities

Foreigncurrencytranslation
adjustment

Remeasurementsof defined benefit
plans

Total accumulated
othercomprehensive
income8,769

342(1,717)

7,395

Cumulative effects ofchanges in accounting
policies
Restated balance

8,769

342

(1,717)

7,395

Minority interests

Total net assets

8,792

560,172(17)(4,097)

8,775

556,074

Changes of items during
periodDividends of surplus(10,065)

Net income

37,533Purchase of treasury shares(30,587)

Disposal of treasury shares

10,340Retirement of treasury
shares—Change in ownershipinterest of parent related totransactions with
non-controlling interests

2,664

Net changes of items otherthan shareholders’ equity

5,077

826

2,432

8,336

(3,097)

5,239

Total changes of items during
period

5,077

826

2,432

8,336

(3,097)

15,124

Balance at end of current
period13,847

1,169

715

15,731

5,678

571,199- 23 -

(4) Consolidated statement of cash flows(Millions of yen)
For the year ended
March 31, 2014

For the year ended
March 31, 2015

Cash flows from operating activities
Income before income taxes and minority interests

65,882

69,157

Depreciation

42,28346,078

Impairment loss

216

1,791

Increase (decrease) in net defined benefit liability

6,278

2,795

Increase (decrease) in provision for bonuses

390

676

Interest and dividend income

(622)

(673)

Interest expenses

723

648

Loss (gain) on sales of non-current assets(1,899)(410)

Loss on retirement of non-current assets

439

412

Loss (gain) on sales of investment securities

(0)

(6)

Loss (gain) on valuation of investment securities

3—(38,786)(11,898)

401

(46)

Increase (decrease) in notes and accounts payable trade33,410(14,665)

Other, net

6,910

29,087

Subtotal

115,631

122,947

605

697

Decrease (increase) in notes and accounts
receivable - trade
Decrease (increase) in inventories

Interest and dividend income received
Interest expenses paid

(724)

(662)

Income taxes paid

(35,437)(30,361)

Net cash provided by (used in) operating activities

80,075

92,620

Payments into time deposits

(461)

(60)

Proceeds from withdrawal of time deposits

814

506

Purchase of property, plant and equipment(65,211)(54,308)

Proceeds from sales of property, plant andequipment

4,237

2,538

(10)

(1,021)

2

14

Payments of loans receivable(1,347)(1,489)Collection of loans receivable

1,371

1,449

Other payments(7,143)(7,521)Other proceeds

2,814

1,407

(64,935)(58,485)

Cash flows from investing activities

Purchase of investment securities
Proceeds from sales of investment securities

Net cash provided by (used in) investing activities- 24 -

(Millions of yen)
For the year ended
March 31, 2014

For the year ended
March 31, 2015

Cash flows from financing activities
Net increase (decrease) in short-term loans payable

3,279(1,576)

Repayments of finance lease obligations(4,960)(5,180)

Proceeds from long-term loans payable

27,00760,400

Repayment of long-term loans payable(14,145)(19,391)

Proceeds from sales of treasury shares

00

Purchase of treasury shares(10,013)(30,592)

Cash dividends paid

(10,172)(10,065)

Cash dividends paid to minority shareholders

(62)

(81)

Other, net

33

(682)

(9,033)(7,168)647

690

Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period*1- 25 -

6,753

27,656

212,641

219,395

219,395*1

247,051

(5) Notes to consolidated financial statements(Notes to premise of going concern)
Not applicable.
(Significant matters forming the basis of preparing the consolidated financial statements)
1. Scope of consolidation(1) Number of consolidated subsidiaries: 39
Major consolidated subsidiaries are as described in “2. Status of the Corporate Group.”(2) Non-consolidated subsidiaries, etc.
YAMATO LOGISTICS INDIA PVT. LTD. and certain other subsidiaries are not included within the scope of
consolidation. The total assets, operating revenue, net income, and retained earnings of these
non-consolidated subsidiaries are immaterial and, even taken together as a group, they do not exert asignificant influence on the consolidated financial statements.
2.

Application of equity method
The equity method is not applied to YAMATO LOGISTICS INDIA PVT. LTD. and certain other non-consolidated
subsidiaries, along with YAMATO UNYU (THAILAND) CO., LTD. and certain other affiliated companies. The
net income and the retained earnings of these companies are immaterial and, even taken together as a group,
they do not exert a significant influence on the consolidated financial statements.

3.

Closing date of consolidated subsidiaries
Of consolidated subsidiaries, YAMATO TRANSPORT U.S.A., INC., and other ten overseas subsidiaries have
December 31 as their financial year end. Financial statements as of this closing date were used in the
preparation of the consolidated financial statements. However, the consolidated figures have been adjusted as
required to reflect significant transactions occurring between December 31, 2014 and March 31, 2015 that isthe consolidated closing date.

4.

Accounting policies(1) Valuation basis and methods for principal assets
a. Securities
Securities held-to-maturity
Calculated based on the amortized cost method (straight-line method).
Available-for-sale securities
Securities with fair market value:

Stated at the fair market value based on the quoted
market price as of the fiscal year end (valuationdifferences are recognized in net assets; the cost of
securities sold is calculated by the moving-averagemethod).

Securities without fair market value:

Stated at the cost by moving-average method.

b. Inventories
Stated at the cost by first-in first-out method (for the value stated in the balance sheet, the book value
is written down based on the decreased profitability).

- 26 -

(2) Depreciation and amortization methods of major depreciable or amortizable assets
a. Property, plant and equipment (excluding lease assets):
Computed using the declining-balance method.
Meanwhile, the straight-line method is adopted forbuildings (excluding fixtures) acquired on or after April 1,
1998.
For overseas consolidated subsidiaries’ assets, thestraight-line method based on estimated useful lives is
adopted.
b. Intangible assets (excluding lease assets):c. Lease assets:

Computed using the straight-line method. Meanwhile,software is amortized by the straight-line method overthe estimated useful life of five years.
Computed using the straight-line method where theuseful life of lease assets shall be equal to the lease
period and their residual value shall be zero.

(3) Accounting standards for significant provisions
a. Allowance for doubtful accounts
The allowance for doubtful accounts is provided to prepare for loss from uncollectible credits.
For ordinary receivables, the amount is estimated using the rate based on the historical bad debt
experience. For special receivables with higher uncertainty of collectivity is considered on individual
cases, and prospective uncollectible amount is provided.
b. Provision for bonuses
The provision for bonuses is provided for payment of bonuses to employees based on an amount
expected to be paid.
This provision is not applicable for overseas subsidiaries.
(4) Method of accounting for retirement benefits
a. Method of attributing expected retirement benefit to periods
In calculating the retirement benefit obligations, the straight-line basis is used in determining theamount of the expected retirement benefit obligation attributed to service performed up to the end of
the current fiscal year.
b. Method of recognizing actuarial differences and prior service costs
The entire amount of prior service cost is recognized in profit or loss in the fiscal year during which itarises. Actuarial differences are recognized in profit or loss in the year following the year in which a
respective gain or loss arises, and are amortized proportionally on a straight-line basis over a periodof five years, which is within the average remaining years of service of the eligible employees.
c. Method of accounting for unrecognized actuarial difference
Unrecognized actuarial difference is accounted for in remeasurements of defined benefit plans, after
adjusting for tax effects, under accumulated other comprehensive income of net assets.
(5) Basis of revenue recognition
Deferred installment income:The prorated amounts for the shopping loan service are recognized as income when the due datecomes.
(6) Method of significant hedge accounting
a. Method of hedge accounting
Interest rate swaps are accounted for using the exceptional treatment as they satisfy the applicableconditions.

- 27 -

b. Hedging instrument and hedged item
Hedging instrument:Interest rate swaps
Hedged item:
Interest on loansc. Hedging policy
Interest rate swap transactions are used to avoid interest rate fluctuation risk associated with fundprocurement.
d. Method of evaluating hedge effectivenessHedging effectiveness in interest rate swap transactions is not evaluated as they are accounted forusing the exceptional treatment.
(7) Scope of funds in consolidated statement of cash flows
Cash (cash and cash equivalents) in the consolidated statement of cash flows consists of cash on handand short-term investments with a maturity not exceeding three months from the time of purchase that arereadily convertible to cash and not exposed to significant risk in value fluctuations. Bank overdrafts areincluded in cash equivalents except when they are clearly regarded for procurement of funds, as is thecase with short-term loans payable.
(8) Other significant matters forming the basis of preparing the consolidated financial statements
Accounting for consumption taxes:
Consumption taxes are excluded from transaction amounts.
(Changes in accounting policies)(Application of “Accounting Standard for Retirement Benefits” and Its Guidance)
Effective from the fiscal year ended March 31, 2015, for the “Accounting Standard for Retirement Benefits” (ASBJ
Statement No. 26, May 17, 2012) and the “Guidance on Accounting Standard for Retirement Benefits” (ASBJ
Guidance No. 25, March 26, 2015), the Company has additionally applied the provisions set forth in the mainclauses of Paragraph 35 of the Accounting Standard for Retirement Benefits and Paragraph 67 of the Guidance on
Accounting Standard for Retirement Benefits.
Due to this, the Company reviewed the calculation method of retirement benefit obligations and current service costs
and amended the determination of discount rate from one that is based on the period of years approximate to the
expected average remaining working lives of employees to one that uses a single weighted average discount rate
reflecting the estimated timing and amount of benefit payment.
Application of the Accounting Standard for Retirement Benefits and its Guidance is in line with the transitional
measures provided in Paragraph 37 of the Accounting Standard for Retirement Benefits. In accordance with suchmeasures, the effect of the review in the determination of retirement benefit obligations and current service costs
has been added to or deducted from retained earnings as of the beginning of the fiscal year ended March 31, 2015.
As a result of this change, as of the beginning of the fiscal year ended March 31, 2015, net defined benefit liability
increased 6,262 million yen, deferred tax assets increased 2,214 million yen, and retained earnings decreased 4,080
million yen. In addition, the effect of this application on operating income, ordinary income, and income before
income taxes and minority interests for the fiscal year ended March 31, 2015 is immaterial.
Net asset per share decreased by 9.87 yen.

- 28 -

(Application of “Accounting Standard for Business Combinations,” etc.)
Effective from the beginning of the fiscal year starting on or after April 1, 2014, it has become possible to apply the“Accounting Standard for Business Combinations” (ASBJ Statement No. 21, September 13, 2013), “AccountingStandard for Consolidated Financial Statements” (ASBJ Statement No. 22, September 13, 2013), “AccountingStandard for Business Divestitures” (ASBJ Statement No. 7, September 13, 2013), etc. Accordingly, the Company
has applied these accounting standards (except for the provisions of Paragraph 39 of the Accounting Standard forConsolidated Financial Statements) effective from the fiscal year ended March 31, 2015. As a result, the method ofrecording the amount of difference caused by changes in the Company’s ownership interests in subsidiaries in thecase of subsidiaries under ongoing control of the Company was changed to one in which it is recorded as capitalsurplus, and the method of recording acquisition-related costs was changed to one in which they are recognized as
expenses for the fiscal year in which they are incurred. Furthermore, for business combinations carried out on orafter April 1, 2014, the accounting method was changed to one in which the reviewed acquisition cost allocation
resulting from the finalization of the tentative accounting treatment is reflected in the consolidated financial
statements for the fiscal year in which the business combination occurs.
Application of the Accounting Standard for Business Combinations, etc. is in line with the transitional measuresprovided in Paragraph 58-2 (4) of the Accounting Standard for Business Combinations, Paragraph 44-5 (4) of the
Accounting Standard for Consolidated Financial Statements and Paragraph 57-4 (4) of the Accounting Standard forBusiness Divestitures. Application of the standard commenced on April 1, 2014, and will continue going forward.
As a result of this change, as of March 31, 2015, capital surplus increased 834 million yen. In addition, the effect of
this application on operating income, ordinary income, and income before income taxes and minority interests of the
fiscal year ended March 31, 2015 is immaterial.
Net asset per share increased by 2.02 yen.

(Consolidated balance sheet)* Investment securities for non-consolidated subsidiaries and affiliates are as follows.

(Millions of yen)
Fiscal 2015

Fiscal 2014
Investment securities542- 29 -

723

(Consolidated statement of income)*1 Gain on sales of non-current assets
Fiscal 2014 (from April 1, 2013 to March 31, 2014)
Offsetting gains and losses from sales of assets (such as land and buildings) involving the same transactions areincluded in the gain on sales of non-current assets.
*2 Impairment loss
Fiscal 2014 (from April 1, 2013 to March 31, 2014)(Millions of yen)

Use of asset

Type of asset

RegionPlant and other

Buildings and otherYamato Autoworks Co., Ltd., Tomakomai Plant(Tomakomai City, Hokkaido) and eleven otherpremises

Amount of impairment
loss

216

The Yamato Group grouped the assets based on the classification in managerial accounting and the unit in making
investment decisions, with Yamato Transport Co., Ltd. treating primarily a main branch and subordinate branches as
one unit, Yamato Autoworks Co., Ltd. treating primarily plants and the Company and other consolidated subsidiaries
based on the unit of department.
As a result, the Group recognized a continuous decrease in profit and loss arising from operating activities orsignificant declines in market prices for the asset group consisting of Yamato Autoworks Co., Ltd.’s Tomakomai Plant
and eleven other premises, and it decreased the book value of the relevant asset group to the recoverable value
and posted the relevant decrease of 216 million yen to extraordinary losses as an impairment loss. Of the total
extraordinary loss recognized, 199 million yen was attributable to buildings.
The recoverable value of the relevant asset group is calculated based on net realizable value and valued based
mainly on real estate appraisal standards, assessed value of property tax or the posted land price.
Fiscal 2015 (from April 1, 2014 to March 31, 2015)(Millions of yen)

Use of asset

Type of asset

RegionBranch anddistribution center andother

Other intangible
assets and otherYamato (China) Transport Co., Ltd. (Shanghai,
China) and ten other premises

Amount of impairment
loss

1,791

The Yamato Group grouped the assets based on the classification in managerial accounting and the unit in making
investment decisions, with Yamato Transport Co., Ltd. treating primarily a main branch and subordinate branches as
one unit and the Company and other consolidated subsidiaries based on the unit of department.
As a result, the Group recognized a continuous decrease in profit and loss arising from operating activities orsignificant declines in market prices for the asset group consisting of Yamato (China) Transport Co., Ltd. and tenother premises, and it decreased the book value of the relevant asset group to the recoverable value and posted therelevant decrease of 1,791 million yen to extraordinary losses as an impairment loss. A breakdown of this decreaseshows that 328 million yen was attributable to buildings, 290 million yen was attributable to land and 847 million yen
was attributable to other intangible assets.
Where the recoverable value of a relevant asset group is calculated on the basis of value in use, the calculation ismade by discounting future cash flows by a discount rate of between 5.65% and 6.15%. Also, where the recoverable
value is calculated based on net realizable value, the amount is valued based mainly on real estate appraisal
standards, assessed value of property tax or the posted land price.

- 30 -

(Consolidated statement of comprehensive income)*Recycling amount and income tax relating to other comprehensive income
Valuation difference on available-for-sale securities
Amount recorded during the period
Recycling amount
Before tax effect adjustments
Tax effect amount
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Amount recorded during the period
Remeasurements of defined benefit plans, net of tax
Amount recorded during the period
Recycling amount
Before tax effect adjustments
Tax effect amountRemeasurements of defined benefit plans, net of tax
Total other comprehensive income

Fiscal 2014

(Millions of yen)
Fiscal 2015

3,783
(0)

7,258
(6)

3,783
(844)
2,938

7,251
(1,880)
5,370

1,408

826

—
—
—
—
—
4,346

3,351
398
3,750
(1,307)
2,442
8,640

(Consolidated statement of changes in equity)
For the year ended March 31, 2014
1. Class and total number of issued shares and treasury shares(Thousands of shares)

Number of shares as of
the beginning of thecurrent fiscal year

Number of increased
shares in current fiscal
year

Number of decreased
shares in current fiscal
year

Number of shares as ofend of current fiscal
year

Common shares (Note 1)

461,345—6,660

454,684

Total

461,345—6,660

454,684

Common shares (Note 2)

37,631

4,771

6,660

35,742

Total

37,631

4,771

6,660

35,742

Issued shares

Treasury shares

Notes: *1 The decrease of 6,660 thousand shares of issued shares of common shares resulted from a decrease due to retirement of treasury
shares.
*2 The increase of 4,771 thousand shares of treasury shares of common shares resulted from an increase of 4,766 thousand shares dueto the purchase of treasury shares and an increase of 5 thousand shares due to the purchase of fractional shares.
The decrease of 6,660 thousand shares of treasury shares of common shares resulted from a decrease of 6,660 thousand sharesthrough retirement of treasury shares and a decrease of 0 thousand shares due to sale of fractional shares.

2.

Subscription rights to shares and treasury subscription rights to shares
As the number of shares subject to subscription rights is immaterial against the total number of issued shares(excluding treasury shares) as of the end of the fiscal year under review, descriptions are omitted.

- 31 -

3. Dividends(1) Payment of dividends
Resolution

Class of shares

Total amount ofdividends(millions of yen)

The Board of Directors
Meeting on May 16, 2013

Common shares

5,084

The Board of Directors
Meeting on October 30, 2013

Common shares

5,084

Dividend pershare (yen)Record date

Effective date on
and after

12

March 31, 2013

June 4, 201312

September 30,
2013

December 10,
2013(2) Dividends with a record date that falls within the fiscal year under review but an effective date starting in theupcoming fiscal year
Resolution

Class ofsharesTotal amount ofdividends(millions of yen)

Source ofdividend

Dividend pershare (yen)Record date

Effective dateon and after

The Board of Directors
Meeting on May 16, 2014

Commonshares5,027

Retainedearnings

12

March 31,2014

June 3, 2014

For the year ended March 31, 2015
1. Class and total number of issued shares and treasury shares(Thousands of shares)

Number of shares as of
the beginning of thecurrent fiscal year

Number of increased
shares in current fiscal
year

Number of decreased
shares in current fiscal
year

Number of shares as ofend of current fiscal
year

Common shares (Note 1)

454,684—

19,120435,564

Total

454,684—

19,120435,564

Common shares (Note 2)

35,742

12,23525,606

22,370Total

35,742

12,23525,606

22,370Issued shares

Treasury shares

Notes: *1 The decrease of 19,120 thousand shares of issued shares of common shares resulted from a decrease due to retirement of treasury
shares.
*2 The increase of 12,235 thousand shares of treasury shares of common shares resulted from an increase of 11,962 thousand shares
due to the purchase of treasury shares and other increases.
The decrease of 25,606 thousand shares of treasury shares of common shares resulted from a decrease of 19,120 thousand sharesthrough retirement of treasury shares, a decrease of 5,589 thousand shares through the exercise of subscription rights to sharesattached to bonds with subscription rights to shares and other decreases.

2.

Subscription rights to shares and treasury subscription rights to shares
As the number of shares subject to subscription rights is immaterial against the total number of issued shares(excluding treasury shares) as of the end of the fiscal year under review, descriptions are omitted.

3. Dividends(1) Payment of dividends
Resolution

Class of shares

Total amount ofdividends(millions of yen)

The Board of Directors
Meeting on May 16, 2014

Common shares

5,027

The Board of Directors
Meeting on October 30, 2014

Common shares

5,038- 32 -

Dividend pershare (yen)Record date

Effective date on
and after

12

March 31, 2014

June 3, 201412

September 30,
2014

December 10,2014(2) Dividends with a record date that falls within the fiscal year under review but an effective date starting in theupcoming fiscal year
Resolution

Class ofsharesTotal amount ofdividends(millions of yen)

Source ofdividend

Dividend pershare (yen)Record date

Effective dateon and after

The Board of Directors
Meeting on May 14, 2015
(planned)

Commonshares5,371

Retainedearnings

13

March 31,2015

June 2, 2015
(planned)(Consolidated statement of cash flows)*1

Relationship between the balance of cash and cash equivalents at the end of the period and the amounts
recorded in the items shown on the consolidated balance sheet(Millions of yen)
Fiscal 2014

Fiscal 2015

220,147

247,398

Time deposits due beyond three months

(444)

(36)

Short-term loans payable account

(307)

(311)

219,395

247,051

Cash and deposits

Cash and cash equivalents

2

Important non-cash transactions
Exercise of subscription rights to shares attached to convertible bond-type bonds with subscription rights toshares(Millions of yen)

Fiscal 2014

Fiscal 2015

Decrease in capital surplus due to exercise of subscription rights to shares

—

(405)

Decrease in treasury shares due to exercise of subscription rights to shares—

10,745Decrease in bonds with subscription rights to shares due to exercise ofsubscription rights to shares—

10,340(Segment Information)
1. Segment Information(1) Summary of reportable segment
The reportable segments of the Company are constituent units of the Company whose separate financial
information can be obtained. The Board of Directors periodically examines these segments to decide on the
allocation of management resources and evaluate business performance.
The Yamato Group consists of six business segments under the umbrella of the Company, a pure holding
company, and these business segments have been formed according to business activity. Business
management is conducted based on this business segment.
Accordingly, based on this business segment, the Company has the following six reportable segments:
Delivery business, BIZ-Logistics business, Home Convenience business, e-Business, Financial business, andAutoworks business.

- 33 -

Type of services by reportable segment
Reportable segment
Delivery
BIZ-Logistics
Home Convenience
e-BusinessType of services
Small parcel delivery services for consumers and corporations
Business-to-business distribution
Moving and other lifestyle support services for consumers
Information services for corporations, such as ASP services and development of
information systems
Financial services for consumers and corporations, such as settlement
Collective vehicle management agent business for transportation companies

Financial
Autoworks(2) Method of calculating operating revenue, income/loss, assets and other items by reportable segment
The accounting method used for reported business segments is the same as that described in the section on“Significant matters forming the basis of preparing the consolidated financial statements.”(3) Information regarding the amounts of operating revenue, income/loss, assets and other items by reportablesegment
For the year ended March 31, 2014
(Millions of yen)
BIZ-Logistics

Home
Convenience

e-Business

1,099,399

90,254

48,72340,83162,72761,095

12,462

14,154

27,103

3,567

1,160,494
35,784
633,426

102,717
3,403
54,55062,877217
19,01767,935
8,057
38,63566,295
9,405
233,495

31,849

1,560

575

3,712

2,720

64,479

4,250

700

3,366

5,492

Reconciliation(Note 3)

Amountrecorded inconsolidated
financialstatements(Note 4)

DeliveryOperating revenue
Operating revenue from customers
Inter-segment operating revenue ortransfers
Total
Segment income
Segment assets
OthersDepreciation
Increases of property, plant andequipment and intangible assets

Autoworks

Operating revenue
Operating revenue from customers
Inter-segment operating revenue ortransfers
Total
Segment income
Segment assets
OthersDepreciation
Increases of property, plant andequipment and intangible assets

Other(Notes 1, 2)

Total

Financial

25,6507,022

1,374,610—

1,374,610

28,066

60,664

207,114(207,114)—

53,717
3,272
23,411

67,687
24,956
11,168

1,581,724
85,097
1,013,705(207,114)(22,000)
18,4281,374,610
63,096
1,032,134

906

284

41,609656

42,265380

563

79,232

298

79,530Notes: 1. Other includes business-to-business distribution via JITBOX Charter, staffing services and shared services.
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 income is 24,104 million yen.
3. Adjustments made are as follows.
(1) The adjustment of (22,000 million yen) of segment income resulted from eliminating transactions among segments, etc.
(2) The adjustment of 18,428 million yen of segment assets includes offsetting and elimination of assets among segments of(143,009 million yen) and group-wide assets of 161,438 million yen not allocated to each reportable segment.
(3) The adjustment of 298 million yen of increases of property, plant and equipment and intangible assets is the Company’s
capital investment.
4. We made an adjustment between segment income and operating income in the consolidated statement of income.

- 34 -

For the year ended March 31, 2015
(Millions of yen)
Delivery(Note 1)
Operating revenue
Operating revenue from customers
Inter-segment operating revenue ortransfers
Total
Segment income
Segment assets
OthersDepreciation
Increases of property, plant andequipment and intangible assets

Operating revenue
Operating revenue from customers
Inter-segment operating revenue ortransfers
Total
Segment income
Segment assets
OthersDepreciation
Increases of property, plant andequipment and intangible assets

BIZ-Logistics

Home
Convenience

e-Business(Note 1)

1,101,438

103,82148,47540,486

66,65863,411

12,15014,54628,2533,401

1,164,850
39,205660,295

115,971
4,682
61,50763,021
613
20,24168,7397,756
40,37770,0598,918
239,044

34,791

1,818

557

3,761

3,437

33,832

3,200

711

4,965

8,397

Reconciliation(Note 4)

Amountrecorded inconsolidated
financialstatements(Note 5)

Financial

Autoworks

Other(Notes 2, 3)

27,153

8,675

1,396,708—

1,396,708

28,55859,228

209,549(209,549)—

55,711
3,733
24,794

67,90324,143
12,848

1,606,257
89,053
1,059,110(209,549)(20,105)
23,421

1,396,708
68,947
1,082,531

767

260

45,394663

46,058454

219

51,780241

52,022

Total

Notes: 1. Effective from the fiscal year ended March 31, 2015, Delivery Business segment includes the contact service business, previously
included in the e-Business, due to changes involving business segment categories made in accordance with actual circumstances
related to management and administration. The segment information for the fiscal year ended March 31, 2014 has been preparedand presented according to the new classification.
2. Other includes business-to-business distribution via JITBOX Charter, staffing services and shared services.
3. 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 income is 21,910 million yen.
4. Adjustments made are as follows.
(1) The adjustment of (20,105 million yen) of segment income resulted from eliminating transactions among segments, etc.
(2) The adjustment of 23,421 million yen of segment assets includes offsetting and elimination of assets among segments of(166,005 million yen) and group-wide assets of 189,426 million yen not allocated to each reportable segment.
(3) The adjustment of 241 million yen of increases of property, plant and equipment and intangible assets includes theCompany’s capital investment of 223 million yen.
5. We made an adjustment between segment income and operating income in the consolidated statement of income.
6. Effective from the fiscal year ended March 31, 2015, for the “Accounting Standard for Retirement Benefits” (ASBJ Statement No.
26, May 17, 2012) and the “Guidance on Accounting Standard for Retirement Benefits” (ASBJ Guidance No. 25, March 26, 2015),
the Company has additionally applied the provisions set forth in the main clauses of Paragraph 35 of the Accounting Standard for
Retirement Benefits and Paragraph 67 of the Guidance on Accounting Standard for Retirement Benefits. Due to this, theCompany reviewed the calculation method of retirement benefit obligations and current service costs and amended thedetermination of discount rate from one that is based on the period of years approximate to the expected average remaining
working lives of employees to one that uses a single weighted average discount rate reflecting the estimated timing and amount ofbenefit payment.
In addition, the effect of this application on segment income/loss for the fiscal year ended March 31, 2015 is immaterial.

- 35 -

2.

Relevant information
For the year ended March 31, 2014(1) Information by product and service
TA-Q-BIN
Operating revenue
from customers

Kuroneko Mail

906,056(Millions of Yen)
Total

Other

120,799

347,753

1,374,610(2) Information by region
a. Operating revenue
Japan

North America
1,349,718

14,431(Millions of Yen)
Total
1,374,610

1,728(Millions of Yen)
Total
417,127

Other
10,460b. Property, plant and equipment
Japan

North America
415,013Other385(3) Information by major customer
Of operating revenue from customers, because no single revenue from any one customer accounts for
10% or more of the operating revenue of the consolidated statement of income, descriptions are omitted.
For the year ended March 31, 2015(1) Information by product and service
TA-Q-BIN
Operating revenue
from customers

Kuroneko Mail

912,563(Millions of Yen)
Total

Other

111,885

372,260

1,396,708(2) Information by region
a. Operating revenue
Japan

North America
1,368,793

17,653(Millions of Yen)
Total
1,396,708

1,456(Millions of Yen)
Total
420,101

Other
10,261b. Property, plant and equipment
Japan

North America
418,202

Other
441(3) Information by major customer
Of operating revenue from customers, because no single revenue from any one customer accounts for
10% or more of the operating revenue of the consolidated statement of income, descriptions are omitted.

- 36 -

3.

Information regarding impairment losses of non-current assets by reportable segment
For the year ended March 31, 2014
(Millions of Yen)
Delivery

BIZ-Logistics

Impairment loss—
Autoworks

Impairment loss

Home
Convenience
—

Other
216

e-Business—

Financial—

Corporate or
eliminations

Total
—

216

90

Home
Convenience
297—
Consolidated—

216

For the year ended March 31, 2015
(Millions of Yen)
Delivery
Impairment loss

BIZ-Logistics

1,403
Autoworks

Impairment loss

4.

Other
—

Financial—

Corporate or
eliminations

Total
—

e-Business

1,791

Consolidated—

Information regarding amortization and unamortized balance of goodwill by reportable segment
For the year ended March 31, 2014
Not applicable.
For the year ended March 31, 2015
Not applicable.

- 37 -—

1,791

(Tax Effect Accounting)1.

Breakdown of major causes for deferred tax assets and deferred tax liabilities(Millions of yen)
Fiscal 2015

Fiscal 2014
Deferred tax assets (current assets)
Provision for bonuses
Accrued legal welfare expenses
Accrued enterprise tax
Excess in provision of allowance for doubtful accounts
Other

10,463
1,660
1,747
195
3,066

9,711
1,818
1,768
216
2,465

Subtotal
Allowance for devaluation

17,133(273)

15,979—

Total

16,86015,979Deferred tax assets (non-current assets)
Net defined benefit liability
Loss on valuation of land
Impairment loss
Loss on valuation of investment securities
Unrealized income on non-current assets
Loss on valuation of telephone subscription rightOther

16,997
24,162
4,225
2,199
1,839
546
10,763

17,727
21,898
4,188
1,992
1,913
494
10,693

Subtotal
Allowance for devaluation

60,734(35,504)

58,907(33,122)

Total

25,22925,785

Deferred tax liabilities (current liabilities)
Other

(312)

(292)

Total

(312)

(292)

Deferred tax liabilities (non-current liabilities)
Valuation difference on available-for-sale securities
Reserve for reduction entry
Other(2,871)(230)(2,249)(4,739)(205)(2,810)Total(5,351)(7,755)36,42633,717

Net deferred tax assets

2.

Breakdown of the main items that caused differences between the normal effective statutory tax rates and theactual effective tax rates after tax effect accounting

Normal effective statutory tax rates of consolidated financial
statement-submitting companies(Reconciliation)

Per capita levy of local taxes
Allowance for devaluation
Downward revision to deferred tax assets as of the end of
the period due to the change in corporate tax rates
Other

Actual effective tax rates after tax effect accounting- 38 -

Fiscal 2014

Fiscal 2015

38.0 %

35.6 %

4.3
1.2

4.2
(0.2)

1.8

5.0

1.8

1.0

47.1

45.6

3.

Adjustment of deferred tax assets and deferred tax liabilities due to change in corporate tax rates, etc.
On March 31, 2015, the government promulgated the “Act for Partial Revision of the Income Tax Act, etc.” (ActNo. 9 of 2015), and the “Act for Partial Revision of the Local Tax Act, etc.” (Act No. 2 of 2015). As a result, thenormal effective statutory tax rate of 35.6% previously applied in calculating the amount of deferred tax assets
and liabilities has been reduced to 33.1% with respect to the temporary differences expected to be resolved in
the fiscal year beginning April 1, 2015. Also, the normal effective statutory tax rate will be further reduced to32.3% with respect to the temporary differences expected to be resolved in the fiscal year beginning April 1,
2016, and subsequent fiscal years. This has resulted in a decrease in deferred tax assets of 3,277 million yen(after subtraction of deferred tax liabilities; of which, the effect of the tax rate change amounts to 2,912 million
yen) and an increase in income taxes - deferred of 3,753 million yen (of which, the effect of the tax rate changeamounts to 3,388 million yen).

(Financial Instruments)
1.

Matters concerning the status of financial instruments(1) Policy on financial instruments
To finance further business growth, the Yamato Group raises capital through bank loans and bondissuances based on a facilities investment scheme that includes the network development plan. One-time
surplus funds are invested in safe financial assets. Derivative products are mainly used for hedging
against variable interest rate risk, and no speculative transactions are undertaken.
Some of the Group’s consolidated subsidiaries are engaged in businesses such as leasing and third-party
credit sales.
(2) Features and risks of financial instruments and risk management structure
Operating receivables such as notes and accounts receivable - trade and accounts receivable installment carry credit risk of trading partners, and thus the Company manages and controls cash
received, as well as outstanding receivables, for each period to identify the credit risk of each trading
partner.
Regarding investment securities, the Yamato Group mainly holds shares of companies with which theGroup has business relationships or forms a capital alliance, and such shares involve the risk of stock
price fluctuations.
The majority of operating payables, such as notes and accounts payable - trade, are due within one year.
Short-term loans payable and long-term loans payable are mainly used to raise capital for the Group’s
financial business. Some of the loans payable are procured at variable rates of interest, and the Group
employs interest rate swaps for a portion of those loans to hedge interest rate risk associated withfundraising. Interest rate swap transactions are executed in conformity with the Group’s regulations for
authorizing derivative transactions.
Within the Yamato Group, each Group company controls liquidity risk associated with operating payables
and loans by monitoring payments and settlements, bookkeeping, and balances, as well as managing
cash positions.
(3) Supplemental remarks on the fair value of the financial instruments
The fair value of financial instruments refers to their market value or value reasonably calculated basedon certain assumptions if market value is not available. Therefore, the estimated fair value may vary withdifferent assumptions.

- 39 -

2.

Matters concerning fair value of financial instruments
The amounts recorded on the consolidated balance sheet, their fair values, and differences between them areshown in the following. Some financial instruments are excluded because it is extremely difficult to identify theirfair values (see Note 5).
For the year ended March 31, 2014
(Millions of yen)Amount on the
consolidated balance
sheet(1) Cash and deposits

220,147(2) Notes and accounts receivable - trade188,144

Fair value

Difference

220,147—

188,519505

33,19738,3195,121

Available-for-sale securities

24,795

24,795—(5) Notes and accounts payable - trade[172,463][172,463]—(6) Short-term loans payable[36,411][36,492]80(7) Long-term loans payable[42,266][42,334]

68

—

—

—

Allowance for doubtful accounts(131)
188,013(3) Accounts receivable - installment

39,480Allowance for doubtful accounts(933)

Deferred installment income[5,349](4) Investment securities(8) Derivatives
Notes:

1. Items recognized as liabilities are shown in square parentheses [ ] both under Amount on the consolidated balance sheet andFair value.
2. Notes and accounts receivable - trade are presented after deducting allowance for doubtful accounts set up for notes andaccounts receivable - trade not to be settled in the short term.
3. Accounts receivable - installment is presented after deducting the relevant allowance for doubtful accounts and deferredinstallment income.
4. Method of calculating fair value of financial instruments and other matters concerning securities and derivatives(1) Cash and deposits
Because all deposits are short-term deposits and their fair values are approximately equal to their book values, fair value isthe same as book value.
(2) Notes and accounts receivable - trade
Because notes and accounts receivable - trade are usually settled in a short period and their fair values are approximately
equal to their book values, fair value is the same as book value. Some notes and accounts receivable - trade are grouped bytheir classification categories and computed on the basis of the present value of future cash flow discounted at a rate basedon the yield of Japanese government bonds.
(3) Accounts receivable - installment
The fair values of accounts receivable - installment are grouped by their classification categories and computed on the basisof the present value of future cash flow discounted at the rate based on market interest rate.
(4) Investment securities
The fair values of listed equity shares in investment securities are based on quoted market prices. For matters concerning
securities according to the purpose for which they are held, please see the notes to “Securities.”(5) Notes and accounts payable - trade
As most notes and accounts payable - trade are due within one year and their fair values are approximately equal to theirbook values, fair value is the same as book value.
(6) Short-term loans payable and (7) Long-term loans payable
The fair value of short-term loans payable, long-term loans payable, and long-term loans payable meeting the requirementsof exceptional treatment for interest rate swaps and being treated together with interest swaps are computed on the basis of
the total amount of principal and interest discounted at the interest rate applicable to new loans carrying the same conditions.

- 40 -

(8) Derivatives
a. Derivative transactions to which hedge accounting is not applied: Not applicable.
b. Derivative transactions to which hedge accounting is applied: The contract amount or amount equivalent to the principal
set forth in the contract, as of the consolidated closing date, are as follows.
(Millions of yen)Contract
amount,etc.
Type of derivative
Major hedged
Method of hedge accounting
Fair valuetransaction
itemsOver 1 year
Interest rateswaps
Long-term loans
44,05029,050*payablePay-fixed,
receive-variable* The exceptional treatment of interest rate swaps is applied to the Group’s interest rate swaps, and these transactions are treated together
with long-term loans payable with the relevant hedging instruments. Therefore, their fair value is included among long-term loans payable.
Exceptional treatment of interest rateswaps

5. It is extremely difficult to determine the fair values of unlisted securities (the amount recorded on consolidated balance sheet is1,324 million yen) because they do not have quoted market prices and their future cash flow cannot be estimated. Therefore, they
are excluded from (4) Investment securities/Available-for-sale securities.
6. Scheduled redemption amounts after the consolidated closing date for monetary claims and securities with maturity period

Within 1 year

(Millions of yen)Over 5 years

Over 1 year, within 5 years

Cash and deposits
Notes and accounts receivable - trade
Accounts receivable - installment

220,147
177,095
19,687—
10,975
19,154

—
74
638

Total

416,930

30,129713

7. Scheduled repayment amounts after the consolidated closing date for bonds with subscription rights to shares, long-term loans
payable, and lease obligations(Millions of yen)Over 1 year,
within 2 years

Over 2 years,
within 3 years

Over 3 years,
within 4 years

Over 4 years,
within 5 years—

20,000————17,156

10,00625,656

6,603

—

—

4,784
21,941

2,136
32,142

1,225
26,882

691
7,294

306
306

20
20

Within 1 year
Bonds with
subscription
rights to shares
Long-term loans
payableLease obligations
Total- 41 -

Over 5 years

For the year ended March 31, 2015
(Millions of yen)Amount on the
consolidated balance
sheet(1) Cash and deposits

247,398(2) Notes and accounts receivable - trade187,833

Fair value

Difference

247,398—

188,298586

35,55040,9795,428

Available-for-sale securities

33,01633,016—(5) Notes and accounts payable - trade[157,479][157,479]—(6) Short-term loans payable[34,443][34,514]70(7) Long-term loans payable[83,876][83,834]

(41)

—

—

—

Allowance for doubtful accounts(121)
187,712(3) Accounts receivable - installment

42,007

Allowance for doubtful accounts(802)

Deferred installment income[5,655](4) Investment securities(8) Derivatives
Notes:

1. Items recognized as liabilities are shown in square parentheses [ ] both under Amount on the consolidated balance sheet andFair value.
2. Notes and accounts receivable - trade are presented after deducting allowance for doubtful accounts set up for notes andaccounts receivable - trade not to be settled in the short term.
3. Accounts receivable - installment is presented after deducting the relevant allowance for doubtful accounts and deferredinstallment income.
4. Method of calculating fair value of financial instruments and other matters concerning securities and derivatives(1) Cash and deposits
Because all deposits are short-term deposits and their fair values are approximately equal to their book values, fair value isthe same as book value.
(2) Notes and accounts receivable - trade
Because notes and accounts receivable - trade are usually settled in a short period and their fair values are approximately
equal to their book values, fair value is the same as book value. Some notes and accounts receivable - trade are grouped bytheir classification categories and computed on the basis of the present value of future cash flow discounted at a rate basedon the yield of Japanese government bonds.
(3) Accounts receivable - installment
The fair values of accounts receivable - installment are grouped by their classification categories and computed on the basisof the present value of future cash flow discounted at the rate based on market interest rate.
(4) Investment securities
The fair values of listed equity shares in investment securities are based on quoted market prices. For matters concerning
securities according to the purpose for which they are held, please see the notes to “Securities.”(5) Notes and accounts payable - trade
As most notes and accounts payable - trade are due within one year and their fair values are approximately equal to theirbook values, fair value is the same as book value.
(6) Short-term loans payable and (7) Long-term loans payable
The fair value of short-term loans payable, long-term loans payable, and long-term loans payable meeting the requirementsof exceptional treatment for interest rate swaps and being treated together with interest swaps are computed on the basis of
the total amount of principal and interest discounted at the interest rate applicable to new loans carrying the same conditions.

- 42 -

(8) Derivatives
a. Derivative transactions to which hedge accounting is not applied: Not applicable.
b. Derivative transactions to which hedge accounting is applied: The contract amount or amount equivalent to the principal
set forth in the contract, as of the consolidated closing date, are as follows.
(Millions of yen)Contract
amount,etc.
Type of derivative
Major hedged
Method of hedge accounting
Fair valuetransaction
itemsOver 1 year
Interest rateswaps
Long-term loans
38,582
26,376*payablePay-fixed,
receive-variable* The exceptional treatment of interest rate swaps is applied to the Group’s interest rate swaps, and these transactions are treated together
with long-term loans payable with the relevant hedging instruments. Therefore, their fair value is included among long-term loans payable.
Exceptional treatment of interest rateswaps

5. It is extremely difficult to determine the fair values of unlisted securities (the amount recorded on consolidated balance sheet is1,550 million yen) because they do not have quoted market prices and their future cash flow cannot be estimated. Therefore, they
are excluded from (4) Investment securities/Available-for-sale securities.
6. Scheduled redemption amounts after the consolidated closing date for monetary claims and securities with maturity period

Within 1 year

(Millions of yen)Over 5 years

Over 1 year, within 5 years

Cash and deposits
Notes and accounts receivable - trade
Accounts receivable - installment

247,398
174,738
20,655—
12,914
20,730

—
180
622

Total

442,792

33,644803

7. Scheduled repayment amounts after the consolidated closing date for bonds with subscription rights to shares, long-term loans
payable, and lease obligations(Millions of yen)Over 1 year,
within 2 years

Over 2 years,
within 3 years

Over 3 years,
within 4 years

Over 4 years,
within 5 years

—

—

—

—

—

16,67732,32741,54810,000——2,733
29,071

1,881
34,2091,319
42,867910
10,910

441
441

102
102

Within 1 year
Bonds with
subscription
rights to shares
Long-term loans
payableLease obligations
Total

9,660

- 43 -

Over 5 years

(Securities)
For the year ended March 31, 2014
1.

Available-for-sale securities(Millions of yen)Type

Amount on the
consolidated balance sheet

Acquisition cost

Difference

Those whose value
recorded on the
consolidated balance
sheet exceeds theacquisition cost

(1)

Stocks

24,522

12,484

12,037

(2)

Bonds

—

—

—

(3)

Other

—

—

—

Subtotal

24,522

12,484

12,037

Those whose value
recorded on the
consolidated balance
sheet does not exceed
the acquisition cost

(1)

Stocks

273

292

(19)

(2)

Bonds

—

—

—

(3)

Other

—

—

—

Subtotal

273

292

(19)

Note:

2.

Total
24,795
12,776
12,018It is extremely difficult to determine the fair values of unlisted securities (the amount recorded on consolidated balance sheet is 1,324
million yen) because they do not have quoted market prices. Therefore, they are excluded from the above table of “Available-for-salesecurities.”

Available-for-sale securities sold during the year ended March 31, 2014
(Millions of yen)
Type

Sale amount

Total capital gains

Total capital losses(1)

Stocks

431

0

—

(2)

Bonds

—

—

—

(3)

Other

—

—

—

431

0

—

Total

3.

Securities on which impairment losses were recognized
For the fiscal year under review, the Company recognized impairment losses of 3 million yen on securities.
The Company recognizes impairment losses on all listed shares if their market value is no more than 70% of
the book value as of the end of the fiscal year. We recognize impairment losses on other securities in theamount considered necessary if their actual value as of the end of the fiscal year dropped by 30% or morecompared to their book value, taking into account the possibility of collection, etc.

- 44 -

For the year ended March 31, 2015
1.

Available-for-sale securities(Millions of yen)Type

Amount on the
consolidated balance sheet

Acquisition cost

Difference

Those whose value
recorded on the
consolidated balance
sheet exceeds theacquisition cost

(1)

Stocks

32,761

13,50019,260

(2)

Bonds

—

—

—

(3)

Other

—

—

—

Subtotal

32,761

13,50019,260Those whose value
recorded on the
consolidated balance
sheet does not exceed
the acquisition cost

(1)

Stocks

255

293

(37)

(2)

Bonds

—

—

—

(3)

Other

—

—

—

Subtotal

255

293

(37)

Note:

2.

Total
33,016
13,793
19,222
It is extremely difficult to determine the fair values of unlisted securities (the amount recorded on consolidated balance sheet is 1,550
million yen) because they do not have quoted market prices. Therefore, they are excluded from the above table of “Available-for-salesecurities.”

Available-for-sale securities sold during the year ended March 31, 2015
(Millions of yen)
Type

Sale amount

Total capital gains

Total capital losses(1)

Stocks

14

6

—

(2)

Bonds

—

—

—

(3)

Other

—

—

—

14

6

—

Total

3.

Securities on which impairment losses were recognizedNot applicable.

- 45 -

(Retirement Benefit)
1.

Outline of retirement benefit plan
The Yamato Group adopts a contributory trusted pension plan based on a cash balance scheme and an
unfunded retirement benefit plan as its defined benefit pension system. In addition, the Yamato Group Life Plan
pension scheme was introduced as a defined contribution retirement plan.

2.

Defined benefit plans(1) Reconciliation of retirement benefit obligation beginning and ending balances(Millions of yen)
Retirement benefit obligation at beginning of period
Cumulative effects of changes in accounting policies
Restated balance
Service cost
Interest cost
Actuarial difference arising during period
Retirement benefits paid
Prior service cost arising during period
Other

Fiscal 2014

Fiscal 2015

112,492—
112,492
8,910
1,442
744
(4,458)3(0)

119,135
6,312
125,447
9,703
1,097
1,917
(5,040)——Retirement benefit obligation at end of period
119,135
Note:
Some consolidated subsidiaries adopt a simplified method of calculating retirement benefit obligations.

133,126(2) Reconciliation of pension asset beginning and ending balances(Millions of yen)
Fiscal 2014

Fiscal 2015

Pension assets at beginning of period
Expected return
Actuarial difference arising during period
Employer contributions
Retirement benefits paid

64,926
649
4,516
3,880
(1,893)72,078
720
5,269
4,137
(1,847)Pension assets at end of period

72,07880,358(3) Reconciliation of ending balances of retirement benefit obligations and pension assets with consolidatedbalance sheet net defined benefit assets and liabilities(Millions of yen)
Fiscal 2014

Fiscal 2015

Retirement benefit obligations of funded plans
Pension assets

50,035(72,078)

53,414(80,358)

Retirement benefit obligations of unfunded plans(22,043)
69,100(26,943)
79,711

Net of consolidated balance sheet assets and liabilities

47,05652,767

Net defined benefit liability
Net defined benefit asset

47,224(167)

53,023(255)

Net of consolidated balance sheet assets and liabilities
47,05652,767
Note:
These figures combine offsetting amounts for net defined benefit assets and liabilities that have been stated by the Company
and its individual consolidated subsidiaries.

- 46 -

(4) Retirement benefit expense and its components(Millions of yen)
Fiscal 2014

Fiscal 2015

Service cost
Interest cost
Expected return
Recognized actuarial difference
Recognized prior service cost
Other

8,910
1,442
(649)
3,047
3
(5)

9,703
1,097
(720)
398
—
(12)

Retirement benefit expense related to defined benefit plans

12,74910,467(5) Remeasurements of defined benefit plans, net of tax
The following table provides a breakdown of the components making up remeasurements of defined
benefit plans, net of tax (pre-tax).
(Millions of yen)
Fiscal 2014

Fiscal 2015

Actuarial difference

—

3,750

Total

—

3,750

(6) Remeasurements of defined benefit plans
The following table provides a breakdown of the components making up remeasurements of defined
benefit plans (pre-tax).
(Millions of yen)
Fiscal 2014

Fiscal 2015

Unrecognized actuarial difference(2,683)

1,067

Total

(2,683)

1,067(7) Pension assets
a. Primary components of pension assets
Pension asset components as a percentage of total pension assets are as follows.
Fiscal 2014

Fiscal 2015

General accounts
Bonds
Stocks
Other

34%
26%
21%
19%

31%
24%
24%
21%

Total

100%

100%

b. Method of determining long-term expected rate of return
The long-term expected rate of return for pension assets is determined on the basis of the distributionof pension assets, past performance of respective assets that make up pension plan investments, andmarket trends.
(8) Matters concerning actuarial assumptions
Primary actuarial assumptions
Fiscal 2014
Discount rateLong-term expected rate of return

3.

1.3%
1.0%

Fiscal 2015
0.9%
1.0%

Defined contribution retirement plan
Required contributions to the defined contribution retirement plan of the Company and its consolidated
subsidiaries amount to 2,089 million yen and 2,136 million yen for the fiscal year ended March 31, 2014 and2015, respectively.

- 47 -

(Per Share Information)
Fiscal 2014
1,316.12 yen
82.22 yen
80.18 yen

Net assets per share
Net income per share
Net income per share - fully diluted
Note:

The basis for calculating “net income per share” and “net income per share - fully diluted” is as follows.
Fiscal 2014

Fiscal 2015
1,368.66 yen
90.41 yen
88.26 yen
Fiscal 2015

Net income per share
Net income
Amount not belonging to ordinary shareholders
Net income concerning common shares
Average number of shares during the period

34,776 million yen

37,533 million yen— million yen— million yen

34,776 million yen

37,533 million yen

422,941 thousand shares

415,131 thousand shares— million yen

5 million yen

Net income per share - fully diluted
Adjustments in net income(Administrative fees (net of tax))
Increase in number of common shares(Bonds with subscription rights to shares)
Potential shares that have no dilutive effects and thus are not included in
the calculation of “net income per share - fully diluted.”(— million yen)

(5 million yen)

10,810 thousand shares

10,187 thousand shares(10,810 thousand shares)(10,187 thousand shares)——(Important Subsequent Matters)
Not applicable.
(Other Notes, etc.)
Notes regarding “lease transactions,” “related party transactions,” “derivative transactions,” and “asset retirement
obligations” are omitted, as there is no significant necessity of disclosure in this financial results report.

- 48 -

6. Others
Operating revenue by business(Millions of yen)
Business segment

Delivery

e-Business

Financial

Autoworks

Change%69.7

969,923

%
69.4

1.2

Kuroneko Mail

126,035

9.2

116,619

8.4

(7.5)

Express

45,047

3.3

42,918

3.1(4.7)

Others *1

68,023

4.9

72,280

5.2

6.3

%

2.1

(98,279)(7.1)(100,302)(7.2)

1,099,399

80.0

1,101,438

78.9

0.2

Trading logistics service

39,037

2.8

43,215

3.1

10.7

Sales and Logistics

31,103

2.3

34,767

2.5

11.8

Multi maintenance

9,870

0.7

15,6891.1

59.0

Export Factory

3,781

0.3

4,185

0.3

10.7

Others36,311

2.7

39,4162.8

8.6

Eliminations(29,850)(2.2)(33,453)

(2.4)

12.1

Total

90,254

6.6

103,8217.4

15.0

Home convenience

42,801

3.1

41,561

3.0(2.9)

Business convenience *2

17,0601.2

16,665

1.2(2.3)

Technical Network *2

3,047

0.2

4,817

0.3

58.1

(14,186)(1.0)(14,568)

(1.0)

2.7

Eliminations
Total

48,723

3.5

48,4753.5(0.5)

e-logistics solution

10,7660.8

11,2540.8

4.5

Credit card solution

7,890

0.6

8,087

0.6

2.5

IT operating solution *3

6,207

0.5

6,253

0.4

0.7

6,071

0.4

6,074

0.4

0.1
3.3

Web-based mail order solution*3

Others *1 *3

38,8012.8

40,075

2.9

Eliminations(28,905)(2.1)(31,258)

(2.2)

8.1

Total

40,831

3.0

40,4862.9(0.8)

TA-Q-BIN Collect

40,1782.9

37,558

2.7

(6.5)

Lease

20,896

1.5

27,065

1.9

29.5

Credit & Finance

3,239

0.2

3,354

0.2

3.6

Others

2,061

0.2

2,160

0.2

4.8

Eliminations(3,647)(0.3)(3,481)

(0.2)

(4.5)

Total

62,727

4.5

66,658

4.8

6.3

Truck maintenance

49,651

3.6

51,122

3.6

3.0

Others

6,507

0.5

7,070

0.5

8.7

(30,508)(2.2)(31,039)

(2.2)

1.7

25,6501.9

27,153

1.9

5.9

JITBOX Charter service

4,677

0.3

6,035

0.4

29.0

Others64,434

4.7

63,5984.6(1.3)(62,089)(4.5)(60,958)

(4.4)

(1.8)

7,022

0.5

8,675

0.6

23.5

Eliminations
Total

Other

Ratio

958,573

Total

Home
Convenience

Ratio

Fiscal year ended
March 31, 2015

TA-Q-BIN

Eliminations

BIZ-Logistics

Fiscal year ended
March 31, 2014

Eliminations
Total

Total
1,374,610
100.0
1,396,708
100.0
1.6
The notes below describe changes to business segment classifications effective from the fiscal year ended March 31, 2015, made inaccordance with actual circumstances related to management and administration. The figures presented for the fiscal year ended March 31,
2014, have been restated in accordance with this change.
*1.
The contact service business, previously included in the Others category of the e-Business, is now presented in the Others categoryof the Delivery Business.

- 49 -

*2.
*3.

In the Home Convenience Business, the Technical Network, previously included in the Business convenience category, is now
presented separately in its own category.
In the e-Business, the Telecommunications network, previously included in the Others category, is now presented in the IT operating
solution category; and the chain store solutions, previously included in the Web-based mail order solution category, is now presented
in the Others category.

- 50 -

7.

Non-consolidated Financial Statements(1) Non-consolidated balance sheet(Millions of yen)
As of March 31, 2014

As of March 31, 2015

AssetsCurrent assets
Cash and deposits

121,668

Operating accounts receivable
Short-term loans receivable

145,11722

12

11,434

15,246

Deferred tax assets

246

92

Income taxes receivable

4,945

4,536

Other
Total current assets

1,170

470

139,489

165,476

Non-current assets
Property, plant and equipment
Vehicles148

Buildings

683

738

Tools, furniture and fixtures

57

33

Land

5,840

5,840

Other

22

19

6,618

6,641

1,858

1,487

1

1

1,859

1,489

Total property, plant and equipment
Intangible assets
Software
Other
Total intangible assets
Investments and other assets
Investment securities

19,54926,355

Shares of subsidiaries and associates

292,251

294,806

Long-term loans receivable

31,65538,055

99

103

Other
Allowance for investment loss

(1,927)(5,301)

Total investments and other assets

341,628354,019

350,107362,150

489,597

527,627

Total non-current assets
Total assets- 51 -

(Millions of yen)
As of March 31, 2014

As of March 31, 2015

Liabilities
Current liabilities
Operating accounts payable

399

304

Short-term loans payable

—

6,653

Current portion of bonds with subscription rights toshares—9,660

Income taxes payable

3464

Accrued expenses

47

51

Deposits received

83,453116,018

Provision for bonuses

52

51

Other

258

288

84,247133,091

20,000—Long-term loans payable—

11,129Deferred tax liabilities

1,494

3,264

Provision for retirement benefits

67

76

Provision for loss on business of subsidiaries andassociates

—

1,804

Total current liabilities
Non-current liabilities
Bonds with subscription rights to shares

Other

138

138

21,69916,413105,946

149,504

127,234

127,234

36,82236,822Other capital surplus

64,041

32,552

Total capital surplus

100,863

69,375General reserve

174,965

188,965

Retained earnings brought forward

29,161

23,724204,127

212,690

Treasury shares(56,079)(43,007)

Total shareholders’ equity

376,146366,292

Valuation difference on available-for-sale securities

7,503

11,830Total valuation and translation adjustments

7,503

11,830383,650

378,122489,597

527,627

Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Legal capital surplus

Retained earnings
Other retained earnings

Total retained earnings

Valuation and translation adjustments

Total net assets
Total liabilities and net assets- 52 -

(2) Non-consolidated statement of income(Millions of yen)
For the year ended
March 31, 2014

For the year ended
March 31, 2015

Operating revenue
Selling, general and administrative expenses

29,197
4,790

27,756
4,684

Operating income

24,407

23,071Non-operating income
Interest and dividend income
Other

684
363

866
587

Total non-operating income

1,047

1,454

24
86

60
50

Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary income
Extraordinary loss
Loss on valuation of shares of subsidiaries andassociates
Provision of allowance for investment loss
Provision for loss on business of subsidiaries andassociates
Other

111

110

25,343

24,415

2,526

—

1,590

3,374

—

1,804

0

2

Total extraordinary losses

4,116

5,181

Income before income taxes

21,226

19,234

91
343

142
459

Income taxes - current
Income taxes - deferred
Total income taxes
Net income- 53 -

435

601

20,791

18,632

(3) Non-consolidated statement of changes in equity
For the year ended March 31, 2014
(Millions of yen)
Shareholders’ equity
Capital surplus
Capitalstock

Retained earnings
Other retained earnings
Retainedearnings
brought
forward

Total retained
earnings

18,539193,504

Dividends of surplus(10,169)(10,169)

Net income

20,791

20,791

Balance at beginning ofcurrent period

Legal capitalsurplus

Other capitalsurplus

Total capitalsurplus36,822

74,468111,290

127,234

Generalreserve
174,965

Changes of items during
periodPurchase of treasury
shares
Disposal of treasury shares
Retirement of treasury
shares00(10,427)(10,427)

Net changes of items otherthan shareholders’ equity
Total changes of items during
periodBalance at end of current
period－－(10,427)(10,427)－

10,622

10,622

127,234

36,82264,041

100,863

174,965

29,161

204,127

Valuation andtranslation adjustments

Shareholders’ equity
Treasury shares
Balance at beginning of current
period(56,495)

Total shareholders’equityValuation difference on
available-for-salesecurities

375,534

5,461

Total net assets

380,996

Changes of items during period
Dividends of surplus(10,169)

Net income

20,791

20,791(10,011)(10,011)Purchase of treasury shares
Disposal of treasury shares
Retirement of treasury shares(10,011)000

10,427——

Net changes of items otherthan shareholders’ equity
Total changes of items during
periodBalance at end of current period(10,169)

2,041

2,041

416

611

2,041

2,653

(56,079)

376,146

7,503

383,650- 54 -

For the year ended March 31, 2015
(Millions of yen)
Shareholders’ equity
Capital surplus

Retained earnings
Other retained earnings

Capitalstock

Retainedearnings
brought
forward

Total retained
earnings

29,161

204,127(5)(5)

29,156204,122

Dividends of surplus(10,065)(10,065)

Net income

18,632

18,632

14,000(14,000)—

Balance at beginning ofcurrent period

Legal capitalsurplus

Other capitalsurplus

Total capitalsurplus36,82264,041

100,863

127,234

Generalreserve
174,965

Cumulative effects ofchanges in accounting
policies
Restated balance

127,234

36,82264,041

100,863

174,965

Changes of items during
periodPurchase of treasury
shares
Disposal of treasury shares
Retirement of treasury
shares18

18(31,507)(31,507)

Provision of generalreserve
Net changes of items otherthan shareholders’ equity
Total changes of items during
periodBalance at end of current
period——(31,488)(31,488)

14,000(5,432)

8,567

127,234

36,82232,552

69,375

188,965

23,724

212,690

Valuation andtranslation adjustments

Shareholders’ equity
Treasury shares
Balance at beginning of current
period(56,079)

Cumulative effects ofchanges in accounting
policies
Restated balance

Total shareholders’equityValuation difference on
available-for-salesecurities

376,146

7,503(5)(56,079)

376,141

Total net assets

383,650(5)

7,503

383,645

Changes of items during period
Dividends of surplus(10,065)

Net income

18,632(10,065)
18,632

Purchase of treasury shares(30,587)(30,587)(30,587)

Disposal of treasury shares

12,152

12,17012,170Retirement of treasury shares

31,507————

Provision of general reserve
Net changes of items otherthan shareholders’ equity

4,326

4,326

Total changes of items during
period13,071(9,849)4,326(5,522)

Balance at end of current period(43,007)366,292

11,830378,122- 55 -