(English Translation)
This English translation is an abridged version of the original document in Japanese. In the event of any discrepancy, the Japanese version prevails

Summary of Consolidated Financial Results for the the Fiscal Year Ending March 31, 2021
[Japanese GAAP]
April 27, 2021
Listed company name:
Infocom Corporation
Securities code:
4348
Representative: (Position) President and CEO
Contact: (Position) Head of Corporate Communications Office
Scheduled date of Annual General Shareholders’ Meeting: June 15, 2021
Scheduled date to file securities report: June 16, 2021
Preparation of supplementary materials on financial results: Yes
Holding of financial results briefing: Yes

Listed on: Tokyo Stock Exchange
URL https://www.infocom.co.jp/(Name) Norihiro Takehara(Name) Shinya Tanaka(TEL) +81-3-6866-3160
Scheduled date to commence dividend payments: June 17, 2021

(Amounts less than one million yen are rounded down)

1. Consolidated Business Results for the Fiscal Year Ended March 31, 2021 (April 1, 2020 to March 31, 2021)(1) Consolidated operating results (cumulative)(Percentages indicate year-on-year increases.)

Net sales
Fiscal year ended
March 31, 2021
March 31, 2020

Operating profit

Million yen%

68,05558,375

Net income attributable toowners of parent

Ordinary profit

Million yen%

Million yen%

Million yen%

10,812
8,211

31.7
19.2

10,936
8,268

32.3
20.3

6,276
5,543

13.2
15.9

16.6
12.8

(Note) Comprehensive income: Year ended March 31, 2021: ¥7,216 million (54.4%); Year ended March 31, 2020: ¥4,673 million(-12.8%)

Diluted earnings per
share
Yen
114.10100.86

Earnings per share
Fiscal year ended
March 31, 2021
March 31, 2020

Yen
114.61101.32Return on
shareholders’ equity
Yen
16.2
16.2

Ratio of ordinary
profit to total assets
Yen
20.9
18.0

Ratio of operating
profit to net sales
Yen
15.9
14.1

(Reference) Equity in earnings (losses) of affiliates: Year ended March 31, 2020: ¥8 million; Year ended March 31, 2019: ¥-1 million(2) Consolidated financial position
Total assets

Net assets

Shareholders’ equity ratio

Net assets per share

Million yen

Million yen%

Yen

56,43548,087

41,83936,15973.5
74.4

757.76653.82As of March 31, 2021
As of March 31, 2020

(Reference) Shareholders’ equity: Year ended March 31, 2021: ¥41,503 million; Year ended March 31, 2020: ¥35,786 million(3) Consolidated cash flows
Cash flows from operating Cash flows from investing Cash flows from financing
activities
activities
activities
Million yen

Million yen

%

9,871
7,355

(1,643)(2,472)(1,761)(1,546)

As of March 31, 2021
As of March 31, 2020

Cash and cash equivalents at
the end of the fiscal year
Yen

29,95623,491

2. Dividends
Dividends per share
Q1

Q2

Q3

Year-end

Fiscal year ended
March 31, 2020
March 31, 2021

Yen
－
－

Yen
10.00
10.00

Yen
－
－

Yen
21.00
27.00

Yen
31.00
37.00

Fiscal year ending
March 31, 2022 (forecast)

－

13.00

－

27.00

40.00

－

1

－

Total

Total dividends
paid(Annual)Million yen

Dividend
payout ratio(Consolidated)%

Dividend on
equity ratio(Consolidated)
%

1,697
2,026

30.6
32.3

5.0
5.2

30.0

3. Forecast of Consolidated Business Results for the Fiscal Year Ending March 31, 2021
(Percent figures indicate the rate of changes from the previous fiscal year)

Net salesFirst half
Full-year

Operating profit

Profit attributable toEarnings per shareowners of the parent

Ordinary profit

Million yen%

Million yen%

Million yen%

Million yen%

Yen

35,00077,000

5.4
13.1

4,800
11,000

(2.5)
1.7

4,800
11,000

(3.0)
0.6

3,250
7,300

(3.8)
16.3

59.35
133.31(Reference) Overview of individual business results
1. Individual Business Results for the fiscal year ended March 31, 2021
(1) Consolidated financial position
Net sales
Fiscal year ended
March 31, 2021
March 31, 2020

Million yen

Operating profit%

20,78323,070(9.9)
4.7

Earnings per share
Fiscal year ended
March 31, 2021
March 31, 2020

Net income attributable toowners of parent

Ordinary profit

Million yen%

Million yen%

Million yen

%

2,198
2,716

(19.1)
35.3

4,222
4,789

(11.8)
42.5

2,579
3,804

(32.2)
45.8

Diluted earnings per share

Yen
47.10
69.54

Yen
46.90
69.23

(2) Consolidated financial position
Total assets
As of March 31, 2021
As of March 31, 2020

Net assets

Shareholders’ equity ratio

Net assets per share

Million yen

Million yen%

Yen

45,07837,511

25,671
23,78456.4
62.9

464.53431.29(Reference) Shareholders’ equity: As of March 31, 2021: ¥25,442 million; As of March 31, 2020: ¥23,606 million* Explanation regarding the appropriate use of financial forecasts and other special remarks(Cautions concerning forward-looking statements)
Forward-looking statements, including forecasts of business results, are based on the information currently available and certain assumptions judged to be rational. Actual
business results may differ substantially due to various factors. For the matters to be noted when using the financial forecasts and the assumptions behind these forecasts,
please refer to “1. Analysis of Business Results, 4) Outlook for the Next Fiscal Year,” on page 5 of the attached materials.

－

2

－

1. Analysis of Business Results1) Overview of Business Results during the Year under Review
During the current fiscal year under review, the Japanese economy was impacted severely by the global spread of COVID-19,
and the future outlook remains uncertain.
The IT-related markets were affected negatively by temporary suspensions of corporate capital investment due to the slowdown
in economic activity. Meanwhile, we have seen a recovery in software demand related to work-style reform and labor shortages
during the COVID-19 pandemic.
The e-book market continues its upward trajectory, driven by a growing user base and new lifestyles in this time of the newnormal caused by voluntary restraints on non-essential travel outside the home.
In this operating environment, the Infocom Group medium-term management plan (April 2020 to March 2023) emphasized
two fundamental policies: (1) pursue growth and (2) continue to build a strong foundation to support growth. To this end, we
identified the E-comic and Health IT businesses as priority businesses. In these areas, we pursued continued growth, anevolution into a services-oriented business, and co-creation (M&A, overseas expansion).
As a result, the Infocom Group generated net sales of ¥68,055 million for current consolidated fiscal year, up 16.6% comparedto the previous fiscal year. Operating profit rose 31.7% to ¥10,812 million and ordinary profit rose 32.3% to ¥10,936 million.
Profit attributable to owners of the parent increased 13.2% to ¥6,276 million.
We recorded ¥1,002 million in impairment losses for the current consolidated fiscal year, posted under extraordinary loss, after
reviewing the progress of initial business plans and future business outlook, etc., related to goodwill recorded at the time we
acquired stock in an e-comic business in South Korea and in a nursing professional recruitment business in Japan.
The following paragraphs describe our results by segment.
(i) Digital Entertainment GroupOur Digital Entertainment Group recorded sales of ¥44,027 million for the consolidated fiscal year (+33.5% year on year) andoperating profit of ¥7,909 million (+59.7%).
We implemented successful measures in our e-comic distribution service, Mecha Comic, using data analysis (free series,
exclusive first run distributions, original comics, etc.), and the business experienced increased demand due to stay-at-homerequests by the government. Although the impact of pirate sites became more apparent in Q4, sales increased substantially,
exceeding ¥40 billion for the first time since the launch of this service.
(ii) Business Solution Group
Our Business Solution Group recorded sales of ¥24,027 million for the consolidated fiscal year (-5.4% year on year) andoperating profit of ¥2,892 million (-11.0%).
Sales to hospitals in our Health IT business during the first half were impacted by a negative rebound from special demand in
the prior year (change in imperial era, consumption tax hike). However, we saw a recovery in performance toward the end of
the fiscal year. Further, our efforts in sales activities for corporate IT services and other measures secured sales results thatwere level with the previous year.

－

3

－

2) Overview of Financial Position for the Current Fiscal Year
Despite a decrease in goodwill due to the recording of impairment losses, total assets increased ¥8,348 million compared withthe end of the previous consolidated fiscal year, amounting to ¥56,435 million. This result was mainly due to an increase in
cash and cash deposits, as well as an increase in investment securities stemming from a rise in market value. Total liabilities
rose ¥2,668 million to ¥14,596 million due to an increase in accounts payable-trade, income taxes payable, and accrued
consumption taxes. Net assets rose ¥5,679 million compared with the end of the previous consolidated fiscal year, reaching¥41,839 million.
3) Overview of Cash Flows for the Current Fiscal Year
Cash and cash equivalents as of March 31, 2021, amounted to ¥29,956 million, up ¥6,465 million from one year earlier. The
following paragraphs describe cash flows and reasons for major changes in cash flows.
[Cash flows from operating activities]
Net cash provided by operating activities amounted to ¥9,871 million (¥7,355 million in the previous fiscal year). This result
was mainly due to increases stemming from profit before income taxes of ¥9,721 million (¥8,040 million in the previous fiscal
year), depreciation (non-cash item) of ¥1,142 million (¥1,023 million), and impairment loss of ¥1,002 million (¥94 million).
These increases were offset in part by a decrease stemming from ¥2,370 million in income taxes paid (¥2,653 million).
[Cash flows from investing activities]
Net cash used in investing activities amounted to ¥1,643 million (¥2,472 million in the previous fiscal year). This result was
mainly due to cash outlays of ¥767 million in acquisition of software and other intangible fixed assets (¥691 million in theprevious fiscal year) and outlays of ¥478 million in guarantee deposits for the relocation of our headquarters (¥90 million).
[Cash flows from financing activities]
Net cash used in financing activities amounted to ¥1,761 million (¥1,546 million in the previous fiscal year). This result was
mainly due to cash outlays of ¥1,697 million in dividend payments (¥1,477 million).
(Reference) Changes in cash flow indicators
3/20173/20183/20193/20203/2021Equity ratio (%)

72.2

73.8

74.6

74.4

73.5

Equity ratio based on market value (%)

161.4

158.1

230.7

280.8

273.1

－

－

－

－

－

1,643.9

3,239.6

3,390.9

4,406.2

9,377.1

Interest-bearing debt to cash flow ratio (year)
Interest coverage ratio(Notes) Equity ratio: Equity / total assets
Equity ratio based on market value: Total market capitalization / total assets
Interest-bearing debt to cash flow ratio: Interest-bearing debt / operating cash flow
Interest coverage ratio: Operating cash flow / interest payments
Indicators are calculated based on consolidated financial figures.
Stock market capitalization is calculated by multiplying the closing stock price by the total number of issued
shares at the end of the fiscal year (excluding treasury shares).
Operating cash flow uses cash flows from operating activities in the consolidated statements of cash flows.
Interest-bearing debt includes all interest-bearing liabilities recorded on the consolidated balance sheet. Interest
payments refers to the amount of interest paid per the consolidated statement of cash flows.

－

4

－

4) Outlook for the Next Fiscal Year
The Japanese economy is expected to gradually recover with the greater adoption of measures to prevent the spread of
COVID-19 and larger number of effective vaccinations. At this time, however, it remains unclear as to when the pandemic willsubside, and the future is uncertain.
The IT-related market should see a recovery in IT demand with greater acceptance of the new normal. Factors include thespread of telework, society-wide digitization, expanded use of cloud services, greater adoption of AI in business, and improved
business processes.
We assume the e-book market will settle over the first half of the fiscal year, despite the negative impact of pirate sites. We
forecast that the e-book market will continue to grow due to new reading habits incorporating smartphones, the further
expansion of the user base, and the full-scale spread of 5G.
In this environment, the Infocom Group medium-term management plan (April 2020 to March 2023) emphasizes two
fundamental policies: (1) pursue growth and (2) continue to build a strong foundation to support growth. To this end, we haveidentified the E-comic and Health IT businesses as priority businesses. In addition, we plan to relocate our headquarters during
the fiscal year ending March 31, 2022, reflecting new work-style reforms that include and incorporate Activity-Based Working.
For the fiscal year ending March 31, 2022, we anticipate net sales of ¥77,000 million (+13.1% year on year), operating profitof ¥11,000 million (+1.7%), ordinary profit of ¥11,000 million (+0.6%), and net income attributable to owners of parent of¥7,300 million (+16.3%).
The above-stated performance forecasts are based on information as of the date these materials were released. Accordingly,
actual results may differ materially from these forecasts, due to a variety of future factors.
5) Basic Policy on Distribution of Profit and Dividends for the Fiscal Years to March 31, 2021 and 2022
We consider the stable return of profits an important management priority for raising shareholder value. Balancing demands for
cash, we strive to maintain a sound financial structure and prioritize investments to expand our businesses over the medium tolong term. At the same time, we aim to provide stable dividends, targeting a dividend payout ratio of 30% and raising
dividends in line with increases in operating performance.
For the fiscal year ended March 31, 2021, we plan to propose a year-end dividend of ¥27 per share at the 39th Ordinary
General Meeting of Shareholders.
For the fiscal year ending March 31, 2022, we plan to pay an annual dividend of ¥40 per share, consisting of an interim
dividend of ¥13 yen per share and a year-end dividend of ¥27 per share.

2. Basic Perspective on Selection of Accounting Standards
Our company applies Japanese standards.
We are preparing for the application of IFRS, and to this end we are developing a Group settlement system and in-house
manual. We are also considering the timing for the application of IFRS.

－

5

－

3. Consolidated Financial Statements and Major Notes(1) Consolidated Balance Sheet(Unit: million yen)
As of March 31, 2020
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Inventories
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Leased asset
Accumulated depreciation
Leased asset (net)
Construction in progress
Total tangible fixed assets
Intangible assets
Software
Goodwill
Other
Total intangible assets
Investment and other assets
Investment securities
Shares of subsidiaries and associates
Deferred tax assets
Other
Allowance for doubtful accounts
Total investment and other assets
Total non-current assets
Total assets

－

6

－

As of March 31, 2021

23,491
11,459
392
1,099
(6)
36,43629,956
12,502
167
1,345
(7)
43,964

684
(428)
256
1
(1)
0
1,484
(920)
564
382
(255)
127
18
965

1,023
(541)
481
1
(1)
0
1,548
(1,049)
499
365
(291)
73
0
1,054

1,585
1,195
36
2,818

1,592
－
47
1,639

5,964
237
758
1,037
(132)
7,867
11,651
48,087

7,494
242
686
1,551
(198)
9,776
12,471
56,435

(Unit: million yen)
As of March 31, 2020
Liabilities
Current liabilities
Accounts payable-trade
Lease obligations
Accounts payable - other
Income taxes payable
Accrued consumption taxes
Advances received
Provision for bonuses
Provision for loss on order received
Other
Total current liabilities
Non-current liabilities
Lease obligations
Retirement benefit liability
Deferred tax liabilities
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Total accumulated other comprehensive income
Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

－

7

－

As of March 31, 2021

4,564
59
1,851
1,346
868
759
1,411
69
873
11,804

4,975
48
1,768
2,729
1,189
901
1,402
－
1,225
14,241

81
8
－
32
123
11,927

32
16
235
70
355
14,5961,590
1,456
32,900(805)
35,1401,590
1,556
37,479(795)
39,829

740
0
(94)
646
177
194
36,15948,087

1,827
－
(153)
1,673
228
107
41,83956,435

(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Unit: million yen)
Fiscal year ended
March 31, 2020
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest and dividend income
Share of profit of entities accounted for using equity method
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Share of loss of entities accounted for using equity method
Partnership losses
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of investment securities
Total extraordinary income
Extraordinary losses
Impairment loss
Loss on retirement of non-current assets
Loss on valuation of shares of subsidiaries and associates
Loss on valuation of investment securities
Provision of allowance for doubtful accounts
Other
Total extraordinary losses
Profit before income taxes
Income taxes – current
Income taxes - deferred
Total income tax
ProfitLoss attributable to non-controlling interests
Profit attributable to owners of the parent

－

8

－

Fiscal year ended
March 31, 2021

58,37530,10328,271
20,0608,211

68,05534,34733,70822,896
10,812

79
－
3
83

102
8
18
130

1
3
1
20
0
26
8,268

1
1
－
3
0
5
10,936

2
2

0
0

94
8
21
40
63
3
230
8,040
2,522
(5)
2,516
5,523
(20)
5,543

1,002
14
－
23
172
3
1,215
9,721
3,705
(171)
3,533
6,188
(88)
6,276

Consolidated Statement of Comprehensive Income(Unit: million yen)
Fiscal year ended
March 31, 2020
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests－

9－

Fiscal year ended
March 31, 2021
5,523

6,188

(808)
(1)
(40)
(850)
4,673

1,086
(0)
(58)
1,028
7,216

4,696

7,303

(23)

(87)

3) Consolidated statement of changes in equity
Fiscal year ended March 31, 2020 (Unit: million yen)
Shareholders’ equity
Share capital
Balance at beginning of period

Capital surplus

1,590

Retained earnings

Treasury shares

Total shareholders’equity28,833(816)

31,054

1,447

Changes in items during period
Dividends of surplus(1,477)(1,477)

Profit attributable to owners of theparent

5,543

5,543

Purchase of treasury shares
Disposal of treasury shares

9

(0)

(0)

10

20

Net changes in items other thanshareholders' equity
Total changes in items during period
Balance at end of period

－

9

4,066

10

4,086

1,590

1,456

32,900(805)

35,140

Accumulated other comprehensive income
Valuationdifference on
availablefor-salesecurities
Balance at beginning of period

Deferred
gains orlosses onhedges1,549

Foreigncurrencytranslation
adjustment
1

(58)

Total
Share
accumulated acquisition
otherrightscomprehensive
income1,492

157

Noncontrollinginterests

2

Total net
assets32,707

Changes in items during period
Dividends of surplus(1,477)

Profit attributable to owners of theparent

5,543

Purchase of treasury shares(0)

Disposal of treasury shares

20

Net changes in items other thanshareholders' equity

(808)

(1)

(36)

(846)

20

191

(634)

Total changes in items during period

(808)

(1)

(36)

(846)

20

191

3,451

Balance at end of period

740

0

(94)

646

177

194

36,159－10－

Fiscal year ended March 31, 2021 (Unit: million yen)
Shareholders’ equity
Share capital
Balance at beginning of period

Capital surplus

1,590

Retained earnings

Treasury shares

Total shareholders’equity32,900(805)

35,1401,456

Changes in items during period
Dividends of surplus(1,697)(1,697)

Profit attributable to owners of theparent

6,276

6,276

Restricted stock compensation

99

10

109

Net changes in items other thanshareholders' equity
Total changes in items during period
Balance at end of period

－

99

4,578

10

4,688

1,590

1,556

37,479(795)

39,829

Accumulated other comprehensive income
Valuationdifference on
availablefor-salesecurities
Balance at beginning of period

Deferred
gains orlosses onhedges740

Foreigncurrencytranslation
adjustment
0

(94)

Total
Share
accumulated acquisition
otherrightscomprehensive
income646

177

Noncontrollinginterests

194

Total net
assets36,159Changes in items during period
Dividends of surplus(1,697)

Profit attributable to owners of theparent6,276

Restricted stock compensation

109

Net changes in items other thanshareholders' equity

1,086

(0)

(58)

1,027

50

(86)

991

Total changes in items during period

1,086

(0)

(58)

1,027

50

(86)

5,679

Balance at end of period

1,827

－

(153)

1,673

228

107

41,839－11－4) Consolidated Statement of Cash Flows(Unit: million yen)
Fiscal year ended
March 31, 2020
Cash flows from operating activities
Profit before income taxes
Depreciation
Impairment loss
Share-based remuneration expenses
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for loss on order received
Interest and dividend income
Loss on valuation of shares of subsidiaries and associates
Loss (gain) on valuation of investment securities
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Decrease (increase) in other assets
Increase (decrease) in trade payables
Increase (decrease) in other liabilities
SubtotalInterest and dividend income received
Interest paid
Income taxes paid
Net cash provided by operating activities
Cash flows from investment activities
Purchase of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Purchase of shares of subsidiaries resulting in change inscope of consolidation
Payments of guarantee deposits
Proceeds from refund of guarantee deposits
Other, net
Net cash used in investing activities
Cash flows from financing activities
Repayment of lease obligations
Dividends paid
Other, net
Net cash 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, beginning of period
Cash and cash equivalents, end of period

－

12

－

Fiscal year ended
March 31, 2021

8,040
1,023
94
40
157
62
184
(88)
(79)
21
40
(834)
165
79
406
617
9,931
79
(1)
(2,653)
7,355

9,721
1,142
1,002
77
210
172
(8)
(69)
(102)
－
23
(1,045)
224
(197)
413
572
12,137105(1)(2,370)
9,871

(349)
(691)
(275)

(244)
(767)
(178)

(1,092)

－

(90)
7
19
(2,472)(478)
2
23(1,643)(62)(1,477)(7)(1,546)(23)
3,313
20,17723,491(54)(1,697)(9)(1,761)(1)
6,465
23,491
29,956

(5) Notes on the consolidated financial statements(Note on going concern assumption)
Not applicable(Segment information)
1. Overview of reportable segments
Infocom Group reportable segments are business units of the group for which discrete financial information is available
and whose operating results are regularly reviewed by the board of directors, which makes decisions about resources to beallocated to the segment and assesses segment performance.
The Group has two reportable segments: the Digital Entertainment segment and the Business Solution segment.
The Digital Entertainment segment offers BtoC e-comic distribution services for smartphones and mobile devices.
The Business Solution segment provides IT services such as planning, development, operation and management of
information systems. This segment sells services to companies, pharmaceutical and medical institutions, care providers,public research institutes, and educational research facilities.
2. Method of calculating sales, profit or loss, assets, liabilities, and other items by reportable segment
Reportable segment profits are based on operating profit. Intersegment sales or transfers are based on prevailing market
prices.
3. Information related to sales, profits or losses, assets, liabilities, and other items by reportable segment
Fiscal year ended March 31, 2020

DigitalEntertainment

Business
Solution

Adjustments(Note 1)

Total

(Unit: million yen)Amount recorded in the
consolidated financial
statements (Note 2)

Net sales
32,98325,39158,375－58,375

0

101

102

(102)

－

32,98325,49358,477(102)

58,375

Segment profit

4,951

3,250

8,201

9

8,211

Segment assets

19,456

17,38636,843

11,24448,087

Depreciation

65

958

1,023

－

1,023

Amortization of goodwill

80

76

157

－

157

(1)

－

(1)

－

(1)

Investment in entities accounted
for using equity method

184

－

184

－

184

Impairment loss

－

94

94

－

94

Increase in property, plant andequipment and intangible assets

226

843

1,069

－

1,069

Sales to external customers
Intersegment sales or transfers
Total

Other items

Share of profit of entities
accounted for using equity
method(Notes) 1. Adjustment amounts are as follows.
(1) The segment profit adjustment of ¥9 million is for the elimination of intersegment transactions and corporate expenses.
(2) The segment asset adjustment of ¥11,244 million includes ¥8,886 million for the elimination of receivables from theheadquarters management department and ¥20,130 million corporate assets not allocated to individual reportablesegments. Corporate assets are mainly cash and cash equivalents at the Company, and assets related to theadministration department.
2. Segment profit is adjusted in operating profit in the consolidated income statement.
－

13

－

Fiscal year ended March 31, 2021

DigitalEntertainment

Business
Solution

Adjustments(Note 1)

Total

(Unit: million yen)Amount recorded in the
consolidated financial
statements (Note 2)

Net sales
44,02724,02768,055－68,055

0

182

182

(182)

－

44,02824,20968,238(182)

68,055

Segment profit

7,909

2,892

10,802

9

10,812

Segment assets

25,571

18,383

43,954

12,48056,435

Depreciation

191

950

1,142

－

1,142

Amortization of goodwill

108

101

210

－

210

Share of profit of entities
accounted for using equity

8

－

8

－

8

189

－

189

－

189

Impairment loss

358

643

1,002

－

1,002

Increase in property, plant andequipment and intangible assets

265

642

908

－

908

Sales to external customers
Intersegment sales or transfers
Total

Other items

methodInvestment in entities accounted
for using equity method(Notes) 1. Adjustment amounts are as follows.
(1) The segment profit adjustment of ¥9 million is for the elimination of intersegment transactions and corporate
expenses.
(2) The segment asset adjustment of ¥12,480 million includes ¥14,617 million for the elimination of receivables from theheadquarters management department and ¥27,098 million corporate assets not allocated to individual reportablesegments. Corporate assets are mainly cash and cash equivalents at the Company, and assets related to theadministration department.
2. Segment profit is adjusted in operating profit in the consolidated income statement.

－

14

－

(Per share information)(Unit: yen)
Fiscal year ended
March 31, 2020

Fiscal year ended
March 31, 2021

Net assets per share

653.82757.76

Net income per share

101.32114.61

Diluted net income per share

100.86114.10(Note 1). The basis for calculating net income per share and diluted net income per share is as follows.
(Unit: million yen)
Fiscal year ended
March 31, 2020

Fiscal year ended
March 31, 2021

Net income per share
Net income attributable to owners of parent

5,543

6,276

－

－

5,543

6,276

54,714,477

54,759,562－－

Increase in common stock

245,931

243,554(Of which, share acquisition rights)(245,931)(243,554)－－

Net income not attributable to owners of parent
Net income attributable to owners of parent related to common stock
Average number of common shares during the period

Diluted net income per share
Adjusted net income attributable to owners of parent

Overview of potential shares not included in the calculation of diluted
net income per share as they have no dilutive effect(Note 2). The basis for calculating net assets per share is as follows.
(Unit: million yen)
As of March 31, 2020
Total net assets

As of March 31, 2021

36,15941,839372

336(Of which, share acquisition rights)

(177)

(228)

(Of which, non-controlling interests)

(194)

(107)

35,786

41,50354,734,777

54,770,577

Deductions from total net assets

Net assets at the end of the fiscal year related to ordinary shares
Number of common shares at the end of the fiscal year used to calculate
net assets per share(Important subsequent events)
Not applicable－15－