Consolidated Financial Results for the First Three Months of the
Fiscal Year Ending March 31, 2021 [Japanese GAAP]
July 30 2020
Company name: TOKAI Holdings Corporation
Stock listing:Tokyo Stock Exchange
Stock code:
3167
URL:
https://tokaiholdings.co.jp
Representative:
Katsukiho Tokita, President & CEO
Contact:
Junichi Yamada, Managing Executive Officer, General Manager of General Affairs Division
Headquarters
Telephone: +81-54-275-0007
Scheduled date of filing quarterly report:
August 7, 2020
Scheduled date of dividend payment:
Supplementary materials on quarterly financial results:
Yes
Quarterly financial results briefing:No(Figures are rounded to the nearest million yen)

1. Consolidated Financial Results for the Three-months Ended June 30, 2020
(April 1, 2020 to June 30, 2020)(1) Consolidated Operating Results (cumulative)(% figures represent year-on-year changes)

Sales

Operating Profit

Millions of yen%

Millions of yen

Quarterly Net
IncomeAttributable to
Owners of the
ParentRecurring Profit%

Millions ofyen%Millions of yen

Three-months Ended
45,113
3,783
3,830
14.3
-1.5
17.1
June 30, 2020Three-months ended
45,804
3,231
3,351
34.7
2.8
35.2
June 30, 2019
(Note) Comprehensive income: 4,091 million yen in the Three-months Ended June 30, 2020 (98.6%)
2,060 million yen in the Three-months ended June 30, 2019 (52.1%)
Quarterly Net Income
per Share
Three-months Ended
June 30, 2020Three-months ended
June 30, 2019

%

2,445

9.2

2,239

56.3

Quarterly Net Income
per Share (Diluted)

Yen

Yen

16.68

-

17.10

-

(2) Consolidated Financial Position
Total Assets

Net Assets

Millions of yen

Millions of yen

Equity Ratio%

Three-months Ended
168,253
68,228June 30, 2020
Year ended
169,972
65,982
March 31, 2020
(Reference) Equity: 66,813 million yen for the Three-months Ended June 30, 2020
64,595 million yen for the year ended March 31, 2020

39.7
38.0

2. Dividends
End of Q1

End of Q2

Annual Dividend
End of Q3

Year-end

Total

Yen

Yen

Yen

Yen

Yen

Year ended March 31, 2020

―

14.00

―

14.00

28.00

Year ending March 31, 2021

―
―

14.00

28.00

Year ending March 31, 2021
14.00
(Forecast)(Note) Revisions to most recently announced dividend forecasts: No

3. Consolidated Earnings Forecasts for the Year Ending March 31, 2021 (April 1, 2020 to March 31, 2021)(% figures represent year-on-year changes)

Sales
Millions ofyen%Operating Profit

Recurring Profit

Net Income
Attributable to
Owners of the
ParentMillions ofyenMillions ofyen%Millions of
yen

%

Yen

2.7

8,460

2.7

64.60

%

Year ending March
205,300
4.8
15,0005.5
14,87031, 2021(Note) Revisions to most recently announced earnings forecasts: No

Net Income
per Share

業績予想欄については、上場会社各社の実情に応じて、開示対象項目や開示対象期間の追加又は削除、開示形式の変更を行うことが可能です。
*Notes(1) Changes in significant subsidiaries during the period under review (changes in specified subsidiaries affecting the scope of consolidation): No(2) Application of special accounting procedures in the preparation of quarterly consolidated financial statements: No(3) Changes in accounting policies, estimates, and restatements
1) Changes in accounting policies accompanying revisions in accounting standards, etc.: No
2) Changes in accounting policies other than 1): No
3) Changes in accounting estimates: No4) Restatements: No(4) Number of shares issued (common stock)
1) Shares issued at the end of each period (including treasury stock):

Q1 FY3/2021

139,679,977 shares FY3/2020

139,679,977 shares

2) Number of shares of treasury stock at the end of each period:

Q1 FY3/2021

8,722,355 shares FY3/2020

8,722,345 shares

3) Average number of shares during the period (cumulative):

Q1 FY3/2021

130,957,632 shares Q1 FY3/2020

130,948,486 shares(Note) Board benefit trust shares(BBT) is included in the number of year-end treasury stock.(400,700 stocks at Q1 FY3/2021, 410,800
stocks at Q1 FY3/2020) And the company shares held in ESOP trust accounts are included in the treasury stock, which is
subtracted from calculations of the average number of shares during the period (400,700 shares for the Three-months Ended June
31, 2020; 410,800 shares for the Three-months ended June 30, 2019).

* Quarterly financial results not covered by quarterly review* Explanation regarding the Appropriate Uses of Earnings Forecasts and Other Notes
All earnings forecasts provided within this document are based on the most accurate information available at the time of the release of thisdocument. Actual results may differ from forecasts due to various factors going forward.

[Attachment]
Contents
1. Qualitative Information on Financial Results for the Period Under Review(1)

Explanation of Consolidated Operating Performance ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 2(2)

Explanation of Consolidated Financial Conditionꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 4(3)

Explanation of Consolidated Earnings Forecasts and Other Forward-Looking Information ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 5

2. Quarterly Consolidated Financial Statements and Notes(1)

Quarterly Consolidated Balance Sheets ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 6(2)

Quarterly Consolidated Statements of Income, Consolidated Statements of Comprehensive Income ꞏꞏꞏꞏꞏꞏ 8(3)

Quarterly Consolidated Statements of Cash Flows ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 10(4)

Notes to the Quarterly Consolidated Financial Statements ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 11(Notes to the Premise of Going Concern) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 11(Notes to the Significant Changes in Shareholders’ Equity) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 11(Segment Information) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 111

1. Qualitative Information on Financial Results for the Period Under Review(1) Explanation of Consolidated Operating Performance
In the first three months of the fiscal year ending March 31, 2021, the Japanese economy rapidly
deteriorated due to impact from the novel coronavirus disease (COVID-19) pandemic, and domestic
and foreign demand both declined substantially. Voices in the economy are now calling for social andeconomic activities to be incrementally leveled up while implementing measures aimed at preventing
the spread of COVID-19. However, future trends remain clouded by profound uncertainty.
Under these conditions, the TOKAI Group entered the fourth and final year of its medium-term
management plan, Innovation Plan 2020 “JUMP.” The Group’s primary earnings base rests on its
ongoing business with general consumers. Furthermore, we strive to provide daily life-related
infrastructure to all households and have assumed direct responsibility for customer contact points.
Consistent with these efforts, we regard business continuity and preventing the spread of COVID-19
through appropriate countermeasures and policies that protect customer and employee safety as toppriority issues. Accordingly, we have endeavored to handle these issues through meticulous andcareful response.
We modified our operating activities by utilizing communication tools, including online conferencing
systems that meet the needs of our customers, making appointments in advance when visiting for inperson meetings, and thoroughly implementing measures aimed at preventing the spread of COVID19. As of June 30, 2020, the number of continuing customers rose by 9,000 from March 31, 2020, to
3,012,000, and members of the TLC Membership Service increased by 22,000 to 917,000.
As a result of these circumstances, the Group booked sales of 45,113 million yen (-1.5% year on year)
in the three months ended June 30, 2020. The decline in sales occurred despite an increase incustomer count due in part to a decrease in gas selling prices associated with a drop in procurement
prices. Meanwhile, we achieved first-quarter increases in all profit categories for the third straightperiod as all three profit lines reached record highs. Operating profit came to 3,783 million yen(+17.1% year on year), recurring profit was 3,830 million yen (+14.3% year on year), and net income
attributable to owners of the parent finished at 2,445 million yen (+9.2% year on year).
Through our LP gas business, we established new sales bases during June 2020 in Kasugai, Aichi
Prefecture and Yokkaichi, Mie Prefecture with the goal of expanding our share in the Chukyo
metropolitan area. During the same month, we acquired stakes of 45% in MIEN TRUNG GAS JOINTSTOCK COMPANY and V-GAS PETROLEUM CORPORATION, two companies located in theSocialist Republic of Vietnam. Through these acquisitions, we converted these companies into equitymethod affiliates.
Performance by segment is indicated below. Effective from the start of the fiscal year ending March 31,
2021, we have changed the names of our reportable segments as follows: the “Gas and Petroleum”
segment has become the “Energy” segment, and the “Building and Real Estate” segment has beenrenamed the “Construction, Equipment, and Real Estate” segment. These name changes do notaccompany any impact on segment performance.

2

(Energy)
In the LP gas business, customer count rose by 5,000, reaching a total of 657,000 during the threemonths ended June 30, 2020. Despite this growth, sales were 14,796 million yen (-4.2% year on year),declining due primarily to a decrease in selling prices that was linked to a drop in procurement prices.
In the city gas business, the number of customers was 61,000, mostly unchanged from its level at theend of the previous fiscal year. However, sales fell to 2,837 million yen (-9.4% year on year) due in partto a decline in selling prices associated with the gas rate adjustment system.
As a result, segment sales were 17,634 million yen (-5.1% year on year) and segment operating profit
was 1,312 million yen (+47.4% year on year).

(Construction, Equipment, and Real Estate)
In the Construction, Equipment, and Real Estate segment, sales were 3,819 million yen (+1.1% year
on year) and operating profit was 82 million yen (+10.4% year on year), thanks to contributions from
Nissan Tri Star Construction, Inc., which became a consolidated subsidiary during the previous fiscal
year.

(CATV)
Through its CATV business, the Group carefully and steadily maintained its sales activities as a local
service provider amid the COVID-19 crisis. As a result, our broadcasting services customer countincreased to 864,000, up 2,000 from its level as of March 31, 2020, and our communications services
customer count rose by 5,000 to 297,000.
Consequently, segment sales amounted to 8,226 million yen (+6.3% year on year) and segment
operating profit was 1,246 million yen (+6.4% year on year).

(Information and Communications)
In the Information and Communications business for individual customers, the Group responded tointensifying competition from major mobile phone carriers and increasing communications services
demand associated with the COVID-19 pandemic by enhancing set plans accompanying the Hikari
Collaboration, actively expanding sales channels, and acquiring customers. These efforts involved thelaunch of a high 30 GB storage capacity plan for LIBMO, a TOKAI-brand MVNO service. Consequently,
the Group put a stop to the trend of net decrease in individual customers, as the total number ofindividual customers finished at 760,000, on par with its level as of March 31, 2020 (conventional ISP
customers fell by 2,000 to 711,000, and LIBMO customers rose by 2,000 to 50,000). As a result, sales
were 6,586 million yen (-9.7% year on year).
Through its Information and Communications business for corporate clients, the Group made progressin rolling out existing cloud services and expanded its recurring-revenue businesses by acquiring

3

demand related to remote working and teleworking. Consequently, sales were 6,063 million yen(+10.2% year on year).
As a result of these factors, segment sales were 12,650 million yen (-1.1% year on year) and segment
operating profit was 797 million yen (-13.3% year on year).

(Aqua)The number of customers in the Aqua (bottled drinking water delivery) business decreased to 159,000,
down 2,000 from its level as of March 31, 2020. This decline was primarily due to stagnation in eventbased sales and marketing caused by self-imposed operational limitations at shopping malls and othercommercial facilities. At the same time, the number of bottles sold per customer rose as a result of
demand from consumers who refrained from going outdoors in response to the COVID-19 pandemic.
Consequently, segment sales were 1,896 million yen (+5.4% year on year) and segment operating
profit was 194 million yen (+85.6% year on year).

(Others)
Turning to other businesses, sales in the nursing care business totaled 323 million yen (+13.1% year
on year) thanks to contributions from Tender Co., Ltd. (Gero, Gifu Prefecture), which became aconsolidated subsidiary during the previous fiscal year. Sales in the shipbuilding business were 324
million yen (-9.1% year on year), declining due to a decrease in the number of vessels repaired.
Meanwhile, sales in the bridal events business came to 27 million yen (-89.9% year on year). The
substantial decline was primarily due to the temporary closure of GRANDAIR Bouquet TOKAI
implemented in response to the declaration of a state of emergency issued by the Japanese
government.
As a result of these factors, segment sales were 885 million yen (-20.7% year on year) and segment
operating loss was 70 million yen (versus operating profit of 24 million yen in the same period of theprevious fiscal year).

(2) Explanation of Consolidated Financial Position
1) Assets, Liabilities, and Net Assets
As of June 30, 2020, total assets amounted to 168,253 million yen, down 1,719 million yen from March
31, 2020. This mainly reflected a decline of 5,372 million yen in notes and accounts receivable–trade
stemming from seasonal factors, partially offset by an increase of 1,325 million yen in property, plantand equipment mainly caused by business acquisition and a rise of 2,277 million yen in the “other”
account under “investments and other assets” that was primarily due to the acquisition of shares inaffiliated companies.
Total liabilities stood at 100,025 million yen, down 3,964 million yen from March 31, 2020. This wasprimarily due to a decrease of 2,011 million yen in notes and accounts payable–trade stemming fromseasonal factors and a decline of 993 million yen in income taxes payable caused by income tax
4payments.
Net assets totaled 68,228 million yen, up 2,245 million yen from March 31, 2020. This mainly reflected
the booking of 2,445 million yen in net income attributable to owners of the parent, partially offset by adecline of 1,839 million yen due to dividends of surplus.

2) Cash Flows
As of June 30, 2020, cash and cash equivalents stood at 4,273 million yen, up 226 million yen fromMarch 31, 2020.
Cash flows from all activities during the period under review and the factors behind them are as
follows:(Cash flows from operating activities)
Net cash provided by operating activities was 10,837 million yen, up 4,591 million yen from the same
period of the previous fiscal year. Cash inflows stemming primarily from net income before income
taxes, a decrease in trade receivables, and depreciation (a non-cash item) exceeded cash outflows
caused mainly by income taxes paid and a decrease in trade payables.
(Cash flows from investing activities)
Net cash used in investing activities was 7,579 million yen, down 4,352 million yen from the same
period of the previous fiscal year. The primary uses of cash were the purchase of property, plant andequipment and intangible assets, the purchase of shares of subsidiaries and associates, andpayments for the acquisition of businesses.
(Cash flows from financing activities)
Net cash used in financing activities was 3,022 million yen, 188 million yen less than was used during
the same period of the previous fiscal year. The primary uses of cash were repayments of borrowings
and lease obligations and payments of dividends.

(3) Explanation of Consolidated Earnings Forecast and Other Forward-Looking Information
Earnings results for the three months ended June 30, 2020 were generally in line with forecast, and
the Group maintains its consolidated earnings forecast for the fiscal year ending March 31, 2021,
which was announced on May 8, 2020.
The earnings forecast is based on information currently available to the Company. Actual results may
differ from the forecast due to a variety of factors.

5

2. Quarterly Consolidated Financial Statements and Notes(1) Quarterly Consolidated Balance Sheets
Fiscal Year Ended
March 31, 2020
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable–trade
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Land
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Net defined benefit asset
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Deferred assets
Total assets

6(Millions of yen)Three Months Ended
June 30, 2020

4,629
25,859
3,679
944
930
8,623
-399
44,2684,811
20,486
3,408
1,309
938
8,161
-387
38,72834,256
23,77323,06817,25498,35334,332
24,154
23,77017,421
99,6785,125
5,705
10,831

5,442
5,620
11,062

1,601
15,294-377
16,518125,7031
169,972

1,600
17,571-389
18,781
129,5231
168,253

Liabilities
Current liabilities
Notes and accounts payable–trade
Short-term loans payable
Current portion of bonds
Income taxes payable
Provision for loss on litigation
Other provision
Other
Total current liabilities
Non-current liabilities
Bonds payable
Long-term loans payable
Other provision
Net defined benefit liability
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

7

Fiscal Year Ended
March 31, 2020

(Millions of yen)Three Months Ended
June 30, 2020

15,03419,921
118
2,244
1,161
1,782
20,35460,617

13,022
20,152
108
1,251
1,173
205
21,11057,025

112
28,121
238
876
14,02443,372103,989112
27,754
197
882
14,05343,000100,025

14,00025,542
26,426-2,221
63,746

14,00025,542
27,033-2,22164,353

290
-883
-7
1,449
848
1,387
65,982
169,972

822
211
-10
1,435
2,459
1,414
68,228168,253

(2) Quarterly Consolidated Statements of Income, Consolidated Statements of Comprehensive Income(Quarterly Consolidated Statements of Income)(Three Months Ended June 30, 2020)

Sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating profit
Interest income
Dividend income
Commission fee
Share of profit of entities accounted for using equity method
Other
Total non-operating profit
Non-operating expenses
Interest expenses
Share of loss of entities accounted for using equity method
Other
Total non-operating expenses
Recurring profit
Extraordinary income
Gain on sales of non-current assets
Gain on donation of non-current assets
Transmission line facility subsidies
Gain on sales of investment securities
Total extraordinary income
Extraordinary losses
Loss on sales of non-current assets
Loss on retirement of non-current assets
Loss on valuation of investment securities
Provision for loss on litigation
Total extraordinary losses
Quarterly net income before income taxes
Income taxes (current)
Income taxes (deferred)
Total income taxes
Quarterly net income
Quarterly net income attributable to non-controlling interests
Quarterly net income attributable to owners of the parent

8(Millions of yen)Three Months Ended Three Months Ended
June 30, 2019
June 30, 2020
(April 1, 2019 to(April 1, 2020 toJune 30, 2019)
June 30, 2020)
45,804
45,11327,09725,461
18,706
19,651
15,475
15,868
3,231
3,783
2
108
11
43
53
219

2
96
8
－
75
182

78
21
99
3,351

74
30
30
135
3,830

0
38
49
87

4
111
31
146

0
248
248
3,191
1,360
-476
883
2,307
68
2,239

146
61
11
219
3,757
1,552
-276
1,276
2,481
35
2,445

(Consolidated Statements of Comprehensive Income)(Three Months Ended June 30, 2020)

Quarterly net income
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains (losses) on hedges
Foreign currency translation adjustment
Remeasurement of defined benefit plans, net of tax
Share of other comprehensive income of entities
accounted for using the equity method
Total other comprehensive income
Quarterly comprehensive income(Breakdown)
Quarterly comprehensive income attributable to ownersof the parent
Quarterly comprehensive income attributable to noncontrolling interests

9

Three Months Ended
June 30, 2019
(April 1, 2019 toJune 30, 2019)
2,307(Millions of yen)Three Months Ended
June 30, 2020
(April 1, 2020 toJune 30, 2020)
2,481

-193
-6
-1
-46

532
1,095
0
-13

0

-3

-247
2,060

1,610
4,091

1,992

4,056

68

35

(3) Quarterly Consolidated Statements of Cash Flows(Millions of yen)Three Months Ended Three Months Ended
June 30, 2019
June 30, 2020
(April 1, 2019 to(April 1, 2020 toJune 30, 2019)
June 30, 2020)
Cash flows from operating activities
Quarterly net income before income taxes
Depreciation
Amortization of goodwill
Increase (decrease) in provision for bonuses
Increase (decrease) in net defined benefit asset and liability
Interest and dividend income
Loss (gain) on sales of investment securities
Interest expenses(Gain) loss on sales of non-current assets
Loss (gain) on valuation of investment securities
Loss on retirement of non-current assets(Increase) decrease in notes and accounts payable(Increase) decrease in inventories
Decrease (increase) in guarantee deposits
Increase (decrease) in notes and accounts payable – trade
Increase (decrease) in accrued consumption taxes
Increase (decrease) in deposits received
Other
Subtotal
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Interest and dividend income received
Purchase of securities
Proceeds from sales of securities
Purchase of tangible and intangible assets
Proceeds from sales of tangible and intangible assets
Purchase of shares of subsidiaries and associates
Payments for transfer of businessCollection of loans receivable
Other
Net cash provided by (used in) investing activities
Cash flows from financing activities
Interest expenses paid
Net increase (decrease) in short-term loans payable
Repayments of lease obligations
Proceeds from long-term loans payable
Repayment of long-term loans payable
Payments for acquisition of treasury stock
Proceeds from disposal of treasury shares
Cash dividends paid
Other
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

10

3,191
3,525
267
-1,260
-50
-111
-49
78
-0
248
4,305
-477
-99
-1,685
-80
2,764
-821
9,844
-3,599
6,245

3,757
3,643
298
-1,331
-11
-99
－
74
-4
61
146
5,665
-95
1,476
-2,014
-352
2,774
-753
13,235-2,397
10,837123-2
97-3,201
35
-248
-180
3
145
-3,227110-360-4,22956-2,112-1,6303
166-7,579

-76
1,850
-973
-2,216-00-1,755-38-3,210
-1
-194
4,018
3,824

-74
225
-1,035
1,886-2,246-0－-1,759-17-3,022
-8
226
4,046
4,273

(4) Notes on Quarterly Consolidated Financial Statements(Notes on Going Concern Assumptions)Not applicable.
(Notes on Significant Changes in Shareholders’ Equity)
Not applicable.
(Segment Information, etc.)[Segment Information]
I. Three Months Ended June 30, 2019 (April 1, 2019 to June 30, 2019)
Sales and Income of Losses by Reportable Segment(Millions of yen)
Reportable segments
Constru
Information
ction,
Other1andEnergy Equipm CATV
Aqua Subtotal
Communic
ent Real
ationsestateSales
Sales toexternalcustomers
Intersegment
sales andtransfers
Subtotal
Segment income(loss)(Notes)

18,577

3,777

7,738

12,795

39

235

174

899

18,617

4,013

7,913

13,694

890

74

1,171

919

1,798 44,687

6

1,356

1,805 46,044
104

3,161

Total

Adjustments2

Amount inquarterly
consolidated
statements ofIncome3

1,116 45,804－

45,804

1,402-1,402－

1,163 47,207-1,40245,804

45

3,231

46

24

3,186

1. The “Other” category is a business segment not included in the reportable segments. This category includes businesses such as
weddings, ship repair, insurance, and nursing care.
2. Adjustments to segment income (loss) are mainly eliminations due to intersegment transactions.
3. Segment income (loss) is adjusted to match operating profit in the quarterly consolidated statements of income.

II. Three Months Ended June 30, 2020 (April 1, 2020 to June 30, 2020)
Sales and Income of Losses by Reportable Segment(Millions of yen)
Reportable segments
Constru
Information
ction,
Other1andEnergy Equipm CATV
Aqua Subtotal
Communic
ent Real
ationsestateSales
Sales toexternalcustomers
Intersegment
sales andtransfers

17,634

3,819

8,226

12,650

60

222

155

825

Subtotal

17,694

4,042

8,382

13,475

Segment income(loss)

1,312

82

1,246

797

11

1,896 44,227

5

1,269

1,901 45,497
194

3,633

Total

Adjustments2

Amount inquarterly
consolidated
statements ofIncome3

885 45,113－

45,113

1,299-1,299－915 46,412-1,29945,113

220

3,783

29

-70

3,562

(Notes)

1. The “Other” category is a business segment not included in the reportable segments. This category includes businesses such as
weddings, ship repair, insurance, and nursing care.
2. Adjustments to segment income (loss) are mainly eliminations due to intersegment transactions.
3. Segment income (loss) is adjusted to match operating profit in the quarterly consolidated statements of income.

12