Consolidated Financial Results for the First Nine Months of the
Fiscal Year Ending March 31, 2017 [Japanese GAAP]
January 31, 2016
Company name:
Stock code:
Representative:
Contact:

TOKAI Holdings Corporation
Stock listing:Tokyo Stock Exchange
3167
URL:
http://tokaiholdings.co.jp
Katsukiho Tokita, President & CEO
Hiroyuki Ozawa, Managing Executive Officer, General Manager of Administrative Headquarters
Telephone: +81-54-275-0007
Scheduled date of filing quarterly report:
February 13, 2017
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 Nine-months Ended December 31, 2016
(April 1, 2016 to December 31, 2016)(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

Nine-months ended
8,193
8,246 110.3
4,850
127,432(2.1)
104.5
December 31, 2016
Nine-months ended
(4.3)
4,006
(17.7)
3,921 (13.2)
1,395
130,103
December 31, 2015
(Note) Comprehensive income: 6,884 million yen in the Nine-months ended December 31, 2016 (526.8%)
1,098 million yen in the Nine-months ended December 31, 2015 (-50.9%)
Quarterly Net Income
per Share%

247.6(23.3)

Quarterly Net Income
per Share (Diluted)

Yen

Yen

42.71

37.06

12.05

10.91

Total Assets

Net Assets

Equity Ratio

Net Assets per
Share

Millions of yen

Millions of yen

%

Yen

29.1

404.5425.6

362.77Nine-months ended
December 31, 2016
Nine-months ended
December 31, 2015

(2) Consolidated Financial Position

Nine-months ended
157,735
46,728December 31, 2016
Year ended
160,303
41,970March 31, 2016
(Reference) Equity: 45,961 million yen for the Nine-months ended December 31, 2016
41,063 million yen for the year ended March 31, 2016

2. Dividends
End of Q1

End of Q2

Annual Dividend
End of Q3

Yen

Yen

Yen

Year ended March 31, 2016



6.00



Year ending March 31, 2017



11.00

Year-end

Total

Yen

Yen

8.00

14.00

Year ending March 31, 2017

28.00
17.00
(Forecast)(Note) Revisions to most recently announced dividend forecasts: No(Note) The breakdown of the year-end dividen(forcast) are ordinary dividend of 11 yen and commemorative dividend of
6 yen.

3. Consolidated Earnings Forecasts for the Year Ending March 31, 2017 (April 1, 2016 to March 31, 2017)(% figures represent year-on-year changes)

Sales
Millions of yen

Operating Profit%

Millions of yen%

Recurring Profit
Millions of yen

Year ending
179,700(0.7)
12,750 54.7
12,360March 31, 2017
(Note) Revisions to most recently announced earnings forecasts: No

Net Income
Attributable to
Owners of the Parent

Net Income
per Share%

Millions of yen

%

Yen

51.6

6,500

88.0

57.23

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.: Yes
2) Changes in accounting policies other than 1): No
3) Changes in accounting estimates: No4) Restatements: No(Note) For details, please see page 5 of the attached materials: “2. Summary Information (Notes): (3) Changes in Accounting Policies, Estimates,
and Restatements.”(4) Number of shares issued (common stock)
1) Shares issued at the end of each period (including treasury stock):

Q3 FY3/2017

139,679,977 shares FY3/2016

139,679,977 shares

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

Q3 FY3/2017

26,065,711 shares FY3/2016

26,488,216 shares

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

Q3 FY3/2017

113,569,221 shares Q3 FY3/2016

115,825,434 shares(Note) Board benefit trust shares(BBT) is included in the number of year-end treasury stock.(420,000 stocks at Q3 FY3/2017) And thecompany shares held in ESOP trust accounts are included in the treasury stock, which is subtracted from calculations of theaverage number of shares during the period (142,036 shares for the Nine-months ended December 31, 2016; 160,818 shares for
the Nine-months ended December 31, 2015).

*Information Regarding Execution of Quarterly Review ProceduresThis quarterly financial statement is not subject to the quarterly review procedures pursuant to the Financial Instruments and Exchange Act,and the review procedures of quarterly financial statements pursuant to the Financial Instruments and Exchange Act have not been completed
as of the release of this document.

* 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.

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)[Attachment]
Contents
1. Qualitative Information on Financial Results for the Period Under Review(1) Explanation of Consolidated Operating Performance······················································· 2(2) Explanation of Consolidated Financial Condition ···························································· 3(3) Explanation of Consolidated Earnings Forecasts and Other Forward-Looking Information ······· 4
2. Summary Information (Notes)(1) Changes in Significant Subsidiaries During the Period Under Review ································· 6(2) Application of Special Accounting Procedures in the Preparation of
Quarterly Consolidated Financial Statements ································································· 6(3) Changes in Accounting Policies, Estimates, and Restatements ········································· 6(4) Additional Information······························································································· 6
3. Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets ······································································· 8(2) Quarterly Consolidated Statements of Income, Consolidated Statements ofComprehensive Income ·························································································· 10(3) Quarterly Consolidated Statements of Cash Flows························································ 12(4) Notes on Quarterly Consolidated Financial Statements ·················································· 13(Notes on Going Concern Assumptions)····································································· 13(Notes on Significant Changes in Shareholders’ Equity) ················································ 13(Segment Information, etc.) ····················································································· 131Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)

1. Qualitative Information on Financial Results for the Period Under Review(1) Explanation of Consolidated Operating Performance
During the first nine months of the fiscal year ending March 31, 2017, the Japanese economy was in amodest recovery phase. However, the economic outlook remained uncertain, due to volatility risk
stemming from international circumstances, including concerns about economic deceleration in China
and emerging markets and rapid yen depreciation and rising stock prices following the US presidential
election.
The Group’s medium-term management plan, “Innovation Plan 2016 ‘Growing,’” is positioned as aperiod to realize “strengthened business profitability,” and the fiscal year ending March 31, 2017, is the
final year of the plan. The Group has adopted TLC (Total Life Concierge) as its vision, themed onincreasing transaction channels and creating strong customer relationships. Taking this approach, in
April 2016 the Company added electricity services to its existing lineup of household services, including
gas, ISP, CATV, and Aqua. Along with our efforts to attract customers, we focused on acquiring
customers through sales of set offerings of household services (set discounts and the granting of points
depending on the number of contracts).
During the nine months ended December 31, 2016, the Group booked sales of 127,432 million yen(down 2.1% year on year), affected by such factors as a decrease in gas selling prices. However, we
made steady progress on improving earnings in the Hikari Collaboration and Aqua businesses—area of
focus for the fiscal year ending March 31, 2017. As a result, the Company recorded operating profit of
8,193 million yen (up 104.5%), recurring profit of 8,246 million yen (up 110.3%) and quarterly net
income attributable to owners of the parent of 4,850 million yen (up 247.6%).
The number of continuing customers was 2,551 thousand, slightly down from March 31, 2016.
Members of the TLC Membership Service numbered 560 thousand as of December 31, 2016.
Performance by segment was as follows.
(Gas and Petroleum)
In the liquefied petroleum gas (LP gas) business, the number of customers rose by one thousand fromMarch 31, 2016, to 582 thousand, and sales volume of LP gas was flat year on year. Sales were down
year on year as selling prices were lowered during the previous fiscal year to reflect a drop in
procurement prices.
In the city gas business, the number of customers was 54 thousand, unchanged from the level as ofMarch 31, 2016, but sales fell year on year due to a decline in selling prices stemming from the raw
material price adjustment system.
Due to these factors, segment sales came to 51,291 million yen (down 12.1% year on year), but
operating profit was 3,937 million yen (up 5.2%), reflecting a decrease in prices of raw materials for gas.
(Building and Real Estate)
In the Building and Real Estate business, housing sales and orders in the renovation business andother areas declined, leading to segment sales of 12,926 million yen (down 6.2% year on year).
However, earnings increased for building management support services and in other areas, prompting
operating profit of 171 million yen (up 46.4%).

2

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)(CATV)In the CATV business, we worked to acquire new customers through sales of set discount offeringsfor broadcasting and communications, in addition to smartphone set discounts through alliances withmajor mobile phone carriers.
In addition, owing to efforts to improve customer satisfaction such as delivery of regional information
via community channels and reinforcing customer support to prevent cancellations, subscribers to thebroadcasting service increased by 7 thousand from March 31, 2016, to 506 thousand, and subscribers
to telecommunications services increased by 12 thousand from March 31, 2016, to 222 thousand.
Due to an increase in subscribers, segment sales totaled 18,901 million yen (up 3.0% year on year),and combined with cost reductions, operating profit was 1,811 million yen (up 115.1%).
(Information and Communications Service)
In the broadband business, while acquiring new customers, we actively marketed to encourage
existing customers to switch to Hikari Collaboration services “@TCOM Hikari” and “TNC Hikari,” so thenumber of Hikari Collaboration customers increased by 69 thousand from March 31, 2016, to 288
thousand. Amid an increasingly competitive environment due to many new entrants, including major
mobile phone carriers, customers for overall FTTH were 732 thousand, and customers for overall
broadband, which includes ADSL, fell by 25 thousand from March 31, 2016, to 808 thousand.
Segment sales were 36,212 million yen (up 13.2% year on year), primarily owing to increased
customer numbers in Hikari Collaboration, and operating profit surged to 2,147 million yen (up 449.0%).
(Aqua)In the Aqua business, the Company moved forward with sales activities for the “The gift of delicious
water: Ulunom” brand, mainly targeting large-scale commercial facilities, and succeeded in increasing
the number of customers to 135 thousand, up by 2 thousand from March 31, 2016. In line with thisincrease, the number of units sold also rose year on year.
As a result, sales in this segment came to 4,391 million yen (up 6.3% year on year), and by restricting
customer acquisition costs and advertising and promotion costs, we succeeded in moving into the blackin this segment on an operating basis, with operating profit amounting to 145 million yen (from an
operating loss of 1,054 million yen in the same period of the preceding fiscal year).
(Others)
In the nursing care business, an increase in the number of users led to higher sales year on year.
In the ships business, sales were up, as the number of ships repaired increased.
In the bridal events business, the number of couples holding ceremonies and use for special eventswere flat year on year, and sales were correspondingly flat compared with the same period of thepreceding fiscal year.
As a result, segment sales came to 3,708 million yen (up 5.7% year on year), and the operating profit
was 13 million yen (compared with an operating loss of 255 million yen in the same period of thepreceding fiscal year).
(2) Explanation of Consolidated Financial Condition3

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)

1) Assets, Liabilities, and Net Assets
Total assets amounted to 157,735 million yen on December 31, 2016, down 2,567 million yen fromMarch 31, 2016. This decline was mainly attributable to a 2,946 million yen decrease in property, plantand equipment stemming from depreciation.
Total liabilities were 111,007 million yen, down by 7,324 million yen from March 31, 2016. This wasprimarily due to a reduction of 5,732 million yen in interest-bearing debt resulting from repayments ofborrowings.
As of December 31, 2016, net assets totaled 46,728 million yen, up by 4,757 million yen from March
31, 2016. This increase was principally due to the recording of 4,850 million yen in quarterly net income
attributable to owners of the parent and an increase of 1,131 million yen in valuation difference on
available-for-sale securities and 996 million yen in deferred gains (losses) on hedges, despite adecrease of 2,159 million yen due to the payment of dividends from surplus.
2) Cash Flows
Cash and cash equivalents stood at 2,935 million yen as of December 31, 2016, down 1,108 million
yen from March 31, 2016.
Cash flows from each activity during the nine months under review and the factors behind them are as
follows.
(Cash flows from operating activities)
Net cash provided by operating activities was 17,082 million yen (up 8,576 million yen year on year).
Funds increased chiefly due to quarterly net income before income taxes and the effect of depreciation
and amortization expenses (non-cash items).
Although net cash provided by operating activities was up significantly year on year, the rise was due
mainly to an increase in quarterly net income before income taxes, as well as to a partial revision of the
securitization of receivables in the corresponding period of the preceding fiscal year.
(Cash flows from investing activities)
Net cash used in investing activities was 6,929 million yen (up 1,820 million yen year on year). Cashwas used mainly for the acquisition of tangible and intangible assets.
(Cash flows from financing activities)
Net cash used in financing activities was 11,261 million yen (down 11,214 million yen year on year).
This was mainly due to efforts to reduce interest-bearing debt.
Additionally, cash flows from financing activities decreased significantly year on year, but this wasprimarily due to the absence of proceeds from issuance of convertible bonds with stock acquisitionrights, present in the same period of the preceding year, and aggressive efforts to reduce interestbearing debt.
(3) Explanation of Consolidated Earnings Forecasts and Other Forward-Looking Information
The Company maintains its consolidated earnings forecasts for the fiscal year ending March 31, 2017,as announced on October 31, 2016.

4

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)

Forecasts are judgments based on currently available information. Actual performance may differ fromforecasts due to a variety of factors going forward.

5

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)

2. Summary Information (Notes)(1) Changes in Significant Subsidiaries During the Period Under Review
Not applicable.
(2) Application of Special Accounting Procedures in the Preparation of Quarterly Consolidated
Financial Statements
Not applicable.
(3) Changes in Accounting Policies, Estimates, and Restatements(Changes in Accounting Policies)(Application of Practical Solution on a change in depreciation method due to Tax Reform 2016)
In line with revision to the Corporation Tax Act, the Company has applied the “Practical Solution
on a change in depreciation method due to Tax Reform 2016” (Practical Issues Task Force No. 32,
June 17, 2016) from the three months ended June 30, 2016, and the depreciation method forfacilities attached to buildings and structures acquired from April 1, 2016, onward has been changed
from the declining balance method to the straight-line method.
The effect of this change on profit and loss is immaterial.
(4) Additional Information(Application of Implementation Guidance on Recoverability of Deferred Tax Assets)
The Company has applied the “Implementation Guidance on Recoverability of Deferred Tax
Assets” (Accounting Standards Board of Japan Implementation Guidance No. 26, March 28,2016) from the three months ended June 30, 2016.
(Board Benefit Trust (BBT))
1) Overview of the Transaction
At a Board of Directors meeting on May 10, 2016, the Company resolved to implement a new
stock-based compensation system, a Board Benefit Trust, or BBT (“the System” below) withregard to the compensation of the Company’s directors, executive officers, administrative officers,
and the directors and administrative officers of some of the Company’s subsidiaries (excluding
outside directors; “Executives” below). The System was resolved as compensation for Executives
at the 5th Ordinary General Meeting of Shareholders on June 24, 2016.
The System is a stock-based compensation system whereby the Company contributes anappropriate amount of money to a trust and the trust uses this money as funds to acquire sharesof the Company. Shares of the Company or cash equivalent to the market value of shares of theCompany as of the date of Executives’ retirement are paid to Executives in accordance withexecutive stock-based compensation rules stipulated by the Company and Company subsidiaries
covered by the System. In principle, Executives shall receive payment of shares of the Company
or equivalent cash when they retire.
In accordance with the “Practical Solution on Transactions of Delivering the Company’s Own
Stock to Employees etc. through Trusts” (PITF No. 30, March 26, 2015), the gross price method is
employed for this transaction.
2) Shares in the Company Remaining in the Trust
The number of shares in the Company remaining in the Trust shall be recorded as treasury
stock within net assets at the carrying amount of the trust (excluding the amount of ancillary
expenses). As of December 31, 2016, the carrying amount of this treasury stock was 261 million
6

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)

yen, and the number of shares was 420,000.

7

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)

3. Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets
Fiscal Year Ended
March 31, 2016
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

8(Millions of yen)
Nine Months Ended
December 31, 2016

4,077
21,305
4,307
610
694
7,512
(391)
38,117

3,065
20,380
4,217
1,134
729
8,176
(429)
37,27335,17822,074
21,825
15,986
95,06433,531
21,36921,826
15,38992,1186,589
4,350
10,940

6,126
4,823
10,9502,360
14,387(599)
16,149122,15331
160,303

2,426
15,644(701)
17,369120,438
23
157,735

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)

Liabilities
Current liabilities
Notes and accounts payable–trade
Short-term loans payable
Current portion of bonds
Income taxes payable
Accruals
Other
Total current liabilities
Non-current liabilities
Bonds payable
Convertible bonds with stock acquisition rights
Long-term loans payable
Accruals
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 (losses) on hedges
Foreign currency translation adjustment
Remeasurement of defined benefit plans
Total accumulated other comprehensive income
Stock acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

9

Fiscal Year Ended
March 31, 2016

(Millions of yen)
Nine Months Ended
December 31, 2016

13,511
27,828
758
1,954
1,459
17,446
62,95813,192
26,694
758
1,262
195
18,19960,301984
10,00031,83968
308
12,172
55,373
118,332605
10,00027,621
27
348
12,10350,706
111,007

14,00019,2589,870(6,409)36,71914,00019,54812,560(6,467)39,642

1,153
230
1
2,958
4,343
208
699
41,970160,303

2,284
1,226
(34)
2,843
6,319
－
766
46,728
157,735

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)(2) Quarterly Consolidated Statements of Income, Consolidated Statements of Comprehensive Income(Quarterly Consolidated Statements of Income)(Nine Months Ended December 31, 2016)

Sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating profit
Interest income
Dividend income
Commission fee
Other
Total non-operating profit
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Recurring profit
Extraordinary income
Gain on sales of non-current assets
Transmission line facility subsidies
Subsidy income
Gain on sales of investment securities
Gain on reversal of stock acquisition rights
Total extraordinary income
Extraordinary losses
Loss on sales of non-current assets
Loss on retirement of non-current assets
Bad debt losses
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

10(Millions of yen)
Nine Months Ended
Nine Months Ended
December 31, 2015
December 31, 2016
(April 1, 2015 to(April 1, 2016 to
December 31, 2015) December 31, 2016)
130,103
127,432
80,04775,05550,05652,37746,04944,183
4,006
8,193
10
157
61
370
600

8
174
62
314
560

552
133
685
3,921

412
95
507
8,246

6
60
70
－
－
137

5
18
2
0
98
125

0
769
234
1,003
3,055
955
664
1,619
1,436
40
1,395

0
502
－
502
7,869
2,346
612
2,959
4,910
59
4,850

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)(Consolidated Statements of Comprehensive Income)(Nine Months Ended December 31, 2016)

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

11

Nine Months Ended
December 31, 2015
(April 1, 2015 to
December 31, 2015)
1,436(Millions of yen)
Nine Months Ended
December 31, 2016
(April 1, 2016 to
December 31, 2016)
4,910

(129)
(40)
(33)
(128)

1,131
996
(20)
(114)

(6)

(18)

(337)
1,098

1,974
6,884

1,057

6,823

40

60

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)(3) Quarterly Consolidated Statements of Cash Flows(Millions of yen)
Nine Months Ended Nine Months Ended
December 31, 2015 December 31, 2016
(April 1, 2015 to(April 1, 2016 to
December 31,
December 31,
2015)
2016)
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
Interest expenses(Gain) loss on sales of non-current assets
Loss on retirement of non-current assets(Increase) decrease in notes and accounts payable(Increase) decrease in inventories
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
Purchase of tangible and intangible assets
Proceeds from sales of tangible and intangible assets
Collection 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 redemption of bonds payable
Proceeds from issuance of convertible bonds with stock acquisitionrightsPayments for acquisition of treasury stock
Payments made to trust account for purchase of treasury stock
Proceeds from disposal of treasury stock
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

12

3,055
11,008
1,549(1,248)
43
(168)
552
(6)
769
45
(771)
(410)
(1,540)(1,063)(184)
11,631(3,125)
8,505

7,869
10,825904(1,233)
(189)
(183)
412
(5)
502
739
(469)
(391)
(156)
865
794
20,282(3,200)17,082210(11)(9,126)
124
144
(90)
(8,750)228(11)(7,259)150
47(84)(6,929)

(550)
4,568
(2,988)
5,394(11,863)(1,629)

(412)
(650)
(3,008)4,950(9,653)
(379)

9,980

-

(1,059)(743)
283(1,389)
(50)
(47)
3
(288)
2,821
2,533

(262)
(91)
384
(2,146)
7(11,261)
0(1,108)
4,044
2,935

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)(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. Nine Months Ended December 31, 2015 (April 1, 2015 to December 31, 2015)
Sales and Income of Losses by Reportable Segment
Reportable segments
Building
Information
andand
Gas and
CATV
CommuniPetroleum Real
Estatecations

Aqua Subtotal

Other1

Total(Millions of yen)Amount inquarterly
Adjustments2 consolidated
statements ofIncome3

Sales
Sales toexternalcustomers
Intersegment
sales andtransfers

58,348 13,783 18,345

123

721

31,988617

2,302

Subtotal

58,471 14,505 18,963

34,290

Segment
income (loss)

3,742

117

842

4,130 126,596 3,507 130,103-

130,103

3,970(3,970)-4,194 130,426 3,648 134,074(3,970)130,103

223

4,006

64

391 (1,054)

3,829

140

4,038 (255)3,783(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, andnursing 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.

13

Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2017
TOKAI Holdings Corporation (3167)

II. Nine Months Ended December 31, 2016 (April 1, 2016 to December 31, 2016)
Sales and Income of Losses by Reportable Segment
Reportable segments
Information
Building
Other1
Gas andandand Real CATV
Aqua Subtotal
Petroleum
CommuniEstatecations

Total(Millions of yen)Amount inquarterly
Adjustments2 consolidated
statements ofIncome3

Sales
Sales toexternalcustomers
Intersegment
sales andtransfers

51,291

129

Subtotal

51,421

Segment income(loss)

3,937－

127,432

4,469(4,469)－38,498 4,471 128,053 3,849 131,902(4,469)127,432

(33)

8,193

12,926 18,901

36,212 4,391 123,723 3,708 127,432

1,243

2,285

591

14,169 19,492
171

1,811

2,147

79

145

4,329

8,213

140

13

8,226

(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, andnursing 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.

14