Japan Asia Investment Co., Ltd.
Fund Consolidation

This document has been translated from Japanese original for reference purposes only. In
the event of any discrepancy between this translated document and the Japanese original,
the original shall prevail. JAIC assumes no responsibility for this translation or for direct,
indirect or any other forms of damages arising from the translation.

Consolidated Financial Results
for the First Quarter Ended June 30, 2018
[Japanese Standards](Summary of Japanese announcement)
August 13, 2018
Company name:

Japan Asia Investment Co., Ltd.

Listed on:First Section of the Tokyo Stock Exchange (Stock code: 8518)

Head office:Tokyo

Representative:

Tetsuro Shimomura, President and CEO

Contact:

Kenji Kishimoto, Executive Officer

URL: http://www.jaic-vc.co.jp/

Tel: +81-3-3259-8518 (main)
Scheduled date for submission of quarterly report: August 14, 2018
Scheduled date for start of payment of dividends: —The additional materials of the Financial Results: Yes
The briefing session of the Financial Results: No(Throughout this report, fractional amounts have been rounded down to the nearest one million yen.)
1. Consolidated business results for the first quarter ended June 30, 2018 (April 1, 2018 to June 30, 2018)(1) Consolidated results of operations (cumulative total)(Percentages indicate year-on-year increase or decrease)
Operating revenue

Operating income

Ordinary income

Millions of yen % change

Millions of yen % change

Millions of yen % change

Profit attributable toowners of parent
Millions of yen % change

For three months ended
June 30, 2018422

(37.2)

(516)

―

(561)

—

(540)

—

For three months ended
June 30, 2017673

(35.5)

153

356.3

99

—

307

—

(Note) Comprehensive Income
For three months ended June 30, 2018: (546) millions of yen (－%)
For three months ended June 30, 2017: (6) millions of yen (－%)

Yen

Diluted net income
per shareYen(30.51)

―

17.40

17.36

Net income per share
For three months ended
June 30, 2018
For three months ended
June 30, 2017(2) Consolidated financial position

As of June 30, 2018
As of March 31, 2018

Total assets

Net assets

Millions of yen
28,183

Millions of yen
7,806

Equity ratio

27,184

8,053(Reference) Total shareholders' equity As of June 30, 2018: 5,947 millions of yen

1

Net assets per share
%

Yen

21.1

335.9323.9

367.34As of March 31, 2018: 6,503 millions of yen

Japan Asia Investment Co., Ltd.
Fund Consolidation

2. Dividends(Base date)Year ended March
31, 2018
Year ending March
31, 2019
Year ending March
31, 2019 (forecast)End of first quarter
Yen—

Dividends per share
End of third quarter
Yen

End of second quarter
Yen

End of year
Yen

Year
Yen

0.00

—

0.00

0.00

0.00

—

0.00

0.00

—

(Note) Revision of dividends forecast during the current quarterly period: None
3. Outlook for the fiscal year ending March 31, 2019(April 1, 2018 to March 31, 2019)
The private equity investment business conducted by the Group (including investment partnerships) is significantly affected bychanging factors such as stock markets, given the characteristics of the business. In addition, it has been difficult to forecast results
reasonably in the rapidly changing environment. Therefore we do not disclose the results forecast. For the convenience ofinvestors and shareholders, however, we disclose “result forecast consolidated under the Previous Accounting Standard” eventhough it doesn’t have enough rationality. For details, please refer to “2. Outlook for the fiscal year ending March 31, 2019 (April 1,2018 to March 31, 2019)” on page 15.
The “result forecast consolidated under the Previous Accounting Standard” and any other forward-looking statements in thisdocument are based upon the information currently available to JAIC at the time of writing and certain assumptions. The
achievement is not promised. Various factors could cause actual results to differ materially from these result forecasts.
4. Other matters(1) Changes among significant subsidiaries (Changes among specific subsidiaries resulting in changes in the scope of
consolidation): Yes[New 1 company (company name: 1 investment fund)Excluded - company (company name: -)](2) Adoption of specific accounting methods for the preparation of quarterly consolidated financial statements: None
(3) Changes in accounting principles, accounting estimates and correction of prior period errors(i) Changes in accounting principles due to revisions to accounting standards: Yes(ii) Changes other than shown in (i) above: None(iii) Changes in accounting estimates: None(iv) Correction of prior period errors: None
For details, please refer to “3. Consolidated Financial Statements (5) Notes on Quarterly Consolidated Financial Statements(Change in accounting policy)” on page 13.
(4) No. of shares issued and outstanding (common stock)(i) Shares issued and outstanding at
Three months ended
the end of each period (including
June 30, 2018:
treasury stock)(ii) Shares of treasury stock at theThree months ended
end of each period
June 30, 2018:(ii) Average number of shares
Three months ended
during the period (cumulative
June 30, 2018:
quarterly consolidated period)

17,884,392
sharesYear ended March
31, 2018:

17,884,392
shares181,009
sharesYear ended March
31, 2018:

181,009
shares17,703,383
sharesThree months ended
June 30, 2017

17,680,063
shares*The above quarterly financial results are not subject to a quarterly review required under the Financial Instruments andExchange Act.
*Cautionary Statements with Respect to Forward-looking Statements and Other Notes
The additional materials of the Financial Results for the first quarter ended June 30, 2018 will be released on our website
by August 31, 2018.
The “result forecast consolidated under the Previous Accounting Standard” and any other forward-looking statements inthis document are based upon the information currently available to the Group at the time of writing and certain
assumptions. The achievement is not promised. Various factors could cause actual results to differ materially from theseresult forecasts.

2

Japan Asia Investment Co., Ltd.
Fund Consolidation

1. Business Performance and Financial Condition(1) Breakdown of operating revenue and operating cost
(Millions of yen)
For three months ended
June 30, 2017(from April 1, 2017
to June 30, 2017)

For three months ended
June 30, 2018(from April 1, 2018
to June 30, 2018)

For the year ended
March 31, 2018(from April 1, 2017
to March 31, 2018)

Total operating revenue (A)

673

422

8,303

Management fees

37

42

177

Contingency fees

50

-

55

236

81

6,747

Fund interests income etc.

322

289

1,124

Income gains

19

7

68

Other operating revenue

6

2

130

Total operating cost (C)

169

610

5,656

72

67

4,787

51

415

630

Fund interests losses etc.

43

126

232

Other operating cost

1

1

5

Operating gross profit (A) - (C)

504

(187)

2,646

Realized capital gains (B) - (D)

164

13

1,959

Investment income

112

(402)

1,329

For three months ended
June 30, 2017(from April 1, 2017
to June 30, 2017)

For three months ended
June 30, 2018(from April 1, 2018
to June 30, 2018)

Cash flow from operating activities

(377)

(172)

1,870

Cash flow from investing activities

(4)

(25)

238

Cash flow from financing activities(1,453)(1,468)(2,173)

2,970

3,078

4,757

Proceeds of sales of operational
investment securities (B)Cost of securities sold(D)

Investment write-offs & Provision
for allowance for possible
investment losses (E)(B) - (D) – (E)(2) Cash flows

Cash and cash equivalents at the endof period

3(Millions of yen)
For the year ended
March 31, 2018(from April 1, 2017
to March 31, 2018)

Japan Asia Investment Co., Ltd.
Fund Consolidation(3) Operational Investment Securities and Allowance for Possible Investment Loss
(Millions of yen)
As of June 30, 2017
Amount(B)/(A) (%)

As of June 30, 2018
Amount(B)/(A)(%)

As of March 31, 2018
Amount(B)/(A)(%)

Operational Investment Securities(A)

14,458

-

9,819

-

9,349

-

Allowance for Possible Investment
Loss (B)(2,244)15.5(1,493)

15.2(1,535)

16.3(4) Breakdown of Loans payable(Millions of yen）
As of June 30, 2017

As of June 30, 2018

As of March 31, 2018

Total of loans payable

17,433

19,14518,367

Non-consolidated base loans
payable12,675

10,486

11,954Loans payable of SPC etc.

4,757

8,659

6,412

4

Japan Asia Investment Co., Ltd.
Fund Consolidation

2. Business Position(1) Investment activities (JAIC+Funds)i) Breakdown of new investment
For three months ended
June 30, 2017(from April 1, 2017
to June 30, 2017)
AmountNumber of(Millionsofcompaniesyen)

For three months ended
June 30, 2018(from April 1, 2018
to June 30, 2018)
Number ofAmountcompanies (Millions ofyen)

For the year ended
March 31, 2018(from April 1, 2017 toMarch 31, 2018)
Number ofAmountcompanies (Millions of
yen)

Area
Japan

8

588

5

1,343

20

3,639

China, Hong Kong, Taiwan

-

-

1

86

3

191

Southeast Asia

-

-

-

-

-

-

Others

-

-

-

-

1

56

2

190

1

86

5

692

4

265

4

1,323

11

2,681

-

-

-

-

4

231

1

117

-

-

1

146

1

15

1

20

2

84

Industry
QOL(Quality of Life)
Renewable Energy Project
IT/Internet
Machinery/ Precision machine
Service
Others
Total

-

-

-

-

1

50

8

588

6

1,429

24

3,887

ii) Balance of investment
As of June 30, 2017
Number ofcompanies

As of June 30, 2018

Amount(Millions of
yen)

As of March 31, 2018

Number ofcompanies

Amount(Millions ofyen)

Number ofAmountcompanies (Millions of
yen)

Area
Japan

131

10,933

95

8,697

97

7,817

China, Hong Kong, Taiwan

45

5,945

43

4,864

45

5,912

Southeast Asia

5

189

5

189

5

189

Others

6

4

7

61

7

61

36

4,125

30

3,555

30

4,156

28

5,151

26

4,660

24

3,582

67

3,126

56

2,439

58

2,581

10

1,144

7

549

8

863

19

1,518

16

1,262

16

1,242

27

2,007

15

1,346

18

1,555

187

17,073150

13,813

154

13,981

Industry
QOL(Quality of Life)
Renewable Energy Project
IT/Internet
Machinery/ Precision machine
Service
OthersTotal

Note:
1. QOL (Quality of Life); Biotechnology, Medical Service, Welfare Service, Medical Device, Drug Medicine, etc.
2. Investments in funds managed by third parties other than JAIC Group in which the JAIC Group is not involved in the
management, are not included.

5

Japan Asia Investment Co., Ltd.
Fund Consolidation(2) JAIC-Backed IPOs (JAIC+Funds)i)Number of IPOs
For three months ended
June 30, 2017(from April 1, 2017
to June 30, 2017)-

Japan
Overseas
Total

For three months ended
June 30, 2018(from April 1, 2018
to June 30, 2018)-

For the year ended
March 31, 2018(from April 1, 2017
to March 31, 2018)
1 company
1 company
2 companiesii) First price multiple
For three months ended
For three months ended
For the year ended
June 30, 2017
June 30, 2018
March 31, 2018
(April 1, 2017
(April 1, 2018
(April 1, 2017
to June 30, 2017)
to June 30, 2018)
to March 31, 2018)
Japan- times- times
3.1 times
Overseas- times- times
3.2 times
Note: First price multiple = Gross market capitalization at first price/Total our acquisition cost. However, the calculationof the first price multiple does not include the number of companies whose listed shares the group acquired as aresult of equity swaps.
iii) JAIC-Backed IPOs
For three months ended June 30, 2018 (from April 1, 2018 to June 31, 2018)
No applicable items
Fiscal year ended March 31, 2018 (from April 1, 2017 to March 31, 2018)
Company
Date ofMarketBusiness
Name
IPO
Suzhou Institute of Building
Construction survey, new building
5-Sep-17
SSE A-shares
Science Groupmaterials, professional construction- Collection, transport, intermediate
treatment and permanent disposal ofindustrial waste
MIDAC CO., LTD.
22-Dec-17 NSE 2nd Sec.
- Collection, transport andintermediate treatment of general
waste

Head
quarters
China

Japan

(3) Management of Investment Funds (Funds for which JAIC and its Group are responsible for management
and provision of essential information)i) Balance of funds under management
As of June 30, 2017
Total commitment amount ininvestment funds (Millions of yen)

As of June 30, 201828,292

Total commitment amount of JAIC
9,104
group (Millions of yen)
No. of funds
16
Note: Funds being wound up after their maturity are not included in the data above.

As of March 31, 2018

17,601

19,150

5,801

5,867

11

12

ii) Funds newly established or whose assets were increased
For three months ended June 30, 2017 (April 1, 2017 to June 30, 2017)
Newly established
Total commitment amount in investment
funds (Millions of yen)
No. of funds

Assets increased
1,000
1

6

Increase in fund value (Millions of yen )‐No. of funds‐

Japan Asia Investment Co., Ltd.
Fund Consolidation

For three months ended June 30, 2018 (April 1, 2018 to June 30, 2018)
Newly established
Total commitment amount in investment
funds (Millions of yen)
No. of funds

Assets increased‐

Increase in fund value (Millions of yen)‐

No. of funds

600
1

For the year ended March 31, 2018 (April 1, 2017 to March 31, 2018)
Newly established
Total commitment amount in investment
funds (Millions of yen)
No. of funds

Assets increased
1,000
1Increase in fund value (Millions of yen)‐

No. of funds‐iii) Details of funds newly established or whose assets were increased
For three months ended June 30, 2017 (April 1, 2017 to June 30, 2017)
Total commitment amount
Date of
Name of fundin investment funds
establishment（Millions of yen）
Succession Investment
Jun 2017
1,000
Limited Partnership, I

Main investment targets
SMEs in Japan which has successor problem

For three months ended June 30, 2018 (April 1, 2018 to June 30, 2018)
Date of
Increase in fund value
Name of fundassetsMain investment targets（Millions of yen）
increased
Succession Investment
Jun 2018
600
SMEs in Japan which has successor problem
Limited Partnership, Iiv) Funds to reach maturity within three years of the fiscal year-end
For the year ending
For the year ending
March 31, 2019
March 31, 2020
(from April 1, 2018 to(from April 1, 2019 toMarch 31, 2019)
March 31, 2020)
Total commitment amount in
5,523
5,979
investment funds (Millions of yen)
No. of funds

4

3

For the year ending
March 31, 2021
(from April 1, 2020 toMarch 31, 2021)
1,999
1

Notes to tables i) to ⅳ) above:
1. The amounts stated for funds denominated in foreign currencies are calculated on the basis of the exchange rate
prevailing on the final day of the fiscal year-end. Therefore, changes in assets under management include the amountaffected by exchange rates.
2. The total amount of fund is listed as the amount of commitment base.

7

Japan Asia Investment Co., Ltd.
Fund Consolidation

3. Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)
As of March 31, 2018

As of June 30, 2018

AssetsCurrent assets
Cash and deposits

9,019

Operational investment securities

5,897

9,394

9,819

(1,535)(1,493)Operating loans

204

204

Other

614

1,039

Allowance for possible investment loss

Allowance for doubtful accounts
Total current assets

(39)

（0）

17,65815,466

Non-current assets
Property, plant and equipment
Buildings and structures29

29

Accumulated depreciation

(15)

(15)

Buildings and structures, net

14

14

4,223

7,030

Machinery and equipment
Accumulated depreciation

(257)

(363)

Machinery and equipment, net

3,965

6,666

Vehicles, tools, furniture and fixtures

70

70

Accumulated depreciation

(55)

(56)

Vehicles, tools, furniture and fixtures, net

14

13

Land

22

22

Construction in progress

3,065

3,399

Total property, plant and equipment

7,083

10,117

Other

586

652

Total intangible assets

586

652

1,454

1,476

Claims provable in bankruptcy, claims provable inrehabilitation and other

89

84

Other

331

402

Intangible assets

Investments and other assets
Investment securities

Allowance for doubtful accounts

(18)

(16)

Total investments and other assets

1,856

1,947

Total non-current assets

9,526

12,716

Total assets

27,18428,1838

Japan Asia Investment Co., Ltd.
Fund Consolidation(Millions of yen)
As of March 31, 2018

As of June 30, 2018

Liabilities
Current liabilities
Short-term loans payable

2,222

2,028

Accrued expenses

290

473

Income taxes payable

61

27

Provision for bonuses

51

20

Other

80

273

2,706

2,824

Total current liabilities
Non-current liabilities
Long-term loans payable

16,144

17,116

Deferred tax liabilities

18

22

Net defined benefit liability

112

115

Asset retirement obligations

149

296

Total non-current liabilities

16,424

17,552

Total liabilities

19,131

20,376

Capital stock

5,426

5,426

Capital surplus

3,408

3,408

Retained earnings(2,529)(3,069)Treasury shares

(353)

(353)

Total shareholders' equity

5,951

5,411

Valuation difference on available-for-sale securities

29

60

Foreign currency translation adjustment

522

475

Net assets
Shareholders' equity

Accumulated other comprehensive income

Total accumulated other comprehensive income

551

535

Share acquisition rights

17

18

Non-controlling interests

1,532

1,841

Total net assets

8,053

7,806

Total liabilities and net assets

27,18428,1839

Japan Asia Investment Co., Ltd.
Fund Consolidation(2) Consolidated Statements of Income(Millions of yen)
For three months ended
June 30, 2018(from April 1, 2018
to June 30, 2018)

For three months ended
June 30, 2017(from April 1, 2017
to June 30, 2017)
Operating revenue

673

422

Operating cost

169

610

Operating gross profit (loss)

504

(187)

Selling, general and administrative expenses

351

328

Operating profit (loss)

153

(516)

Non-operating income
Interest income

45Dividend income2416

Foreign exchange gains

024

Miscellaneous income

65

Total non-operating income

35

52

87

95

Non-operating expenses
Interest expenses
Miscellaneous loss

2

2

Total non-operating expenses

89

98

99

(561)

0

－

Ordinary profit (loss)
Extraordinary income
Gain on sales of non-current assets
Insurance income－

34

Subsidy income

217－

Total extraordinary income

217

34

Loss on retirement of non-current assets

0－

Total extraordinary losses

0－Profit (loss) before income taxes

315

(527)

Extraordinary losses

Income taxes - current

2

2

Total income taxes

2

2Profit (loss)

313

(529)

Profit attributable to non-controlling interests

5

10

Profit (loss) attributable to owners of parent

307

(540)

10

Japan Asia Investment Co., Ltd.
Fund Consolidation(3) Consolidated Statements of Comprehensive Income(Millions of yen)
For three months ended
June 30, 2018(from April 1, 2018
to June 30, 2018)

For three months ended
June 30, 2017(from April 1, 2017
to June 30, 2017)
Profit (loss)

313

(529)

Other comprehensive income
Valuation difference on available-for-sale securities

(167)

39

Deferred gains or losses on hedges

(162)

－

Foreign currency translation adjustment

5

(53)

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

5

(2)

(319)

(16)

(6)

(546)

Comprehensive income attributable to owners of parent

67

(556)

Comprehensive income attributable to non-controllinginterests(73)

9

Total other comprehensive income
Comprehensive income
Comprehensive income attributable to11

Japan Asia Investment Co., Ltd.
Fund Consolidation(4) Consolidated Statements of Cash Flows(Millions of yen)
For three months ended
June 30, 2018(from April 1, 2018
to June 30, 2018)

For three months ended
June 30, 2017(from April 1, 2017
to June 30, 2017)
Cash flows from operating activities
Profit (loss) before income taxes

315

Depreciation

(527)

1

4

Increase (decrease) in allowance for investment loss

(17)

(163)

Increase (decrease) in allowance for doubtful accounts

3

(40)

(15)

(30)

Increase (decrease) in provision for bonuses
Increase (decrease) in net defined benefit liability(0)3Interest and dividend income

(25)

(17)

Interest expenses

57

48

Loss on valuation of operational investment securities

0359

Decrease (increase) in investment securities for sale

(368)

249

Decrease (increase) in operating loans receivable

(48)

－

Decrease (increase) in claims provable in bankruptcy,
claims provable in rehabilitation

12

4

Payment for purchase of investment funds

(305)

(251)

Dividends from investment funds

14

135

Increase (decrease) in investment funds of noncontrolling interest

(32)

(10)

Other, net

116

136

Subtotal

(292)

(99)

Interest and dividend income received

25

17Interest expenses paid

(90)

(76)

Income taxes paid

(19)

(13)

Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of intangible assets
Purchase of investment securities

(377)

(172)

－
(7)

(9)
(15)

Proceeds from sales of investment securities－

0

Proceeds from redemption of investment securities－

0

Other, net

2(0)

Net cash provided by (used in) investing activities

(4)

(25)

(1,453)(1,468)Cash flows from financing activities
Repayments of long-term loans payable0－(1,453)(1,468)(9)(13)

Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period(1,844)
4,815(1,679)4,757

Cash and cash equivalents at end of period

2,970

3,078

Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents

12Japan Asia Investment Co., Ltd.
Fund Consolidation(5) Notes on Quarterly Consolidated Financial Statements(Notice Concerning Notes on Matters Regarding the Assumption of Going Concern)
No applicable items(Notice Concerning Notes on Significant Changes in Shareholder’s Equity)
No applicable items(Change in accounting policy)(Application of “Practical Solution on Transactions Granting Employees and Others Stock Acquisition Rights,
which Involve Considerations, with Vesting Conditions, etc.”)
The Company decided to apply “Practical Solution on Transactions Granting Employees and Others Stock
Acquisition Rights, which Involve Considerations, with Vesting Conditions, etc.” (ASBJ Practical Issues Task
Force (“PITF”) No. 36, issued on January 12, 2018; hereinafter referred to as “PITF No. 36”) from April 1,2018 and to account for transactions granting employees and others stock acquisition rights, which involve
considerations, with vesting conditions in accordance with the “Accounting Standard for Stock Options” (ASBJ
Statement No. 8, issued on December 27, 2005) and related guidance.
However, when applying PITF No. 36, the Company complied with the transitional provisions in Paragraph 10,
Item (3) of PITF No. 36 and continued to account for transactions that granted employees and others stockacquisition rights, which involve considerations, with vesting conditions prior to the date of application of PITF
No. 36 in accordance with the previously adopted accounting procedure.

13

Japan Asia Investment Co., Ltd.
Previous Accounting Standard

Information for Reference Purposes:
Consolidated Financial Results
for the First Quarter Ended June 30, 2018
August 13, 2018

Consolidated Financial Statements, etc., under the Previous Accounting Standards
for the First Quarter Ended June 30, 2018

(As of June 30, 2018)

Disclosure of consolidated financial statements, etc., under the Previous accounting standards
As of Fiscal year ended June 30, 2007 the JAIC Group has adopted “Practical Solution on Application of Control Criteria and Influence
Criteria to Investment Associations” (Accounting Standards Board of Japan Practical Issues Task Force No. 20 issued on September 8,2006), and consolidated financial statements, etc., are being prepared with the inclusion in the consolidation of some of the operational
investment funds managed by the Group.
Nevertheless, to enable investors and shareholders to have an accurate understanding of the JAIC Group’s business results and financial
position, we consider it essential also to disclose financial statements, etc., prepared in accordance with the previous accounting standards.
Therefore, for reference purposes, the Group will continue to disclose financial statements, etc., in accordance with the previous accounting
standards.

(Throughout this report, fractional amounts have been rounded down to the nearest one million yen.)
1. Consolidated business results for the first quarter ended June 30, 2018 (April 1, 2018 to June 30, 2018)(1) Consolidated results of operations (cumulative total)(Percentages indicate year-on-year increase or decrease)
Operating revenue

Operating income

Ordinary income

Millions of yen % change

Millions of yen % change

Millions of yen % change

Profit attributable toowners of parent
Millions of yen % change

For three months ended
June 30, 2018
For three months ended
June 30, 2017189(73.6)

(537)

—

(537)

—

(539)

—

717

(20.7)

308

279.6

284

741.9

281

—

Yen

Diluted net income
per shareYen(30.48)

—

15.90

15.86

Net income per share
For three months ended
June 30, 2018
For three months ended
June 30, 2017(2) Consolidated financial position

As of June 30, 2018
As of March 31, 2018

(Reference) Total shareholders' equity

Total assets

Net assets

Millions of yen

Millions of yen

Equity ratio%

17,218

6,013

34.8

Yen
338.3819,220

6,568

34.1

369.75

As of June 30, 2018: 5,990 millions of yen

14

Net assets per share

As of March 31, 2018: 6,545

millions of yen

Japan Asia Investment Co., Ltd.
Previous Accounting Standard
2. Outlook for the fiscal year ending March 31, 2019 (April 1, 2018 to March 31, 2019)
The private equity investment business conducted by the Group is significantly affected by changing factors such as stock markets, given thecharacteristics of the business. In addition, it has been difficult to forecast results reasonably in the rapidly changing environment. Therefore
we do not disclose the results forecast. For the convenience of investors and shareholders, however, we disclose “result forecast
consolidated under the Previous Accounting Standard” even though it doesn’t have enough rationality.
Operating revenues
For the year ending
March 31, 2019

Operating income

Ordinary income

Millions of yen% change

Millions of yen% change

Millions of yen% change

3,450(36.2)

700(31.2)

550(42.4)

Profit attributable to ownersof parent
Millions of yen% change
470(46.2)Net income per share
Yen
For the year ending
March 31, 2019

26.55

(Note) Revision of dividends forecast during the current quarterly period: None
Net income per share in above chart is calculated based on the number of shares issued and outstanding excluding the number of shares oftreasury stock as at June 30, 2018.
The “result forecast consolidated under the Previous Accounting Standard” and any other forward-looking statements in this document are
based upon the information currently available to the Group at the time of writing and certain assumptions. The achievement is not promised.
Various factors could cause actual results to differ materially from these result forecasts.

15

Japan Asia Investment Co., Ltd.
Previous Accounting Standard

3. Business Performance and Financial Condition(1) Breakdown of operating revenue and operating cost

(Millions of yen)

For three months ended
June 30, 2017(from April 1, 2017
to June 30, 2017)

For three months ended
June 30, 2018(from April 1, 2018
to June 30, 2018)

For the year ended
March 31, 2018(from April 1, 2017
to March 31, 2018)

Total operating revenue (A)

717

189

5,403

Management fees

63

65

277

Contingency fees

50

—

86

156

70

3,219

Fund interests income etc.

418

40

1,612

Income gains

19

3

64

Other operating revenue

8

8

142

Total operating cost (C)

101

487

3,074

Cost of securities sold (D)

62

64

2,469

33

415

562

Fund interests losses etc.

4

5

36

Other operating cost

1

1

5

Operating gross profit (A) - (C)

615

(297)

2,328

Realized capital gains (B) - (D)

94

5

749

Investment income

61

(409)

187

Proceeds of sales of operational
investment securities (B)Investment write-offs & Provision
for allowance for possible
investment losses (E)(B) - (D)-(E)(2) Asset, Liability and Net asset(Millions of yen)
As of June 30, 2017

As of June 30, 2018

As of March 31, 2018

Total asset

18,94817,21819,220Total liabilities

13,187

11,204

12,652

12,675

10,486

11,954

5,761

6,013

6,568

5,738

5,990

6,545

Loans payable
Total net asset
Total shareholders’ equity

16

Japan Asia Investment Co., Ltd.
Previous Accounting Standard

4. Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)
As of March 31, 2018

As of June 30, 2018

AssetsCurrent assets
Cash and deposits

7,308

4,695

Operational investment securities

10,844

11,211

Allowance for possible investment loss

(1,230)(1,049)Operating loans

204

204

Other

467

465

Allowance for doubtful accounts
Total current assets

(40)

(0)

17,554

15,527

Non-current assets
Property, plant and equipment
Buildings and structures29

29

Accumulated depreciation

(15)

(15)

Buildings and structures, net

14

14

Vehicles, tools, furniture and fixtures

70

70

Accumulated depreciation

(55)

(56)

Vehicles, tools, furniture and fixtures, net

14

13

Land

22

22

Total property, plant and equipment

51

51

Other

55

61

Total intangible assets

55

61

1,454

1,476

Claims provable in bankruptcy, claims provable inrehabilitation and other

89

84

Other

33

33

Intangible assets

Investments and other assets
Investment securities

Allowance for doubtful accounts

(18)

(16)

Total investments and other assets

1,558

1,577

Total non-current assets

1,665

1,690

Total assets

19,22017,21817

Japan Asia Investment Co., Ltd.
Previous Accounting Standard(Millions of yen)
As of March 31, 2018

As of June 30, 2018

Liabilities
Current liabilities
Short-term loans payable

1,468

1,206

Accrued expenses

156

56

Income taxes payable

61

27

Provision for bonuses

51

20

Other

297

475

2,035

1,785

10,486

9,279

18

22

Total current liabilities
Non-current liabilities
Long-term loans payable
Deferred tax liabilities
Net defined benefit liability

112

115

Total non-current liabilities

10,616

9,418

Total liabilities

12,652

11,204

Capital stock

5,426

5,426

Capital surplus

3,505

3,505

Retained earnings(2,584)(3,124)

Net assets
Shareholders' equity

Treasury shares

(353)

(353)

Total shareholders' equity

5,993

5,453

Valuation difference on available-for-sale securities

332

347

Foreign currency translation adjustment

219

189

Total accumulated other comprehensive income

552

536

Subscription rights to shares

17

18

Non-controlling interests

55

Accumulated other comprehensive income

Total net assets

6,568

6,013

Total liabilities and net assets

19,22017,21818

Japan Asia Investment Co., Ltd.
Previous Accounting Standard(2) Consolidated Statements of Income(Millions of yen)
For three months ended
June 30, 2018(from April 1, 2018
to June 30, 2018)

For three months ended
June 30, 2017(from April 1, 2017
to June 30, 2017)
Operating revenue

717

189

Operating cost

101

487

Operating gross profit (loss)

615

(297)

Selling, general and administrative expenses
Total selling, general and administrative expenses

307

239

Operating profit (loss)

308

(537)

Interest income

44Dividend income2416

Foreign exchange gains

024

Miscellaneous income

65

Total non-operating income

3551Interest expenses

57

48

Miscellaneous loss

22

Non-operating income

Non-operating expenses

Total non-operating expenses

60

50

284

(537)

Gain on sales of non-current assets

0－

Total extraordinary income

0

－

0

－

Ordinary profit (loss)
Extraordinary income

Extraordinary losses
Loss on sales and retirement of non-current assets
Total extraordinary losses

0－Profit (loss) before income taxes

283

(537)

2

2

Income taxes - current
Total income taxes

2

2Profit (loss)

281

(539)

Profit (loss) attributable to owners of parent

281

(539)

19