DAIICHIKOSHO

CO.,

LTD.

FY2013, the year ending March 31, 2014

Flash Report on the Consolidated Results for the Third Quarter EndedDecember 31, 2013 [JGAAP]
February 10, 2014

Company Name:
DAIICHIKOSHO CO., LTD.
Stock Exchange Listing: Tokyo Stock Exchange, JASDAQ
Code Number:
7458
URL:
http://www.dkkaraoke.co.jp
Representative:
Saburo Hayashi, President
Contact:
Shigeki Kobayashi,
Corporate Officer; and General Manager, Accounting Department
Phone:+81-3-3280-2151
Scheduled Date to Submit the Quarterly Securities Report: February 10, 2014
Start Date for Dividend Payment: ―Availability of Supplementary Briefing Material on Quarterly Financial Results: None
Schedule of Quarterly Financial Results Briefing Session: None
(Amounts below one million yen are truncated.)

1. Consolidated Performance for the Third Quarter Ended December 31, 2013 (From April 1, 2013,
to December 31, 2013)(1) Consolidated operating results(Percentage figures indicate increase/decrease from a year earlier.)
Net sales
98,878Operating income
Ordinary income% Millions of yen% Millions of yen%
2.3
15,685
3.5
17,2370.5

96,621

0.7

Millions of yen

Nine months ended
December 31, 2013
Nine months ended
December 31, 201215,155

Net income

3.3

Net income per share

Millions of yen%
Yen
Nine months ended
9,898
(1.0)
165.74
December 31, 2013
Nine months ended
9,994
20.5
161.61
December 31, 2012
(Note) Comprehensive income:Nine months ended December 31, 2013: 8,686 million yen (23.4) %Nine months ended December 31, 2012: 11,346 million yen 33.7 %(2) Consolidated financial position
Total assets
Millions of yen

Net assets
Millions of yen

As of December 31, 2013
160,968
105,117
As of March 31, 2013
159,479
100,315(Reference) Shareholders’ equity:
As of December 31, 2013: 103,989 million yen
As of March 31, 2013: 99,258 million yen

1Equity ratio%
64.6
62.2

17,160

7.6

Fully diluted net income
per share
Yen――

DAIICHIKOSHO

2.

CO.,

LTD.

Dividend
First Quarter
Yen――

Second Quarter
Yen
25.00
30.00

Annual dividend
Third Quarter
Yen――

Year ended March 31, 2013
Year ending March 31, 2014
Year ending March 31, 2014
(forecast)(Note) Changes in dividends forecast from most recently announced figures: NoneYear-end
Yen
35.00
35.00

Total
Yen
60.00
65.00

3. Forecast Consolidated Performance for FY2013, the Year Ending March 31, 2014
(From April 1, 2013, to March 31, 2014)
Net sales
Millions of yen

Year ending March 31,
2014 (full year)

130,000(Percentage figures indicate increase/decrease from a year earlier.)
Operating income
Ordinary income% Millions of yen% Millions of yen%
0.9

19,000Net income
Millions of yen

3.3

20,400(8.4)

Net income per share
Yen%

Year ending March 31,
12,000(6.4)
200.932014 (full year)(Note) Changes in forecast of consolidated operating results from most recently announced figures: None*Notes(1) Significant changes in subsidiaries during the period under review (changes to specific subsidiaries resulting
from changes in scope of consolidation): None
(2) Adoption of special accounting policies for quarterly financial statements: None
(3) Changes in accounting standard, accounting estimation change and error correction
1) Changes due to changes in accounting standard: None
2) Changes due to changes in accounting standard except (3) 1): None
3) Changes due to accounting estimation change: None
4) Error correction: None
1) Number of shares issued
As of59,725,000 As of59,725,000(including treasury stock)
December 31, 2013
shares March 31, 2013
shares2) Number of shares ofAs of
2,714 As of
2,714
treasury stock
December 31, 2013
shares March 31, 2013
shares3) Average number of shares
Nine months ended
59,722,286 Nine months ended
61,841,275
during the period
December 31, 2013
shares December 31, 2012
shares* Presentation regarding the implementation status of the quarterly review:
This flash report on the consolidated results for the Three months is not covered by the quarterly review procedure
stipulated in the Financial Instruments and Exchange Act. At the time of the publication of this report, the quarterly
review procedure for quarterly consolidated financial statements is being implemented.
* Explanation for the appropriate use of performance forecasts and other special notes:
The statements regarding forecast of financial results in this report are based on the information that is available, as
well as estimates, assumptions and projections that are believed to be reasonable at the time of publication.
Therefore, there might be cases in which actual results greatly differ from forecast values.

2

DAIICHIKOSHO

CO.,

LTD.

Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets(Millions of yen)

FY2012(As of March 31, 2013)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Inventories
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Karaoke equipment for rental, net
Karaoke cabin and restaurant facilities, net
Land
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Lease and guarantee deposits
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets

3

Current third quarter(As of December 31,2013)

41,248
8,337
6,718
6,735
(134)
62,36532,676
6,763
6,743
7,864
(145)
53,901

7,598
15,251
24,497
7,135
54,484

8,740
15,861
26,1035,401
56,106

405
5,956
6,361

288
5,804
6,092

18,99813,0604,355(146)
36,268
97,113
159,479

26,405
13,454
5,149(142)
44,866
107,066
160,968DAIICHIKOSHO

CO.,

LTD.

(Millions of yen)

FY2012(As of March 31, 2013)
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Income taxes payable
Provision for bonuses
Other
Total current liabilities
Noncurrent liabilities
Bonds payable
Long-term loans payable
Provision for retirement benefits
Provision for directors' retirement benefits
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equityAccumulated other comprehensive income
Valuation difference on available-for-sale securities
Revaluation reserve for land
Foreign currency translation adjustment
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets

4

Current third quarter(As of December 31,2013)

4,540
4,836
4,524
1,063
12,41927,384

5,169
4,934
2,954
1,005
10,17324,237

10,00014,151
3,683
2,088
1,856
31,78059,16410,00013,422
4,040
2,239
1,911
31,61355,851

12,3506,026
78,119(5)
96,49012,350
6,026
84,135(5)
102,506

3,646(777)
(100)
2,768
1,056
100,315
159,479

2,203(777)
56
1,482
1,127
105,117160,968DAIICHIKOSHO

CO.,

LTD.

(2) Quarterly Consolidated Statements of Income and Comprehensive Income(Quarterly Consolidated Statements of Income)(Millions of yen)

Nine months ended
December 31, 2012
(From April 1, 2012, toDecember 31, 2012)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Cooperative monetary aid received
Compensation income
Foreign exchange gainsOther
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of noncurrent assets
Other
Total extraordinary income
Extraordinary loss
Loss on disposal of noncurrent assets
Impairment loss
Other
Total extraordinary losses
Income before income taxes and minority interests
Income taxes-current
Income taxes-deferred
Total income taxes
Income before minority interests
Minority interests in income
Net income

5Nine months ended
December 31, 2013
(From April 1, 2013, toDecember 31, 2013)

96,62156,01840,60225,44715,15598,87857,45541,42325,73815,685

509
373－
928
583
2,394

704
372
283
－
744
2,104

220
－
169
389
17,160

220
172
159
552
17,237

32
－
32

18
0
18

198
78
－
276
16,917
6,678
185
6,863
10,053
59
9,994

204
64
2
271
16,985
6,994
18
7,012
9,972
74
9,898

DAIICHIKOSHO

CO.,

LTD.

(Quarterly Consolidated Statements of Comprehensive Income)(Millions of yen)

Nine months ended
December 31, 2012
(From April 1, 2012, toDecember 31, 2012)
Income before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of theparent
Comprehensive income attributable to minority interests

6

Nine months ended
December 31, 2013
(From April 1, 2013, toDecember 31, 2013)

10,053

9,972

1,275
18
1,293
11,346(1,442)156(1,285)
8,686

11,287

8,612

5974

DAIICHIKOSHO

CO.,

LTD.

(3) SEGMENT INFORMATION
ⅠNine months ended (From April 1, 2012, to December 31, 2012)
Reportable segments(Millions of yen)
Postedamount to theAdjusted
consolidated
amountquarterly(Note)
statements ofincome

Commercial
karaokeKaraokecabin andrestaurantMusic
softwareSubtotal

Other

Total

Sales

48,57334,4507,787

90,811

5,809

96,621－

96,621

Segment income(Operating income)

9,644

5,780

960

16,385960

17,346(2,190)15,155(Note) The (2,190) million yen adjustment posted to Segment income is primarily composed of General andAdministrative Expenses incurred from the administrative department at the head office that are not attributable toany particular segment.

ⅡNine months ended (From April 1, 2013, to December 31, 2013)
Reportable segments

SalesSegment income(Operating income)(Millions of yen)
Postedamount to theAdjusted
consolidated
amountquarterly(Note)
statements ofincome

Commercial
karaokeKaraokecabin and
restaurantMusic
softwareSubtotal

Other

Total

50,32335,6577,550

93,5305,347

98,878－98,878

10,714

5,462

642

16,8201,016

17,836(2,151)

15,685(Note) The (2,151) million yen adjustment posted to Segment income is primarily composed of General andAdministrative Expenses incurred from the administrative department at the head office that are not attributable toany particular segment.

7