Translation
July 30, 2015

Consolidated Financial Results
for the First Quarter of the Fiscal Year Ending March 31, 2016
<under Japanese GAAP>
Company name:
Listing:
Stock code:
URL:
Representative:
Contact:

Yamato Holdings Co., Ltd.
Tokyo Stock Exchange9064
http://www.yamato-hd.co.jp/
Masaki Yamauchi, President
Kenichi Shibasaki, Managing Executive Officer, in charge of Financing and Accounting
Tel: +81-3-3541-4141 (from overseas)
Scheduled date of the submission of quarterly securities report:
August 12, 2015
Scheduled date of the commencement of dividend payment:—
Preparation of supplementary materials on quarterly financial results:
Yes
Holding of quarterly financial results meeting:Yes(Amounts less than 1 million yen are discarded.)1.

Consolidated financial results for the first quarter of fiscal year 2016
(cumulative: from April 1, 2015 to June 30, 2015)(1) Consolidated operating results

For the three months ended
June 30, 2015
June 30, 2014
(Note) Comprehensive income:(Percentages indicate year-on-year changes.)
Profit attributable toOperating revenue
Operating income
Ordinary income
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
328,9321.5
4,130(16.3)
4,770(11.2)
1,908(14.9)
323,968
3.0
4,933(46.0)
5,370(42.9)
2,243(53.0)For the three months ended June 30, 2015: 2,083 million yen ((19.5)%)
For the three months ended June 30, 2014: 2,588 million yen ((61.4)%)
Basic earnings per share

For the three months ended
June 30, 2015
June 30, 2014

Diluted earnings
per share

Yen
4.61
5.36

Yen
4.57
5.22

(2) Consolidated financial position
As ofJune 30, 2015
March 31, 2015
(Reference) Equity:2.

Total assets
Millions of yen
1,070,550
1,082,531
As of June 30, 2015: 562,520 million yen

Net assets
Equity ratio
Millions of yen%
568,274
52.5
571,199
52.2
As of March 31, 2015: 565,521 million yen

Dividends
First quarter

Second quarter
Yen
Yen
Fiscal 2015—
12.00
Fiscal 2016——
Fiscal 2016 (Forecast)—
13.00(Note) Revisions to the forecasts most recently announced: None

Annual dividends
Third quarter
Yen
—
—
—

Fiscal year-end
Yen
13.00
—
13.00

Total
Yen
25.00
—
26.00

3.

Consolidated earnings forecasts for fiscal year 2016 (from April 1, 2015 to March 31, 2016)
Operating revenue

Operating income

Millions of yen%
Millions of yen%
Half year
689,000
2.3
22,000
3.4
Full year
1,430,000
2.4
72,0004.4(Note) Revisions to the forecasts most recently announced: None

(Percentages indicate year-on-year changes.)
Basic
Profit attributable toOrdinary income
earnings
owners of parent
per share
Millions of yen%
Millions of yen%
Yen
22,5000.8
12,5002.9
30.32
73,0003.0
43,00014.6
104.53* Notes(1) Changes in significant subsidiaries during the three months under review (changes in specified subsidiaries
resulting in the change in scope of consolidation): None
(2) Application of specific accounting for preparing the quarterly consolidated financial statements: Yes(Note) For details, please see “2. Matters Regarding Summary Information (Notes), (1) Application of specific accounting for preparing thequarterly consolidated financial statements” of the attached materials to the quarterly financial results report on page 7.

(3) Changes in accounting policies, changes in accounting estimates, and restatementa. Changes due to revision to accounting standards, etc.: Noneb. Changes other than a:
Nonec. Changes in accounting estimates:
None
d. Restatement:
None(4) Number of issued shares (common shares)
a. Number of issued shares as of the end of the period (including treasury shares)
As of June 30, 2015:
435,564,792 shares
As of March 31, 2015:
435,564,792 sharesb. Number of treasury shares as of the end of the period
As of June 30, 2015:
21,787,648 shares
As of March 31, 2015:
22,370,985 sharesc. Average number of shares during the period (cumulative from the beginning of the fiscal year)
For the three months ended June 30, 2015:
413,757,509 shares
For the three months ended June 30, 2014:
418,942,670 shares*Indication regarding execution of quarterly review procedures
At the time of the disclosure of this quarterly financial results report, the quarterly review procedures in accordance with the Financial
Instruments and Exchange Act are in progress.

*Proper use of earnings forecasts and other noteworthy events• Descriptions of the above financial projections and other data are based on information currently available to the Company and certain
assumptions that we consider to be reasonable. Actual financial results may differ significantly from the projections for various reasons.
For points to note when using such assumptions and financial projections, please see “1. Qualitative Information on Settlement of Accounts
for the Three Months, (3) Qualitative information on consolidated earnings forecasts” of the attached materials to the quarterly financial
results report on page 7.
• The Company plans to post supplementary materials on quarterly financial results on the Company’s website promptly after theannouncement of the quarterly financial results.

Attached Materials
Index

1. Qualitative Information on Settlement of Accounts for the Three Months................................................................. 2(1) Qualitative information on consolidated operating results ................................................................................. 2(2) Qualitative information on consolidated financial position ................................................................................. 7(3) Qualitative information on consolidated earnings forecasts............................................................................... 7
2. Matters Regarding Summary Information (Notes) .................................................................................................... 7(1) Application of specific accounting for preparing the quarterly consolidated financial statements ...................... 7(2) Additional information ........................................................................................................................................ 7
3. Consolidated Financial Statements .......................................................................................................................... 8(1) Consolidated balance sheet .............................................................................................................................. 8(2) Consolidated statement of income and consolidated statement of comprehensive income ............................ 10
Consolidated statement of income (cumulative) .............................................................................................. 10
Consolidated statement of comprehensive income (cumulative) ..................................................................... 11(3) Notes to consolidated financial statements ..................................................................................................... 12(Notes to premise of going concern) ................................................................................................................ 12(Segment information, etc.) .............................................................................................................................. 12(Notes on significant changes in the amount of shareholders’ equity) ............................................................. 13(Important Subsequent Matters) ...................................................................................................................... 13
4. Supplementary Information .................................................................................................................................... 14
Operating revenue by business ................................................................................................................................ 14-1-

1. Qualitative Information on Settlement of Accounts for the Three Months(1) Qualitative information on consolidated operating results
During the three months ended June 30, 2015, the business environment overall was one of the economies on
a trajectory toward recovery amid a visible trend of growing incomes associated with favorable corporate
earnings. There were also signs of a personal consumption rebound, albeit modest, as the adverse effect of thepull-back in demand following the consumption tax hike subsided, thereby providing tailwinds for growth in the
mail-order and other markets. On the other hand, the Company also continued to face harsh operating
circumstances as tight labor market conditions persisted. Operating in this environment, we worked towardachieving the objectives of the Long-Term Management Plan “DAN-TOTSU Management Plan 2019” and theMedium-Term Management Plan “DAN-TOTSU Three-Year Plan STEP.” To that end, we focused on creation ofa business model for generating substantial added value by building a premium-quality network to enableefficient logistics and fusing together the Group’s business resources.
In the Delivery Business, we launched new services that enable us to address needs for shipping small parcels
previously sent by customers using our former Kuroneko Mail service. Use of the new services has been
growing steadily as we engage in ongoing marketing efforts geared mainly toward operators of mail-orderbusinesses. However, because we began offering access to the services through convenience stores, etc. inJune, those results will not contribute to the bottom line until the second and subsequent quarters. On the other
hand, revenues increased overall in the Delivery Business due to higher TA-Q-BIN volumes underpinned by the
expanding mail-order market. As for profits, however, earnings decreased due to factors that included lower
delivery volumes of Kuroneko DM-Bin and mounting advertising expenses to promote the new services
launched in April.
In the non-delivery businesses, we took steps to expand our existing service offerings by enlisting the strengthsof Group companies, while also drawing on Group-wide ties as we aggressively pursued solution sales geared
toward addressing customers’ business challenges.
Our consolidated financial results for the three months ended June 30, 2015 are as follows.
(Millions of yen)
Item
Operating revenue
Operating income
Ordinary income
Profit attributable toowners of parent

For the three months
ended June 30, 2014
323,968
4,933
5,370

For the three months
ended June 30, 2015
328,932
4,130
4,770

2,243

1,908

ChangeGrowth (%)

4,963
(802)
(600)

1.5
(16.3)(11.2)(335)(14.9)

Initiatives for the entire Yamato Group
a.

b.

c.

The Yamato Group has been pursuing its “Value Networking” design, on the basis of creating businessmodels for generating a high level of added value through the combined efforts of our respective
businesses, while at the same time contributing to growth strategies and international competitive
strengths of the Japanese economy. Meanwhile, we are also taking steps to forge a robust corporate
culture that acts as a foundation for business creation and development.
To further promote our “Value Networking” design, we have been drawing on alliances with Group
companies in promoting solution sales, and crafting business models that deliver a high level of added
value by leveraging our business network. Also, to address varied customer needs in Japan and overseas,
we have been making more effective use of our innovative network platform consisting of the “Haneda
Chronogate,” “Atsugi Gateway” and “Okinawa International Logistics Hub” facilities, in addition to ourexisting “last mile” network.
We continued to drive initiatives geared toward forging a more robust corporate culture. To that end, we
worked on enhancing the efficiency and dependability of operations, in part by improving our transportsystems and by using our information technology network to enable visual monitoring of operating
volumes. In addition, we redoubled our employee education efforts and focused on building systems for
ensuring that we honor promises made to our customers. Moreover, we actively engaged in CSR-related
activities linked to Yamato Group business endeavors, such as through environmental and safetymeasures, and efforts to prosper communities.

-2-

d.

e.

Given expectations for future growth in the mail-order market, we launched sales of the “YES!” (Yamato Ec
Solutions) service which involves drawing on capabilities of the Group in providing packages of services inorder to serve that market. We aggressively forged ahead with efforts to increase sales by developing totalsolutions geared toward the respective needs of operators of mail-order businesses of all types and sizes,
such as in terms of enabling initial costs, operational streamlining and expanding sales channels.
We have been taking aggressive action to reduce costs through efforts that include implementing thoroughcontrols on costs linked to operating volumes and also pursuing measures to improve productivity, amid adeteriorating external cost environment marked by a tightening labor market.

Summary of each operating segment

 Delivery
The delivery volumes of TA-Q-BIN and Kuroneko DM-Bin services are as follows.
(Million parcels / units)
For the three months
For the three months
Category
ChangeGrowth (%)
ended June 30, 2014
ended June 30, 2015
TA-Q-BIN
374
389
15
4.2
Kuroneko DM-Bin
489
393
(95)
(19.5)
Results shown for Kuroneko DM-Bin in the three months ended June 30, 2014 are those of the Kuroneko Mail service.

a.
b.

c.

d.

e.

In the Delivery Business, the Yamato Group concentrated on TA-Q-BIN-centered business development,
aiming to provide infrastructure that best suits our customers and contribute to enriching people’s lives.
We engaged in efforts to expand sales by launching the “TA-Q-BIN Compact” and “Nekopos” services in
April. The two new services enable customers in the growing mail-order business a simple means ofsending small parcels for reasonable fees. To achieve future growth in delivery volume, we took steps toprovide more locations where customers can make use of the “TA-Q-BIN Compact” service, such as bysuccessively launching convenience store-based operations handling the service beginning in June. With
our “Nekopos” service, we are offering options that differentiate us from our competitors, including thecapability for customers to receive notification when a delivery is sent out, while also actively developing
sales operations geared primarily to the flea market website business which is a rapidly growing segmentof the mail-order market. We also launched our new “Kuroneko DM-Bin” mailbox posting service whichtakes the place of our Kuroneko Mail service which was discontinued as of the previous fiscal year,
thereby enabling us to respond to demand in areas such as direct mail sent by corporate clients.
With respect to corporate clients, we have been leveraging our front-line business network to gather
customer information to make use of in actively proposing solutions tailored to our clients’ management
objectives. We worked to boost profitability by making proposals that provide high added value using theGroup’s business resources. Continuing on from the previous fiscal year, we took on initiatives for
ensuring collection of adequate fees for the task of providing consistent quality with respect to deliveries.
Efforts in our business geared toward revitalizing communities have involved various initiatives to address
locally-based hardships and challenges. For instance, we are working in collaboration with municipalities
and other entities in providing support with regard to helping those living in remote areas who facedifficulties doing their shopping, and providing support in expanding sales channels for local products. To
ensure safe and secure living environments for elderly residents, we collaborated with municipalities andYamato Group companies in launching services where we combine support involving product-recall
notifications and collection support that entails looking out for elderly residents in the course of calling on
our customers.
Operating revenue amounted to 254,987 million yen, up 0.3% from the year-ago period as a result of anincrease in TA-Q-BIN delivery volume stemming from factors such as robust performance of the mail-ordermarket. As for profits, the segment posted an operating loss of 2,683 million yen due to a decrease inKuroneko DM-Bin delivery volume and mounting advertising expenses incurred to promote our new
services launched in April.

-3- BIZ-Logistics
a.

b.

c.

d.

e.

In the BIZ-Logistics Business, the Yamato Group is providing customers with innovative logistics systems
by combining management resources such as the TA-Q-BIN network with logistics functions, maintenanceand recall handling functions, cleansing functions for medical devices and international transportation
functions.
For the mail-order industry, we are offering one-stop services involving various types of logistical support
in line with customer needs, including support for facilitating everything from placing and accepting orders
to visual monitoring of inventories and enabling speedier shipments. During the three months ended June30, 2015, we handled a steadily increasing volume of business from existing customers given theirgrowing needs for same-day shipping and delivery.
The Yamato Group provides a variety of solutions targeting clients who depend on internationaltransportation, including air and sea transportation services, small-lot international intermodaltransportation services that are interlinked with our TA-Q-BIN network, as well as a packaging andcustoms services in line with customer needs. During the three months ended June 30, 2015, we madesteady progress in landing business involving overseas relocations and transport of art objects for display
in temporary exhibitions overseas.
For medical service providers, we have been developing medical device loaner support (storage, cleaningand delivery) and other services that help revolutionize logistics operations. During the three months
ended June 30, 2015, the segment achieved revenue growth amid a steadily increasing volume ofbusiness mainly from existing customers.
Operating revenue amounted to 25,882 million yen, up 10.8% from the year-ago period mainly due tofavorable results from services related to medical devices along with solid growth with overseas
relocations and transport of art objects. Operating income was 1,222 million yen, up 7.8% from theyear-ago period.

 Home Convenience
a.
b.

c.

d.

In the Home Convenience Business, we are working toward enabling customers to achieve greater
convenience and comfort in their lives through lifetime lifestyle support businesses and corporate
enterprise support business that draw on the Yamato Group’s nationwide network.
With respect to individual customers, the Yamato Group operated a variety of services to assist in daily life
such as the “Raku Raku Household TA-Q-BIN” service for delivering large furniture items and home
appliances and moving-related services. During the three months ended June 30, 2015, we engaged inaggressive sales activities geared toward achieving greater profitability on weekdays by promoting our“e-commerce Total Support Service” and our “Comfortable Lifestyle Support Service,” the former of which
entails collaborating with mail-order business operators in providing additional functions to our previous
service offerings that include hauling away used furniture and appliances when making deliveries of new
items and moving large furniture items, and the latter of which entails resolving everyday inconveniences
associated with house cleaning and collection of unwanted items.
For our corporate clients, we have been developing our “Technical Network Business” where we combine
the networks of the Yamato Group and our construction and installation contractors so that we can provide
one-stop support in handling everything from household equipment delivery and set-up, to installation andmaintenance of such equipment, as well as business support services such as office relocation services
and procurement services for sourcing goods. During the three months ended June 30, 2015, the segment
achieved favorable results with respect to use of our office relocation services.
Operating revenue amounted to 12,136 million yen, down 4.4% from the year-ago period mainly due to thedrop in previously brisk demand amid a delayed impact of purchases made before the consumption tax
hike in the previous fiscal year, despite firm growth with respect to offerings such as our “Comfortable
Lifestyle Support Service” and office relocation services. As for profits, the segment curbed its operating
loss to 64 million yen, which was an improvement of 46 million yen compared with the year-ago period, asa result of initiatives that included implementing thorough management of personnel-related expenses andenhancing efforts to achieve greater profitability on weekdays.

-4- e-Business
a.
b.

c.

d.

e.

In the e-Business, the Yamato Group helps customers streamline their business processes and solve
potential issues by proactively conducting solution platform business that combine logistics technology andfinancial technology with information technology.
With respect to services for assisting with order-acceptance and dispatching operations, the YamatoGroup provides a “Web-based Shipment Control” that comprehensively supports such operations as
dispatch information processing, printing of delivery slips, and freight tracking. In the three months ended
June 30, 2015, use of this service increased particularly among our existing large-lot customers, against a
backdrop that included mail-order market growth.
The Yamato Group has been developing services for customers whose needs involve managing products
on an individual basis, such that combine serial acceptance/dispatch control in warehouses, inventory
tracking and other information-related services with services involving affixing data to products and partial
processing of merchandise. In the three months ended June 30, 2015, these services achieved favorable
results particularly with respect to their use by telecommunications equipment-related customers.
In its e-money related services, the Yamato Group offers solutions through collaboration between thee-Business and the Financial Business, and provides services that involve installation and operation of“Multi e-money Settlement Terminals” that allow settlements in multiple types of e-money using a single
device. In the three months ended June 30, 2015, we worked on expanding services in this area, withsuch efforts including the full-scale launch of an e-money settlement system geared toward theamusement industry.
Operating revenue amounted to 10,327 million yen, up 6.1% from the year-ago period mainly due togrowth in mail-order services and e-money services. Operating income was 1,740 million yen, up 6.1%
from the year-ago period.

 Financial
a.
b.

c.

d.

In the Financial Business, the Yamato Group has been developing settlement and financial services
tailored to a range of customer needs for payment collection on mail-order product deliveries, B2B
transaction settlement, and vehicle leasing.
With respect to our payment settlement services, in addition to providing our mainstay service “TA-Q-BIN
Collect,” we have also been promoting increased customer use of both our “Kuroneko Web Collect”
comprehensive internet-based transaction settlement service and our e-money settlement services. In thethree months ended June 30, 2015, we engaged in efforts to increase profitability by promoting our“Kuroneko Web Collect” and “Kuroneko Pay After Delivery” services to our customers who use only the“TA-Q-BIN Collect” service. Moreover, with respect to our services related to e-money, we expanded sales
involving our “Multi e-money Settlement Terminal” rental services geared toward large nationwide eventsand other activities.
In the lease services business, we achieved steadily increasing use of our services by promoting
proposals for total solutions related to the Group’s network and vehicles. This includes finance leases
primarily involving large vehicles, operating leases that enable customers to cut costs by providing themwith new vehicles premised on the condition of vehicle purchase or re-use after lease expiration, andleases of previously-owned cars linked with such purchase or re-use.
Operating revenue amounted to 17,353 million yen, up 10.6% from the year-ago period mainly due toincreased use of our payment settlement services primarily among operators of mail-order businesses,
and also due to an increase in contracts for truck leases in the lease services business. Operating income
was 2,204 million yen, up 3.2% from the year-ago period.

 Autoworksa.

In the Autoworks Business, the Yamato Group develops its “24-hour-a-day, 365-day-a-year service thatenables customers to service their vehicles without stopping operation,” thereby providing value tologistics operations and logistics service providers primarily in the form of “improvement of vehicle
maintenance convenience” and “reduced maintenance expenses.” Furthermore, to better provide one-stop
service solutions geared toward customer business operations, we have added services for “maintaining
and safeguarding logistics facilities and equipment, and improving such workplace environments,” along

-5-

b.

c.

with “insurance agency services where we offer risk management-related insurance plans tailored tocustomer needs.”
In the three months ended June 30, 2015, we aggressively marketed our “Repairworks” services entailing
periodic on-site customer visits. Moreover, we took steps to further differentiate ourselves from ourcompetitors through initiatives that included developing new service locations capable of performing
maintenance of facilities and equipment, and also began offering our “Anshin Recovery Expense
Insurance” policies which provide enhanced support with respect to involuntary and voluntary recalls.
Operating revenue amounted to 6,426 million yen, down 7.7% from the year-ago period mainly due tolower unit price of fuel. Operating income was 1,075 million yen, down 5.0% from the year-ago period.

 Othera.

b.

The “JITBOX Charter service” provides transportation by transport box. The service takes advantage of its
network consisting of multiple companies and provides added value to customers through timely delivery
and frequent, right-volume delivery. In the three months ended June 30, 2015, use of the service steadily
increased partially as a result of our initiatives to develop information systems and improve service quality,
and also due to favorable results from existing service offerings.
Operating income in Other excluding dividends which Yamato Holdings Co., Ltd. received from the Group
companies increased 540.8% from the year-ago period to 433 million yen.

CSR Initiatives
a.

b.

c.

d.

The Yamato Group places utmost priority on protecting human life and conducts a range of safetymeasures. In the three months ended June 30, 2015, the Group promoted various initiatives geared
toward achieving greater safety awareness among employees, with such efforts including our “Zero
Accident Campaign” which is a safety campaign deployed horizontally throughout the entire group
including our TA-Q-BIN operators overseas. In addition, since 1998 we have been holding our “Safety
Classes for Children,” through which we convey the importance of traffic safety, in day care facilities,
kindergartens and elementary schools across Japan. A total of more than 2.68 million people have now
participated.
The Yamato Group has established the “Environmental Conservation Declaration” on the basis of theGroup corporate philosophy, and moreover works to ensure that our distribution mechanisms areenvironmentally sound. At the same time, the Yamato Group works to heighten employee awareness ofenvironmental conservation issues and promote such initiatives, which we pursue under our policy of“Nekology” (combining “Kuroneko” with “ecology”). We also hold “Kuroneko Yamato Environmental Class”
sessions designed to provide support for environmental education of children who will bear responsibilitiesof the next generation. We have held such classes on an ongoing basis nationwide since 2005, attracting
over 210 thousand participants so far.
Aspiring to be a company that continually evolves in step with society, led by Yamato Welfare Foundation,
the Yamato Group conducts various activities to help realize a society in which disabled people can freely
enjoy a lifestyle as a member of the workforce. Specifically, we engage in ongoing programs that support
economic independence of people with disabilities, such that include actively employing people withdisabilities at the Swan Bakery which makes and sells bread, providing them with workplaces through theconsigned delivery of Kuroneko DM-Bin, and operating job-finding support facilities where they take part intraining to acquire skills and knowledge necessary for employment.
Aiming to create more sustainable social value, the Yamato Group promotes initiatives for sharing value
with society based on “Creating Shared Value (CSV).” In the three months ended June 30, 2015, theYamato Group worked in collaboration with government bodies on 1,152 separate occasions in providing
ongoing support with regard to watching over elderly residents, helping those living in remote areas whoface difficulties doing their shopping, lending support for community revitalization efforts in conjunction withmunicipal governments and local businesses, and other such initiatives taken in the course of performing
myriad services that draw on the Yamato Group’s managerial resources.

-6-

(2) Qualitative information on consolidated financial position
Total assets were 1,070,550 million yen as of June 30, 2015, down 11,980 million yen from the end of theprevious fiscal year. The major factor in this was a decrease of 24,407 million yen in cash and deposits.
Liabilities decreased 9,055 million yen to 502,276 million yen from the end of the previous fiscal year. The
major factors in this were an increase in loans payable of 4,326 million yen while income taxes payable
decreased 15,330 million yen due to the payment of income taxes.
Total net assets were 568,274 million yen, down 2,925 million yen from the end of the previous fiscal year. Thiswas mainly attributable to a decrease in retained earnings of 3,374 million yen due to the recording of profit
attributable to owners of parent of 1,908 million yen and payment of dividends of surplus of 5,371 million yen.
Accordingly, the equity ratio changed to 52.5% from the previous fiscal year’s 52.2%.
(3) Qualitative information on consolidated earnings forecasts
Looking ahead at the economy, we expect the economy to gradually recover in line with improvement in theemployment situation and personal consumption. However, uncertainties are likely to remain given factors suchas a tightening supply of labor and the economic downturn overseas.
In this environment, the Yamato Group will persist with efforts in the Delivery Business to provide highly
convenient services from the customers’ viewpoint and maintain and improve quality, while also working to
improve profitability through adequate pricing in line with the benefits of our service offerings. We will also forge
ahead with initiatives to expand sales of our “TA-Q-BIN Compact,” “Nekopos” and “Kuroneko DM-Bin” services.
In the non-delivery businesses, we will expand the revenue base through ongoing efforts to create and develop
a business model for generating a high level of added value by leveraging the Group’s business resources.
On the cost front, we will ensure positive operating income results by implementing thorough controls on
variable costs and improving productivity.
The Yamato Group has not made any changes to the consolidated earnings forecasts for the half year and forthe full year of the fiscal year ending March 31, 2016 since the announcement made on April 30, 2015.

2. Matters Regarding Summary Information (Notes)(1) Application of specific accounting for preparing the quarterly consolidated financial statements
Calculation of tax expenses
Tax expenses are calculated by multiplying the income before income taxes by the reasonably estimatedeffective tax rates after the application of tax effect accounting to the income before income taxes for the fiscal
year including the first quarter under review.
(2) Additional information
The Company has applied provisions of Paragraph 39 of the “Accounting Standard for Consolidated Financial
Statements” (ASBJ Statement No. 22, September 13, 2013), etc., and has accordingly made changes in thepresentation of net income, etc. and has also made changes in presentation from minority interests tonon-controlling interests. To reflect these changes, the Company has restated its quarterly and full-year
consolidated financial statements for the first three months of the previous fiscal year and the previous fiscal
year.

-7-

3. Consolidated Financial Statements(1) Consolidated balance sheet(Millions of yen)
As of March 31, 2015

As of June 30, 2015

AssetsCurrent assets
Cash and deposits

247,398

222,991

Notes and accounts receivable - trade187,833

186,628

Accounts receivable - installment

42,00743,926

Lease investment assets

44,94846,290

Merchandise and finished goods

721

757

Work in process

512

390

Raw materials and supplies

2,101

1,837

Other

42,02049,408

Allowance for doubtful accounts(1,338)(1,055)

Total current assets

566,205

551,176

334,119

331,668

Accumulated depreciation(185,622)(184,950)

Buildings and structures, net

148,497

146,718

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

Vehicles

194,198

195,368(176,205)(175,643)

17,992

19,725

Land

187,964

187,963

Lease assets

24,02817,718(17,181)(9,464)

6,846

8,253

156,845

156,013(98,045)(98,190)

Accumulated depreciation
Vehicles, net

Accumulated depreciation
Lease assets, net
Other
Accumulated depreciation
Other, net

58,80057,822

420,101

420,484

17,60018,397

Investment securities

34,56735,926

Other

45,17345,559Allowance for doubtful accounts(1,116)(993)

Total investments and other assets

78,62480,492516,325

519,374

1,082,531

1,070,550

Total property, plant and equipment
Intangible assets
Investments and other assets

Total non-current assets
Total assets-8-

(Millions of yen)
As of March 31, 2015

As of June 30, 2015

Liabilities
Current liabilities
Notes and accounts payable - trade157,479

144,081

Short-term loans payable

34,44345,877

Current portion of bonds with subscription rights toshares

9,660

8,580

Lease obligations

2,733

2,676

Income taxes payable

20,024

4,693

Deferred installment income

5,655

5,765

Provision for bonuses

30,236

12,396

Other

96,800129,344

Total current liabilities

357,034

353,41483,87676,769Non-current liabilities
Long-term loans payable
Lease obligations

4,655

5,324

Net defined benefit liability

53,02353,689Other

12,742

13,078

Total non-current liabilities

154,297

148,862

511,331502,276

127,234

127,234

Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus

70,20969,323Retained earnings

395,352

391,977

Treasury shares(43,007)(41,886)

Total shareholders’ equity

549,789546,649

Valuation difference on available-for-sale securities

13,847

14,327

Foreign currency translation adjustment

1,169

695

Remeasurements of defined benefit plans

715

848

15,731

15,871

Accumulated other comprehensive income

Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

-9-

5,678

5,753

571,199568,274

1,082,531

1,070,550

(2) Consolidated statement of income and consolidated statement of comprehensive income
Consolidated statement of income (cumulative)(Millions of yen)
For the three months ended
June 30, 2014

For the three months ended
June 30, 2015

Operating revenue

323,968

328,932

Operating cost

310,239

314,796

Operating gross profit

13,72914,136

Selling, general and administrative expenses

8,796

10,005

Operating income

4,933

4,130

Non-operating income
Interest income

16

13

Dividend income

281

329

Other

408

485

Total non-operating income

705

828

Interest expenses

88

115

Other

179

73

Total non-operating expenses

268

189

5,370

4,770

Gain on sales of non-current assets

130

Compensation for damage received

257—

Total extraordinary income

258

30

Loss on retirement of non-current assets

43

29

Loss on litigation

598

—

Other

—

0

Total extraordinary loss

641

30

Income before income taxes and minority interests

4,988

4,771

Income taxes

2,815

2,794

Profit

2,172

1,976

(71)

68

2,243

1,908

Non-operating expenses

Ordinary income
Extraordinary income

Extraordinary loss

Profit (loss) attributable to non-controlling interests
Profit attributable to owners of parent- 10 -

Consolidated statement of comprehensive income (cumulative)(Millions of yen)
For the three months ended
June 30, 2014

For the three months ended
June 30, 2015

2,172

1,976

Valuation difference on available-for-sale securities

582

446

Foreign currency translation adjustment

(230)

(473)

Remeasurements of defined benefit plans, net of tax

64

133

Total other comprehensive income

416

106

2,588

2,083

2,587

2,047

1

35

ProfitOther comprehensive income

Comprehensive income(Breakdown)Comprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests- 11 -

(3) Notes to consolidated financial statements(Notes to premise of going concern)
Not applicable.
(Segment information, etc.)[Segment information]
Information regarding the amounts of operating revenue and income or loss by reportable segment
For the three months ended June 30, 2014
(Millions of yen)
BIZ-Logistics

Home
Convenience

e-Business

Financial

254,123

23,35912,691

9,735

15,692

15,540

2,879

3,075

6,667

834

269,663(2,061)

26,2381,134

15,767(111)

16,402
1,641

16,527
2,135

Reconciliation(Note 3)

Amountrecorded inconsolidated
statement ofincome(Note 4)

DeliveryOperating revenue(1) Operating revenue from customers(2) Inter-segment operating revenue ortransfers
Total
Segment income (loss)

Autoworks

Other(Notes 1, 2)

Total

Operating revenue(1) Operating revenue from customers
6,960
1,406
323,968—
323,968(2) Inter-segment operating revenue or
7,328
28,10364,428(64,428)—transfers
Total
14,28829,509388,397(64,428)
323,968
Segment income (loss)
1,132
22,444
26,313(21,380)
4,933
Notes: 1. Other includes business-to-business distribution via JITBOX Charter and shared services.
2. Operating revenue in Other includes dividends which the Company received from the Group companies as a pure holding
company and the effect of this on operating revenue and segment income is 22,100 million yen.
3. The adjustment of segment income resulted from eliminating transactions among segments, etc.
4. We made an adjustment between segment income and operating income in the consolidated statement of income.

- 12 -

For the three months ended June 30, 2015
(Millions of yen)
Delivery(Note 1)
Operating revenue(1) Operating revenue from customers(2) Inter-segment operating revenue ortransfers
Total
Segment income (loss)

254,987

BIZ-Logistics

Home
Convenience

e-Business

Financial

25,882

12,136

10,327

17,353

16,212

3,092

3,107

6,895

837

271,199(2,683)

28,974
1,222

15,244(64)

17,223
1,740

18,1902,204

Reconciliation(Note 4)

Amountrecorded inconsolidated
statement ofincome(Note 5)

Autoworks

Other(Notes 1, 2, 3)

Total

Operating revenue(1) Operating revenue from customers
6,426
1,818
328,932—
328,932(2) Inter-segment operating revenue or
7,109
31,09568,350(68,350)—transfers
Total
13,53532,914397,283(68,350)
328,932
Segment income (loss)
1,075
25,08928,583(24,453)
4,130
Notes: 1. Effective from the first quarter under review, the Company has made changes to business segment classifications to ensure thatsuch classifications more adequately accord with actual circumstances related to management and administration. These changes
mainly involve inclusion of the human resources management business in the Delivery Business segment, from the Other
segment previously. The segment information for the three months ended June 30, 2014 has been prepared and presented
according to the new classification.
2. Other includes business-to-business distribution via JITBOX Charter and shared services.
3. Operating revenue in Other includes dividends which the Company received from the Group companies as a pure holding
company and the effect of this on operating revenue and segment income is 24,889 million yen.
4. The adjustment of segment income resulted from eliminating transactions among segments, etc.
5. We made an adjustment between segment income and operating income in the consolidated statement of income.

(Notes on significant changes in the amount of shareholders’ equity)
Not applicable.
(Important Subsequent Matters)
Purchase and retirement of treasury shares
At the meeting held on July 30, 2015, the Board of Directors resolved matters related to the purchase oftreasury shares of the Company, in accordance with the provisions of the Articles of Incorporation, pursuant to
Article 459, Paragraph 1, Item 1 of the Companies Act of Japan, and also resolved to retire treasury shares of
the Company in accordance with the provisions of Article 178 of the Companies Act of Japan.
1. Reason of purchase and retirement of treasury shares
The Company purchases and retires its treasury shares to implement flexible capital policies in accordancewith changes in the business environment with the aim of enhancing shareholder value.
2. Contents of matters related to the purchase of treasury shares
Type of shares to be purchased
Common shares of the Company
Total number of shares to be purchased
Up to 10,000,000 shares (ratio to the total number ofissued shares (excluding treasury shares) 2.42%)
Total acquisition price of shares to be purchased
Up to 20 billion yen
Acquisition period
From July 31, 2015 to September 30, 2015
Acquisition method
Through the market
3. Contents to retirement of treasury shares
Type of shares to be retired
Total number of shares to be retired
Scheduled date of share retirement

Common shares of the Company
10,403,100 shares (ratio to the total number of issued
shares 2.39%)
August 13, 2015

- 13 -

4.

Supplementary Information
Operating revenue by business

For the three months
For the three months
Fiscal year ended
ended June 30, 2014
ended June 30, 2015
March 31, 2015
ChangeBusiness segment(%)
AmountRatio
AmountRatio
AmountRatio(Millions of yen)(%)
(Millions of yen)(%)
(Millions of yen)(%)
TA-Q-BIN
220,683
68.1
228,642
69.5
3.6
969,923
69.4
Kuroneko DM-Bin *1
30,0659.3
22,755
6.9(24.3)
116,619
8.4
Express
10,495
3.2
10,201
3.1(2.8)
42,918
3.1
Delivery
Others *2
20,374
6.3
22,011
6.7
8.0
87,6196.3
Eliminations(27,496)(8.5)(28,624)(8.7)
4.1(113,891)
(8.2)
Total
254,12378.4
254,987
77.5
0.3
1,103,188
79.0
Trading logistics service
9,139
2.8
9,809
3.0
7.3
43,215
3.1
Sales and Logistics
8,455
2.6
8,986
2.7
6.3
34,767
2.5
Multi maintenance
3,808
1.2
3,266
1.0
(14.2)
15,6891.1
BIZ-Logistics Export Factory
995
0.3
1,073
0.3
7.8
4,185
0.3
Others9,238
2.9
10,767
3.3
16.5
39,416
2.8
Eliminations(8,278)(2.6)(8,021)(2.4)(3.1)(33,453)
(2.4)
Total
23,3597.2
25,882
7.9
10.8
103,821
7.4
Home convenience
11,106
3.4
10,8023.3(2.7)
41,561
3.0
Business convenience
3,387
1.0
3,610
1.1
6.6
16,665
1.2
HomeTechnical Network
1,280
0.4
838
0.3
(34.5)
4,817
0.3
Convenience
Eliminations(3,083)(0.9)(3,115)(1.0)
1.0(14,568)
(1.0)
Total
12,691
3.9
12,136
3.7(4.4)
48,4753.5
e-logistics solution *2
2,341
0.7
2,414
0.7
3.1
9,829
0.7
Credit card solution
1,981
0.6
2,458
0.7
24.1
8,087
0.6
IT operating solution
1,659
0.5
1,499
0.5
(9.6)
6,253
0.4
Web-based mail ordere-Business
1,372
0.4
1,309
0.4
(4.6)
6,074
0.4
solution
Others *2
9,959
3.1
10,3593.1
4.0
41,500
3.0
Eliminations(7,578)(2.3)(7,713)(2.3)
1.8(31,258)
(2.2)
Total
9,735
3.0
10,3273.1
6.1
40,486
2.9
TA-Q-BIN Collect
9,000
2.8
9,095
2.8
1.1
37,549
2.7
Lease
6,153
1.9
7,674
2.3
24.7
27,065
1.9
Credit & Finance
858
0.3
853
0.3
(0.6)
3,354
0.2
Financial
Others
533
0.2
587
0.2
10.1
2,160
0.2
Eliminations
(853)
(0.3)
(857)
(0.3)
0.4
(3,481)(0.2)
Total
15,692
4.9
17,353
5.3
10.6
66,649
4.8
Truck solution *3
13,062
4.0
12,2253.7(6.4)
51,122
3.6
Others
1,814
0.6
1,893
0.6
4.3
7,070
0.5
Autoworks
Eliminations(7,917)(2.4)(7,692)(2.3)(2.8)(31,039)
(2.2)
Total
6,960
2.2
6,426
2.0
(7.7)
27,153
1.9
JITBOX Charter service
1,251
0.4
1,641
0.5
31.1
6,035
0.4
Others *2
28,7718.9
32,142
9.7
11.7
48,268
3.5
Other
Eliminations(28,616)(8.9)(31,964)(9.7)
11.7(47,369)
(3.4)
Total
1,406
0.4
1,818
0.5
29.3
6,933
0.5
Total
323,968
100.0
328,932100.0
1.5
1,396,708
100.0*1. Results shown for Kuroneko DM-Bin in the three months ended June 30, 2014 are those of the Kuroneko Mail service for that period.
*2. Effective from the first quarter under review, the Company has made changes to business segment classifications as shown below toensure that such classifications more adequately accord with actual circumstances related to management and administration. The figures
presented for the three months ended June 30, 2014, and for the fiscal year ended March 31, 2015, have been restated in accordance withthese changes.
• The human resources management business, previously included in the Other segment, is now presented in the Others category of the
Delivery segment.
• The setup and logistics solutions business, previously included in the e-logistics solutions category of the e-Business segment, is now
presented in the Others category.
*3. Effective from the first quarter under review, the name of the Truck maintenance category in the Autoworks segment has been changed to
the Truck solution.

- 14 -