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 Year Ended March 31, 2020
[Japanese Standards](Summary of Japanese announcement)
May 15, 2020
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: https://www.jaic-vc.co.jp/

Tel: +81-3-3259-8518 (main)
Scheduled date for ordinary general meeting of shareholders: June 26, 2020
Scheduled date for submission of annual report: June 29, 2020
Scheduled date for start of payment of dividends: —The additional materials of the Financial Results: Yes
The briefing session of the Financial Results: Yes(Throughout this report, fractional amounts have been rounded down to the nearest one million yen.)
1. Consolidated business results for the year ended March 31, 2020 (April 1, 2019 to March 31, 2020)(1) Consolidated results of operations(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 the year ended
March 31, 2020

3,950

12.8

716

143.6

441

7,509.0343(40.5)For the year ended
March 31, 2019

3,503

(57.8)

294(76.2)

5(99.4)

577(55.0)(Note) Comprehensive Income
For the year ended March 31, 2020: 619 millions of yen 129.5%
For the year ended March 31, 2019: 270 millions of yen (72.1%)

Yen

Yen

%

%

Operating income
to operating
revenues
%

19.40

19.35

4.9

1.5

18.1

32.60

32.53

8.7

0.0

8.4

Net income per share
For the year ended
March 31, 2020
For the year ended
March 31, 2019

Diluted net income
per share(Reference)Equity in earnings (loss) of affiliates
For the year ended March 31 2020: ― millions of yen
For the year ended March 31 2019: ― millions of yen

1

Return on equity

Ordinary income tototal assets

Japan Asia Investment Co., Ltd.
Fund Consolidation(2) Consolidated financial position
Net assets per share

Total assets

Net assets
Millions of yen
8,716

%

Yen

As of March 31, 2020

Millions of yen
28,54825.3

407.79As of March 31, 201928,845

8,400

23.6

383.89(Reference) Total shareholders' equity;
As of March 31, 2020: 7,219millions of yen

Equity ratio

As of March 31, 2019: 6,796 millions of yen(3) Cash flows
Cash and cash

Cash flow from operating

Cash flow from investing

Cash flow from financing

activities

activities

activities

Millions of yen

Millions of yen

Millions of yen

year-end
Millions of yen

124

147

(1,617)

2,723

299

1,224

(2,173)

4,082

For the year ended March
31, 2020
For the year ended March
31, 2019

equivalents at

2. Dividends(Base date)Year ended March
31, 2020
Year ended March
31, 2019
Year ending March
31, 2021 (forecast)End of first quarter
Yen

End of second quarter
Yen

Dividends per share
End of third quarter
Yen

End of year
Yen

Year
Yen

—

0.00

—

0.00

0.00

—

0.00

—

0.00

0.00

—

0.00

—

0.00

0.00

3. Outlook for the fiscal year ending March 31, 2021 (from April 1, 2020 to March 31, 2021)
The overall private equity investment business conducted by the Group (including investment partnerships) is significantly affectedby changing 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, 2021 (April 1,2020 to March 31, 2021)” on page 21.
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 - company (company name: - ) Excluded 1 company (company name: 1 investment fund)](2) Changes in accounting principles, accounting estimates and correction of prior period errors(i) Changes in accounting principles due to revisions to accounting standards: None(ii) Changes other than shown in (i) above: None(iii) Changes in accounting estimates: None(iv) Correction of prior period errors: None
(3) No. of shares issued and outstanding (common stock)(i) Shares issued and outstanding at the
The year ended Marchend of each period (including treasury
31, 2020:
stock)(ii) Shares of treasury stock at the end of
The year ended Marcheach period
31, 2020:(ii) Average number of shares during the
The year ended March
period31, 2020:2

17,884,392
sharesThe year ended March
31, 2019:

17,884,392
shares181,009
shares17,703,383
sharesThe year ended March
31, 2019:
The year ended March
31, 2019:

181,009
shares17,703,383
sharesJapan Asia Investment Co., Ltd.
Fund Consolidation

Reference: Non-consolidated results
Business results for the year ended March 31, 2020 (April 1, 2019 to March 31, 2020)(1) Results of operations(Percentages indicate year-on-year increase or decrease)

Operating revenues
Millions of yen% change
For the year ended
March 31, 2020
For the year ended
March 31, 2019

Ordinary income
Millions of yen% change

Net income
Millions of yen% change

2,565

12.9

222

(35.3)

93(61.9)

248(57.8)

2,271(56.1)

344(65.8)

244(75.2)

588(34.5)Net income per share
Yen
For the year ended
March 31, 2020
For the year ended
March 31, 2019

Operating income
Millions of yen% change

Diluted net income
per share
Yen

14.04

14.00

33.24

33.18

(2) Financial position

As of March 31, 2020
As of March 31, 2019

Total assets
Millions of yen
15,418
16,945

Net assets
Millions of yen
6,901
6,610

(Reference) Total shareholders' equity As of March 31, 2020: 6,876 millions of yen

Equity ratio
%
44.6
38.9

Net assets per shareYen
388.44372.16

As of March 31, 2019: 6,588 millions of yen*This report is not subject to audit procedures.
*Cautionary Statements with Respect to Forward-looking Statements and Other Notes
The additional materials of the financial results for the year ended March 31, 2020 will be released on our website by May
22, 2020.
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.

3

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 the year ended
March 31, 2019(from April 1, 2018
to March 31, 2019)

For the year ended
March 31, 2020
(from April 1, 2019
to March 31, 2020)

3,503

3,950

152

134

1,897

2,768

Fund interests income etc.

1,419

1,028

Other operating revenue

33

19

Total operating cost (C)

1,895

1,956

616

1,051

710

283

562

617

6

5

Operating gross profit (A) - (C)

1,608

1,993

Realized capital gains (B) - (D)

1,281

1,717

570

1,434

Total operating revenue (A)Management fees
Proceeds of sales of operational
investment securities (B)Cost of securities sold(D)

Investment write-offs & Provision
for allowance for possible
investment losses (E)Fund interests losses etc.
Other operating cost

Investment income(B) - (D) - (E)(2) Cash flows
For the year ended
March 31, 2019(from April 1, 2018
to March 31, 2019)(Millions of yen)
For the year ended
March 31, 2020
(from April 1, 2019
to March 31, 2020)

Cash flow from operating activities

299

124

Cash flow from investing activities

1,224

147

Cash flow from financing activities(2,173)(1,617)

Cash and cash equivalents at theend of period

4,082

2,723

4

Japan Asia Investment Co., Ltd.
Fund Consolidation(3) Breakdown of total assets
As of March 31, 2019
Amount(B)/(A) (%)(Millions of yen)
As of March 31, 2020
Amount(B)/(A) (%)

Total assets

28,845－28,548－Cash and deposits

7,108

－

4,520

－

Property, plant and equipment

10,656－

12,119－10,242

－

9,848

－

(1,538)15.0(1,574)16.0

Operational Investment Securities(A)
Allowance for Possible
Investment Loss (B)(4) Breakdown of loans payable(Millions of yen)
As of March 31, 2019

As of March 31, 2020

Total of loans payable and bonds

19,552

17,334Loans payable;
Non-consolidated base

9,784

8,166

Loans payable by project financeand bonds;
SPC etc.

9,768

9,167

5

Japan Asia Investment Co., Ltd.
Fund Consolidation

2.Business Position(1) Investment activities (JAIC+Funds)i) Breakdown of new investment
For the year ended
March 31, 2019(from April 1, 2018 toMarch 31, 2019)
AmountNumber ofcompanies (Millions ofyen)

For the year ended
March 31, 2020
(from April 1, 2019 toMarch 31, 2020)
Number ofAmountcompanies (Millions of
yen)

Area
Japan

14

3,662

22

3,374

China, Hong Kong, Taiwan etc.

2

86

-

-

12

3,612

10

2,150

4

136

12

1,224

1

86

2

152

1

0

2

112

Industry
Project Investment
Private Equity Investment
Sub total
QOL(Quality of Life)
IT/Internet
Machinery/ Precision machine
Service
Others
Total

-

-

2

379

2

50

3

117

-

-

3

461

16

3,749

22

3,374

ii) Balance of investment
As of March 31, 2019
Number ofcompanies

Amount(Millions of
yen)

As of March 31, 2020
Number ofcompanies

Amount(Millions of
yen)

Area
Japan

81

8,485

84

10,512China, Hong Kong, Taiwan etc.

53

5,465

46

4,589

26

5,514

32

6,696

108

8,437

98

8,405

29

3,540

24

3,123

48

2,119

40

1,854

6

462

7

748

Industry
Project Investment
Private Equity Investment
Sub total
QOL(Quality of Life)
IT/Internet
Machinery/ Precision machine
Service
Others
Total

14

1,173

15

1,070

11

1,141

12

1,608

134

13,951130

15,101Note:
1. QOL (Quality of Life); Biotechnology, Medical Service, Welfare Service, Medical Device, Drug Medicine, etc.
2. The aggregation method has been changed from the current fiscal year under review to better reflect JAIC’s investment
performance. In the past, investments in funds managed by third parties other than JAIC, for which the JAIC Group is
not involved in fund management, had not been included. However, from the current fiscal year under review,
investments in such funds for which the investment targets are specified etc. have been included. As a result, theamount of new investments in project oriented investment for the current fiscal year under review and balance of
project oriented investments as of March 31, 2020 increased by 823 million yen respectively, compared with theamount aggregated by using the previous method. Meanwhile, the changes in aggregation method have no impact on
the amount of new investments for the last fiscal year or the balance of investments as of March 31, 2019.

6

Japan Asia Investment Co., Ltd.
Fund Consolidation(2)JAIC-Backed IPOs (JAIC+Funds)i)Number of IPOs

Japan
Overseas
Total

For the year ended
March 31, 2019(from April 1, 2018
to March 31, 2019)2 companies- company
2 companies

For the year ended
March 31, 2020
(from April 1, 2019
to March 31, 2020)
3 companies
1 company
4 companiesii) First price multiple
For the year ended
For the year ended
March 31, 2019
March 31, 2020
(from April 1, 2018(from April 1, 2019
to March 31, 2019)
to March 31, 2020)
Japan
9.7 times
5.2 times
Overseas- times
8.6 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
Fiscal year ended March 31, 2019 (from April 1, 2018 to March 31, 2019)
Company
Date ofMarketBusiness
Name
IPO
Providing ASP licensing services
for big data analytics of patents(TechRadar) and documents
VALUENEX Inc.
30-Oct-18
TSE Mothers(DocRadar), and offering
consulting services utilizing thesetools and unique methodologies
Financial media business andinformational fintech solution
MINKABU THE
business, utilizing content generating
19-Mar-19
TSE Mothers
INFONOID,Inc.
technology with its proprietary
artificial intelligence and crowd
inputsFor the year ended March 31, 2020 (April 1, 2019 to March 31, 2020)
Company
Date ofMarketBusiness
Name
IPO
Research, development, manufactureand sales of pharmaceuticals andmedical devices that promote
regeneration of damaged tissues by
StemRIM
9-Aug-19
TSE Mothers
activating and utilizing patient’s own
stem cells in the body, and genetherapy products for intractablediseases'"Secure Cloud Systems Business"
which provides an enterprise's Core
Systems as cloud computing
PBsystems, Inc.
12-Sep-19
FSE Q-Board
systems, and "Emotional Systems
Business" which manufactures andsells VR-theater "4D king"
NASDAQ
Operator of "房多多", china's largest
Fangdd Network Group Ltd. 1-Nov-19
Globalonline real estate marketplace
Consulting for Judo therapy
establishments，Insurance agency，Ligua Inc.
13-Mar-20
TSE Mothers
Financial adviser and Independent
contractor management

7

Headquarters

Japan

Japan

Head
quarters

Japan

Japan

China
Japan

Japan Asia Investment Co., Ltd.
Fund Consolidation(3) Management of Investment Funds (Funds for which JAIC and its Group are responsible formanagement and provision of essential information)i) Balance of funds under management
As of March 31, 2019 As of March 31, 2020
Total commitment amount in investment
16,494
17,390funds (Millions of yen)
(5,344)(5,163)(Total commitment amount of JAIC group)
No. of funds
1011
Note: Funds being wound up after their maturity are not included in the data above.
ii) Funds newly established or those commitment amount increased
For the year ended March 31, 2019 (April 1, 2018 to March 31, 2019)
Newly established
Total commitment amount in investment
funds (Millions of yen)
No. of funds

Commitment amount increased
Total commitment(Millions of yen )No. of funds-

amountincreased

2,000
1

For the year ended March 31, 2020 (April 1, 2019 to March 31, 2020)
Newly established
Total commitment amount in investment
funds (Millions of yen)
No. of funds

Commitment amount increased
Total commitment(Millions of yen)
No. of funds

1,359
1

iii) Details of funds newly established or those commitment amount increased
For the year ended March 31, 2019 (April 1, 2018 to March 31, 2019)
Total commitment
Date of commitment
Name of fundamount increased
amount increased（Millions of yen）
Succession
June &October
Investment Limited
2,000
2018
Partnership, I
For the year ended March 31, 2020 (April 1, 2019 to March 31, 2020)
Total commitment
Name of fund
Date of establishment
amount（Millions of yen）
JAIC-Solar Fund, L.P.,
Ⅱ

March 2020

1,359iv) Funds to reach maturity within three years of the fiscal year-end
For the year ending
March 31, 2021
(April 1, 2020 toMarch 31, 2021)
Total commitment amount in investment
9,520
funds (Millions of yen)
No. of funds

6amountincreased-

Main investment targets
SMEs in Japan which has successor
problemMain investment targets
Mega solar projects in operation

For the year ending
March 31, 2022
(April 1, 2021 toMarch 31, 2022)

For the year ending
March 31, 2023
(April 1, 2022 toMarch 31, 2023)

500

-

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.
8

Japan Asia Investment Co., Ltd.
Fund Consolidation
3. Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)
As of March 31, 2019

As of March 31, 2020

AssetsCurrent assets
Cash and deposits

7,108

4,520

Operational investment securities

10,242

9,848

Allowance for possible investment loss

(1,538)(1,574)

Operating loans

204

204

Other

347

767

Allowance for doubtful accounts(0）－

16,363

13,767

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

29

Accumulated depreciation

(16)

(17)

Buildings and structures, net

1312

Machinery and equipment

7,207

8,826

Accumulated depreciation

(547)

(373)

Machinery and equipment, net

6,659

8,452

Vehicles, tools, furniture and fixtures

70

71

Accumulated depreciation

(60)

(63)

Vehicles, tools, furniture and fixtures, net

10

7

Land

22

87

Construction in progress

3,949

3,559

Total property, plant and equipment

10,656

12,119Power production facilities concessions

619

1,491

Other

163

228

Total intangible assets

783

1,719

Investment securities

514

386

Distressed receivables

82

64

Other

470

509

Allowance for doubtful accounts

(24)

(18)

Total investments and other assets

1,042

941

Total non-current assets

12,481

14,780Total assets

28,84528,548Intangible assets

Investments and other assets

9Japan Asia Investment Co., Ltd.
Fund Consolidation(Millions of yen)
As of March 31, 2019

As of March 31, 2020

Liabilities
Current liabilities
Short-term borrowings

1,250

1,403

Current portion of bonds payable－

540

Accrued expenses

219

1,756

Income taxes payable

67

80

Provision for bonuses

62

64

Provision for loss on liquidation of subsidiaries andassociates

63

－

Other
Total current liabilities

48

31

1,711

3,876

18,302

15,390Non-current liabilities
Long-term borrowings
Deferred tax liabilities

12

10

Retirement benefit liability

116

123

Asset retirement obligations

301

431

Total non-current liabilities

18,733

15,955

Total liabilities

20,444

19,832

Share capital

5,426

5,426

Capital surplus

3,408

3,408

Retained earnings(1,952)(1,608)Treasury shares

(353)
6,528

(353)

Net assets
Shareholders' equity

Total shareholders' equity

6,871

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

71

194

Foreign currency translation adjustment

195

152

Total accumulated other comprehensive income

267

347

Share acquisition rights

21

25

Non-controlling interests

1,583

1,472

Total net assets

8,400

8,716

Total liabilities and net assets

28,84528,54810

Japan Asia Investment Co., Ltd.
Fund Consolidation(2) Consolidated Statements of Income

Operating revenue

For the year ended
March 31, 2019
(April 1, 2018 to March 31,
2019)
3,503

(Millions of yen)
For the year ended
March 31, 2020
(April 1, 2019 to March 31,
2020)
3,950

Operating costs

1,895

1,956

Operating gross profit

1,608

1,993

123

150

Selling, general and administrative expenses
Remuneration for directors (and other officers)
Salaries and allowances

265

238

Taxes and dues

130

155

Fund interests expenses

286

245

Other

507

488

1,314

1,277

294

716

Interest income

15

9Dividend income

174Foreign exchange gains

51

2

Gain on investments in investment partnerships－

6

Outsourcing service income－

3

Rental income from facilities

3

3

Total selling, general and administrative expenses
Operating profit
Non-operating income

Miscellaneous income

82

Total non-operating income

97

32

383

305

Non-operating expenses
Interest expenses
Miscellaneous loss

2

2

385

307

5

441

Gain on sales of investment securities

32

173

Gain on redemption of investment securities

425－

Gain on sales of shares of subsidiaries and associates

226

4

Total non-operating expenses
Ordinary profit
Extraordinary income

Other

38

11

Total extraordinary income

723

189

Loss on sales of investment securities

41－

Loss on valuation of investment securities

31－

Loss on redemption of investment securities

25

2

Loss on sales of shares of subsidiaries and associates

9－

Provision for loss on liquidation of subsidiaries andassociates

63

－

Other

0

－

Total extraordinary losses

171

2

Extraordinary losses

Profit before income taxes

557

628

Income taxes - current

18

23

Total income taxes
ProfitProfit (loss) attributable to non-controlling interests
Profit attributable to owners of parent

18
538
(38)
577

23
604
261
343

11

Japan Asia Investment Co., Ltd.
Fund Consolidation(3) Consolidated Statements of Comprehensive Income
For the year ended
March 31, 2019
(April 1, 2018 to March 31,
2019)(Millions of yen)
For the year ended
March 31, 2020
(April 1, 2019 to March 31,
2020)

538

604

86

(122)

(355)

(47)

0

185

Total other comprehensive income

(268)

15

Comprehensive income

270

619

Comprehensive income attributable to owners of parent

293

423

Comprehensive income attributable to non-controllinginterests

(23)

197

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Share of other comprehensive income of entities
accounted for using equity method

Comprehensive income attributable to12

Japan Asia Investment Co., Ltd.
Fund Consolidation（4）Consolidated Statements of Changes in Net Assets
For the year ended March 31, 2019 (April 1, 2018 to March 31, 2019)(Millions of yen)

Shareholders' equity

Balance at beginning of current
periodCapital stock

Capital surplus

5,426

3,408

Retainedearnings(2,529)Treasury shares

Total
shareholders'equity

(353)

5,951

Changes of items during period
Profit attributable to owners ofparent577

577

Net changes of items other thanshareholders' equity
Total changes of items during
period

－

－

577

－

577

Balance at end of current period

5,426

3,408

(1,952)

(353)

6,528

Accumulated other comprehensive income

Balance at beginning of current
periodValuationdifference on
available-forsale securities

Foreigncurrencytranslation
adjustment

Total
accumulated
othercomprehensive
incomeShare
acquisitionrights

29

522

551

17

Non-controlling
Total net assetsinterests

1,532

8,053

Changes of items during period
Profit attributable to owners ofparentNet changes of items other thanshareholders' equity

577

42

(326)

(284)

4

50

(229)

Total changes of items during
period

42

(326)

(284)

4

50

347

Balance at end of current period

71

195

267

21

1,583

8,400

13

Japan Asia Investment Co., Ltd.
Fund Consolidation
For the year ended March 31, 2020 (April 1, 2019 to March 31, 2020)(Millions of yen)

Shareholders' equity

Balance at beginning of current
periodCapital stock

Capital surplus

5,426

3,408

Retainedearnings(1,952)

Treasury shares

Total
shareholders'equity

(353)

6,528

Changes of items during period
Profit attributable to owners ofparent343

343

Net changes of items other thanshareholders' equity
Total changes of items during
period

－

－

343

－

343

Balance at end of current period

5,426

3,408

(1,608)

(353)

6,871

Accumulated other comprehensive income

Balance at beginning of current
periodValuationdifference on
available-forsale securities

Foreigncurrencytranslation
adjustment

Total
accumulated
othercomprehensive
incomeShare
acquisitionrights

71

195

267

21

Non-controlling
Total net assetsinterests

1,583

8,400

Changes of items during period
Profit attributable to owners ofparentNet changes of items other thanshareholders' equity

343

122

(43)

79

3

(110)

(27)

Total changes of items during
period

122

(43)

79

3

(110)

315

Balance at end of current period

194

152

347

25

1,472

8,716

14

Japan Asia Investment Co., Ltd.
Fund Consolidation(5) Consolidated Statements of Cash Flows
For the year ended
March 31, 2019
(April 1, 2018 to March 31,
2019)(Millions of yen)
For the year ended
March 31, 2020
(April 1, 2019 to March 31,
2020)

Profit before income taxes

557

628

Depreciation

16

15

Increase (decrease) in allowance for investment loss

(235)

73

Increase (decrease) in allowance for doubtful accounts

(36)

(6)

Increase (decrease) in provision for bonuses

111

Increase (decrease) in retirement benefit liability

4

7

Cash flows from operating activities

Interest and dividend income

(21)

(8)

Interest expenses

183

153

8

(173)

Loss (gain) on redemption of investment securities

(399)

2

Loss (gain) on sales of shares of subsidiaries andassociates

(217)

(4)

Loss on valuation of operational investment securities

369

49

Decrease (increase) in investment securities for sale

Loss (gain) on sales of investment securities(859)(1,446)

Decrease (increase) in distressed receivables

10

18

Payment for purchase of investment funds(964)(1,590)

Dividends from investment funds

1,636

2,954

39

(302)

Other, net

32

(86)

Subtotal135285Interest and dividends received

21

8

(190)
(19)
352
299

(159)
(44)
34
124

Purchase of intangible assets

(49)

(123)

Purchase of investment securities

(15)

(2)

Proceeds from sales of investment securities

593

215

Proceeds from redemption of investment securities

702

62

Other, net

(6)

(5)

1,224

147

(2,170)(1,617)

Increase (decrease) in investment funds of minority
interest

Interest paid
Income taxes paid
Income taxes refund
Net cash provided by (used in) operating activities
Cash flows from investing activities

Net cash provided by (used in) investing activities
Cash flows from financing activities
Repayments of long-term borrowings
Other, net

(3)

(0)

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(2,173)
(26)
(675)
4,757

(1,617)(12)(1,358)
4,082

Cash and cash equivalents at end of period

4,082

2,723

15

Japan Asia Investment Co., Ltd.
Fund Consolidation(6) Notes to Consolidated Financial Statements(Notice Concerning Notes on Matters Regarding the Assumption of Going Concern)
No applicable items(Segment Information)
Segment information is not provided as the Group has single segment; Investment business.

(Per-share Data)

For the year ended March 31, 2019
(April 1, 2018, to March 31, 2019)¥383.89¥32.60¥32.53For the year ended March 31, 2020
(April 1, 2019, to March 31, 2020)¥407.79¥19.40¥19.35

Net assets per share
Net income per share
Diluted net income per share
Note:
The basis for the calculation of net income per share and diluted net income per share is as follows.
For the year ended March 31, 2019
For the year ended March 31, 2020
(April 1, 2019 to March 31, 2020)(April 1, 2018 to March 31, 2019)
Net income per share
Net income attributable toowners of parent
577
343(Millions of yen)Amount not attributable tocommon shareholders－－(Millions of yen)
Net income attributable to577
343
owners of parent relating tocommon stock (Millions of yen)
Average no. of shares
outstanding during the term
17,703
17,703(Thousands)
Diluted net income per share
Adjustment of net income
attributable to owners of parent－－(Millions of yen)
Increase in common stock
36
49(Thousands)
Share acquisition rights
36
49
Latent shares not included indiluted net income per share－－calculation due to lack ofdilution effect(Important Subsequent Events)
No applicable items

16

Japan Asia Investment Co., Ltd.
Non Consolidation
4. Non-consolidated Financial Statements(1) Balance Sheets(Millions of yen)
As of March 31,2019

As of March 31,2020

AssetsCurrent assets
Cash and deposits

4,978

3,506

Operational investment securities

11,631

11,696

Allowance for possible investment loss

(1,018)(1,092)

204

294

Accounts receivable - other

44

147

Other

81

45

Allowance for doubtful accounts(0)－

15,921

14,597

13

12

Operating loans

Total current assets
Non-current assets
Property, plant and equipment
Buildings
Tools, furniture and fixtures

6

4

Land

22

9

Total property, plant and equipment

43

26

Other

8

13

Total intangible assets

8

13

Investment securities

341

246

Shares of subsidiaries and associates

482

373

Distressed receivables

82

64

Intangible assets

Investments and other assets

Other

88

113

Allowance for doubtful accounts

(24)

(18)

Total investments and other assets

971

780

Total non-current assets

1,023

820

Total assets

16,945

15,41817

Japan Asia Investment Co., Ltd.
Non Consolidation(Millions of yen)
As of March 31,2019

As of March 31,2020

Liabilities
Current liabilities
Current portion of long-term borrowings

896

513

Accrued expenses

68

62

Income taxes payable

60

69

Provision for bonuses

57

58

Other

236

24

1,318

729

8,887

7,653

Provision for retirement benefits

116

123

Deferred tax liabilities

12

10

Total non-current liabilities

9,017

7,787

Total liabilities

10,335

8,516

5,426

5,426

Legal capital surplus

1,426

1,426

Other capital surplus

2,081

2,081

Total capital surpluses

3,507

3,507

Retained earnings brought forward(2,315)(2,066)

Total retained earnings(2,315)(2,066)

Treasury shares

(353)

(353)

Total shareholders' equity

6,264

6,513

Valuation difference on available-for-sale securities

323

363

Total valuation and translation adjustments

323

363

Share acquisition rights

21

25

6,610

6,901

16,945

15,418

Total current liabilities
Non-current liabilities
Long-term borrowings

Net assets
Shareholders' equity
Share capital
Capital surplus

Retained earnings
Other retained earnings

Valuation and translation adjustments

Total net assets
Total liabilities and net assets

18Japan Asia Investment Co., Ltd.
Non Consolidation(2) Statements of Income(Millions of yen)

For year ended
March 31, 2020
(from April 1, 2019
to March 31, 2020)

For year ended
March 31, 2019(from April 1, 2018
to March 31, 2019)
Operating revenue

2,271

2,565

Operating costs

982

1,393

1,288

1,171

Operating gross profit
Selling, general and administrative expenses

944

949

Operating profit

344

222

Interest income

93

Dividend income

174Foreign exchange gains

491

Non-operating income

Gain on investments in investment partnerships－

6

Outsourcing service income－

3

Rental income from facilities

3

4

Miscellaneous income

50Total non-operating income

85

24

183

153

Non-operating expenses
Interest expenses
Miscellaneous loss

2

－

185

153

244

93

Gain on sales of investment securities

28

173

Gain on redemption of investment securities

425－

Total non-operating expenses
Ordinary profit
Extraordinary income

Other
Total extraordinary income

0

6

453

180

Extraordinary losses
Loss on sales of investment securities

41－

Loss on valuation of investment securities

31－

Loss on redemption of investment securities

25

2

Loss on valuation of shares of subsidiaries andassociates－

13

Loss on liquidation of subsidiaries and associates

－

3

Other

7

0

Total extraordinary losses
Profit before income taxes
Income taxes - current
Total income taxes
Profit

19

105

19

592

253

4

5

4

5

588

248

Japan Asia Investment Co., Ltd.
Previous Accounting Standard

Information for Reference Purposes:
Consolidated Financial Results
for the Year Ended March 31, 2020
May 15, 2020

Consolidated Financial Statements, etc., under the Previous Accounting Standards
for the Year Ended March 31, 2020

(As of March 31, 2020)

Disclosure of consolidated financial statements, etc., under the previous accounting standards
As of Fiscal year ended March 31, 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 year ended March 31, 2020 (April 1, 2019 to March 31, 2020)(1) Consolidated results of operations(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

For the year ended
March 31, 2020
For the year ended
March 31, 2019

2,760

11.5

265

49.6

140

67.9

302

(47.7)

2,475(54.2)

177(82.6)

83(91.2)

578(33.8)

Yen

Diluted net income
per share
Yen

17.09

17.04

4.3

0.9

9.6

32.67

32.60

8.6

0.5

7.2

Net income per share
For the year ended
March 31, 2020
For the year ended
March 31, 2019

Profit attributable toowners of parent
Millions of yen % change％

Ordinary income tototal assets％

Operating income tooperating revenues％

Return on equity(2) Consolidated financial position
Total assets
Millions of yen

Net assets
Millions of yen

As of March 31, 2020

15,800

As of March 31, 201917,305(Reference) Total shareholders' equity%

Net assets per share
Yen

7,248

45.7

408.06

6,861

39.5

386.38

As of March 31, 2020:7,223 millions of yen

20

Equity ratio

As of March 31, 2019: 6,840 millions of yen

Japan Asia Investment Co., Ltd.
Previous Accounting Standard
2. Outlook for the fiscal year ending March 31, 2021 (from April 1, 2020 to March 31, 2021)
The private equity investment business conducted by the Group will be significantly affected by changing 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.
For the convenience of investors and shareholders, however, we disclose “result forecast consolidated under the Previous AccountingStandard” even though it doesn’t have enough rationality.
(Percentages indicate changes from the corresponding period of the previous fiscal year)
Operating revenue
For six months ending
September 30, 2020
For the year ending
March 31, 2021

Operating income

Ordinary income

Profit attributable to ownersof parent
Millions of yen% change

Millions of yen% change

Millions of yen% change

Millions of yen% change

850

23.0

(120)

－

(190)

－

(210)

－

3,250

17.7

350

31.9

200

42.0

180

(40.5)Net income per share
Yen
For six months ending
September 30, 2020
For the year ending
March 31, 2021

(11.86)
10.17

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 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.
Net income per share in above chart is calculated by the number of shares issued and outstanding excluding the number of shares oftreasury stock as at March 31, 2020.

21

Japan Asia Investment Co., Ltd.
Previous Accounting Standard
3. Business Performance and Financial Condition(1) Breakdown of operating revenue and operating cost
For the year ended
March 31, 2019(from April 1, 2018
to March 31, 2019)
Total operating revenue (A)(Millions of yen)
For the year ended
March 31, 2020
(from April 1, 2019
to March 31, 2020)

2,475

2,760

241

199

1,746

2,349

Fund interests income etc.

429

172

Other operating revenue

57

40

Total operating cost (C)

1,188

1,401

Cost of securities sold (D)

554

965

579

245

Fund interests losses etc.

49

184

Other operating cost

6

5

Operating gross profit (A) - (C)

1,286

1,359

Realized capital gains (B) - (D)

1,192

1,383

613

1,137

Management fees
Proceeds of sales of operational
investment securities (B)Investment write-offs & Provision
for allowance for possible
investment losses (E)Investment income(B)-(D)-(E)(2) Asset, Liability and Net asset(Millions of yen)
As of March 31, 2019

As of March 31, 2020

Total asset

17,30515,800Total liabilities

10,443

8,551

9,784

8,166

6,861

7,248

6,840

7,223

Loans payable
Total net asset
Total shareholders’ equity

22

Japan Asia Investment Co., Ltd.
Previous Accounting Standard
4. Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)
As of March 31, 2019

As of March 31, 2020

AssetsCurrent assets
Cash and deposits

5,564

3,920

Operational investment securities

11,671

11,728

Allowance for possible investment loss

(1,018)(1,092)

Operating loans

204

294

Other

140

219

Allowance for doubtful accounts(0)－

16,561

15,070Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures29

29

Accumulated depreciation

(16)

(17)

Buildings and structures, net

13

12

Vehicles, tools, furniture and fixtures

70

70

Accumulated depreciation

(60)

(63)

Vehicles, tools, furniture and fixtures, net

10

6

Land

22

9

Total property, plant and equipment

46

28

Other

94

213

Total intangible assets

94

213

Investment securities

514

386

Claims provable in bankruptcy, claims provable inrehabilitation and other

82

64

Other

30

55

Allowance for doubtful accounts

(24)

(18)

Total investments and other assets

602

488

Total non-current assets

743

730

17,30515,800Intangible assets

Investments and other assets

Total assets

23

Japan Asia Investment Co., Ltd.
Previous Accounting Standard(Millions of yen)
As of March 31, 2019

As of March 31, 2020

Liabilities
Current liabilities
Short-term loans payable

896

513

Accrued expenses

71

64

Income taxes payable

67

80

Provision for bonuses

62

64

Provision for loss on liquidation of subsidiaries andassociates

63

－

Other

265

40

1,426

764

Long-term loans payable

8,887

7,653

Deferred tax liabilities

12

10

Retirement benefit liability

116

123

Total non-current liabilities

9,017

7,787

Total liabilities

10,443

8,551

Total current liabilities
Non-current liabilities

Net assets
Shareholders' equity
Share capital

5,426

5,426

Capital surplus

3,505

3,505

Retained earnings(2,006)(1,703)

Treasury shares

(353)

(353)

Total shareholders' equity

6,571

6,874

Valuation difference on available-for-sale securities

312

353

Foreign currency translation adjustment

(44)

(3)

Total accumulated other comprehensive income

268

349

Accumulated other comprehensive income

Share acquisition rights

21

25

Total net assets

6,861

7,248

Total liabilities and net assets

17,30515,80024Japan Asia Investment Co., Ltd.
Previous Accounting Standard(2) Consolidated Statements of Income

Operating revenue

For the year ended
March 31, 2019
(April 1, 2018 to March 31,
2019)
2,475

(Millions of yen)
For the year ended
March 31, 2020
(April 1, 2019 to March 31,
2020)
2,760

Operating cost

1,188

1,401

Operating gross profit

1,286

1,359

123

150

Selling, general and administrative expenses
Remuneration for directors(and other officers)
Salaries and allowances

265

238

Operations consignment expenses

155

121

Taxes and dues

130

154

Other

433

429

1,109

1,094

177

265

Interest income

138

Dividend income

174Foreign exchange gains

51

2

Gain on investments in partnership－

6

Outsourcing service income－

3

Rental income from facilities

3

3

Total selling, general and administrative expenses
Operating profit
Non-operating income

Miscellaneous income

50Total non-operating income

91

29

183

153

Non-operating expenses
Interest expenses
Miscellaneous loss

20

Total non-operating expenses

185

153

Ordinary profit

83

140

Gain on sales of investment securities

32

173

Gain on redemption of investment securities

425－

Gain on sales of shares of subsidiaries and associates

226

4

Extraordinary income

Other
Total extraordinary income

－

9

684

187

41

－

Extraordinary losses
Loss on sales of investment securities
Loss on valuation of investment securities

31－

Loss on redemption of investment securities

25

2

Loss on sales of shares of subsidiaries and associates

9－

Provision for loss on liquidation of subsidiaries andassociates

63

－

Other

0

－

Total extraordinary losses

171

2Profit before income taxes

597

326

Income taxes - current

18

23

Total income taxes

18

23

Profit578

302

Profit attributable to non-controlling interests
Profit attributable to owners of parent

25

0

－

578

302