July 30, 2015

Financial Results for the First Quarter of the Year Ending March 31, 2016 [J-GAAP](Consolidated)
Company name:AIRPORT FACILITIES CO., LTD. (AFC)Stock exchange listed on:
Tokyo Stock Exchange (First Section)
Company code:
8864
URL: http://www.afc.jp
Representative: Hiroshi Maruyama, President and CEO
Inquiries: Kazuhiko Muraishi, Director, Senior Corporate Officer, General Manager of Accounting Dept.
The date of filing the quarterly securities report:
August 3, 2015
The date of the dividend payment start:－
Preparation of quarterly earnings presentation material:
No
Holding of quarterly earnings announcement:
No

TEL: +81-3-3747-0251(Figures are rounded off to the nearest million yen.)

1. Consolidated Financial Results for the First Quarter of the Fiscal Year Ending March 2016 (April 1, 2015 - June 30, 2015)(1) Consolidated Business Results(Percentages are changes from the same period of the previous year.)
Profit attributable to
Net sales
Operating income
Ordinary income
owners of parent
First three months ended

Millions of yen

June 30, 2015
June 30, 2014

% Millions of yen

5,032
5,188

(3.0)
2.0

(Note) Comprehensive income:% Millions of yen

810
966

(16.1)
0.1

First three months ended June 30, 2015:
First three months ended June 30, 2014:

Basic earnings per
share

Diluted earnings
per shareFirst three months ended

Yen

Yen

8.98
14.03

－
－

Total assets

Net assets

June 30, 2015
June 30, 2014

% Millions of yen

814
1,229

(33.7)
21.9

536 million yen
985 million yen

%

464
725

(36.0)
34.4((45.6%))(37.4%)(2) Consolidated Financial Position
Equity ratio

Net assets per share

Millions of yen

Millions of yen%

Yen

As of June 30, 2015
As of March 31, 2015

82,627
84,27050,90950,71559.7
58.3

954.53951.16(Reference) Equity capital:

As of June 30, 2015: 49,312 million yen

As of March 31, 2015: 49,138 million yen

2. Dividends
Dividends per share

Q1

Q2

Q3

Q4

Annual

Yen

Yen

Yen

Yen

Yen

－
－

6.00

－

6.00

12.00

6.00

－

6.00

12.00

FY ended March 31, 2015
FY ending March 31, 2016
FY ending March 31, 2016（Forecasts）(Note) Changes in the latest forecasts released: No

3. Forecast of Consolidated Earnings for the Year Ending March 2016 (April 1, 2015 - March 31, 2016)(Percentages are changes from the same period of the previous year.)Net salesFirst half
Full fiscal year

Operating income

Profit attributable toowners of parent

Ordinary income

Basic earnings
per share

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

10,23020,670

(3.5)
(2.1)

1,190
2,690

(33.1)(15.0)

1,140
2,730

(42.5)(13.7)

710
1,720(33.3)
14.3

13.74
33.29

(Note) Changes in the latest forecasts released: No- 1 -＊ Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting from changes in scope of
consolidation): No(2) Application of specific accounting treatments in preparing the quarterly consolidated financial statements: Yes
Note: For details, please refer to “2. Summary Information (Other), (2) Application of Specific Accounting Treatments in Preparing theQuarterly Consolidated Financial Statements” on page 4.

(3) Changes in accounting policies, changes in accounting estimates, and restatement of revisions
1) Changes in accounting policies with revision of accounting standards, etc. : Yes
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Restatement of revisions: No(4) Number of issued shares (common shares)
1) Number of issued shares (including
As of June 30, 2015:
treasury stock)2) Number of treasury stock
As of June 30, 2015:
3) Average number of shares during
the period

First three months ended
June 30, 2015:

54,903,750 shares As of March 31, 2015:

54,903,750 shares

3,242,625 shares As of March 31, 2015:

3,242,446 shares

51,661,147 shares First three months ended
June 30, 2014:

51,661,780 shares* Implementation status of quarterly review procedures
The quarterly review procedures stipulated in the Financial Instruments and Exchange Act are not applicable to this Financial Results report,
and the procedures have not been completed when this Financial Results report was disclosed.

* Explanation of the proper use of earnings forecasts and other special notes(Remarks on forward-looking statements)
The statements about future described on this report such as earnings forecasts have been made based on information currently available andcertain assumptions considered reasonable, and it is not intended to assure that we will achieve such results. Actual earnings may differ
significantly from the above forecasts for various reasons. For the assumptions for earnings forecasts and cautions regarding the use of theearnings forecasts, please refer to “1. Qualitative Information on Consolidated Financial Results for the Quarter Ended June 30, 2015 (3)Qualitative Information on Consolidated Earnings Forecast” on page 4.

- 2 -1. Qualitative Information on Consolidated Financial Results for the Quarter Ended June 30, 2015
(1) Explanation about Business Results
During the quarter ended June 30, 2015, the Japanese economy continued to be on a moderate recovery trend as thecontinued substantial monetary easing policy by the Bank of Japan and a decline in crude oil prices contributed todepreciation of yen against dollar and lower interest rate as well as favorable fiscal earnings announcement from major
companies, which resulted in the Nikkei Stock Average recovering to ¥20,000 level and hitting a record high for the firsttime in 18 years in June. However, attention should be given to risks that might depress the Japanese and global economy,
including the Greek crisis and economic downturn in China.
Demands in the aviation industry, especially for international flights, continue to grow due to a significant increase inforeign passengers visiting Japan. On the other hand, domestic flights face increasingly severe competition, althoughpassengers during the Golden Week increased from the previous year, due to the start of the operation of Shinkansen on the
Hokuriku routes and the commencement of civil rehabilitation proceedings by a domestic airline company; and therefore,
we should continue to pay attention to the trends.
Under such economic conditions, the Group (the Company and its consolidated subsidiaries) recorded net sales of ¥5,032
million (down 3.0% from the same period of the previous year) due to a reduction of leased area by major airline
companies as part of their cost reduction measures, operating income of ¥810 million (down 16.1%), ordinary income of¥814 million (down 33.7%), and profit attributable to owners of parent of ¥464 million (down 36.0%).
Performance by business segment is as follows:(i) Real Estate Business
Real Estate Business recorded net sales of ¥3,739 million, a decrease by ¥132 million (3.4%) from the same periodof the previous year, as a result of the move-out of tenants and rent reduction for major airline companies in Tokyo
International Airport, despite the completion of Sky Residence Otorii in December 2014 and additions of two newproperties including a small aircraft hangar and an engine maintenance shop by a consolidated subsidiary in
Singapore. Operating income decreased by ¥194 million (27.3%) to ¥517 million as the fixed costs such as security
expense still incurred after the above-mentioned move-out of tenants.
(ii) Area Heating & Cooling Business
Area Heating & Cooling Business recorded net sales of ¥746 million, a decrease by ¥8 million (1.1%) from the same
period of the previous year as our service in the 1-chome District of Tokyo International Airport was terminated at
the end of May 2014, despite a steady demand for cooling service by Tokyo Airport Heating & Cooling Co., Ltd., aconsolidated subsidiary, at the 3-chome District of Tokyo International Airport. Operating income increased by ¥66
million (35.3%) to ¥256 million due to decreased rates of electricity and gas.
(iii) Water Supply & Drainage Service and Other BusinessNet sales in Water Supply & Drainage Service and Other Business decreased by ¥14 million (2.5%) from the same
period of the previous year to ¥546 million as a result of a decrease in sales from declining number of lines due topartial cancellation in shared telecommunication network business, while sales in water supply & drainage service
increased due to an increase in water supply and sewage usage at Tokyo International Airport. Operating income
also decreased by ¥27 million (42.7%) to ¥36 million due to an increase in depreciation expense associated withrenewal of PBX, equipment for shared telecommunication network.
(2) Qualitative Information on Consolidated Financial Position(Assets)
Total assets as of June 30, 2015 amounted to ¥82,627 million, a decrease by ¥1,642 million compared to March 31, 2015,
due to a decrease in securities used to pay for construction contracts with own fund.
(Liabilities)
Liabilities as of June 30, 2015 amounted to ¥31,718 million, a decrease by ¥1,836 million from March 31, 2015, due to thescheduled repayments of long-term loans payable.

- 3 -(Net assets)
Net assets as of June 30, 2015 increased by ¥193 million compared to March 31, 2015 to ¥50,909 million mainly due to anincrease in retained earnings.
As a result, equity ratio as of June 30, 2015 increased by 1.4 points to 59.7% compared to March 31, 2015.
(3) Qualitative Information on Consolidated Earnings Forecast
There is no change as to Consolidated Earnings Forecast for the Year Ending March 2016 which was announced in the
Financial Results for the Year Ended March 31, 2015 [J-GAAP] dated May 14, 2015.

2. Summary Information (Other)(1) Changes in Material Subsidiaries during the Period under Review
Not applicable.
(2) Application of Specific Accounting Treatments in Preparing the Quarterly Consolidated Financial Statements
Specific accounting treatments in preparing the quarterly consolidated financial statements
Tax expenses are calculated as income before income taxes for the period multiplied by the estimated effective tax rate. The
effective tax rate is reasonably estimated taking into consideration deferred tax accounting as the rate applicable to income
before income taxes for the consolidated fiscal year including the period ended June 30, 2015.
(3) Changes in Accounting Policies and Estimates, and Restatements
Change in accounting policies
From the beginning of the first quarter of the current consolidated fiscal year, the Company started applying “Revised
Accounting Standard for Business Combinations” (ASBJ Statement No. 21, September 13, 2013), “Revised AccountingStandard for Consolidated Financial Statements” (ASBJ Statement No. 22, September 13, 2013) and “Revised AccountingStandard for Business Divestitures” (ASBJ Statement No. 7, September 13, 2013), etc. As the Company applied theseaccounting standards, the expression for quarterly net profit, etc. has been changed, and “minority interests” has beenchanged to “non-controlling interests”. In order to reflect these changes, the consolidated financial statements for the firstquarter of the previous fiscal year have been reclassified, as well as the entire previous fiscal year.

3. Material Events concerning Going Concern
Not applicable.

- 4 -4. Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets(Thousands of yen)
FY3/15(As of March 31, 2015)

First quarter of FY3/16(As of June 30, 2015)

AssetsCurrent assets
Cash and deposits

2,891,402

3,516,860

Notes and accounts receivable-trade

1,133,796

1,342,948

Securities

3,000,000

1,000,000

Lease investment assets

3,429,585

3,281,652

Raw materials and supplies

23,395

16,952

Deferred tax assets

306,501

306,501

Others211,950

126,990

10,996,629

9,591,906

Buildings and structures, net

47,340,793

46,679,087

Machinery, equipment and vehicles, net

4,877,121

5,690,875

30,05029,4809,544,939

9,544,938

177,653

793,309

61,970,556

62,737,691

41,19632,9096,764,238

6,843,164

4,167

3,959

Deferred tax assets

323,237

297,712Net defined benefit asset

180,682

171,729

Others4,105,469

3,044,558

Allowance for doubtful accounts(115,948)(95,992)

Total investments and other assets

11,261,845

10,265,131

73,273,597

73,035,732

84,270,226

82,627,639

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

Tools, furniture and fixtures, net
LandConstruction in progress
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Long-term loans receivable

Total non-current assets
Total assets- 5 -(Thousands of yen)
FY3/15(As of March 31, 2015)

First quarter of FY3/16(As of June 30, 2015)

Liabilities
Current liabilities
998,571580,993

Short-term loans payable

5,290,218

4,335,624

Accounts payable

1,617,997

859,246

Income taxes payable

595,161

285,250

Accrued expenses

801,135

1,094,541

Unearned revenue

756,115

822,453

Provision for bonuses

121,481

66,087

Notes and accounts payable-trade

Provision for directors’ bonuses

25,796

12,940

Provision for removal cost of property, plant and equipment

490,991

448,926

Others811,819

887,486

11,509,284

9,393,549

Long-term loans payable

16,820,248

17,000,931

Long-term guarantee deposited

4,809,516

4,893,146

Long-term accounts payable-other

205,412425,918

3,146

3,618

207,132

1,392

22,045,454

22,325,005

33,554,738

31,718,555

Capital stock

6,826,100

6,826,100

Capital surplus

6,982,921

6,982,920

Retained earnings

34,103,121

34,263,319

Treasury stock(1,562,347)(1,562,470)

Total shareholders’ equity

46,349,795

46,509,869

2,718,548

2,771,949

69,58330,4582,788,131

2,802,408

Non-controlling interests

1,577,562

1,596,806

Total net assets

50,715,488

50,909,083

84,270,226

82,627,639

Total current liabilities
Non-current liabilities

Net defined benefit liability
Provision for directors’ retirement benefits
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income

Total liabilities and net assets- 6 -(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income(Quarterly Consolidated Statements of Income)(Thousands of yen)First three months of FY3/15(April 1, 2014 – June 30, 2014)

First three months of FY3/16(April 1, 2015 – June 30, 2015)

Net sales

5,187,863

5,032,958

Cost of sales

3,816,354

3,804,331

Gross profit

1,371,509

1,228,626

Directors’ compensations

68,277

61,632

Salaries and bonuses

108,877

108,647

Selling, general, and administrative expenses

Provision for bonuses

35,337

41,994

Provision for directors’ bonuses

12,89812,940Transportation and communication expenses

25,207

19,195

Taxes and dues

24,34427,548

8,015

7,984

Others122,801

138,106

Total selling, general, and administrative expenses

405,756

418,048965,753

810,578

Depreciation

Operating income
Non-operating income

169－

319,229

72,940Commission fee

1,031

18,269Gain on investments in silent partnership

16,528－Interest income
Dividends income

Others

11,51928,172

Total non-operating income

348,476

119,382

Interest expenses

71,66475,360

Removal cost of property, plant and equipment

7,964

9,992

Foreign exchange losses

－

2,188

Depreciation－

27,370Non-operating expenses

Others5,874

174

Total non-operating expenses

85,502

115,085

1,228,727

814,875

Gain on sales of non-current assets

－

6,707

Others200－

Total extraordinary income

200

6,707

68,766

7,204

Ordinary income
Extraordinary income

Extraordinary loss
Loss on retirement of non-current assets

2－

Total extraordinary loss

68,768

7,204

Income before income taxes

1,160,159

814,378

Income taxes

403,976

292,631

Profit756,183

521,746

Profit attributable to non-controlling interests

31,33057,573

Profit attributable to owners of parent

724,853

464,172

Loss on sales of non-current assets- 7 -(Quarterly Consolidated Statements of Comprehensive Income)(Thousands of yen)First three months of FY3/15(April 1, 2014 – June 30, 2014)

First three months of FY3/16(April 1, 2015 – June 30, 2015)

756,183

521,746

ProfitOther comprehensive income

228,829

53,401－(39,124)

228,829

14,276

985,012536,023

Comprehensive income attributable to owners of parent

953,682

478,449

Comprehensive income attributable to non-controlling interests

31,33057,573

Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to- 8 -(3) Notes on Quarterly Consolidated Financial Statements(Notes on Premise of Going Concern)
Not applicable.
(Notes on Significant Changes in Shareholders’Equity)
Not applicable.

- 9 -