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Consortium Inc.

（ＵＲＬ http://www.dac.co.jp/ ）Financial Highlights of 2nd Quarter of Fiscal Year 2013 (April 1, 2012 to September 30, 2012)
2nd Quarter of Fiscal Year 2012(April 1, 2011 to September 30, 2011)(1) Consolidated operating results
Net sales

Operating income

Ordinary incomeMil.¥％798（△4.9)
839（-)

Mil.¥％
843（△2.8)867（-)

Mil.¥％
44,008 ( 15.6)
38,062 (-)

2nd Quarter of FY 2013
2nd Quarter of FY 2012

Earnings

Diluted earnings

Comprehensive

per shareper share

IncomeYen553.61
586.73

2nd Quarter of FY 20132nd Quarter of FY 2012

Yen545.85
581.28andNet incomeMil.¥％
268 (△11.8)304（-)

Mil.¥％
198 (△60.1)
497 (-)*DAC has decided to change its fiscal year end from November 30 to March 31 of each year.
Prior year comparison of 2nd Quarter of FY 2012 is not made because of the change in accounting periods.
(2)

Consolidated financial position
Total assets

Net assets

Mil.¥

2nd Quarter of FY 2013
(As of September 30,2012)
Fiscal Year 2012
(As of March 31,2012)(3)

Equity ratio

Mil.¥

％

28,833

16,21136.9

31,545

16,45334.1Dividend per share

Record date

End of 1st

End of 2nd

End of 3rd

End of 4th

End ofAnnual

quarterquarterquarterquarter

perioddividend

Yen

Yen

Fiscal Year 2012

―

0.00

Fiscal Year 2013

―

0.00

Fiscal Year 2013
(expected)

―

Yen
―

Yen
―

TBD

Yen

Yen

600.00600.00

TBD

TBD（4）Consolidated earnings forecast of 3rd Quarter of Fiscal Year 2013(April 1,2012 to December 31,2012)
Operatingincome

Net salesMil.¥

3rd Quarter of FY 2013％

69,032(14.6)〜71,485(18.7)

Mil.¥

％

888(△47.0)〜1,130(△32.5)- 1 -Ordinary income
Mil.¥％

938(△45.3)〜1,180(△31.2)

Net income
Mil.¥Net income
per share％Yen

307(△59.4)〜438(△42.0)

632.27〜902.29DAC Consolidated Financial Statements(1)DAC Consolidated Balance Sheets(Unit:Thousand Yen)
Items of an account

FY2012(As of March 31, 2012)

2nd Quarter of FY2013(As of September 30,2012)

AmountAmountAssetsCurrent assets
Cash and deposits

9,927,853

7,702,591

Notes and accounts receivable-trade

12,399,121

11,733,431

Short-term investment securities

704,752

501,014

Operational investment securities

1,002,177

829,465

Other

1,363,716

1,454,097

Allowance for doubtful accounts-12,096-10,698

25,385,523

22,209,901

605,424

814,517

Goodwill

914,291

802,559

Software965,634

950,030

Software in progress

75,982

138,408

Other

20,084

19,8691,975,993

1,910,867

Investment securities

2,086,976

2,629,904

Guarantee deposits

1,132,855

910,719

Other

380,920

378,886

Allowance for doubtful accounts-22,067-21,330

3,578,685

3,898,180

Total current assets
Noncurrent assets
Property, plant and equipment
Intangible assets

Total intangible assets
Investments and other assets

Total investments and other assets
Total noncurrent assets
Total assets- 2 -6,160,103

6,623,566

31,545,626

28,833,467

(Unit:Thousand Yen)
Items of an account

FY2012(As of March 31, 2012)

2nd Quarter of FY2013(As of September 30,2012)

AmountAmountLiabilities
Current liabilities
Accounts payable-trade

10,751,372

8,110,285

Short-term loans payable

419,500

437,420

Current portion of long-term loans payable

171,652

277,293

Accounts payable-other

1,361,002

805,313

Income taxes payable

599,196

436,822Provision for bonuses

162,248

273,358

Provision for directors' bonuses

14,00013,500Other

791,441

1,117,332

14,270,414

11,471,325

Long-term loans payable

316,938

622,518

Provision for retirement benefits

237,571

252,521

Provision for point card certificates

40,971

49,613

Other

225,788

225,894

Total current liabilities
Noncurrent liabilities

Total noncurrent liabilities

821,269

1,150,547

15,091,683

12,621,873

Capital stock

4,031,837

4,031,837

Capital surplus

3,184,465

3,184,465

Retained earnings

4,928,342

4,905,795

Treasury stock-1,626,980-1,628,359

Total shareholders' equity

10,517,665

10,493,739

257,671

161,364

Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Total accumulated other comprehensive income
Subscription rights to shares−-671-9,213-11,271

248,458

149,421287,895

296,322

Minority interests

5,399,923

5,272,110

Total net assets

16,453,943

16,211,594

31,545,626

28,833,467

Total liabilities and net assets- 3 -(2)DAC Consolidated Statements of Income(Unit:Thousand Yen)
2nd Quarter of FY2012(April 1,2011
to September 30,2011)
AmountItems of an account

2nd Quarter of FY2013(April 1,2012
to September 30,2012)
AmountNet sales

38,062,505

44,008,029

Cost of sales

32,677,734

37,291,424

Gross profit

5,384,770

6,716,604

Selling, general and administrative expenses

4,544,963

5,918,219

839,806

798,385

Operating income
Non-operating income
Interest income

1,517

4,903

Dividends income11,987

12,848733−

13,28241,019

Other

7,038

16,992

Total non-operating income

34,55875,763Foreign exchange gains
Equity in earnings of affiliates

Non-operating expenses
Interest expenses

2,846

8,643

Commission fee−

11,237−

6,217

Foreign exchange losses
Loss on exit penalty

1,162

−

Other

2,810

5,043

Total non-operating expenses

6,819

31,142

867,546

843,006

Gain on sales of investment securities

12,95765,712Gain on transfer of business

18,037

−

Other

1,726

7,392

Total extraordinary income

32,721

73,105

Impairment loss−

15,525

Stock selling cost

14,037−−

24,912

Ordinary income
Extraordinary income

Extraordinary loss

Loss on exit penalty
Other

5,110

9,144

Total extraordinary losses

19,14749,582

Income before income taxes

881,120

866,529

Income taxes-current

448,203462,805

Income taxes-deferred-4,904

65,849

Income taxes

443,298

528,655

Income before minority interests

437,821337,874

Minority interests in income

133,167

69,065

Net income

304,654

268,808- 4 -(3)DAC Consolidated statements of comprehensive income(Unit:Thousand Yen)
2nd Quarter of FY2012(April 1,2011
to September 30,2011)
AmountItems of an accountIncome before minority interests

2nd Quarter of FY2013(April 1,2012
to September 30,2012)
Amount

437,821337,874

59,336-135,287−-1,529

Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges

776-2,572Other comprehensive income

Foreign currency translation adjustment

60,112-139,389

Comprehensive income

497,934

198,484

Comprehensive income attributable to owners of the parent

354,279

169,317Comprehensive income attributable to minority interests

143,655

29,167

Comprehensive income attributable to- 5 -(4)DAC Consolidated statements of cash flows(Unit:Thousand Yen)
Items of an account

2nd Quarter of FY2012(April 1,2011
to September 30,2011)

2nd Quarter of FY2013(April 1,2012
to September 30,2012)amountamountNet cash provided by (used in) operating activities
Income before income taxes

881,120

866,529

Depreciation and amortization

186,406

314,101

Impairment loss
Amortization of goodwill−15,525

99,609111,731

Increase (decrease) in allowance for doubtful accounts-2,011-2,248

Increase (decrease) in provision for retirement benefits

37,186

14,950

Increase (decrease) in provision for point card certificates

2,895

8,820

Increase (decrease) in provision for directors' bonuses-43,560-500

Loss (gain) on change in equity-1,500

1,641

Loss (gain) on transfer of business-18,037−

Loss (gain) on sales and valuation of investment securities-12,957-64,940

Interest and dividends income-13,505-17,752

Interest expenses
Equity in (earnings) losses of affiliates
Loss (gain) on sales and retirement of noncurrent assets

2,846

8,643

-13,282-41,019

4,149

1,995

−

-7,128Decrease (increase) in notes and accounts receivable-trade804,439

666,750

Decrease (increase) in inventories-36,830

11,851−-18,277

Increase (decrease) in notes and accounts payable-trade-168,715-2,641,086

Increase (decrease) in accounts payable-other-350,377-325,939-4,982

175,410Gain on reversal of subscription rights to shares

Decrease (increase) in investment securities for sale

Increase (decrease) in accrued consumption taxes
Other, net

196,210

159,375Subtotal

1,549,102-761,565Interest and dividends income received

13,501

19,380Interest expenses paid

-2,850-7,430

Income taxes paid

-581,335-630,089

Net cash provided by (used in) operating activities

978,417-1,379,704

Payments into time deposits−-1,900,000

Proceeds from withdrawal of time deposits−

1,050,000

Net cash provided by (used in) investing activities

Proceeds from redemption of securities

4,000−

Purchase of property, plant and equipment-77,695-517,372−

123

Purchase of intangible assets-255,570-294,201

Purchase of investment securities-184,958-61,156

23,820111,094

Proceeds from sales of property, plant and equipment

Proceeds from sales and redemption of investment securities
Purchase of stocks of subsidiaries and affiliates-140,000-568,231

Proceeds from sales of stocks of subsidiaries and affiliates

85,050−

Proceeds from transfer of business

4,000

−

Payments for guarantee deposits-67,194-4,693

Proceeds from collection of guarantee deposits−

230,499

Collection of loans receivable−

5,047

Purchase of insurance funds-8,778-8,778

Payments for liquidation of subsidiaries-7,433−306-3,000-624,454-1,960,668

Other, net
Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Net increase (decrease) in short-term loans payable

250,000

17,920

Proceeds from long-term loans payable

179,350

531,000-97,977-119,779

Repayment of long-term loans payable
Purchase of treasury stock
Proceeds from stock issuance to minority shareholders
Proceeds from exercise of stock option-1,300,000−

128,000

12,153

3,679

1,776

Cash dividends paid

-367,915-294,072

Cash dividends paid to minority shareholders-62,242-74,540

Other, net-1,560-1,659-1,268,665

72,799Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents-9,328-22,367

Net increase (decrease) in cash and cash equivalents-924,030-3,289,940

Cash and cash equivalents at beginning of period

7,841,908

9,573,605−

10,941

6,917,878

6,294,605

Ｉｎｃｒｅａｓｅ in cash and cash equivalents of merged previously non-consolidated
subsidiaryCash and cash equivalents at end of period- 6 -