Brief Report on the Third Quarter Financial Statements for the Period Ending March 2019
[Japanese Standard] (Consolidated)
February 7, 2019

Name of listed company: DAI-DAN Co., Ltd.

Code No.: 1980 URL: https://www.daidan.co.jp/
Representative of Company: Ichiro Fujisawa, Representative Director, President
Inquiries to be addressed to: Yasuo Kamei, Director, Executive Corporate Officer,
Head of General Administration
Date scheduled to submit Quarterly report:
February 8, 2019―
Date scheduled for dividend payment commencement:
Creating supplements to the financial statement:
None
Holding a briefing session on the financial statement:
None

Stock Exchange Listing:Tokyo Stock Exchange 1st section
Tel. (06) 6447 - 8003

(Amounts are indicated with figures less than 1 million yen discarded)

1. Consolidated business results for the third quarter of the period ending March 2019 (From April 1, 2018 to December 31, 2018)(Percentage indications show increase or decrease from the previous period.)(1) Consolidated management performance (Cumulative total)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Million yen%
Million yen%
Million yen%
Third quarter of the110,776
7.9
5,408
5.0
5,755
3.7
period ending March 2019
Third quarter of the102,710
18.0
5,151
10.8
5,552
14.3
period ending March 2018
(Note)
Comprehensive income Third quarter of the period ending March 2019 1,553 Million yen (71.9%)
Third quarter of the period ending March 2018 5,523 Million yen 62.0%

Profit per share

%

3,774

2.9

3,668

16.7

Diluted Profit per share

Yen SenYen Sen169.34―164.58―

Third quarter of theperiod ending March 2019
Third quarter of theperiod ending March 2018

Million yen(2) Consolidated financial position
Total assets

Net assets

Million yen

Equity capital ratio

Million yen

Third quarter of the131,952
64,609period ending March 2019
Period ending March 2018
130,006
64,417(Reference) Equity capital
Third quarter of the period ending March 2019 64,446 Million yen
Period ending March 2018 64,245 Million yen

Net assets per share%

Yen Sen48.8

2,891.14

49.4

2,882.07

2. Dividends
End of first quarter
Yen Sen――Annual dividends per share
End of second quarter End of third quarter
Yen Sen
11.50
28.00

Yen Sen――

Period end
Yen Sen
33.00

Through year

Yen Sen
Period ending March 2018―
Period ending March 2019
Period ending March 2019
28.00
56.00
(Forecast)(Note 1)
Presence of revision from dividend forecast published most recently: None
(Note 2)
Breakdown of dividend at the end of the period ending March 2018: ordinary dividend 23.00 yen and special dividend 10.00 yen(Note 3)We had the share consolidation of two common shares to one common share as of October 1, 2017. The dividends for the second quarterof the period ending March 2018 and earlier periods indicate the actual dividend amount before the share consolidation.

3. Estimate of consolidated performance for the period ending March 2019 (From April 1, 2018 to March 31, 2019)(Percentage indications show increase or decrease from the previous period.)

Net sales
Mil. yen%

Operating profit

Ordinary profit

Mil. yenMil. yen%

Profit attributable toowners of parent%

Mil. yen%

151,000
5.3
7,500
1.5
7,500
(2.3)
Total period(Reference)
Estimated net sales of construction contract orders (Total period) 148,000 Million yen(Note)
Presence of revision from estimate of performance published most recently: None

5,000

(2.1)

Profit per share
Yen

Sen
224.29* Annotations(1) Changes in key subsidiaries in the current quarter consolidated cumulative period (changes in specific subsidiaries requiringchanges of consolidation scope): None
(2) Application of particular accounting to the preparation of quarter consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, restatement
 Changes in accounting policies due to revision of accounting standards, etc.: None
 Changes in accounting policies other than : None
 Changes in accounting estimates: None Restatement: None
(4) Number of issued shares (common stock) Number of issued shares at the end of
period (including treasury shares)
 Number of treasury shares at the end of
period Average number of shares in the period(quarter total)

Third quarter of
period ending
March 2019
Third quarter of
period ending
March 2019
Third quarter of
period ending
March 2019

22,981,901 shares

Period ending
March 2018

22,981,901 shares

690,691 shares

Period ending
March 2018

690,284 shares

Third quarter of
22,291,440 shares period ending
March 201822,293,449 shares(Note) Because we had the share consolidation of two common shares to one common share as of October 1, 2017, "Average numbers ofshares in the period" is calculated assuming that the share consolidation was executed at the beginning of the previous consolidated
accounting year.

* Brief report on quarterly financial statements is beyond the object of audit by CPA or an audit corporation.
* Explanation about adequate use of achievement forecasts and other noteworthy matters

The above forecasts are based on the information available at the time of preparation of this document and the assumption
considered as reasonable.
Consequently, actual results differ materially from forecasts above due to changes in business results. For precautions for use of
the assumptions for the above forecasts and forecasts of business results, please refer to the Section “1. Qualitative Information
on Current Quarter Business Settlement, (3) Explanation on Future Estimate Information such as Estimate of Consolidated
Performance” on page 2.

(Reference) Estimate of individual performance
Estimate of individual performance for the period ending March 2019 (From April 1, 2018 to March 31, 2019)(Percentage indications show increase or decrease from the previous period.)

Net sales
Mil. yen

Ordinary profit

Mil. yenMil. Yen%

ProfitProfit per share%

Mil. yen%

Yen Sen150,000
5.4
7,500
1.3
7,500
(2.4)
Estimated net sales of construction contract orders (Total period) 147,000 Million yen
Presence of revision from estimate of performance published most recently: None

5,000

(2.3)

224.29Total period(Reference)(Note)%

Operating profit

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2019

 Contents of Information
1. Qualitative Information on Current Quarter Business Settlement ...........................................................................2(1) Explanation on Operating Results......................................................................................................................2(2) Explanation on Financial Conditions .................................................................................................................2(3) Explanation on Future Estimate Information such as Estimate of Consolidated Performance ..........................2
2. Consolidated Financial Statements and Major Notes ..............................................................................................3(1) Consolidated Balance Sheets .............................................................................................................................3(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income ........................5(Consolidated Statements of Income)(Third Quarter Consolidated Cumulative Period)............................................................................................5(Consolidated Statements of Comprehensive Income)(Third Quarter Consolidated Cumulative Period)............................................................................................6(3) Annotation Items Concerning Quarterly Consolidated Financial Statements ....................................................7(Notes to Going Concern Assumption) ............................................................................................................7(Notes in Case of Significant Changes in the Amount of Shareholders’ Equity) ............................................7
3. Supplementary Information .....................................................................................................................................7
Divisional net sales of construction contract orders received, completed construction contracts, anduncompleted construction contracts (consolidated) ................................................................................................71

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2019

1. Qualitative Information on Current Quarter Business Settlement(1) Explanation on Operating Results
Net sales of construction contract orders received in the current third quarter consolidated accounting period
decreased by 849 million yen or 0.8% from the same quarter consolidated cumulative period of the previous
year, resulting in 110,838 million yen.
Net sales of completed construction contracts increased by 8,065 million yen or 7.9% from the same quarter
consolidated cumulative period of the previous year, resulting in 110,776 million yen.
Gross profit on completed construction contracts increased by 415 million yen or 3.1% from the samequarter consolidated cumulative period of the previous year, resulting in 13,750 million yen.
Operating profit increased by 256 million yen or 5.0% from the same quarter consolidated cumulative periodof the previous year, resulting in 5,408 million yen, due to the increase in the gross profit on completed
construction contracts.
Ordinary profit increased by 203 million yen or 3.7% from the same quarter consolidated cumulative periodof the previous year, resulting in 5,755 million yen, due to the increases in the operating profit, etc. in spiteof the decrease in foreign exchange gains.
Profit attributable to owners of parent increased by 105 million yen or 2.9% from the same quarter
consolidated cumulative period of the previous year, resulting in 3,774 million yen, after posting the loss on
valuation of investment securities of 110 million yen as an extraordinary loss, as well as deducting theincome tax - current, income taxes - deferred, and the loss attributable to non-controlling interests.
(2) Explanation on Financial Conditions(Assets)
Current assets at the end of the current third quarter consolidated accounting period increased by 5,153
million yen or 5.4% from the end of the previous consolidated accounting year, resulting in 100,913 million
yen. The main factors for this are the increase of 3,184 million yen or 6.1% in notes receivable, accounts
receivable from completed construction contracts and the increase of 3,088 million yen or 27.3% inelectronically recorded monetary claims - operating, etc. Non-current assets decreased by 3,208 million yenor 9.4% from the end of the previous consolidated accounting year, resulting in 31,039 million yen. The
main factor for this is the decrease of 3,418 million yen or 18.4% in investment securities.
As a result, total assets increased by 1,945 million yen or 1.5% from the end of the previous consolidated
accounting year, resulting in 131,952 million yen.
(Liabilities)
Current liabilities at the end of the current third quarter consolidated accounting period increased by 2,103
million yen or 3.5% from the end of the previous consolidated accounting year, resulting in 61,992 million
yen. The main factor for this is the increase of 4,914 million yen or 24.7% in electronically recorded
obligations - operating. Non-current liabilities decreased by 350 million yen or 6.1% from the end of theprevious consolidated accounting year, resulting in 5,350 million yen. The main factor for this is thedecrease of 254 million yen or 9.2% in deferred tax liabilities.
As a result, total liabilities increased by 1,752 million yen or 2.7% from the end of the previous consolidated
accounting year, resulting in 67,342 million yen.
(Net Assets)
Total net assets at the end of the current third quarter consolidated accounting period increased by 192
million yen or 0.3% from the end of the previous consolidated accounting year, resulting in 64,609 million
yen. The main factor for this is the increase of 2,414 million yen or 5.1% in retained earnings.
As a result, the equity capital ratio resulted in 48.8% (49.4% at the end of the previous consolidated
accounting year).
(3) Explanation on Future Estimate Information such as Estimate of Consolidated Performance
There is no change in the estimate of performance for a full accounting year published on May 10, 2018.

2

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2019

2. Consolidated Financial Statements and Major Notes(1) Consolidated Balance Sheets(Millions of yen)Previous Consolidated
Accounting Year(As of March 31, 2018)
AssetsCurrent assets
Cash and deposits
Notes receivable, accounts receivable fromcompleted construction contracts
Electronically recorded monetary claims - operating
Costs on uncompleted construction contracts
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Net defined benefit asset
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

3

Current Third Quarter
Consolidated Accounting
Period(As of December 31, 2018)27,88526,401

52,63855,822

11,319
500
0
3,422
(7)
95,75914,407
1,517
―
2,770
(7)
100,913

4,704
557

4,645
482

18,602
8,944
1,629
(191)
28,98534,247130,006

15,183
9,411
1,504
(189)
25,91031,039131,952

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2019

(Millions of yen)Previous Consolidated
Accounting Year(As of March 31, 2018)
Liabilities
Current liabilities
Notes payable, accounts payable for construction
contracts
Electronically recorded obligations - operating
Short-term loans payable
Income taxes payable
Advances received on uncompleted construction
contracts
Provision for bonuses
Provision for directors' bonuses
Provision for warranties for completed construction
Provision for loss on construction contracts
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Deferred tax liabilities
Net defined benefit liability
Provision for foreign investment loss
Long-term accounts payable - other
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

4

Current Third Quarter
Consolidated Accounting
Period(As of December 31, 2018)

21,996

20,68819,862
4,026
1,880

24,776
3,932
―

1,733

2,171

―
―
69
358
9,961
59,889

1,670
29
75
83
8,564
61,992

1,299
2,774
1,323
6
296
0
5,700
65,589

1,197
2,520
1,329
6
296
0
5,350
67,3424,479
4,809
47,307(688)
55,9084,479
4,809
49,722(690)
58,321

7,798
24
514
8,337
171
64,417130,006

5,515
26
582
6,124
163
64,609131,952

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2019(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income(Consolidated Statements of Income)(Third Quarter Consolidated Cumulative Period)(Millions of yen)

Net sales of completed construction contracts
Cost of sales of completed construction contracts
Gross profit on completed construction contracts
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Insurance fee
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Guarantee commission
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of non-current assets
Gain on sales of investment securities
Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Loss on valuation of investment securities
Loss on valuation of golf club membership
Total extraordinary losses
Profit before income taxes
Income taxes – current
Income taxes – deferred
Total income taxes
ProfitLoss attributable to non-controlling interests
Profit attributable to owners of parent

5

Previous Third Quarter
Consolidated Cumulative
Period(From April 1, 2017
to December 31, 2017)
102,710
89,375
13,3358,184
5,151

Current Third Quarter
Consolidated Cumulative
Period(From April 1, 2018
to December 31, 2018)110,776
97,026
13,750
8,342
5,408

5
257
93
138
28
523

7
303
107
0
38
456

108
5
8
122
5,552

91
6
11
109
5,755

4
8
13

―
―
―

0
―
4
4
5,561
1,425
482
1,907
3,653
(15)
3,668

―
110
―
110
5,645
1,157
722
1,880
3,764
(10)
3,774

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2019

(Consolidated Statements of Comprehensive Income)(Third Quarter Consolidated Cumulative Period)(Millions of yen)

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

6

Previous Third Quarter
Consolidated Cumulative
Period(From April 1, 2017
to December 31, 2017)
3,653

Current Third Quarter
Consolidated Cumulative
Period(From April 1, 2018
to December 31, 2018)
3,764

1,552
15
302
1,870
5,523

(2,283)4
67(2,210)
1,553

5,531

1,561

(8)

(8)

DAI-DAN Co., Ltd. (1980), Brief Report on the Third Quarter Financial Statements for the Period Ending March 2019(3) Annotation Items Concerning Quarterly Consolidated Financial Statements(Notes to Going Concern Assumption)
None(Notes in Case of Significant Changes in the Amount of Shareholders’ Equity)
None

3. Supplementary Information
Divisional net sales of construction contract orders received, completed construction contracts, and uncompleted
construction contracts (consolidated)(Millions of yen)

Net sales of uncompleted
construction contracts

Net sales of completed
construction contracts

Net sales of construction
contract orders received

Previous Third Quarter
Consolidated Cumulative
Period(From April 1, 2017
to December 31, 2017)
Component
Amountratio %

Current Third Quarter
Consolidated Cumulative
Period(From April 1, 2018
to December 31, 2018)
Component
Amountratio %

Increase(decrease)

AmountRatio %

Electrical installations

17,535

15.7

14,46713.1(3,067)(17.5)

Air conditioning
installations

68,97361.8

67,843

61.2(1,130)(1.6)

Plumbing installations

25,17822.5

28,527

25.7

3,349

13.3

Total

111,688100.0

110,838

100.0

(849)

(0.8)

(Industrial facilities)

34,87831.2

36,184

32.6

1,306

3.7

(Renovations)

58,594

52.5

59,560

53.7

966

1.6

(Overseas operations)

3,556

3.2

6,383

5.8

2,827

79.5

Electrical installations

18,58618.1

17,02915.4(1,556)(8.4)

Air conditioning
installations

61,53959.965,834

59.4

4,294

7.0

Plumbing installations

22,58422.0

27,912

25.2

5,328

23.6

Total

102,710100.0

110,776

100.0

8,065

7.9

(Industrial facilities)

26,78326.1

36,256

32.7

9,472

35.4

(Renovations)

53,61452.2

49,922

45.1(3,691)(6.9)(Overseas operations)

3,991

3.9

5,166

4.7

1,175

29.5

Electrical installations

16,381

13.1

11,6099.7(4,771)(29.1)

Air conditioning
installations

78,41962.5

79,161

65.7

742

0.9

Plumbing installations

30,65724.4

29,659

24.6

(998)

(3.3)

Total

125,457

100.0

120,429100.0(5,027)(4.0)(Industrial facilities)

28,30522.6

32,358

26.9

4,053

14.3

(Renovations)

33,59926.8

32,931

27.3

(667)

(2.0)

(Overseas operations)

2,193

1.7

3,306

2.7

1,113

50.8

7