Summary of Consolidated Financial Results for the Fiscal Year Ended March 31, 2018〔Japanese GAAP〕
May 10, 2018
Nisso Corporation
Stock Exchange Listing: Tokyo
6569
ＵＲＬ http://www.nisso.co.jp/
Title
President, (COO)（Name）Ryuichi Shimizu
Managing Director,
Administration Department,
Contact Person
Title（Name）Shinichi Matsuo
ＴＥＬ 045-514-4323
General Affairs Division
Director
Scheduled date of Annual
Scheduled date ofGeneral Meeting ofJune 28, 2018
June 29, 2018
payment of dividend
Shareholders
Scheduled date of filing
June 29, 2018
Annual Securities Report
Preparation of supplementarymaterials for financial
results: Yes
Holding of financial results（for institutional investors and analysts）
meeting: Yes
Company Name
Securities Code
Representative（ All amounts are rounded down to the nearest million yen ）１．Consolidated Financial Results for the Fiscal Year Ended March 31, 2018 (April 1, 2017 - March 31, 2018)（１）Consolidated results of operations（Percentages represent year-on-year changes）
Net sales

Ordinary profit

Profit attributable toowners of parent
Million yen％

Million yen％

Million yen％

Million yen％

59,208

10.6

1,800

109.3

1,781

113.8

1,159

136.1

53,53313.1

860(13.9)

833

(5.9)

491

6.6

Fiscal year ended
Mar. 31, 2018
Fiscal year ended
Mar. 31, 2017
（Note）
Comprehensive
incomeOperating profit

Fiscal year
ended Mar.
31, 2018

1,137

Million yen（106.5％）

Fiscal year
ended Mar.
31, 2017

550

Million yen（37.5％）

Ratio of ordinary
Ratio of
Return on equity profit on total operating profit
assetson net sales

Net income per share

Diluted net income per
share

Yen

Yen

％

％

％

173.22157.80

16.5

9.6

3.0

74.07

－

11.1

5.0

1.6

Fiscal year ended
Mar. 31, 2018
Fiscal year ended
Mar. 31, 2017
（Reference）Equity inearnings of affiliates

Fiscal year
ended Mar. 31,
2018

4

Million yen

Fiscal year
ended Mar. 31,
2017

(1)

Million yen（Note）１．As of October 16, 2017, the Company's common stock was split at a ratio of 10 shares for 1 share, and then at
a ratio of 2 shares for 1 share on February 1, 2018. "Net income per share" and "diluted net income pershare" is calculated assuming that the shares were split at the beginning of the previous consolidated fiscal
year.
２．Since the Company was listed on the Tokyo Stock Exchange First Section on March 16, 2018, the average stock
price from the initial listing date to the last day of the current consolidated fiscal year is calculated as
the average stock price during the period.
３．Regarding the diluted net income per share, although there is a balance of share acquisition rights for theprevious consolidated fiscal year, since the Company's shares were unlisted, the average share price cannot
be grasped and is therefore not listed.
（２）Consolidated financial position
Total assets
As of Mar. 31,
2018
As of Mar. 31,
2017

Net assets

Equity ratio

Net assets per share

Million yen

Million yen％

Yen

19,881

9,462

47.6

1,141.27

17,410

4,601

26.4

694.08（Reference）
Shareholders’ equity

As of Mar. 31,
2018

9,462

Million yen

As of Mar. 31,
2017

4,601

Million yen（Note）As of October 16, 2017, the Company's common stock was split at a ratio of 10 shares for 1 share, and then at aratio of 2 shares for 1 share on February 1, 2018. "Net assets per share" is calculated assuming that the shareswere split at the beginning of the previous consolidated fiscal year.
（３）Consolidated cash flows
Cash flows from operating Cash flows from investing Cash flows from financing Cash and cash equivalents
activities
activities
activities
at end of period
Million yen
Million yen
Million yen
Million yen
Fiscal year ended
2,751
(102)
(735)
5,283
Mar. 31, 2018
Fiscal year ended
1,303
236
254
3,369
Mar. 31, 2017
２．Dividends
Dividend per share
1Q-end2Q-end3Q-endYear-end

Total

Yen

Yen

Yen

Yen

Yen

Total
dividends
Millionyen

Dividend payout Dividend on
ratio
equity(consolidated) (consolidated)％％

Fiscal year ended－
0.00－
445.00445.00147
30.0
3.3
Mar. 31, 2017
Fiscal year ended
－
0.00
－
42.00
42.00
348
30.0
4.6
Mar. 31, 2018
Fiscal year
－
－
－
－
－
－
ending Mar. 31,
2019 (forecast)（Note）１．As of October 16, 2017, the Company's common stock was split at a ratio of 10 shares for 1 share, and then at
a ratio of 2 shares for 1 share on February 1, 2018. However, regarding dividends for the fiscal year ended
March 31, 2017, the dividend amount before the stock split is listed.
２．The dividend forecast for the fiscal year ending March 31, 2019 is undecided at this time.

３．Consolidated Forecast for the Fiscal Year Ending March 31, 2019 (April 1, 2018 – March 31, 2019)（Percentages represent year-on-year and quarter-on-quarter changes）
Net sales

Full year※

Operating profit

Ordinary profit

Millionyen％

Millionyen％

Millionyen％

65,686

10.9

2,099

16.6

2,144

20.4

Profit attributableto owners of parent
Million
％
yen

1,376

Net income per
share
Yen

18.7

166.06Notes（１）Changes in the significant subsidiaries during the period (changes in specified subsidiaries resulting in changes
in the scope of consolidation: None
Newly added:（Co. name）－、Excluded（Co. name）－（２）Changes in accounting policies and accounting estimates, and restatements① Changes in accounting policies due to revisions in accounting standards, etc.：② Changes in accounting policies other than ① above：③ Changes in accounting estimates：④ Restatements：

None
None
None
None

（３）Number of outstanding shares（Common stock）① Number of shares outstanding at the
As of Mar.
As of Mar.
end of the period （including
8,291,200Shares
6,630,000Shares
31, 2018
31, 2017
treasury shares）② Number of treasury shares at the end
As of Mar.
As of Mar.
－ Shares－ Sharesof the period
31, 2018
31, 2017
Fiscal year
Fiscal year
③ Average number of shares outstanding
ended Mar.
6,694,667Shares ended Mar.
6,630,000Shares
during the period
31, 2018
31, 2017（Note）As of October 16, 2017, the Company's common stock was split at a ratio of 10 shares for 1 share, and thenat a ratio of 2 shares for 1 share on February 1, 2018. "Number of shares outstanding at the end of theperiod", "number of treasury shares at the end of the period" and "average number of shares outstanding
during the period" are calculated assuming that the shares were split at the beginning of the previous
consolidated fiscal year.
（Reference）Summary of Non-consolidated Financial Results
Non-consolidated Financial Results for the Fiscal Year Ended March 31, 2018（April 1, 2017 - March 31, 2018）（１）Non-consolidated results of operations（Percentages represent year-on-year changes）
Net sales
Fiscal year ended
Mar. 31, 2018
Fiscal year ended
Mar. 31, 2017

Operating profit

Profit％Million yen％

Million yen％

Million yen％

53,184

13.3

1,796

116.4

1,759

131.5

1,145

161.9

46,928

16.2

830

0.1

759

10.0

437

26.9

Yen

Diluted net income per
share
Yen

171.10155.8765.95－

Net income per share
Fiscal year ended
Mar. 31, 2018
Fiscal year ended
Mar. 31, 2017

Ordinary profit

Million yen（Note） １．As of October 16, 2017, the Company's common stock was split at a ratio of 10 shares for 1 share, and thenat a ratio of 2 shares for 1 share on February 1, 2018. "Net income per share" and "diluted net income pershare" is calculated assuming that the shares were split at the beginning of the previous consolidated
fiscal year.
２．Since the Company was listed on the Tokyo Stock Exchange First Section on March 16, 2018, the average stock
price from the initial listing date to the last day of the current consolidated fiscal year is calculated as
the average stock price during the period.
３．Regarding the diluted net income per share, although there is a balance of share acquisition rights for theprevious consolidated fiscal year, since the Company's shares were unlisted, the average share price cannot
be grasped and is therefore not listed.

（２）Non-consolidated financial position
Total assets
As of Mar. 31,
2018
As of Mar. 31,
2017

Net assets

Equity ratio

Net assets per share

Million yen

Million yen％

Yen

17,257

8,525

49.4

1,028.24

15,045

3,681

24.5

555.35（Reference）
As of Mar.
As of Mar.
8,525 Million yen
3,681 Million yen
Shareholders’ equity
31, 2018
31, 2017（Note）As of October 16, 2017, the Company's common stock was split at a ratio of 10 shares for 1 share, and then at aratio of 2 shares for 1 share on February 1, 2018. "Net assets per share" is calculated assuming that the shares weresplit at the beginning of the previous consolidated fiscal year.
※

The current financial statement is not subject to audit procedures by certified public accountants or auditing
corporations.

※

Cautionary statement on the appropriate use of earnings forecasts, and other special items
Earnings forecasts regarding future performance and other forward-looking statements in this material are based on
certain assumptions judged to be valid and on information that is currently available to the Company, and do not
represent promises by the Company that these figures will be achieved. In addition, actual results may differ
significantly due to a variety of factors. For prerequisite conditions and precautions regarding the usage of
earnings forecasts, please refer to “1. Overview of Operating Results, (4) Future Prospects” on P.4 of theattachments.

○Contents of Attachments
１．Overview of Operating Results ………………………………………………………………………………………
（１）Overview of Operating Results for the Current Fiscal Year ……………………………………………
（２）Overview of Financial Position for the Current Fiscal Year …………………………………………
（３）Overview of Cash Flows for the Current Fiscal Year ……………………………………………………
（４）Future Prospects …………………………………………………………………………………………………
（５）Basic Policy on Profit Distribution and Dividends for Current and Next Terms …………………
２．Basic Approach to the Selection of Accounting Standards ……………………………………………………
３．Consolidated Financial Statements and Notes …………………………………………………………………
（１）Consolidated Balance Sheet ……………………………………………………………………………………
（２）Consolidated Statements of Income and Comprehensive Income …………………………………………
Consolidated Statement of Income ……………………………………………………………………………
Consolidated Statement of Comprehensive Income …………………………………………………………
（３）Consolidated Statement of Changes in Equity ………………………………………………………………
（４）Consolidated Statement of Cash Flows ………………………………………………………………………
（５）Notes regarding Consolidated Financial Statements ………………………………………………………
（Notes regarding Going Concern Assumption） ………………………………………………………………
（Segment and Other Information） ………………………………………………………………………………
（Per Share Information） …………………………………………………………………………………………
（Significant Subsequent Events） ………………………………………………………………………………

－

1 －

2
2
2
3
4
4
6
7
7
9
9
10
11
13
14
14
14
14
15

１．Overview of Operating Results（１）Overview of Operating Results for the Current Fiscal Year
Japan's economy in the current consolidated fiscal year (April 1, 2017 - March 31, 2018) has continued
improvement in the employment and income environments due to economic measures under the current
administration and the effects of the monetary policy by the Bank of Japan (hereinafter “ the BOJ”), andhas been on a gradual recovery trend.
Also, in the world economy, despite uncertainties due to geopolitical risks and US protectionist policies,
gradual economic recovery has continued due to improvements in the employment and income environments in
Europe, the US and China.
With regard to the environment surrounding the Nisso Group (hereinafter “the Group”), in the midst of
the accelerated declining birthrate and aging population, along with the decrease in the work force due
to mass retirement of the baby boomer generation, there were also influences such as the promotion ofwork-style reforms by the current administration. Also, the effective opening-to-application ratio ofjobs has remained at a high level in many industries, and the labor shortage has continued.
In addition, due to the revisions of the Labor Contract Act and the Worker Dispatch Law, the so-called2018 Issue has become imminent, and major manufacturers, who are the Company's important clients, havealso had to address this issue.
Amid such circumstances, regarding the general human resources service business, the Group has developed
measures to utilize its own recruitment sites and implement employment campaigns, and has worked toreinforce hiring, aiming to increase retention rates and to increase the number of employed staff.
Furthermore, the Company has actively employed "skilled staff", or indefinite-term employees, and has
worked to realize high unit costs by providing high value-added services to its clients.
On the other hand, regarding the other businesses, since the demand for nursing care services has beenon an upward trend due to the rise in the population aging rate, the Group has been striving to improve
the quality of services provided and to expand the number of service users.
As a result, net sales for the current consolidated fiscal year amounted to 59,208 million yen (up 10.6%
year on year), operating profit was 1,800 million yen (up 109.3% year on year), ordinary profit was 1,781
million yen (up 113.8% year on year), and profit attributable to owners of parent was 1,159 million yen(up 136.1% year on year).
Results by business are as follows.
①
General Human Resources Service Business
The Group has continued to expand its sales activities to key clients such as transportationequipment and electronic component manufacturers, which have been performing well under favorable
production conditions, and has strived to expand market shares and improve contract unit costs. In
addition, in order to improve the quality of service offered to clients, the Group has increased thenumber of "skilled staff", boosted employee morale, and expanded educational opportunities including
skill acquisition.
As a result, net sales for the current consolidated fiscal year for this business amounted to 56,934
million yen (up 11.1% year on year), and gross profit was 10,185 million yen (up 17.7% year on year).
②

Other Businesses
The Group manages nursing care and welfare businesses as other businesses. In order to respond to
the needs of the aging society, the Group has opened a new fee-based elderly care facility "Sweetpea
Higashi Totsuka" in March 2018, and has expanded the provision of its services. Accordingly, upfront
investment such as employee recruitment and capital investment of the newly constructed facility has
occurred.
As a result, net sales for the current consolidated fiscal year for these businesses amounted to2,273 million yen (down 0.4% year on year) and gross profit was 187 million yen (down 38.4% year onyear).

（２）Overview of Financial Position for the Current Fiscal Year
（Assets）
Current assets at the end of the current consolidated fiscal year were 13,058 million yen, an－

2 －increase of 2,594 million yen from the end of the previous consolidated fiscal year. This was mainly
due to increases in cash and deposits of 1,914 million yen, and notes and accounts receivable by 579
million yen.
Non-current assets at the end of the current consolidated fiscal year amounted to 6,823 million yen,and decreased by 123 million yen compared to the end of the previous consolidated fiscal year. Thiswas mainly due to the decrease of deferred tax assets by 264 million yen, while lease and guarantee
deposits increased by 174 million yen.
As a result, total assets amounted to 19,881 million yen, an increase of 2,470 million yen from theend of the previous consolidated fiscal year.
（Liabilities）
Current liabilities at the end of the current consolidated fiscal year totaled 8,062 million yen, adecrease of 972 million yen from the end of the previous consolidated fiscal year. This was mainly due
to the decrease of short-term loans payable by 2,600 million yen, while accrued expenses and income
taxes payable increased by 822 million yen and 441 million yen, respectively.
Non-current liabilities at the end of the current consolidated fiscal year amounted to 2,356 million
yen, a decrease of 1,416 million yen compared to the end of the previous consolidated fiscal year.
This was mainly due to a decrease of 1,464 million yen in long-term loans payable.
As a result, total liabilities were 10,418 million yen, a decrease of 2,389 million yen from the endof the previous consolidated fiscal year.
（Net Assets）
Total net assets at the end of the current consolidated fiscal year amounted to 9,462 million yen,
an increase of 4,860 million yen compared to the end of the previous consolidated fiscal year. Thiswas mainly due to the increase of capital stock and capital surplus by 1,935 million yen,respectively, as a result of public stock offerings, etc. In addition, retained earnings increased by
1,012 million yen due to the profit attributable to owners of parent appropriation of 1,159 million
yen and dividends of surplus payment of 147 million yen.
As a result, the equity ratio was 47.6% (at the end of the previous consolidated fiscal year, it was
at 26.4%).
（３）Overview of Cash Flows for the Current Fiscal Year
Cash flows for the current consolidated fiscal year increased by 2,751 million yen in regards tocash flows from operating activities, decreased by 102 million yen in regards to cash flows frominvesting activities, and decreased by 735 million yen in regards to cash flows from financing
activities.
As a result, cash and cash equivalents for the current consolidated fiscal year increased by 1,914
million yen to 5,283 million yen compared to the balance at the beginning of the current period.
The status and contributing factors of cash flows from operating, investing and financing activities
in the current consolidated fiscal year are as follows.
（Cash flows from operating activities）
Cash flows from operating activities consisted of income/revenue such as profit before income taxesof 1,781 million yen, depreciation of 253 million yen, and increase in accrued expenses of 820 million
yen, etc. Cash flows from operating activities amounted to 2,751 million yen (which was 1,303 million
yen in the same period of the previous year) including the absorption of increase in notes andaccounts receivable expenditures of 579 million yen, etc.
（Cash flows from investing activities）
Cash flows from investing activities amounted to 102 million yen in expenditures (which was 236
million yen in the same period of the previous year) due to purchase of property, plant and equipmentof 66 million yen, and purchase of intangible assets 36 million yen, etc.
（Cash flows from financing activities）
Cash flows from financing activities consisted of proceeds from issuance of common shares of 3,854－

3 －million yen, but also a net decrease in short-term loans payable of 2,600 million yen, and repaymentsof long-term loans payable of 2,063 million yen, which resulted in expenditures of 735 million yen(which was 254 million yen in the same period of the previous year)（４）Future Prospects
With regard to future prospects, amid continued improvement of employment and income conditions inJapan's economy, there is expected to be a gradual recovery due to the effects of various policies of
the current administration and the BOJ. In the world economy, although it is necessary to pay attention
to the outlook of the economies of China and other emerging countries in Asia, the impact of uncertainty
concerning policy trends in Europe and the US, the trend of trade issues, and the influence of fluctuationsin the financial and capital markets, it is expected that a gradual recovery will continue. Under suchcircumstances, it is believed that production trends of major domestic manufacturers, which are the majorclients of the Group, will continue to remain strong.
In terms of legislation, it is expected that the application of the amended Labor Contract Law andthe revised Worker Dispatch Law will continue to switch direct employment of contract employees todispatched employees in regards to the employment of non-regular employees of manufacturers. On theother hand, in addition to strengthening regulations on dispatching companies such as careerdevelopment support for dispatched employees and mandatory employment stabilization measures, regarding
export manufacturers expanding transactions with companies overseas, there is also movement of
dispatching companies to comply with the EICC Code of Conduct. Therefore, it is expected that thereorganization of the industry will continue as a result of the elimination of dispatching companies
who are unable to comply with these compliance systems.
Under these circumstances, the Group will continue to practice the founding philosophy, "Nurturing
and Bringing Out the Best in People", set the vision "To Be the Finest Professional Organization
Supporting Made in Japan", and will undertake the task of implementing the following measures.
Increase the number of "skilled staff" who are "indefinite-term employees" through new recruitment
and promotion of manufacturing staff, and assign "skilled staff" who were developed at the Group-owned"Nisso Technical Center" to major manufacturers that are its main clients. Even after the assignment ofstaff, the Group will contribute to the improvement of productivity of manufacturers by providing highvalue-added services through higher retention rates compared to the manufacturing staff who are
generally deployed, and by acquiring skills that meet individual client needs.
Regarding educational facilities, the Group newly opened the "Nisso Technical Center Naka-Nihon(Okaya City, Nagano Prefecture)" in May 2018, and will implement education for assignment of staff toelectronic component manufacturers. In addition, the Group will also focus on safety and healthactivities by implementing safety education such as dangerous physical exercise training by utilizing
mobile educational vehicles for manufacturing staff who are unable to receive education at TechnicalCenter.
Since the demand from manufacturers is steady for the time being, in addition to aiming to expand thescale of the number of manufacturing staff by maintaining more than 1,000 persons assigned per month,by utilizing its own recruitment site, "Kojo Kyujin Navi", the Group will strive to reduce recruitment
costs that are on the rise and improve profitability.
As a result of the above, the Group anticipates the full year consolidated financial results for the
fiscal year ending March 31, 2019 to be as follows: net sales of 65,686 million yen (up 10.9% year onyear), operating profit of 2,099 million yen (up 16.6% year on year), ordinary profit of 2, 144 million
yen (up 20.4% year on year), and profit attributable to owners of parent of 1,376 million yen (up 18.7%
year on year).
※The above-mentioned earnings forecasts are based on information available as of the publication
date of this material, and actual results may differ from the forecasts due to various factors in the
future.
（５）Basic Policy on Profit Distribution and Dividends for Current and Next Terms
The Company considers the redistribution of profits to shareholders and the improvement of corporate
values as a key management issues, taking into consideration the balance between securing funds for
growth investments and strengthening the corporate structure that can respond to changes in the business－4 －environment and its basic policy is to continue to steadily redistribute profits to all of its
shareholders.
In addition, although the Company considers the year-end dividend as a general principle, the articles
of incorporation stipulate that it is possible to distribute surplus funds twice a year as interim
dividends and end-of-term dividends in order to enhance the redistribution of profits to shareholders.
As the decision-making body, the Board of Directors is determined to make it possible to flexibly carryout the payment of interim dividends while taking into consideration the performance trends and otherfactors.
In accordance with the above policy, the dividend for the fiscal year ended March 31, 2018 isscheduled to be a payment of 42.00 yen per share (consolidated dividend payout ratio of 30.0%).
Dividend payments for the fiscal year ending March 31, 2019 is currently undecided.

－

5 －２．Basic Approach to the Selection of Accounting Standards
Since many of the stakeholders are domestic shareholders, creditors, business partners, etc., and due tothe lack of funding from overseas, the Group has applied generally accepted accounting principles inJapan.

－

6 －３．Consolidated Financial Statements and Significant Notes（１）Consolidated Balance Sheet（Unit: Thousand yen）
FY 3/17（As of Mar. 31, 2017）
AssetsCurrent Assets
Cash and deposits
Notes and accounts receivable - trade
Prepaid expenses
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Building and structures
Accumulated depreciation
Building and structures (net)
Land
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Leased assets
Other
Total intangible assets
Investments and other assets
Operational investment securities
Current portion of long-term loans
receivable
Lease and guarantee deposits
Deferred tax assets
Net defined benefit asset
Other
Allowance for doubtful accounts
Total investments and other assets
Total property, plant and equipment
Total current assets－

7 －FY 3/18（As of Mar. 31, 2018）

3,369,520
6,212,429
402,089
289,109
197,242(6,827)
10,463,563

5,283,739
6,791,691
454,303
305,118
229,758(6,444)
13,058,166

5,412,290(3,225,696)
2,186,594
2,776,300
416,010(315,645)
100,365
5,063,260

5,434,544(3,320,701)
2,113,842
2,771,384
411,722(302,613)
109,108
4,994,335

214,597
103,641
318,239

287,317
92,898380,215

407,024

380,056

3,243

1,882

506,347
287,470
67,185
297,057(3,115)
1,565,213
6,946,712
17,410,276

680,928
23,121
78,942
285,343(1,742)
1,448,532
6,823,082
19,881,249

（Unit: Thousand yen）
FY 3/17（As of Mar. 31, 2017）
Liabilities
Current liabilities
Short-term loans payable
Current portion of long-term loans
payableLease obligations
Accrued expenses
Income taxes payable
Accrued consumption taxes
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Lease obligations
Deferred tax liabilities
Net defined benefit liability
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-forsale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive
incomeTotal net assets
Total liabilities and net assets－

8 －FY 3/18（As of Mar. 31, 2018）

2,600,000－

771,572

501,889

75,4893,508,670
46,146
1,018,489
396,543
617,996
9,034,908

108,228
4,331,212
487,959
1,085,514
528,328
1,018,930
8,062,063

3,347,332
184,727－
13,767
227,785
3,773,613
12,808,522

1,883,221
220,542
11,04936,418205,435
2,356,667
10,418,731

50,000400,950
3,941,339
4,392,289

1,985,364
2,336,314
4,953,482
9,275,161

185,816

160,525

1,322
22,326

1,529
25,302

209,465

187,357

4,601,754
17,410,276

9,462,518
19,881,249

（２）Consolidated Statements of Income and Comprehensive Income（Consolidated Statement of Income）（Unit: Thousand yen）
FY 3/17(Apr. 1, 2016 - Mar. 31,
2017)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted forusing equity method
Subsidy income
House rent income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Share of loss of entities accounted forusing equity method
Rent expenses
Other
Total non-operating expenses
Ordinary profit
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controllinginterests
Profit attributable to owners of parent－

9 －FY 3/18(Apr. 1, 2017 - Mar. 31,
2018)

53,533,200
44,572,669
8,960,530
8,100,243
860,287

59,208,463
48,834,760
10,373,703
8,573,170
1,800,532

7,025
13,3991,210
13,354－

4,895

41,63062,711
27,053
151,82052,01456,65429,394
157,523

100,196

82,8601,687－

30,113
46,720178,718
833,389
833,389
51,970290,304
342,275
491,11334,652
58,864
176,376
1,781,679
1,781,679
361,305
260,713622,019
1,159,660－－

491,113

1,159,660

（Consolidated Statement of Comprehensive Income）（Unit: Thousand yen）
FY 3/17(Apr. 1, 2016 - Mar. 31,
2017)ProfitOther comprehensive income
Valuation difference on available-for-salesecurities
Remeasurements of defined benefit plans
Share of other comprehensive income ofentities accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to ownersof parent
Comprehensive income attributable to noncontrolling interests

－

10 －

FY 3/18(Apr. 1, 2017 - Mar. 31,
2018)491,113

1,159,660

61,666(25,291)(1,681)

2,976

(239)

207

59,745550,859(22,107)
1,137,552

550,859

1,137,552－－

（３）Consolidated Statement of Changes in Equity
FY 3/17 (Apr. 1, 2016 - Mar. 31, 2017)（Unit: Thousand yen）
Shareholders’ equity
Capital stock
Balance at beginning ofcurrent period
Changes of items during
periodCapital surplus

50,000Total shareholders’equityRetained earnings

400,950

3,615,975

4,066,925

Issuance of new shares－

Issuance of new shares exercise of shareacquisition rights－

Dividends of surplus(165,750)(165,750)

Profit attributable toowners of parent

491,113491,113

Net changes of items
other than shareholders'equityTotal changes of items
during period
Balance at end of current
period－－325,363

325,363

50,000400,950

3,941,339

4,392,289

Accumulated other comprehensive income

Balance at beginning ofcurrent period
Changes of items during
periodValuationdifference on
available-for-salesecurities

Foreign currencytranslation
adjustment

Remeasurements ofdefined benefit
plans

Total accumulated
othercomprehensive
income124,149

1,562

24,008

149,720

Total net assets

4,216,645

Issuance of new shares－

Issuance of new shares exercise of shareacquisition rights－

Dividends of surplus(165,750)

Profit attributable toowners of parent

491,113

Net changes of items
other than shareholders'equity）
Total changes of items
during period
Balance at end of current
period61,666(239)(1,681)

59,74559,74561,666(239)(1,681)

59,745385,109

185,816

1,322

22,326

209,465

4,601,754－

11 －FY 3/18 (Apr. 1, 2017 - Mar. 31, 2018)（Unit: Thousand yen）
Shareholders’ equity
Capital stock
Balance at beginning ofcurrent period
Changes of items during
periodIssuance of new shares
Issuance of new shares exercise of shareacquisition rights

Capital surplus

Total shareholders’equityRetained earnings

50,000400,950

3,941,339

4,392,289

1,893,185

1,893,185

3,786,371

42,17842,17884,357

Dividends of surplus(147,517)(147,517)

Profit attributable toowners of parent

1,159,660

1,159,660

Net changes of items
other than shareholders'equityTotal changes of items
during period
Balance at end of current
period

1,935,364

1,935,364

1,012,142

4,882,871

1,985,364

2,336,314

4,953,482

9,275,161

Accumulated other comprehensive income

Balance at beginning ofcurrent period
Changes of items during
periodValuationdifference on
available-for-salesecurities

Foreign currencytranslation
adjustment

Remeasurements ofdefined benefit
plans

Total accumulated
othercomprehensive
income185,816

1,322

22,326

209,465

Issuance of new shares

Total net assets

4,601,754

3,786,371

Issuance of new shares exercise of shareacquisition rights

84,357

Dividends of surplus(147,517)

Profit attributable toowners of parent

1,159,660

Net changes of items
other than shareholders'equityTotal changes of items
during period
Balance at end of current
period(25,291)

207

2,976

(22,107)(22,107)(25,291)

207

2,976

(22,107)4,860,764

160,525

1,529

25,302

187,357

9,462,518－

12 －（４）Consolidated Statement of Cash Flows（Unit: Thousand yen）
FY 3/17(Apr. 1, 2016 - Mar. 31,
2017)Cash flows from operating activities
Profit before income taxes
Depreciation
Increase (decrease) in allowance for
doubtful accounts
Increase (decrease) in provision for bonuses
Decrease (increase) in net defined benefit
asset
Increase (decrease) in net defined benefit
liability
Interest and dividend income
Interest expenses
Share of (profit) loss of entities accounted
for using equity method
Decrease (increase) in notes and accounts
receivable - trade
Decrease (increase) in lease and guarantee
deposits
Increase (decrease) in accrued expenses
Increase (decrease) in accrued consumption
taxes
Other, net
SubtotalInterest and dividend income received
Interest expenses paid
Income taxes refund
Income taxes paid
Cash flows from operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of intangible assets
Payments of loans receivableCollection of loans receivable
Other, net
Cash flows from investing activities
Cash flows from financing activities
Net increase (decrease) in short-term loans
payableProceeds from long-term loans payable
Repayments of long-term loans payable
Repayments of lease obligations
Proceeds from issuance of common shares
Cash dividends paid
Cash flows from financing activities
Effect of exchange rate change on cash andcash equivalents
Net increase (decrease) in cash and cash
equivalents
Cash and cash equivalents at beginning of
periodCash and cash equivalents at end of period

－

13 －

FY 3/18(Apr. 1, 2017 - Mar. 31,
2018)833,389
220,364

1,781,679
253,975

2,320(1,756)43,232

131,784

14,849(7,230)13,76722,651(20,424)
100,196(14,564)
82,8601,687(4,895)(550,223)(579,262)

33,528(174,580)

442,222820,032

189,086

67,02495,437
1,419,434
47,652(100,603)
2,123(65,591)
1,303,015

480,1122,857,830
14,564(79,924)
6,717(47,476)
2,751,711(68,968)(17,576)(77,842)430,085(29,341)
236,357(66,386)(36,295)(1,926)
3,697(1,288)(102,198)(968,000)(2,600,000)

2,060,000(606,748)(64,714)－(165,750)
254,786

330,000(2,063,793)(108,604)
3,854,620(147,517)(735,294)－－

1,794,159

1,914,218

1,575,360

3,369,520

3,369,520

5,283,739

（５）Notes regarding Consolidated Financial Statements（Notes regarding Going Concern Assumption）
Not applicable.
（Segment Information）
Since the "General Human Resources Service Business" accounts for a high proportion of all segments
within the Group, the description of segment information is omitted because of its lack ofsignificance as disclosure information.
（Per Share Information）
FY 3/17(Apr. 1, 2016 - Mar. 31,
2017)

FY 3/18(Apr. 1, 2017 - Mar. 31,
2018)

Net assets per share amount694.08円

1,141.27円

Net income per share amount74.07円173.22円－

157.80円

Diluted net income per share amount（Note）１．Since the Company was listed on the Tokyo Stock Exchange First Section on March 16, 2018, theaverage stock price from the initial listing date to the last day of the current consolidated
fiscal year is calculated as the average stock price during the period.
２．Regarding the diluted net income per share, although there is a balance of share acquisitionrights for the previous consolidated fiscal year, net assets per share amount, net income pershare amount and diluted net income per share amount are calculated assuming that the stock
split was made at the beginning of the previous consolidated fiscal year. Since the shares wereunlisted, the average share price cannot be grasped and is therefore not listed.
３．By the resolution of the Board of Directors on September 15, 2017, the Company's common stock
was split at a ratio of 10 shares for 1 share as of October 16, 2017, and by the resolution of
the Board of Directors on January 15, 2018, common stock was split at a ratio of 2 shares for 1
share on February 1, 2018.Net assets per share amount, net income per share amount and diluted
net income per share amount are calculated assuming that the stock split was made at the
beginning of the previous consolidated fiscal year.
４．The basis for the calculation of the net income per share amount is as follows.
FY 3/17(Apr. 1, 2016 - Mar. 31,
2017)

FY 3/18(Apr. 1, 2017 - Mar. 31,
2018)（１）Net income per share amount
Profit attributable to owners of parent
amount（thousand yen）

491,113

1,159,660－－

491,113

1,159,660

6,630,000

6,694,667

Profit attributable to owners of parent
adjustment（thousand yen）－－

Increase in common shares（shares）－

654,214（Share acquisition rights（shares））－（654,214）

Amount not attributable to commonshareholders（thousand yen）
Amount of profit attributable to owners ofparent related to common stock（thousandyen）
Average number of common shares outstanding
during the period（shares）（２）Diluted net income per share amount

－

14 －

Since there is no dilution effect, a summary

3 types of share acquisitionof diluted shares not included in thecalculation of diluted net income per sharerights (number of shareacquisition rights: 37,030).

amount（Significant Subsequent Events）
Not applicable.

－

15 －－