Non-Consolidated Balance Sheet
March 31, 2018 and 2017

thousands of U.S.
dollars (Note 1)

thousands of yen
March 31ASSETS2017

Current assets
Cash and bank deposits
Notes receivable
Accounts receivable (Note 3)
Allowance for doubtful accounts
Merchandise
Advanced payments
Short-term loans receivable (Note 3)
Current portion of long-term loans receivable (Note 3)
Other current assets
Total current assets
Noncurrent assets
Investment securities
Investments in affiliated companies
Guarantee deposits
Lease deposits for office rentLong-term loans receivableAllowance for doubtful accounts
Furniture and fixtures (Note 2)
Insurance fund
Other noncurrent assets
Total noncurrent assets
Total assets￥￥

713,0672018￥977,822

2018
$

9,224

487,564

530,314

5,002

1,949,570

1,813,152

17,105-25,000-25,000-236

970,818

884,219

8,341

32,53325,006

235
75

-

7,992

13,515--27,38936,043340

4,169,460

4,249,552

40,090441,202442,771

4,360

175,969

222,689

1,917

193,367

193,401

1,824

134,731

93,264879

112,466

13,534127-45,000--

74,37968,065642

64,27954,226511

22,02915,087142

1,173,425

1,103,039

10,406

5,342,885￥

5,352,592$

50,496506,631￥579,522$5,467

LIABILITIES and SHAREHOLDERS' EQUITYCurrent liabilities
Notes payable
Accounts payable (Note 3)
Accrued expenses
Short-term loans payable
Current portion of long-term loans payable
Advances received
Income taxes payable
Provision for employees' bonuses
Other current liabilities
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Guarantee deposits receivedProvision for retirement benefits
Noncurrent liabilities
Total liabilities￥

Shareholders' equity
Capital stock
Retained earnings
Legal retained earnings
Voluntary earned reserve
Retained earnings brought forward
Treasury shares
Total shareholders' equity
Total liabilities and shareholders' equity￥

765,546

633,161

5,973

93,200109,499

1,033

260,000

380,000

3,584

377,844

241,619

2,279

28,453

66,797630

80,986

95,146897

140,655

145,402

1,371

31,133

10,26396

2,284,450

2,261,412

21,334

818,119576,500

5,438

17,585

17,673

166

51,88453,313502

887,589

647,487

6,108

3,172,039

2,908,900

27,44250,00050,000471

12,50012,500117

1,770,000

2,020,000

19,056353,145

375,991

3,547-14,800-14,800-140

2,170,845

2,443,691

23,053

5,342,885￥

5,352,592$

Notes: 1. The translations of Japanese yen amounts into U.S. dollar amounts are added solely for the convenience of readers outside Japan and have been made at the rate of￥106 to $1, the approximate rate of exchange at March 31, 2018.
2. Accumulated Depreciation
134,019
67,585$￥￥3. Receivables and payables from and to subsidiaries
accounts receivable
251,141
266,318
short-term loans receivable
7,992
current portion of long-term loans receivable
13,515accounts payable
14,664
16,134150,496

673
2,512
75
152

Non-consolidated Statement of Income
for the years ended March 31, 2018 and 2017￥

Sales (Note 2)
Cost of sales (Note 2)
Gross profit
Operating expenses
Operating profit
Non-operating income
Non-operating expenses
Ordinary profit
Income before income taxes
Corporate income taxes
Net profit

thousands of yenYears ended March 3120172018$
10,119,708 ￥ 10,236,398￥thousands of U.S.
dollars (Note 1)
2018
96,5707,795,905

7,944,290

74,9462,323,803

2,292,108

21,624

1,832,881

1,863,624

17,581490,922428,483

4,043

105,813219,729

2,073

175,899

191,847

1,809

420,837

456,365

4,306

420,837

456,365

4,306

145,000
275,837 ￥

165,000
291,365

1,556
2,749

$

Notes: 1. The translations of Japanese yen amounts into U.S. dollar amounts are added solely for the convenience of readers outside Japan and have been made at the rate of￥106 to $1, the approximate rate of exchange at March 31, 2018.
2. Transactions with subsidiaries
970,148 ￥1,358,968$￥sales52,541
66,546
cost of sales

12,820627

Non-consolidated Statement of Changes in Equity
for the year ended March 31, 2018 and 2017

thousands of yen
Voluntary
retainedearnings

Retainedearnings

Capital stock

Retainedearnings
brought
forward

Total retained Treasury sharesearnings

Total
shareholders'equityTotal net assets

Balance at April 1, 2016
Net income
Dividend of surplus
Provision of voluntary retained earnings
Total changes of items during period
Balance at March 31, 2017

50,000--250,000

7,317

257,317-257,317257,31750,00012,5001,770,000

353,145

2,135,645-14,800

2,170,845

2,170,845

Balance at April 1, 2017
Net income
Dividend of surplus
Provision of voluntary retained earnings
Total changes of items during period
Balance at March 31, 2018

50,00012,5001,770,000

353,145

2,135,645-14,800

2,170,845

2,170,845

291,365

291,365

291,365

291,365-18,520-18,520-18,520-18,520-250,000-

12,5001,520,000

250,000

250,000

345,828

1,878,328

1,913,5281,913,528

275,837

275,837-14,800

275,837

275,837-18,520-18,520-18,520-18,520-250,000---

250,000

22,845

272,845-272,845

272,845

50,00012,5002,020,000

375,991

2,408,491-14,800

2,443,691

2,443,691

thousands of U.S. dollars (Note 1)
Voluntary
retainedearnings

Retainedearnings

Capital stock

Balance at April 1, 2016
Net income
Dividend of surplus
Provision of voluntary retained earnings
Total changes of items during period
Balance at March 31, 2017

471

Balance at April 1, 2017
Net income
Dividend of surplusProvision of voluntary retained earnings
Total changes of items during period
Balance at March 31, 2018

117

14,339Retainedearnings
brought
forward

Total
Total retained Treasury shares shareholders’
Total net assets
earnings
equity3,262

17,72018,052

18,052

2,602

2,602

-140

2,602

2,602

-175

-175

-175

-175

2,358

-2,358

-

-

-

-

-

2,358

69

2,427

-

2,427

2,427

471

117

16,6983,331

20,147-140

20,47920,479471

117

16,6983,331

20,147-140

20,47920,479

2,748

2,748

2,748

2,748

-175

-175

-175

-175

-2,358-2,358--

2,358

215

2,574-

2,574

2,574471

117

19,056

3,547

22,721-140

23,05323,053

Notes: 1. The translations of Japanese yen amounts into U.S. dollar amounts are added solely for the convenience of readers outside Japan and have been made at the rate of￥106 to $1, the approximate rate of exchange at March 31, 2018.

2

[Reference Materials]
Note:

Financial Statements in accordance with Japanese Companies Act were reviewed by Kuno Yasunari CPA Firm.
These statements translated into English was made for reference.

Consolidated Balance SheetsMarch 31, 2018 and 2017

thousands of U.S
dollars (Note 1)

thousands of yen
March 312017
2018

ASSETS
Current assets
Cash and bank deposits
Notes and accounts receivable
Merchandise
Other current assets
Total current assets
Noncurrent assets
Investment securities
Long-term loans receivable
Furniture and fixtures
Other noncurrent assets
Total noncurrent assets
Total assets￥1,081,636￥

1,572,933

2018$14,8382,360,219

2,263,738

21,356

1,128,142

1,055,567

9,958

164,520

87,514825

4,734,517

4,979,753

46,978549,861570,900

5,385

67,466

13,534

127

78,10973,058689

416,686

398,218

3,756

1,112,123

1,055,711

9,959

￥

5,846,641￥

6,035,465$

56,938￥1,318,258￥

1,200,016$

11,320

LIABILITIES and NET ASSETS
Current liabilities
Notes and accounts payable
Short-term loans payable
Current portion of long-term loans payable
Income taxes payable
Provision for employees' bonuses
Other current liabilities
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Guarantee deposits received
Provision for retirement benefits
Other noncurrent liabilities
Noncurrent liabilities
Total liabilities

Net assets
Shareholders' equity
Capital stock
Retained earnings
Treasury shares
Accumulated other comprehensive income(loss)
Foreign currency translation adjustment
Non-controlling interests
Total net assets
Total liabilities and net assets￥260,000

380,000

377,844

241,619

3,584
2,279

95,956

120,898

1,140

140,655

145,402

1,371

159,507

275,507

2,599

2,352,222

2,363,442

22,296818,119576,500

5,438

17,585

17,673

166

51,88453,313502

39,729--927,318

647,4876,1083,279,540

3,010,930

28,40550,00050,000471

2,532,586

2,976,236

28,077-14,800-14,800-140-2,402

13,097

123

1,716

--

2,567,100
5,846,641￥

3,024,534
6,035,465

28,533$

Notes: 1. The translations of Japanese yen amounts into U.S. dollar amounts are added solely for the convenience of readers outside Japan and have been made at the rate of￥106 to $1, the approximate rate of exchange at March 31, 2018.

356,938

[Reference Materials]
thousands of U.S.

Consolidated Statement of Incomethousands of yen
Years ended March 31

for the year ended March 31, 2018 and 2017

Sales
Cost of sales
Gross profit
Operating expenses
Operating profit
Non-operating income
Non-operating expenses
Ordinary profit
Income before income taxes
Income taxes
Net profit
Profit (loss) attributable to non-controlling interests￥

Net profit attributable to owners of parent￥

2017
10,717,333

2018

￥

11,277,762

dollars (Note 1)
2018$106,393

7,973,089

8,387,401

79,126

2,744,243

2,890,360

27,2672,032,338

2,112,198

19,926

711,904

778,162

7,341

23,112

137,789

1,299

199,183

191,867

1,810

535,833

724,084

6,830

535,833

724,084

6,830

181,266

263,3382,484

354,567

460,745

4,346

-176

-526

-5

354,743￥

461,272$

4,351

Notes: 1. The translations of Japanese yen amounts into U.S. dollar amounts are added solely for the convenience of readers outside Japan and have been made at the rate of￥106 to $1, the approximate rate of exchange at March 31, 2018.

Consolidated Statement of Change in Equity
for the year ended March 31, 2018 and 2017

thousands of yen
Retainedearnings

Capital stockTreasury shares

Total
shareholders'equity-14,800

2,205,407

Accumulated
Non-controlling Total net assets
otherinterests
comprehensive
income(loss)

Balance at April 1, 2016
Net income
Dividend of surplus
OthersNet changes of items other than shareholders' equity
Total changes of items during period
Balance at March 31, 2017

50,000-362,378-16,287-85

346,006

2,532,586-14,800

362,378

50,0002,567,786-2,402

1,716

2,567,100

Balance at April 1, 2017
Net income
Dividend of surplus
OthersNet changes of items other than shareholders' equity
Total changes of items during period
Balance at March 31, 2018

50,0002,532,586-14,800

2,567,786-2,402

1,716

2,567,100

2,170,207

13,8851,802

2,221,094

354,743354,743354,743-18,520-18,520-18,520

26,155

26,155

26,155-16,287-85-16,372

461,272

461,272

461,272-18,520-18,520-18,520

898

898

-

443,650

50,0002,976,236-14,800

898
15,500-1,716

13,784

443,650

15,500-1,716457,434

3,011,436

13,097-3,024,534

thousands of U.S. dollars (Note 1)
RetainedearningsCapital stock

Treasury shares

Total
shareholders'equity-140

20,805

Accumulated
otherNon-controlling Total net assets
comprehensiveinterests
income(loss)

Balance at April 1, 2016
Net income
Dividend of surplus
OthersNet changes of items other than shareholders' equity
Total changes of items during period
Balance at March 31, 2017

471-

3,418-

3,418-154

-1

3,264

471

23,892-140

24,224-23

16

24,217

Balance at April 1, 2017
Net income
Dividend of surplus
OthersNet changes of items other than shareholders' equity
Total changes of items during period471

23,892-140

24,224-23

16

24,217

-

4,185

-

Balance at March 31, 2018

471

28,077-140

20,473

130

173,346

3,346-175

-175

-175

246

246

246-154

-1

-155

4,351

4,351

4,351

-175

-175

-175

888
146

-17

130

4,185

146

-17

4,315

28,409123-28,533

Notes: 1. The translations of Japanese yen amounts into U.S. dollar amounts are added solely for the convenience of readers outside Japan and have been made at the rate of￥106 to $1, the approximate rate of exchange at March 31, 2018.

420,953

3,346