Asgent, Inc.

Summary of Consolidated Financial Results
Financial Highlights(For the 6 months ended September 30, 2006)

Listed Company Name: Asgent, Inc.
Listing Exchange: JASDAQ
Security Code No:4288
URL: http://www.asgent.co.jp/
Representative: Takahiro Sugimoto
President & CEO
Enquiries:

Shinji Suzuki
Managing Director & CFO

TEL:+81-3-5643-2581

1. Consolidated Business Results(1) Consolidated Operating Results
Note:Figures less than one million yen omitted, except for EPS and BPS

For the 6 months endedNet sales

Operating income

Ordinary income

Net income

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Sept. 30, 2006

1,634-6.0%

(23)

-%

(30)

-%

(18)

-%

Sept. 30, 2005

1,739 +16.2%

38-%

25-%

25-%

For the year ended
Mar. 31, 2006

3,298

(38)

(48)

(154)

Note: the ratio represents the changes from the same period of the previous year

Basic EPS

Diluted EPS

YenYenFor the 6 months ended
Sept. 30, 2007

(459.57)-

Sept. 30, 2006

653.51647.56

For the year ended
Mar. 31, 2007

(3,929.43)-(2) Consolidated Financial Conditions
Total Assets

As ofMillions of yen

Shareholders`Shareholders’EquityEquity ratio

Millions of yen

BPS
Yen

Sept. 30, 2007

2,488

1,345

+54.1 %

34,130.37

Sept. 30, 2006

2,851

1,543

54.1%

39,144.38

Mar. 31, 2007

2,606

1,375

52.8

34,876.65(3) Consolidated Cash Flows

For the 6 months ended

Cash and cash

Operating

Investing

Financing

activities

activities

activities

Millions of yen

Millions of yen

Millions of yen

equivalents
end of period
Millions of yen

Sept. 30, 2007

(73)

(264)

(151)

327

Sept. 30, 2006

255

(5)

(30)

1,169

157

(242)

(60)

815

For the year ended
Mar. 31, 2007

2. Forecast for the Consolidated Financial Results (For the year Ending March 31st ,2008)
Net sales
For the year ending
Mar.31,2008

Millions of yen

Ordinary income
Millions of yen

3,510

Note: the ratio represents the changes from the same period of the previous year35

Net income
Millions of yen

10

3. Consolidated financial statements（for the six months ended September 30, 2007）(1) Consolidated Balance Sheets
Note: Figures less than one thousand yen omitted

Account Title

Sept 30., 2005
AmountRatio

Sept. 30, 2006
AmountMar. 31, 2006
AmountRatioRatio

AssetsCurrent Assets
1.Cash and Deposits

1,159,162

327,020705,526

2.Account Receivable-trade693,340

707,841

669,598

3.Marketable Securities

10,229100,000

110,232

4.Inventories

260,794

371,945

307,062

5.Deferred Tax

73,77487,34591,816

396

87

8,623

7.Others

102,286

92,58953,071

Allowance for Bad Debt

(1,044)(1,159)(1,020)6.Corporate Tax Receivable

Total Current Assets

2,298,940

80.6

1,685,671

67.7

1,944,911

74.6

Fixed Assets
Tangible Fixed Assets.

1. Building

21,971

20,42921,158

2.Tools, Furniture and Fixtures

39,44943,001

43,726

3.Land

469

469

469

Sub-total

61,8902.2

63,901

2.6

65,354

2.5

Intangible Fixed Assets
1.Software

95,087

152,395

133,706

2.Others

65,46935,55542391

Sub-total

160,556

5.6

187,951

7.6

176,097

6.8

Investment and Other Assets-313,690

219,5422.Deposits

57,72457,35357,321

3.Deferred Tax

263,808

169,201

133,271

4.Others

8,111

10,3309,770

Sub-total

329,64411.6

550,57622.1

419,905

16.1

Total Fixed Assets

552,09119.4

802,42932.3

661,358

25.4783

0.0----

2,851,815

100.0

2,488,100

100.0

2,606,269

100.0

1.Investment Securities

Deferred Assets
Total Assets

Note:Figures less than one thousand yen omitted

Account Title

Sept. 30, 2005
AmountRatio

Sept. 30, 2006
AmountMar 31, 2006

Ratio

Amount

Ratio

Liabilities
Current Liabilities
1.Accounts payable-trade375,748

365,570

369,750

2.Short-term Loan Payble---

3.Current Portion of Bond

60,000-60,0004. Accounts Payble

53,69563,28397,744

5.Accrued Corporate Taxes

2,692

3,819-

6.Reserve for bonus43,912

45,76545,478

7. Others

124,656

131,81441,923

Total Current Liabilities

660,705

23.2

610,25424.5

614,897

23.6

Fixed Liabilities
1.Bond620,000

500,000

590,000

2.Reserve for retirement allowance

27,84332,25626,360Total Fixed Liabilities

647,84322.7

532,25621.4

616,360

23.6

1,308,548

45.9

1,142,510

45.9

1,231,257

47.2

1.Capital stock

768,800

27.0

768,800

30.9

768,800

2.Capital surplus

704,960

24.7

704,960

28.3

704,960

3.Earned surplus

65,6372.3(133,163)(5.3)(115,045)

1,539,397

54.0

1,340,596

53.9

1,358,715(12,058)

(0.5)

(983)

Total Liabilities
Net Assets
Stockholders’ equity

Total Stockholders’ equity

52.1

Appraisal／Conversion Differences
1. Apprisal Differences on-,Investment Securities
2. E x c h a n g e C o n v e r s i o n

3,869

0.1

17,0520.7

17,280

3,869

0.1

4,993

0.2

16,297

0.6

Total Net Assets

1,543,266

54.1

1,345,589

54.1

1,375,011

52.8

Total Liabilities and Net Assets

2,851,815

100.0

2,488,100

100.0

2,606,269

100.0

Adjustment AccountTotal Appraisal Conversion Differences(2) Consolidated Statements of Income

Note: Figures less than one thousand yen omitted

Account Title

6 months ended

6 months ended

Year ended

Sept.30, 2005

Sept. 30, 2006

Mar. 31, 2006

AmountRatio

Amount

Ratio

Ratio

AmountⅠ Net Sales

1,739,551

100.0

1,634,727

100.0

3,298,857

100.0

Ⅱ Cost of Sales

1,156,394

66.5

1,108,384

67.8

2,218,617

67.3

Gross Profit

583,15633.5

526,34232.2

1,080,239

32.7

544,31731.3

549,38933.6

1,118,862

33.9

38,8392.2(23,046)(1.4)(38,622)(1.2)

Ⅳ Non-operating Profit

16,982

1.0

13,0280.8

65,6372.0

Ⅴ Non-operating Expense

30,1291.7

20,711

1.3

75,297

2.3

Ordinary Income (Loss）

25,692

1.5(30,729)(1.9)(48,282)(1.5)

Ⅵ Extraordinary Profit(Loss)

30,702

1.8(10,100)(0.6)

38,309

1.2

Profit(Loss) Before Taxes

56,394

3.3(40,830)(2.5)(9,973)(0.3)

Tax Expenses

30,6301.8(22,711)(1.4)

144,944

4.4

Profit(Loss) After Taxes

25,764

1.5(18,118)(1.1)(154,917)

(4.7)

Ⅲ

Selling,General

andAdministrative expense
Operation Profit(Loss）

(3)Consolidated Statements of Cash Flows
Figures less than one thousand yen omitted.
6 months ended

6 months ended

Year ended

Sept.30 2005

Sept.30, 2006

Mar. 31,2006

Ⅰ Cash Flow from Operating Activities
Income(Loss) Before Income Tax

56,394(40,830)(9,973)25,03438,94659,397-

10,100-

(293)

138

(318)

Increase(Decrease) in Reserve for Bonus Payment(1,401)

(126)

1,624

Increase in Reserve for Retirement Allowance

3,264

5,594

1,558

Interest and Dividends Received(2,392)(1,023)(2,507)

Interest Paid4,699

3,930

9,194

Exchange Loss(Gain)(1,199)(86)(0)

Increase(Decrease) in Notes and Accounts Receivable-trade363,453(38,108)

387,196

Decrease(Increase) in Inventories(9,268)(64,970)(54,914)

Decrease(Increase) in Notes and Accounts Payable(170,203)(4,172)(176,841)

Others(45,129)

11,878(82,940)

Sub-total

222,958(78,728)

131,475

Interest and Dividends Received

2,392442

2,507Interest Paid(4,506)(3,730)(10,232)

Income Taxes Refunded(Paid)

34,912

8,537

33,480255,756(73,480)

157,231

Payments for Purchases of Tangible Fixed Assets(15,073)(12,469)(22,503)

Payments for Purchases of Intangible Fixed Assets(37,377)(56,077)(75,162)

Payments for Purchases of Marketable Securities-(387,135)(414,335)

Revenue from Sales of Marketable Securities

93,486

193,624

314,851

Others(46,590)(2,043)(44,887)(5,555)(264,100)(242,038)(30,000)(151,200)(60,000)

(74)

(17)

(113)

(30,074)(151,217)(60,113)

Ⅳ Effect of Exchange Rate on Cash and Cash Equivalents

6,925

61

18,338Ⅴ Net Increase(Decrease) in Cash and Cash Equivalents

227,050(488,737)(126,582)

Ⅵ Cash and Cash Equivalents at the Beginning of the Fiscal Year

942,341

815,758

942,341

Ⅶ Cash and Cash Equivalents at the End of the Fiscal Year

1,169,392

327,020

815,758

Adjustments to Reconcile Net Income to Net Cash used in Operating Activities:
Depreciation and Amortization
Loss from Evaluation of Software Assets
Increase(Decrease) in Reserve for Bad Debts

Net Cash Provided by(used in) Operating Activities
Ⅱ Cash Flows from Investing Activities

Net Cash Used in Investing Activities
Ⅲ Cash Flows from Financing Activities
Payments for Bond Redemption
Payments for Dividends
Net Cash Provided used in Financing Activities

(4) Consolidated Statements of Shareholders’ Equity
Figures less than one thousand yen omitted.
6 months ended Sept.30, 2006
Shareholders’ Equity
Common Stock
Balance, Beginning of period

768,800

Changes: Issuance of common stock upon exerciseof stock option
Balance, end of period

768,800

Additional paid-in capital
Balance, beginning of period

704,960

Changes: Issuance of common stock upon exerciseof stock optionBalance, end of period

704,960

Unappropriated retained earnings
Balance, Beginning of period(115,045)

Changes: Net income (loss)(18,118)

Balance, end of period(133,163)

Net unrealized securities available for sale
Balance, Beginning of period(983)

Changes(11,075)

Balance, end of period(12,058)

Foreign currency translation adjustments
Balance, Beginning of period
Changes
Balance, end of period

17,280(228)
17,052

Total
Balance, Beginning of period

1,375,011

Changes(29,422)

Balance, end of period

1,345,589