[Translation]
July 29 2014

Consolidated Summary Report of Operating Results for the Second Quarter of Fiscal 2014
(Year ending December 2014) [Japan GAAP]
Company name:

Future Architect, Inc.

Shares listed on: First Section of Tokyo Stock Exchange
Security code number 4722
Website: http://www.future.co.jp/
Representative:

Yasufumi Kanemaru, Chairman and CEO

Contact:

Yoshihiko Nakajima, Executive OfficerTel.:+81-3-5740-5724

Scheduled submit date of quarterly report: August 13, 2014
Scheduled date for distribution of dividend payments: September 19, 2014
Creation of supplemental material on quarterly financial results:

Yes

Holding of quarterly results briefing:

Yes (for institutional investors and securities analysts)(Amount rounded off to million yen)

1. Consolidated Results for the Second Quarter of Fiscal 2014 (January 1, 2014 to June 30, 2014)(1) Consolidated operating results (accumulated total)(Percentages are year-on-year changes)
Net sales
Million yen

Operating income%

Million yen

Ordinary income

Quarterly net income%

Million yen%

Million yen%

2Q, Fiscal 2014
16,372
20.9
1,875
19.5
2Q, Fiscal 2013
13,545
21.7
1,570
116.7
(Note) Comprehensive income 2Q, Fiscal 2014: 1,013 million yen (-6.8%)
2Q Fiscal 2013: 1,087 million yen (126.9%)

1,882
1,697

10.9
111.1

1,031
1,037

(0.6)
123.8

Quarterly net income
per share

Quarterly net income
per share (fully diluted)

Yen

Yen

2Q, Fiscal 2014
23.11–
2Q, Fiscal 2013
23.20–
(Note) Effective July 1, 2013, the Company conducted a 1:100 split of each share of its common stock. Net income pershare was calculated on the assumption that the stock split was conducted at the beginning of the previous consolidated
fiscal year.
(2) Consolidated financial position
Total assets
Million yen

Net assets
Million yen

Shareholders’equity ratio

Net assets per share%

Yen

2Q, Fiscal 2014
19,501
13,70369.4
303.50Fiscal 2013
19,225
13,04767.1
288.99(Reference) Shareholders’ equity
2Q, Fiscal 2014: 13,543 million yen
Fiscal 2013: 12,895 million yen(Note) Effective July 1, 2013, the Company conducted a 1:100 split of each share of its common stock. Net assets per
share were calculated on the assumption that the stock split was conducted at the beginning of the previous consolidated
fiscal year.

[Translation]
2. Dividends
Dividends per share (yen)End of the first End of the second End of the third
quarter dividend quarter dividend quarter dividend
Yen

Yen

Year-end
dividend

Yen

Total
Yen

Yen

Fiscal 2013–
750.00–
8.00–
Fiscal 2014–
8.00
Fiscal 2014 (Forecast)
–
9.00
17.00
(Note) Modification of the projected dividends announced most recently: No(Notes) 1. Effective July 1, 2013, the Company conducted a 1:100 split of each share of its common share. Dividend forthe second quarter of fiscal 2013 is the amount before the said share split.
2. The year-end dividend of ¥9.00 for Fiscal 2014 (forecast) comprises an ordinary dividend of ¥8.00 and a
25th anniversary commemorative dividend of ¥1.00.
3. Projected Consolidated Results for Fiscal 2014 (January 1, 2014 to December 31, 2014)(Percentages are year-on-year changes)

Net sales
Million yen%

Operating income Ordinary income

Net income

Million yen

Million yen%

Million yen%

Net income per share%

Yen

Full year
33,400 11.1
4,000 19.3
4,040 17.0
2,280 12.4
(Note) Modification of the projected consolidated results announced most recently: No

51.09

[Translation]* Notes(1) Changes in significant subsidiaries in the consolidated second quarter under review (Changes in specified
subsidiaries that involved changes in the scope of consolidation): No(2) Application of special accounting for the preparation of quarterly consolidated financial statements: Yes
Income taxes and payables are calculated by appropriately estimating the legal effective tax rate after the adoption oftax effect accounting which is to be assessed upon income before income taxes of the consolidated fiscal year including
the consolidated second quarter under review and multiplying such estimated legal effective tax rate to the income
before income taxes of the previous consolidated quarter.
(3) Change in accounting policies or estimates and retrospective restatements
1) Change in accounting policies in accordance with revision of accounting standards: No2) Change in accounting policies other than item 1) above: No3) Change in accounting estimates: No4) Retrospective restatements: No(4) Number of outstanding shares (common stock)1) Total outstanding shares as of the endof the period (including treasury
2Q, Fiscal 2014:
shares)2) Total treasury shares as of the end of
2Q, Fiscal 2014:
the period
3) Average number of outstanding
2Q, Fiscal 2014:
stocks during the quarter underreview(accumulated period for quarter)

47,664,000
shares3,040,800
shares44,623,200
sharesFiscal 2013:
Fiscal 2013:
2Q, Fiscal 2013:

47,664,000
shares3,040,800
shares44,727,079
shares(Note) Effective July 1, 2013, the Company conducted a 1:100 split of each share of its common stock. The above numbers
relating to shares were calculated on the assumption that the said stock split was conducted at the beginning of the previous
consolidated fiscal year.

* Indication of quarterly review procedure implementation status
This quarterly earnings report is exempt from the quarterly review procedures based upon the Financial Instruments and ExchangeAct. At the time of this document's release, review procedures for the quarterly financial statements under the Financial Instruments
and Exchange Act had not been completed.

* Points to note about the proper use of projections, and other noteworthy events
The earnings forecast and statements concerning the future contained in these materials are based on information
currently obtained by the Company and on certain premises the Company judges to be rational. The Company does notintend to guarantee their realization. Actual results may differ from forecasts due to various uncertain factors.

 Contents

1. Qualitative information about consolidated operating results for the second quarter of the fiscal year under review ...................... 2(1) Explanation on operating results............................................................................................................................................... 2(2) Explanation on financial condition ........................................................................................................................................... 3(3) Explanation on qualitative information about consolidated earnings forecast .......................................................................... 3
2. Matters related to summary information (notes) ................................................................................................................................. 3(1) Changes in significant subsidiaries in the consolidated first half under review ........................................................................ 3(2) Application of special accounting for the preparation of quarterly consolidated financial statements ..................................... 3(3) Change in accounting policies or estimates and retrospective restatements ............................................................................. 3
3.

Quarterly Period Consolidated Financial Statements ...................................................................................................................... 4(1) Quarterly Period Consolidated Balance Sheets......................................................................................................................... 4(2) Quarterly Period Consolidated Statements of Income and Comprehensive Income ................................................................. 6(First half period) .............................................................................................................................................................................. 6(3) Quarterly Period Consolidated Statements of Cash Flows........................................................................................................ 8(4) Notes to quarterly consolidated financial statements .............................................................................................................. 10(Notes regarding the premise of surviving company) ..................................................................................................................... 10(Notes regarding significant change in shareholders’ equity) ......................................................................................................... 10(Segment information) .................................................................................................................................................................... 11

4. Supplemental information............................................................................................................................................................... 12(1) Orders received ....................................................................................................................................................................... 12-1-

1. Qualitative information about consolidated operating results for the second quarter of the fiscal year underreview(1) Explanation on operating results
The Group posted net sales of ¥ 16,372 million for the first six months of the consolidated fiscal year under review, up 20.9 %from the previous year, operating income of ¥ 1,875 million, up 19.5 %, and ordinary income of ¥ 1,882 million, up 10.9 %. Net
income was ¥ 1,031 million, down 0.6 %.
For the first six months of the fiscal year under review, consolidated net sales, operating income and ordinary income
increased from the corresponding period of the previous fiscal year mainly due to the favorable performance of the IT Consulting
Business and the Package & Service Business and contributions of consolidation of eSPORTS Co., Ltd. (“eSPORTS”).
Consolidated operating income and ordinary income respectively posted all-time highs in the first six months of the fiscal year.
(Income before income taxes and minority interests also increased 14.4% from the corresponding period of the previous fiscal
year. However, net income, which takes taxes into consideration, decreased from a year earlier. This is because the tax burden
was small in the first six months of the previous fiscal year as loss carried over as a result of a merger with a subsidiary was
taken over.)Earnings results of each business segment are as follows. The earnings results by business segment represent values before
adjusting for internal sales or transfers among segments.
(i) IT Consulting Business
Projects on the reform and integration of IT systems accompanying operational reforms continued to progress steadily at theCompany, while the enhancement of the relationship of mutual trust with clients on medium- and long-term perspectives resulted
in orders received. Consequently, sales steadily increased from the corresponding period of the previous fiscal year. Operating
income also grew year on year mainly thanks to the improvement of the capacity utilization rate and a decline in selling, generaland administrative expenses, excluding personnel expenses.
With regard to business in Southeast Asia, the number of clients increased in each country and IT service revenues other thanlicense sales grew. Particularly due to increases in earnings at subsidiaries in Malaysia and Thailand, total operating income in
the region increased from a year earlier.
Consequently, net sales of this segment were ¥9,959 million for the first six months, up 6.8% from a year earlier and operating
income surged 19.8% year-on-year to ¥1,664 million.
(ii) Package & Service Business
Future One saw an increase in both sales and profits mainly thanks to the start of operations of multiple principal projects andan increase in the number of projects primarily due to upgrading due to the revision of the consumption tax rate. Both sales andprofits increased year on year at Ascendia Inc. (“Ascendia”) as well, since projects were obtained and progressed smoothly.
Consequently, net sales of this segment were ¥2,515 million for the first six months, up 17.1% from a year earlier, andoperating income was ¥211 million, up 66.1%.
(iii) New Media & Web Service BusinesseSPORTS saw both sales and profits remain strong due to the success of purchase and sale of a fitness product (“WONDER
Core”) before it becomes a trend in addition to robust online sales of sports and outdoor gear. Meanwhile, Tokyo Calendar Inc.
(“Tokyo Calendar”) saw its deficit increase temporarily from the corresponding period of the previous fiscal year because ofprior investment in new online services/renewal of magazines, which will be released in the second half of the year.
As a result, net sales of this segment were ¥1,967 million, up 975.3% from a year ago, and operating loss after reflecting theamortization of goodwill of eSPORT was ¥20 million, against the loss of ¥8 million a year earlier.
Following the conversion of eSPORTS into a consolidated subsidiary, the Company added the “New Media & Web Service
Business” as a new segment from the third quarter of the previous consolidated fiscal year. Figures for Tokyo Calendar werestated in “Others” for the first six months of the previous consolidated fiscal year, and those for eSPORTS were stated under the
new segment. Year-on-year comparison was made by including the figures (those of only Tokyo Calendar) of the two companies
for the previous second quarter of the previous consolidated fiscal year in the new segment.
(iv) Corporate Revitalization BusinessUoei Corporation (“Uoei”), which operates a grocery supermarket, saw its operating income decline due to an increase in
selling, general and administrative expenses, reflecting a rise in personnel expenses and a hike in power rates, etc., though its
sales remained almost unchanged from the previous year thanks mainly to effective use of store space.

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Consequently, net sales of this segment were ¥2,249 million for the first six months, down 0.4% from a year earlier andoperating income decreased 92.8% year-on-year to ¥3 million.
(2) Explanation on financial condition(Assets, liabilities and net assets)
Total assets at the end of the second quarter under review increased by ¥276 million from the end of the previous consolidated
fiscal year to ¥19,501 million. The main underlying factor was an increase in cash and deposits (an increase of ¥614 million fromthe end of the previous consolidated fiscal year) despite a decrease in notes and accounts receivable - trade (a decrease of ¥421
million).
Liabilities decreased by ¥379 million from the end of the previous consolidated fiscal year to ¥5,797 million. The main factors
included a decrease in accounts payable - trade (a decrease of ¥290 million from the end of the previous consolidated fiscal year)
and income taxes payable (a decrease of ¥209 million).
Net assets increased by ¥656 million from the end of the previous consolidated fiscal year to ¥13,703 million. The main
factors included an increase in retained earnings (an increase of ¥674 million from the end of the previous consolidated fiscal
year).
(Analysis of cash flows)
Net cash provided by (used in) operating activities accounted for an inflow of ¥1,184 million for the first six months underreview (compared to an outflow of ¥1,638 million a year ago), mainly due to the posting of income before taxes and minority
interests of ¥1,884 million, and an decrease in notes and accounts receivable-trade of ¥393 million, despite of income taxes paidof ¥1,078 million.
Net cash provided by (used in) investing activities consisted of an outflow of ¥196 million (compared to an outflow of ¥1,072
million a year ago), chiefly due to the purchase of property, plant and equipment of ¥90 million and payments for lease andguarantee deposits of ¥104 million.
Net cash provided by (used in) financing activities accounted for an outflow of ¥362 million (compared to an outflow of ¥488
million a year ago), mainly due to dividends paid of ¥357 million.
As a result of these operating, investment, and financial activities, the balance of cash and cash equivalents at the end of thesecond quarter under review was ¥7,555 million, up ¥662 million from the end of the previous consolidated fiscal year.
(3) Explanation on qualitative information about consolidated earnings forecast
We have not changed our previous earnings forecast for the full term of the fiscal year ending December 2014, which wasannounced on April 25, 2014.

2. Matters related to summary information (notes)(1) Changes in significant subsidiaries in the consolidated first half under review
Not applicable(2) Application of special accounting for the preparation of quarterly consolidated financial statements
Income taxes and payables are calculated by appropriately estimating the legal effective tax rate after the adoption of tax effectaccounting which is to be assessed upon income before income taxes of the consolidated fiscal year including the consolidated
second quarter under review and multiplying such estimated legal effective tax rate to the income before income taxes of theprevious consolidated quarter.
(3) Change in accounting policies or estimates and retrospective restatements
Not applicable

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3.

Quarterly Period Consolidated Financial Statements(1) Quarterly Period Consolidated Balance Sheets
Previous consolidated
fiscal year
(December 31, 2013)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Securities
Merchandise and finished goods
Work in process
Accounts receivable - other
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Land
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Software
Other
Total intangible assets
Investments and other assets
Investment securities
Lease and guarantee deposits
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets-4-(in thousands of yen)
Consolidated second quarter
under review(June 30, 2014)

6,892,910
4,330,728
1,865
462,055
107,765
1,541,943
217,576434,919(11,388)
13,978,375

7,507,571
3,909,044
49,822532,916
176,213
1,344,814
226,973672,557(11,242)
14,408,671

3,228,480(2,782,062)
446,418
109,474
1,956,834(1,555,282)
401,551
957,4443,309,650(2,820,978)488,671
109,474
2,018,110(1,623,848)
394,262
992,407823,705
703,544
21,4801,548,729

692,408
633,998
20,492
1,346,899

1,757,591
951,363
25,51855,626(49,582)2,740,517
5,246,691
19,225,067

1,672,003
995,164
66,68466,803(47,218)
2,753,438
5,092,745
19,501,417

Previous consolidated
fiscal year
(December 31, 2013)
Liabilities
Current liabilities
Accounts payable - trade
Short-term loans payable
Accounts payable - other
Income taxes payable
Provision for bonuses
Provision for quality assurance
Provision for loss on projects
Provision for point card certificates
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Asset retirement obligations
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
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets-5-(in thousands of yen)
Consolidated second quarter
under review(June 30, 2014)

1,660,351
35,000774,748
1,024,280
167,483
12,109173,600
2,439
959,6224,809,634

1,369,784
30,000658,189
814,454
144,620
36,240155,194
2,615
1,181,251
4,392,350

1,000,000
357,691
10,2391,367,931
6,177,566

1,000,000
395,391
10,043
1,405,435
5,797,786

1,421,815
2,495,772
10,506,520(1,540,983)
12,883,124

1,421,815
2,495,772
11,180,974(1,540,983)
13,557,579

87,158(74,683)
12,475
151,900
13,047,500
19,225,067

47,997(62,481)(14,484)
160,536
13,703,631
19,501,417

(2) Quarterly Period Consolidated Statements of Income and Comprehensive Income(First half period)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Directors’ compensations
Salaries and bonuses
Training expenses
Research and development expenses
Depreciation
Recruiting expenses
Other
Total selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity
methodForeign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Commission for purchase of treasury shares
Other
Total non-operating expenses
Ordinary income-6-First half of the previous
consolidated fiscal year
(from January 1, 2013
to June 30, 2013)
13,545,437
8,660,952
4,884,484(in thousands of yen)First half of the consolidated
fiscal year under review(from January 1, 2014
to June 30, 2014)
16,372,849
10,744,423
5,628,425

150,264
1,507,845
88,071
32,95051,306
134,406
1,349,466
3,314,311
1,570,173

159,744
1,576,499
86,526
57,64851,092
152,608
1,668,586
3,752,705
1,875,719

984
24,2901,034
25,51624,216404

70,414
9,037
128,943−
12,531
39,487

248
−
1,005
411
1,665
1,697,451

4,840
26,345−
1,247
32,434
1,882,773

First half of the previous
consolidated fiscal year
(from January 1, 2013
to June 30, 2013)
Extraordinary income
Gain on sales of investment securities
Gain on sales of shares of subsidiaries and associates
Gain on change in equity
Total extraordinary income
Extraordinary loss
Loss on retirement of non-current assets
Impairment loss
Total extraordinary losses
Income before income taxes and minority interests
Income taxes
Income before minority interests
Minority interests in income
Quarterly net income
Minority interests in income
Income before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Quarterly comprehensive income(Comprehensive income attributable to)Comprehensive income attributable to owners of parent
Comprehensive income attributable to minority interests-7-(in thousands of yen)First half of the consolidated
fiscal year under review(from January 1, 2014
to June 30, 2014)

66,418–3,099
69,517

−
2,138
−
2,138

105,816
13,813
119,630
1,647,338
593,787
1,053,551
15,7181,037,832
15,7181,053,551−−−
1,884,912
844,656
1,040,255
8,815
1,031,440
8,815
1,040,255

48,557(32,097)(39,211)
13,03917,215(966)

33,675
1,087,226(27,138)
1,013,116

1,068,033
19,193

1,004,481
8,635

(3) Quarterly Period Consolidated Statements of Cash Flows(in thousands of yen)First half of the consolidated
fiscal year under review(from January 1, 2014
to June 30, 2014)

First half of the previous
consolidated fiscal year
(from January 1, 2013
to June 30, 2013)
Net cash provided by (used in) operating activities
Income before income taxes and minority interests
Depreciation
Impairment loss
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for quality assurance
Increase (decrease) in provision for loss on projects
Increase (decrease) in provision for office transfer
expenses
Interest and dividend income
Interest expenses
Loss (gain) on change in equity
Share of (profit) loss of entities accounted for using
equity method
Loss on retirement of non-current assets
Loss (gain) on sale of investment securities
Loss (gain) on sales of shares of subsidiaries andassociates
Decrease (increase) in notes and accounts
receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade
Other
SubtotalInterest and dividend income received
Interest expenses paid
Income taxed paid
Net cash provided by (used in) operating activities-8-

1,647,338
177,338
13,813(3,883)4,512(1,144)
10,9001,884,912
203,488−(2,510)(22,170)
24,131(18,405)(35,342)−(25,275)248(3,099)(26,551)
4,840−(24,216)(404)

105,816(66,418)−−−(2,138)(104,671)(393,279)(30,685)
277,917
185,979
2,129,128
25,675(248)(515,716)
1,638,838(139,309)
285,318
228,630
2,242,472
26,414(5,088)(1,078,863)
1,184,934

(in thousands of yen)First half of the consolidated
fiscal year under review(from January 1, 2014
to June 30, 2014)

First half of the previous
consolidated fiscal year
(from January 1, 2013
to June 30, 2013)
Net cash provided by (used in) investing activities
Purchase of property, plant and equipment
Purchase of intangible assets
Payments for asset retirement obligations
Proceeds from sales of investment securities
Purchase of investments in subsidiaries resulting inchange in scope of consolidation
Proceeds from sales of shares of subsidiaries andassociates
Payments for lease and guarantee deposits
Proceeds from collection of lease and guarantee deposits
Other
Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Net increase (decrease) in short-term loans payable
Purchase of treasury shares
Cash dividends paid
Net cash provided by (used in) financing activities
Effect of exchange rate changes on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of the period
Cash and cash equivalents at end of the quarterly period-9-(192,833)(121,484)(12,500)
98,904(90,136)(30,428)−−(999,367)−−

25,000(945)
153,088
2,400(1,072,739)(104,883)
974
2,740(196,732)(243)(148,660)(339,174)(488,078)(5,000)−(357,826)(362,826)

27,81637,241

105,837
4,184,672
4,290,510

662,617
6,892,975
7,555,593

(4) Notes to quarterly consolidated financial statements(Notes regarding the premise of surviving company)
Not applicable.
(Notes regarding significant change in shareholders’ equity)
Not applicable.

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(Segment information)
Segment information
I. Second quarter of the previous consolidated fiscal year (from January 1, 2013 to June 30, 2013)
1. Amounts of net sales and income or loss by business segment reported
Reportable segments
IT
Package &Consulting Service
Business
Business
Net sales
Net sales tooutsideclients
Inter-segment
sales ortransfer
Total

New
Media
& Web
ServiceBusiness

9,299,357

1,808,187

182,328

22,255

340,638665

9,321,612

2,148,825

182,994

Corporate
Revitalizat
ion
Business

Total

2,255,564 13,545,437

1,916

365,476

2,257,481 13,910,914

Others(Note 1)

Total

(in thousands of yen)Amount on
Quarterly
PeriodAdjustment
Consolidated(Note 2)
Statementsof Income(Note 3)

– 13,545,437–

13,545,437

365,476(365,476)–– 13,910,914(365,476)

13,545,437–

Segment
income or
1,388,797
127,372(8,714)46,034 1,553,489(969) 1,552,520
17,652
1,570,173
loss(Notes)1. “Others,” a segment not included in the reportable segments, include securities investment, holding, and management
activities.
2. “Adjustment” of segment income or loss of ¥17,652 thousand refers to elimination of inter-segment transactions.
3. Segment income or loss is adjusted with operating income in the Quarterly Period Consolidated Statements of Income.
II.

Second quarter of consolidated fiscal year under review (from January 1, 2014 to June 30, 2014)
1. Amounts of net sales and income or loss by business segment reported
Reportable segments

Net sales
Net sales tooutsideclients
Inter-segment
sales ortransfer
Total

IT
Package &Consulting Service
Business
Business

New
Media
& Web
ServiceBusiness

Corporate
Revitalizat
ion
Business

9,954,620

2,203,884

1,967,035

2,247,308 16,372,849

4,403

311,527658

9,959,024

2,515,412

1,967,693

2,152

Total

318,7422,249,461 16,691,591

Others(Note 1)

Total

– 16,372,849(in thousands of yen)Amount on
Quarterly
PeriodAdjustment
Consolidated(Note 2)
Statementsof Income(Note 3)–

16,372,849

318,742(318,742)–– 16,691,591(318,742)

16,372,849–

Segment
income or
1,664,131
211,626(20,445)
3,315 1,858,627
792 1,859,419
16,3001,875,719
loss(Notes)1. “Others,” a segment not included in the reportable segments, include securities investment, holding, and management
activities.
2. “Adjustment” of segment income or loss of ¥16,300 thousand refers to elimination of inter-segment transactions.
3. Segment income or loss is adjusted with operating income in the Quarterly Period Consolidated Statements of Income.
2. Matters related to changes in reportable segments(Changes in reportable segments)
In the second quarter of the current consolidated fiscal year under review, the Company acquired all shares of eSPORTS to
include it in the scope of consolidation. In the third quarter, as the importance of eSPORTS increased, the Company added
the “New Media & Web Service Business” as a new reportable segments, and included eSPORTS’ business in the new
segment. The business of Tokyo Calendar, which was included in “Others” in the previous consolidated fiscal year, wasaccordingly changed to be included in the added segment “New Media & Web Service Business.”
Segment information for the previous consolidated fiscal year was stated based on the new classification of reportablesegments.

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4. Supplemental information(1) Orders received

Segment

First half of the previous consolidated
fiscal year
(from January 1, 2013 to June 30, 2013)
Orders received
Order backlog(in thousands of yen)First half of the consolidated fiscal year
under review(from January 1, 2014 to June 30, 2014)
Orders received
Order backlog

IT Consulting Business

9,652,772

6,929,808

9,952,872

6,827,573

Package & Service Business

1,932,439

1,096,099

2,551,955

1,515,848

New Media & Web Service
Business

192,328

22,740138,799

20,081

11,777,540

8,048,648

12,643,626

8,363,502

Total(Notes) 1. Business segments were changed in the first nine months of the previous consolidated fiscal year, and the amounts
for the six months of the previous fiscal year were stated based on the new classification of reportable segments.
2. Orders received include adjustments for exchange rate fluctuations.

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