Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Year Ended March 31, 2019
(Based on Japanese GAAP)May 9, 2019
Company name:

HAMAKYOREX CO., LTD.

Stock exchange listing: Tokyo
Stock code:
9037
Representative:
Inquiries:

URL

http://www.hamakyorex.co.jp

President
Executive officer

Hidenori Osuka
Yoshiyuki Takeuchi

Scheduled date of ordinary general meeting of shareholders:
Scheduled date to file Securities Report:

June 18, 2019
June 18, 2019

Scheduled date to commence dividend payments:
Preparation of supplementary material on financial results:

June 19, 2019
Yes

Holding of financial results meeting:

Yes

TEL053-444-0054(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the year ended March 31, 2019 (from April 1, 2018 to March 31, 2019)(1) Consolidated operating results
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profitOrdinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Year ended March 31, 2019115,919
12.0
9,913
9.8
10,362
8.9
5,905
5.9
Year ended March 31, 2018
103,476
4.3
9,029
13.6
9,516
13.0
5,575
10.3
Profit attributable toOrdinary profit/total Operating profit/net
owners ofassets
sales
parent/equity
Yen%%%
–
10.9
8.9
8.6
–
11.3
8.6
8.7

Diluted earnings pershare

Earnings per share
Yen
310.71
293.35

Year ended March 31, 2019Year ended March 31, 2018
(2) Consolidated financial position

Total assets
As of March 31, 2019
As of March 31, 2018

Net assets

Equity ratio

Millions of yen
119,184
112,520

Millions of yen
64,61458,641

Cash flows fromoperating activities
Millions of yen
12,568
11,673

Cash flows frominvesting activities
Millions of yen(1,692)(4,475)

Net assets per share%
47.4
45.8

Yen
2,973.98
2,717.22(3) Consolidated cash flows

Year ended March 31, 2019Year ended March 31, 2018

Cash flows from
Cash and cash equivalents
at end of period
financing activities
Millions of yen
Millions of yen(5,567)
14,320(7,094)
9,012

2. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Year ended March 31, 2018Year ended March 31, 2019Year ending March 31, 2020
(Forecast)of dividends
Total cash
Dividend payout Ratio
to net assets
dividends (Total) ratio (Consolidated) (Consolidated)

Total

Yen

Yen

Yen

Yen

Yen

Millions of yen

%%

––

22.50
30.00

––

22.50
35.00

45.00
65.00

855
1,235

15.3
20.9

1.7
2.3

–

35.00

–

35.00

70.00

121.5

3. Forecast of consolidated financial results for the year ending March 31, 2020 (from April 1, 2019 to March 31, 2020)
Net sales
Full year

Millions of yen
121,000

Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%Yen
4.4
10,5005.9
10,800
4.2
6,200
5.0
326.22

4. Notes(1) Changes in significant subsidiaries during the year ended March 31, 2019(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Changes in accounting policies due to other reasons:

No
No

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2019

19,012,000 shares As of March 31, 2018

19,012,000 shares

Number of treasury shares at the end of the period
As of March 31, 2019

6,682 shares As of March 31, 2018

6,514 shares

Average number of shares during the period
Year ended March 31, 2019

19,005,360 shares Year ended March 31, 20182

19,005,542 shares

Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2018

As of March 31, 2019

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade

9,530
14,36214,80015,549

1693

5166

Other
Allowance for doubtful accounts

1,029(44)

1,519
(230)

Total current assets

24,98831,81063,432(33,603)

63,791(35,451)

29,82928,3395,025(2,530)5,165(2,889)

2,494

2,275

7,440
(6,984)

7,177(6,695)455

481

40,53011,37540,514
12,198

Accumulated depreciation(4,772)(5,443)

Leased assets, net

6,602

6,755

Merchandise
Supplies

Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery and equipment
Accumulated depreciation
Machinery and equipment, net
VehiclesAccumulated depreciation
Vehicles, net
Land
Leased assets

Construction in progress
OtherAccumulated depreciation
Other, net
Total property, plant and equipment

453

766

2,312(1,886)

2,605(2,136)

426

468

80,79379,602Intangible assets

2,150

2,567

Investments and other assets
Investment securities

1,524

1,664

23
150

21112

Leasehold and guarantee deposits
Deferred tax assets

1,623
821

1,775
1,140

Other
Allowance for doubtful accounts

551
(108)

596
(108)

Long-term loans receivable
Long-term prepaid expenses

Total investments and other assets
Total non-current assets
Total assets

3

4,587

5,203

87,53187,373

112,520

119,184

(Millions of yen)
As of March 31, 2018

As of March 31, 2019

Liabilities
Current liabilities
Notes and accounts payable - trade

6,777

7,765

Short-term loans payable
Lease obligations

17,294
1,883

17,687
1,982

Income taxes payable
Accrued consumption taxes

1,922
804

2,108
1,034

880
34

1,083
28

Reserve for loss on dissolution of employee's pension fund
Other

2
4,602

49
4,800

Provision for bonuses
Provision for bonuses for directors (and other officers)

Total current liabilities

34,20136,539Non-current liabilities
Long-term loans payable

6,792

4,598

Lease obligations
Deferred tax liabilities

5,172
356

5,235
286

Retirement benefit liability
Reserve for loss on dissolution of employee's pension fund

5,815
39

6,126
224

Other

1,500

1,558

Total non-current liabilities

19,67618,03053,87854,570Capital stock
Capital surplus

6,547
6,466

6,547
6,466

Retained earnings
Treasury shares

38,562(9)43,469(10)

Total shareholders' equity

51,56656,472

Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

4325

266(250)

(217)

75

48

6,999

8,093

58,64164,614

112,520

119,184

Consolidated statements of income and consolidated statements of comprehensive income(Millions of yen)
Fiscal year ended

Fiscal year ended

March 31, 2018

March 31, 2019

Operating revenue
Operating cost

103,476
91,915115,919
103,130

Operating gross profit

11,561

12,789Selling, general and administrative expenses
Provision of allowance for doubtful accounts

59

3

Remuneration for directors (and other officers)
Salaries and allowances

567
527

627
642

Provision for bonuses
Provision for bonuses for directors (and other officers)

68
33

83
24

Retirement benefit expenses
Taxes and dues

23412

31
444

Other839

1,017

2,531

2,875

9,029

9,913

Non-operating income
Interest income

00

Dividend income
Rent income

33
91

46
94

Commission income
Gain on sales of non-current assets49122

51103

Subsidy income
Electrical Sales Income

17739591389

Miscellaneous income

159

191

1,031

968

Interest expenses
Loss on sales and retirement of non-current assets

193
25

165
39

Cost of electricity sales
Miscellaneous loss

254
70

244
70

Total non-operating expenses

544

519

9,516

10,362

–

114

–

114

Total selling, general and administrative expenses
Operating profit

Total non-operating income
Non-operating expenses

Ordinary profit
Extraordinary income
Gain on sales of investment securities
Total extraordinary income5(Millions of yen)

Extraordinary lossesLoss on retirement of non-current assets

Fiscal year ended

Fiscal year ended

March 31, 2018

March 31, 201960–

Impairment loss
Loss on transfer and closing of logistics center

43
134

11–

Provision of allowance for doubtful accounts
Loss on disaster

–
–

185
25

Compensation for damage

–

62

238

284

Profit before income taxes

Total extraordinary losses

9,278

10,192

Income taxes - current
Income taxes - deferred

2,981
(85)

3,451
(160)

Total income taxes

2,896

3,290

Profit

6,382

6,901

Profit attributable toProfit attributable to owners of parent

5,575

5,905

807

996

Valuation difference on available-for-sale securities
Remeasurements of defined benefit plans, net of tax

8821165
49

Total other comprehensive income

110

215

6,492

7,117

5,663
829

5,877
1,239

Profit attributable to non-controlling interests
Other comprehensive income

Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests

6Consolidated statements of changes in equity
Fiscal year ended March 31, 2018
(Millions of yen)
Shareholders' equity
Capital stock
Balance at beginning of current period

Capital surplus

6,547

Retained earnings

6,466

Total shareholders'equityTreasury shares

33,794(9)

46,799Changes of items during period
Dividends of surplus

(807)

(807)

Profit attributable to owners ofparent

5,575

5,575

Purchase of treasury shares

(0)

(0)

Net changes of items other thanshareholders' equity
Total changes of items during period
Balance at end of current period

––

4,767

(0)

4,767

6,547

6,466

38,562(9)51,566

Accumulated other comprehensive income

Balance at beginning of current period

Valuation difference
on available-for-salesecurities

Remeasurements ofdefined benefit plans

Total accumulated
other comprehensive
income

251

(264)

(12)

Non-controllinginterests
6,291

Total net assets

53,078Changes of items during period
Dividends of surplus(807)

Profit attributable to owners ofparent

5,575

Purchase of treasury shares
Net changes of items other thanshareholders' equity(0)741488707796

Total changes of items during period

74

1488707

5,563

Balance at end of current period

325

(250)

75

6,999

58,641

7Fiscal year ended March 31, 2019
(Millions of yen)
Shareholders' equity
Capital stock
Balance at beginning of current period

Capital surplus

6,547

Retained earnings

6,466

Total shareholders'equity

Treasury shares

38,562(9)51,566

Changes of items during period
Dividends of surplus

(997)

(997)

Profit attributable to owners ofparent

5,905

5,905

Purchase of treasury shares

(0)

(0)

Net changes of items other thanshareholders' equity
Total changes of items during period
Balance at end of current period

––

4,907

(0)

4,906

6,5476,466

43,469(10)56,472

Accumulated other comprehensive income

Balance at beginning of current period

Valuation difference
on available-for-salesecurities

Remeasurements ofdefined benefit plans

Total accumulated
other comprehensive
income

325

(250)

75

Non-controllinginterests
6,999

Total net assets

58,641

Changes of items during period
Dividends of surplus(997)

Profit attributable to owners ofparent

5,905

Purchase of treasury shares(0)

Net changes of items other thanshareholders' equity(59)

32(27)

1,093

1,066

Total changes of items during period(59)

32(27)

1,093

5,973

Balance at end of current period

266(217)

48

8,093

64,6148

Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes
Depreciation
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for

Fiscal year ended

Fiscal year ended

March 31, 2018

March 31, 2019
9,278

10,192

4,944
51

5,002
178

67

71

directors (and other officers)
Increase (decrease) in retirement benefit liability

(0)

(5)

121

176

Interest and dividend income
Interest expenses

(33)
193

(46)
165

Loss on sales and retirement of noncurrent assets
Decrease (increase) in notes and accounts receivable -85

39(1,396)

(212)

trade
Increase (decrease) in notes and accounts payable trade
Increase (decrease) in accrued consumption taxes

642

157

(457)

325

Increase/decrease in other assets/liabilities
Other, net

665
(74)

162
(154)

14,087

16,053

33
(190)

47
(166)

Income taxes paid
Income taxes refund(2,258)0(3,362)(3)

Net cash provided by (used in) operating activities

11,673

12,568

(746)

(833)

601
(3,845)838(1,780)

128
(311)

166
(358)

(2)
–

(303)
156

Payments for leasehold deposits
Collection of leasehold deposits

(110)
343

(119)
146

Payments of loans receivable
Purchase of shares of subsidiaries resulting in change in

(34)

(11)

(468)

(95)

–

549

(29)

(48)

(4,475)(1,692)

SubtotalInterest and dividend income received
Interest expenses paid

Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time depositsPurchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sales of investment securities

scope of consolidation
Proceeds from purchase of shares of subsidiaries
resulting in change in scope of consolidation
Other, net
Net cash provided by (used in) investing activities

9

(Millions of yen)
Fiscal year ended
March 31, 2018

Fiscal year ended
March 31, 2019

Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable(1,380)
510

(150)
892

Repayments of long-term loans payable
Net decrease (increase) in treasury shares(3,264)(0)(2,875)(0)Cash dividends paid
Dividends paid to non-controlling interests

(807)
(121)

(997)
(151)

Repayments of lease obligations
Other, net(2,024)(5)(2,117)(165)

Net cash provided by (used in) financing activities(7,094)(5,567)––

Net increase (decrease) in cash and cash equivalents

103

5,308

Cash and cash equivalents at beginning of period

8,909

9,012

Cash and cash equivalents at end of period

9,012

14,320Effect of exchange rate change on cash and cash
equivalents

10