Securities Code: 8929

First Half Business Summaryfor Fiscal Year 2017 (27th period)
January 1 to June 30, 2017

Highlights of Consolidated Business Results

Message from President

Aoyama Zaisan Networks Provides
the Most Comprehensive Asset Management Solutions
In the current economic climate, management remains challenging due to theimpact of negative interest rates, and trends of increased inheritance taxes for
wealthy people and increased income taxes continue. Moreover, many
companies are struggling with business succession due to factors such as alack of successors. Against the backdrop of significant changes in the social
environment, interests in inheritance strategies and property management
have increased more than ever.
Everyone at our company will put our effort to contribute to the happiness of
our customers while also ensuring sustainable growth in profits andreinforcing shareholder returns. We believe this will further enhance ourcorporate value.
We ask for our shareholders’ continuing support and cooperation.
President Masazumi Hasumi‌Property management needs of asset owners are increasing, and consultations based onreferrals from financial institutions are rising sharply‌Corporate consulting for business owners and capital policy-related cases and funds are
growing considerably‌Revenue from new approaches such as investment business and shipping operating leases
is increasing
Operating revenue (unit: million yen)

Operating income (unit: million yen)

Profit attributable toowners of parent (unit: million yen)

14,800(forecast)

820

680

(forecast)

14,275

14,420
751
6,912

7,000

485

5,263

701
518

424

188

Fiscal Year 2015 Fiscal Year 2016 Fiscal Year 2017
(25th period)(26th period)(27th period)(forecast)Fiscal Year 2015 Fiscal Year 2016 Fiscal Year 2017
(25th period)(26th period)(27th period)

587538310
166

Fiscal Year 2015 Fiscal Year 2016 Fiscal Year 2017
(25th period)(26th period)(27th period)* ‌The above forecasts are based on the information available as of the preparation of this document, involving some uncertainty. Actual business results might prove different from these forecasts,depending on the changes in business conditions.

About Aoyama Zaisan Networks

We are a one-of-a-kind comprehensive property
consulting firm providing services for property
and business successions.
Based on our belief that “financial assets are the foundation for leading ahappy life,” we provide comprehensive property consulting, including
services to support succession, management and administration of personal
properties, business succession consulting for company owners, andsolutions for effective use of real estate, which represents a large share ofpersonal properties. Our team of expert, independent professionals works
to resolve property-related issues for the benefit of customers.

1

Aoyama Zaisan Networks in Numbers

Dividend payout ratio ROE (return on equity)

Number of qualified personnel

Year-end forecast for fiscal year 2017* ‌This refers to the number of working
personnel who hold national qualifications
such as certified tax accountants andcertified public accountants.

47.4% 18.9%
As of end of December 2016802Topics

First local revitalization project moving forward
The Company’s first local revitalization project utilizing a
special venture defined in the Real Estate Specified Joint
Enterprise Act is on track for completion by the end ofOctober 2017. This is a project to build a mixed-use facility
that will help drive urban development centered on JRKomatsu Station in Ishikawa Prefecture. The name of thebuilding has now been finalized as “Komatsu A x ZSquare.”
The building will house an accommodation facility (HotelGranbinario) aimed at business travelers staying forextended periods and the increased number of people
visiting nearby facilities, a play area for families (KabukkyLand), Komatsu University which is scheduled to open inspring 2018, a book cafe, and a language school. The needfor redevelopment projects targeting the area near trainstations and urban redevelopment projects is rising,particularly in regional cities. Going forward, we will
pursue local revitalization projects that utilize special
ventures in various locations across Japan in order tocontribute to regional economic development as part of theprovision of management products to customers.

Formation of ADVANTAGE CLUB Kanda Yasukuni-dori Voluntary Partnership
In March 2017, the Company formed the ADVANTAGE CLUB Kanda
Yasukuni-dori Voluntary Partnership as a new product in ADVANTAGE
CLUB, a real estate joint ownership scheme based on the Real EstateSpecified Joint Enterprise Act.
During the 15 years since it was launched in 2002, a total of 40locations of the scheme were opened (of which 17 have beenliquidated), with 32.25 billion yen in assets under management and a
total of 1,584 participants in the scheme (as of June 30, 2017). This
program is steadily expanding.

<As of June 28>

Establishment of shipping operating leases

NameADVANTAGE CLUB Kanda Yasukuni-doriPartnership type

Voluntary partnership contract based on the Real Estate Specified
Joint Enterprise Act

Chairperson

Aoyama Zaisan Networks Company, Limited

Partnership nameKanda Yasukuni-dori Voluntary Partnership

Property overview

Arcadia Building
Address: 1-12-3, Kanda-Sudacho, Chiyoda-ku, Tokyo
Size: Steel structure with flat roof, 9 floors, total floor area of 1,848.78 m2
Usage: Office/retail

Gross rate of returnfor first fiscal year

Approx. 6.07% (assuming full occupancy)

Decision to invest in a largest-scale urban redevelopment project in Indonesia

In April 2017, the Company established operating leaseproducts for which the target asset is ships (product tankers)
and the application process has been completed. In order tofurther expand our product mix, we concluded a current
account overdraft agreement with the Chugoku Bank inJuly. Through the funding framework provided by thisagreement, our aim is to expand our new product line-up
based on this scheme and increase revenue in the future.
<Sample image>

We have decided to invest in Indonesia’s largest-scale urban
redevelopment project, which is being undertaken by Lippo
Group, a major local industrial conglomerate, in the easternpart of the nation’s capital, Jakarta. Indonesia is experiencing
rapid growth, and as a first step we are investing in part of theOrange County joint development being pursued by Lippo
Group and Mitsubishi Corporation. The project, occupying atotal area of over 5,000 ha (equivalent to a thousand TokyoDomes), will include housing, offices, cultural andeducational facilities, and more.
<Sample image>34

Network

List of Nationwide Network (as of August 1, 2017)55 bases within Japan plus a growing global network

Hokkaido, Tohoku

We have established a nationwide network in Japan that includes leading tax accounting firms and accounting offices. Throughthis network, we provide consulting services to customers across Japan. As part of our efforts to expand internationally, wehave established overseas subsidiaries in the United States and Singapore. Going forward, we will continue working with top
overseas partners and enhance our network both at home and abroad.

Nationwide Network (as of August 1, 2017)

Zeimu Sogo Tax Corporation

Zaisan Networks Kyoto Co., Ltd. (SHINKEIEI SERVICE SHIMIZU Tax Co.)

Zaisan Networks Fukushima Co., Ltd. (Aoki Accounting Corporation)

Nihon Mirai Accounting & Tax Co.

Zaisan Networks Osaka Co., Ltd. (Nihon Keiei Tax Corporation)

Aoyama Zaisan Networks Hokkaido Support (IKEWAKI TAX, ACCOUNTING & CONSULTANTS GROUP)

Nakamura Certified Public Tax Accountants Office

Zaisan Networks Hyogo Co., Ltd. (Nihon Keiei Tax Corporation)

Aoyama Zaisan Networks Aomori Support (Konda Accounting Office)

CREAS Corporate Advisers Co., Ltd.

Seki Soken Zaisan Partners Co., Ltd (AZ TAX Tax Corporation)

Aoyama Zaisan Networks Yamagata Support (Yutaka Licensed Tax Accountant’s Corp)
Mitsunari Accountant Officeeclat Consulting

Aoyama Zaisan Networks Wakayama Support (Nishioka Accounting Office)

Top Accounting Firm & co

Aoyama Zaisan Networks Kyoto Nijo Support (HIROSE LICENSED TAX ACCOUNTANT)MISAWA BUSINESS MANAGEMENT INC

Ai Partners Tax Corporation

Aoki Accounting Corporation Inc.

Oyama accounting Co., Ltd

Aoyama Zaisan Networks Mie Support (Midland Management Group Mie)
Shibata Business Consulting Co., Ltd.

Kanto, Koshinetsu
Nihon Shisan Souken Co., Ltd. (tax accountant office)

Tokai and Hokuriku

Japan55bases

Chugoku and Shikoku

9basesZaisan Networks Tochigi Co., Ltd. (Tajima Accounting Office)4basesHokkaido and Tohoku

(Duplicate bases are excluded.)

Kyushu and Okinawa

5bases

Kanto and Koshinetsu
Kinki

6bases22bases

Masatoshi Yoshikawa Certified Tax Accountant Office
Koyama Sadao tax accounting office

Zaisan Consultants Kanazawa Co., Ltd. (Hatake & Starship Tax Corporation)

Aoyama Zaisan Networks Saitama Co., Ltd. (CWM Research Institute)

Zaisan Networks Shizuoka Co., Ltd. (Iwasaki Tax Corporation)

Zaisan Networks Kawasaki Co., Ltd. (Tokyo Japan Certified Tax Accountants’ Corporation)

Zaisan Networks Nagoya Support (Meinan Consulting Network)

Zaisan Networks Nagano Co., Ltd. (Mochizuki Tax Corporation)
Aoyama Zaisan Networks Ibaraki Support (Masuyama Accounting Office)Aoyama Zaisan Networks Fukui Support (Uesaka Consulting Firm)
ARIASU ZEIRISIHOUJIN.

Aoyama Zaisan Networks Kanto Chuo Support (MMG Tax Corporation)

Midori Management System, Co., Ltd.

Aoyama Zaisan Networks Denenchofu Support (Saito Tax Corporation)

Meito Asset Consulting, Co., Ltd.

Aoyama Zaisan Networks Yokohama Support (YAMADA SYNTHETIC OFFICE)
Kujirai Tax Corporation

MMPC Consultants Corporation

9basesHong Kong investment
consulting partner

Aoyama Zaisan Networks USA, Inc.
(United States)
Major Indonesianindustrial conglomerate

Aoyama Wealth Management Pte. Ltd.
(Singapore)

5PT. Aoyama Zaisan Networks Indonesia(Indonesia)

Property
management partner
Real estate partner
Overseas partners
Overseas subsidiaries

Zaisan Consultants Tokushima Co., Ltd. (M.A.S. AGENT GROUP)
Midori Zaisan Consultants Co., Ltd. (Midori Tax Corporation)
Aoyama Zaisan Networks Shimane Support (Chikashige Tax Office)Nonaka Keiei Corporation

Kyushu, Okinawa
Zaisan Networks Fukuoka Co., Ltd. (SHINOHARA CPA OFFICE)
Zaisan Networks Okinawa Co., Ltd. (PS Accounting Office)

KIMURA KEIEI BRAIN CO., LTD.

Aoyama Zaisan Networks’ Nationwide Network

Ueda Certified Public Accountant Licensed Tax Accountant Office.
CREAS Corporate Advisers Co., Ltd.

Chugoku, Shikoku

Tokai, Hokuriku

Zaisan Networks Motegi Co., Ltd. (MOTEGI tax consultant office)Aoyama Zaisan Networks Nagasaki Support (Chuo Sogo Accounting Office)Aoyama Zaisan Networks Saga Support (MOROI Accounting Firm)
IDEA Research Institute Consulting Co., Ltd.

NSSTPS Business Model Association * NSSTPS is the abbreviation for Nippon Shisan Soken Total Planning System.

Corporate Data (as of June 30, 2017)
Expanding
network to Asia
and NorthAmerica

Kinki

Kei Yo Research Institute

Aoyama Zaisan Networks Sendai Support (MISAWA BUSINESS MANAGEMENT INC.)

Name of Company

Aoyama Zaisan Networks Company, Limited

Head Office

3F Aoyama Tower Place, 8-4-14 Akasaka, Minato-ku,Tokyo 107-0052
Tel. +81-6439-5800

IncorporatedSeptember 17, 1991

Capital stock

1,088.93 million yen

Business line

Individual property consulting, business succession
consulting and real estate solutions consulting

Number of employees(Group)182 (as of June 30, 2017)

Consolidated
subsidiaries

6 companies including Aoyama Estate Co., Ltd.,
Nihon Shisan Soken Co., Ltd. and Proggest Co., Ltd.

Executives (from August 1, 2017)
President
Director, Managing Executive Officer
Director, Managing Executive Officer
Director, Managing Executive Officer
Director, Executive Officer
Director, Executive Officer
Director, Executive Officer
Outside Director
Outside Director
Outside Director
Standing Outside AuditorAuditor
Outside Auditor

Masazumi Hasumi
Masayuki Yagi
Takeshi Matsuura
Yasuo Takano
Seido Nakatani
Shinji Shimane
Takaomi Ogawa
Haruo Shimada
Keiji WatanabeMichihiro Nagasaka
Yoichiro Shimada
Hisao Nakatsuka
Hiroaki Rokugawa

6Stock Overview (as of June 30, 2017)

Dividend forecast

Number of shares in issue
11,963,500
Number of shareholders………………………………………………………… 5,099
Major Shareholders (Top 10)

Our goal is to achieve a stable, ongoing dividend
payout ratio of 50%.

…………………………………………

NameMasazumi Hasumi
Yasuo Takano
Treasury shares of Aoyama Zaisan
Networks Company, Limited
MSIP CLIENT SECURITIESEiichiro Iwase
Mutsumi Shimada
Nihon M&A Center Inc.
MID Investment Co., Ltd.
CHASE MANHATTAN BANK GTS
CLIENTS ACCOUNT ESCROWTaisei Co., Ltd.

Shares held
Shareholding ratio
1,207,100
10.09
658,600
5.51
550,000

4.60

289,400
260,800
200,000
150,000
120,000

2.42
2.18
1.67
1.25
1.00

109,800

0.92

104,000

0.87

Fiscal year ending in December 2017:
Transition of dividend
First half of fiscal year

13.0

Fiscal year
Base date for the determinationof shareholders with year-end
dividend entitlements
Base date for the determinationof shareholders with interim
dividend entitlements
General meeting of shareholders
Administrator of the shareholder
registry/Account management
institution for special accountFiscal Year
2015

Dividend payout ratio(unit: yen)
47.4% (forecast)

17.0 (forecast)

40.7%

5.0

Contact

End of fiscal year

46.2%

Notes for Shareholder
January 1 to December 31

28 yen

15.0
8.0

11.0

Fiscal Year
2016

Fiscal Year2017

December 31
June 30

Shareholder Incentives

in March

The Company provides benefits under the following
conditions to shareholders recorded in the shareholder
register as of June 30.

Mitsubishi UFJ Trust and BankingCorporation
Mitsubishi UFJ Trust and Banking Corporation,
Stock Transfer Agency Department
1-1, Nikko-cho, Fuchu-shi, Tokyo
Tel. 0120-232-711(toll-free, Japan only)
Mailing address: P.O. Box 29, Shin-Tokyo Post
Office 137-8081
Mitsubishi UFJ Trust and Banking Corporation,
Stock Transfer Agency Department

Account management
institution for special accounts Sumitomo Mitsui Trust Bank, Limited
Sumitomo Mitsui Trust Bank, Limited,
Stock Transfer Agency Department
Contact
2-8-4, Izumi, Suginami-ku, Tokyo 168-8507
Tel. 0120-782-031(toll free, Japan only)
Stock exchange listings
TSE Second Section
Public announcements
To be announced on the Company’s website(For reference)
1. ‌Shareholders’ address changes, repurchase requests, and such other procedures, as a rule, are filledwith the account-administrating institutions where shareholders have their accounts (securitiescompanies, etc). Shareholders are requested to contact their account holding securities companies,etc., for information. Shareholders are reminded that application filings cannot be made with theadministrator of shareholder registry (Mitsubishi UFJ Trust and Banking Corporation).
2. ‌For information on procedures concerning shares recorded in special accounts, shareholders arerequested to contact The Sumitomo Mitsui Trust Bank, Limited, the account administration institution
for special accounts. Shareholders are reminded that procedures cannot be processed by Mitsubishi
UFJ Trust and Banking Corporation, which serves as the administrator of the shareholder registry.
3. ‌Dividends hitherto uncollected by shareholders are paid by Mitsubishi UFJ Trust and Banking
Corporation, Head Office Branch.

Shareholders who hold 1,000 shares or more
Select 1 from 10 products worth 3,000 yen<Sample images>

Shareholders who hold 10,000 shares or more continuously for over 1 year
A meal certificate from UKAI CO., LTD. (20,000 yen)or Ukai special select beef (worth 20,000 yen)<Sample images>