Translation
January 28, 2016

Consolidated Financial Results
for the Third Quarter of the Fiscal Year Ending March 31, 2016
<under Japanese GAAP>
Company name:
Listing:
Stock code:
URL:
Representative:
Contact:

Yamato Holdings Co., Ltd.
Tokyo Stock Exchange9064
http://www.yamato-hd.co.jp/
Masaki Yamauchi, President
Kenichi Shibasaki, Managing Executive Officer, in charge of Financing and Accounting
Tel: +81-3-3541-4141 (from overseas)
Scheduled date of the submission of quarterly securities report:
February 10, 2016
Scheduled date of the commencement of dividend payment:—
Preparation of supplementary materials on quarterly financial results:
Yes
Holding of quarterly financial results meeting:Yes(Amounts less than 1 million yen are discarded.)1.

Consolidated financial results for the third quarter of fiscal year 2016
(cumulative: from April 1, 2015 to December 31, 2015)(1) Consolidated operating results

For the nine months ended
December 31, 2015
December 31, 2014
(Note) Comprehensive income:(Percentages indicate year-on-year changes.)
Profit attributable toOperating revenue
Operating income
Ordinary income
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
1,084,286
1.4
62,108(3.8)
63,123(4.9)
38,131(2.5)
1,069,009
2.1
64,591
8.2
66,3449.4
39,12817.7
For the nine months ended December 31, 2015: 37,459 million yen ((10.7)%)
For the nine months ended December 31, 2014: 41,955 million yen (9.6%)
Basic earnings per share

For the nine months ended
December 31, 2015
December 31, 2014

Diluted earnings
per share

Yen
92.92
93.89

Yen
92.05
91.51

(2) Consolidated financial position
Total assets
Net assets
Equity ratio
As ofMillions of yen
Millions of yen%
December 31, 2015
1,121,692
581,043
51.3
March 31, 2015
1,082,531
571,199
52.2(Reference) Equity:
As of December 31, 2015: 575,061 million yen As of March 31, 2015: 565,521 million yen

2.

Dividends
First quarter

Second quarter
Yen
Yen
Fiscal 2015—
12.00
Fiscal 2016—
13.00
Fiscal 2016 (Forecast)——(Note) Revisions to the forecasts most recently announced: None

Annual dividends
Third quarter
Yen
—
—
—

Fiscal year-end
Yen
13.00
—
13.00

Total
Yen
25.00
—
26.00

3.

Consolidated earnings forecasts for fiscal year 2016 (from April 1, 2015 to March 31, 2016)
Operating revenue

Operating income

Millions of yen%
Millions of yen%
Full year
1,415,000
1.3
69,0000.1(Note) Revisions to the forecasts most recently announced: None

(Percentages indicate year-on-year changes.)
Basic
Profit attributable toOrdinary income
earnings
owners of parent
per share
Millions of yen%
Millions of yen%
Yen
70,000(1.3)
41,0009.2
100.11* Notes(1) Changes in significant subsidiaries during the nine months under review (changes in specified subsidiaries
resulting in the change in scope of consolidation): None
(2) Application of specific accounting for preparing the quarterly consolidated financial statements: Yes(Note) For details, please see “2. Matters Regarding Summary Information (Notes), (1) Application of specific accounting for preparing thequarterly consolidated financial statements” of the attached materials to the quarterly financial results report on page 7.

(3) Changes in accounting policies, changes in accounting estimates, and restatementa. Changes due to revision to accounting standards, etc.: Noneb. Changes other than a:
Nonec. Changes in accounting estimates:
None
d. Restatement:
None(4) Number of issued shares (common shares)
a. Number of issued shares as of the end of the period (including treasury shares)
As of December 31, 2015:
425,161,692 shares
As of March 31, 2015:
435,564,792 sharesb. Number of treasury shares as of the end of the period
As of December 31, 2015:
17,210,995 shares
As of March 31, 2015:
22,370,985 sharesc. Average number of shares during the period (cumulative from the beginning of the fiscal year)
For the nine months ended December 31, 2015:
410,374,877 shares
For the nine months ended December 31, 2014:
416,766,428 shares*Indication regarding execution of quarterly review procedures
At the time of the disclosure of this quarterly financial results report, the quarterly review procedures in accordance with the Financial
Instruments and Exchange Act are in progress.

*Proper use of earnings forecasts and other noteworthy events• Descriptions of the above financial projections and other data are based on information currently available to the Company and certain
assumptions that we consider to be reasonable. Actual financial results may differ significantly from the projections for various reasons.
For points to note when using such assumptions and financial projections, please see “1. Qualitative Information on Settlement of Accounts
for the Nine Months, (3) Qualitative information on consolidated earnings forecasts” of the attached materials to the quarterly financial results
report on page 7.
• The Company plans to hold a financial results meeting for analysts on January 29, 2016. The materials distributed at this financial resultsmeeting shall be posted on the Company’s website after the meeting has been held.

Attached Materials
Index

1. Qualitative Information on Settlement of Accounts for the Nine Months................................................................... 2(1) Qualitative information on consolidated operating results ................................................................................. 2(2) Qualitative information on consolidated financial position ................................................................................. 7(3) Qualitative information on consolidated earnings forecasts............................................................................... 7
2. Matters Regarding Summary Information (Notes) .................................................................................................... 7(1) Application of specific accounting for preparing the quarterly consolidated financial statements ...................... 7(2) Additional information ........................................................................................................................................ 7
3. Consolidated Financial Statements .......................................................................................................................... 8(1) Consolidated balance sheet .............................................................................................................................. 8(2) Consolidated statement of income and consolidated statement of comprehensive income ............................ 10
Consolidated statement of income (cumulative) .............................................................................................. 10
Consolidated statement of comprehensive income (cumulative) ..................................................................... 11(3) Notes to consolidated financial statements ..................................................................................................... 12(Notes to premise of going concern) ................................................................................................................ 12(Segment information, etc.) .............................................................................................................................. 12(Notes on significant changes in the amount of shareholders’ equity) ............................................................. 13(Important subsequent matters) ....................................................................................................................... 13
4. Supplementary Information .................................................................................................................................... 15
Operating revenue by business ................................................................................................................................ 15-1-

1. Qualitative Information on Settlement of Accounts for the Nine Months(1) Qualitative information on consolidated operating results
During the nine months ended December 31, 2015, the business environment overall was marked by favorable
corporate earnings yet lacking firm business sentiment amid adverse effects of the economic slowdown inemerging nations and other such factors. With personal consumption, buying behavior has still remained
stagnant largely due to deeply entrenched anxieties over the prospect of rising prices. The Company also
continued to face harsh operating circumstances as tight labor market conditions persisted. Operating in thisenvironment, we worked toward achieving the objectives of the Long-Term Management Plan “DAN-TOTSUManagement Plan 2019” and the Medium-Term Management Plan “DAN-TOTSU Three-Year Plan STEP.” To
that end, we focused on creation of a business model for generating substantial added value by building apremium-quality network to enable efficient logistics and fusing together the Group’s business resources.
In the Delivery Business, we achieved greater customer use of the new “TA-Q-BIN Compact” and “Nekopos”
services launched in April 2015, due to increased sales to mail-order business operators and progress made informing partnerships with flea market websites. Overall, revenues in the Delivery Business increased due toincreased TA-Q-BIN delivery volume centered on our new services, but on the profit front, earnings decreased
because growth in business generated by Kuroneko DM-Bin and the new services did not make up for the
impact of our discontinuing the Kuroneko Mail service.
In the non-delivery businesses, we took steps to expand our existing service offerings by enlisting the strengthsof Group companies, while also drawing on Group-wide ties as we aggressively promoted solution sales
geared toward addressing customers’ business challenges.
Our consolidated financial results for the nine months ended December 31, 2015 are as follows.
(Millions of yen)
Item
Operating revenue
Operating income
Ordinary income
Profit attributable toowners of parent

For the nine months
ended December 31, 2014
1,069,009
64,591
66,344

For the nine months
ended December 31, 2015
1,084,286
62,10863,12339,12838,131

ChangeGrowth (%)

15,277(2,483)(3,220)

1.4
(3.8)
(4.9)

(996)

(2.5)

Initiatives for the entire Yamato Group
a.

b.

c.

d.

The Yamato Group has been pursuing its “Value Networking” design, on the basis of creating businessmodels for generating a high level of added value through the combined efforts of our respective
businesses, while at the same time contributing to growth strategies and international competitive
strengths of the Japanese economy. Meanwhile, we are also taking steps to forge a robust corporate
culture that acts as a foundation for business creation and development.
To further promote our “Value Networking” design, we have been crafting business models that deliver ahigh level of added value by leveraging the Yamato Group’s business network. Also, to address variedcustomer needs in Japan and overseas, we have been making more effective use of our innovative
network platform consisting of the “Haneda Chronogate,” “Atsugi Gateway” and “Okinawa International
Logistics Hub” facilities, in addition to our existing “last mile” network.
We continued to drive initiatives geared toward forging a more robust corporate culture. To that end, we
worked on enhancing the efficiency and dependability of operations, in part by improving our transportsystems and by using our information technology network to enable visual monitoring of operating
volumes. In addition, we redoubled our employee education efforts and focused on building systems for
ensuring that we honor promises made to our customers. Moreover, we actively engaged in CSR-related
activities linked to Yamato Group business endeavors, such as through environmental and safetymeasures, and efforts to prosper communities.
Given expectations for future growth in the mail-order market, we aggressively forged ahead with efforts toincrease sales of the “YES!” (Yamato Ec Solutions) service which involves drawing on capabilities of theGroup in providing packages of services in order to serve that market. We also commenced operations of
our “Southern Gate” global logistics center in Okinawa, and in that regard have been promoting sales ofsolutions that provide one-stop services involving everything from manufacturing to storage and delivery,

-2-

e.

f.

g.

targeting business operators involved in cross-border mail order and other business geared to overseas
markets.
For our corporate clients, we forged ahead with efforts to increase sales of our “Yamato Cloud Depot”
service which enables them to make use of our 4,000 TA-Q-BIN centers nationwide as hubs for their own
business operations. In developing such solution sales, we are supporting the growth of customer
businesses by helping them boost salesforce productivity and reduce back office workloads at their sales
locations, drawing on business resources of the Yamato Group.
In our business looking toward overseas markets, we have been making progress in developing our
networks in Southeast Asia, forging ahead with expansion of our international cold chain business such asthat of the “International Cool TA-Q-BIN” service, and working to strengthen our international logistics
operations which offer added-value in growing Asian markets.
We have been taking aggressive action to reduce costs through efforts that include implementing thoroughcontrols on costs linked to operating volumes and also pursuing measures to improve productivity, amid adeteriorating external cost environment marked by a tightening labor market.

Summary of each operating segment

 Delivery
The delivery volumes of TA-Q-BIN and Kuroneko DM-Bin services are as follows.
(Million parcels / units)
For the nine months
For the nine months
Category
ChangeGrowth (%)
ended December 31, 2014
ended December 31, 2015
TA-Q-BIN
1,259
1,327
68
5.4
Kuroneko DM-Bin
1,434
1,151
(282)
(19.7)
Results shown for Kuroneko DM-Bin in the nine months ended December 31, 2014 are those of the Kuroneko Mail service.

a.
b.

c.

d.

e.

In the Delivery Business, the Yamato Group concentrated on TA-Q-BIN-centered business development,
aiming to provide infrastructure that best suits our customers and contribute to enriching people’s lives.
We engaged in efforts to expand sales of the “TA-Q-BIN Compact” and “Nekopos” services. The two newservices enable customers in the growing mail-order business a simple means of sending small parcels forreasonable fees. With “TA-Q-BIN Compact,” use of the service has been growing as a result of efforts toimprove customer convenience such as through our launch of cash-on-delivery payment options. With
“Nekopos,” we have been engaging in aggressive efforts to increase sales through initiatives that include
offering options which differentiate us from our competitors such as a service where customers receive
e-mail notification at the time of delivery, and further teaming up with flea market websites. We also
launched our new “Kuroneko DM-Bin” mailbox posting service which takes the place of our Kuroneko Mail
service which was discontinued as of the previous fiscal year, thereby enabling us to respond to demandin areas such as direct mail sent by corporate clients.
With respect to corporate clients, we have been leveraging our front-line business network to gather
customer information to make use of in actively proposing solutions tailored to our clients’ management
objectives. We worked to boost profitability by making proposals that provide high added value using theGroup’s business resources. Moreover, we also continue to promote measures that would ensurecollection of adequate fees for the task of providing consistent quality with respect to deliveries.
In our business geared toward revitalizing communities, we have been taking steps to improve services forresidents by collaborating with municipalities and other entities in providing support with regard to helping
those living in remote areas who face difficulties doing their shopping and watching over elderly residents.
Moreover, we have also been helping to revitalize local industry through efforts that include enabling
communities to sell more locally produced products in Asian markets and offering “combined
passenger-cargo” operations where we make use of scheduled-route passenger buses to transport
TA-Q-BIN items within certain zones.
Operating revenue amounted to 857,305 million yen, up 0.3% from the year-ago period due to an increasein TA-Q-BIN delivery volume primarily among large operators of mail-order businesses. As for profits,
operating income amounted to 39,757 million yen, down 9.1% from the year-ago period as growth ofvolumes in the new services failed to make up for the adverse impact of discontinuing the Kuroneko Mail
service.

-3- BIZ-Logistics
a.

b.

c.

d.

e.

In the BIZ-Logistics Business, the Yamato Group is providing customers with innovative logistics systems
by combining management resources such as the TA-Q-BIN network with logistics functions, maintenanceand recall handling functions, cleansing functions for medical devices and international transportation
functions.
For the mail-order industry, we are offering one-stop services involving various types of logistical support
in line with customer needs, including support for facilitating everything from placing and accepting orders
to visual monitoring of inventories and enabling speedier shipments. During the nine months ended
December 31, 2015, volume handled increased largely due to the progress in gaining new customers.
With respect to our product maintenance and recall services, we have been developing integrated services
where we handle collection, repair and returns of faulty products, while also expanding total support
services for dealing with corporate product recalls. During the nine months ended December 31, 2015, theuse of the “Kuroneko Extended Warranty Service” increased particularly among large mail-order andconsumer electronics business operators.
For medical service providers, we have been developing medical device loaner support (storage, cleaningand delivery) and other services that help revolutionize logistics operations. During the nine months ended
December 31, 2015, the segment achieved revenue growth amid a steadily increasing volume of businessmainly from existing customers.
Operating revenue amounted to 81,017 million yen, up 9.4% from the year-ago period due to favorable
results generated from mail-order services and services related to medical devices. Operating income was
4,085 million yen, up 14.8% from the year-ago period.

 Home Convenience
a.
b.

c.

d.

In the Home Convenience Business, we are working toward enabling customers to achieve greater
convenience and comfort in their lives through lifetime lifestyle support businesses and corporate
enterprise support business that draw on the Yamato Group’s nationwide network.
With respect to individual customers, the Yamato Group operated a variety of services to assist in daily life
such as the “Raku Raku Household TA-Q-BIN” service for delivering large furniture items and home
appliances and moving-related services. In the nine months ended December 31, 2015, we aggressively
forged ahead with efforts to increase “Comfortable Lifestyle Support Service” sales with the addition ofhome appliance cleaning and other offerings to the list of options provided through the service, which aims
to help customers resolve everyday inconveniences associated with house cleaning, home organizationand storage, and collection of unwanted items.
For our corporate clients, we have been developing our “Technical Network Business” where we combine
the networks of the Yamato Group and our construction and installation contractors so that we can provide
one-stop support in handling everything from household equipment delivery and set-up, to installation andmaintenance of such equipment, as well as business support services such as office-related services andprocurement services for sourcing goods. During the nine months ended December 31, 2015, the segment
achieved revenue growth amid a strong showing from our office-related services.
Operating revenue amounted to 34,732 million yen, up 1.7% from the year-ago period due to favorable
volumes of use of office-related services and procurement services. As for profits, the segment posted an
operating loss of 63 million yen, an improvement of 661 million yen from the year-ago period as a result of
initiatives to improve rates of capacity utilization on weekdays.

 e-Businessa.
b.

In the e-Business, the Yamato Group helps customers streamline their business processes and solve
potential issues by proactively conducting solution platform business that combine logistics technology andfinancial technology with information technology.
With respect to services for assisting with order-acceptance and dispatching operations, the YamatoGroup provides a “Web-based Shipment Control” that comprehensively supports such operations as
dispatch information processing, printing of delivery slips, and freight tracking. In the nine months ended
December 31, 2015, use of this service increased particularly among our existing large-lot customers,
against a backdrop that included mail-order market growth.

-4-

c.

d.

e.

For customers whose needs involve managing products on an individual basis, such as
telecommunications equipment business operators, the Yamato Group has been developing setup support
services whereby tasks of affixing data to products and partial processing of merchandise are aligned withinformation system functions such as serial acceptance/dispatch control in warehouses and inventory
tracking. In the nine months ended December 31, 2015, these services attracted favorable volumes of use
primarily among our customers who are new entrants in the telecommunications equipment business.
In its e-money related services, the Yamato Group offers solutions through collaboration between thee-Business and the Financial Business, and provides services that involve installation and operation of“Multi e-money Settlement Terminals” that allow settlements in multiple types of e-money using a single
device. During the nine months ended December 31, 2015, the segment achieved revenue growth due toincreased sales from the e-money settlement system geared toward the amusement industry.
Operating revenue amounted to 32,102 million yen, up 6.5% from the year-ago period mainly due togrowth in setup support services for telecommunications equipment business operators. Operating income
was 6,825 million yen, up 16.0% from the year-ago period mainly due to the continued progress incontrolling system development costs.

 Financial
a.
b.

c.

d.

In the Financial Business, the Yamato Group has been developing settlement and financial services
tailored to a range of customer needs for payment collection on mail-order product deliveries, B2B
transaction settlement, and vehicle leasing.
With respect to our payment settlement services, in addition to providing our mainstay service “TA-Q-BIN
Collect,” we have also been promoting increased customer use of both our “Kuroneko Web Collect”
comprehensive internet-based transaction settlement service and our e-money settlement services. In thenine months ended December 31, 2015, we took steps to provide greater customer convenience such asadding payment settlement service to the “TA-Q-BIN Compact” service. We also aggressively forgedahead with efforts to increase sales of our “Kuroneko Web Collect” and “Kuroneko Pay After Delivery”
services. With our e-money related services, we persisted in our efforts to increase sales generated by our“Multi e-money Settlement Terminals” rental service.
In the lease services business, we achieved revenue growth by promoting proposals for total solutions
related to the Group’s network and vehicles. This includes operating leases that enable customers to cut
costs by providing them with new vehicles premised on the condition of vehicle purchase or re-use after
lease expiration, and leases of previously-owned cars linked with such purchase or re-use.
Operating revenue amounted to 54,059 million yen, up 8.5% from the year-ago period due to increased
use of our payment settlement for operators of mail-order businesses and other factors such as anincrease in contracts for truck leases in the lease services business. As for profits, operating income was
6,677 million yen, down 3.4% from the year-ago period largely due to lackluster results with respect tovolume handled through our mainstay TA-Q-BIN Collect service.

 Autoworks
a.

b.

c.

In the Autoworks Business, the Yamato Group develops its “24-hour-a-day, 365-day-a-year service thatenables customers to service their vehicles without stopping operation,” thereby providing value tologistics operations and logistics service providers primarily in the form of “improvement of vehicle
maintenance convenience” and “reduced maintenance expenses.” Furthermore, to better provide one-stop
service solutions geared toward customer business operations, we have added services for “maintaining
and safeguarding logistics facilities and equipment, and improving such workplace environments,” alongwith “insurance agency services where we offer risk management-related insurance plans tailored tocustomer needs.”
In the nine months ended December 31, 2015, we took steps to improve quality through initiatives that
included initiating operations of the new Superworks Kobe Plant business location and further
strengthened our business network, and newly launching sales of our “distribution facilities management”
services which provide support to customers with respect to managing logistics facilities and equipment.
We also aggressively marketed out “Repairworks” services entailing periodic on-site customer visits.
Operating revenue amounted to 18,760 million yen, down 11.2% from the year-ago period mainly due tolower unit price of fuel. Operating income was 2,851 million yen, down 7.1% from the year-ago period.

-5- Othera.

b.

The “JITBOX Charter service” provides transportation by transport box. The service takes advantage of its
network consisting of multiple companies and provides added value to customers through timely delivery
and frequent, right-volume delivery. In the nine months ended December 31, 2015, use of the service
steadily increased partially as a result of our initiatives to develop information systems and improve service
quality, and also due to favorable results from existing service offerings.
Operating income in Other excluding dividends which Yamato Holdings Co., Ltd. received from the Group
companies increased 141.6% from the year-ago period to 1,644 million yen.

CSR Initiatives
a.

b.

c.

d.

The Yamato Group places utmost priority on protecting human life and conducts a range of safetymeasures. In that regard, we have been carrying out our “Zero Accident Campaign” which is a safety
campaign deployed horizontally throughout the entire Group including our TA-Q-BIN operators overseas.
Furthermore, in the nine months ended December 31, 2015, we held the “Yamato Transport Nationwide
Safety Competition,” and engaged in efforts to enhance the skills of the Group’s professional drivers withrespect to safe vehicle operation, while also heightening safety awareness and improving driving skills on
a Group-wide basis. In addition, since 1998 we have been holding our “Safety Classes for Children,”through which we convey the importance of traffic safety, in day care facilities, kindergartens andelementary schools across Japan. A total of more than 2.79 million people have now participated.
The Yamato Group works to ensure that its distribution mechanisms are environmentally sound, under its
policy of “Nekology” (combining “Kuroneko” with “ecology”) for promoting its environmental conservation
initiatives. In the nine months ended December 31, 2015, we received the “Modal Shift Excellent Business
Entity Award (grand prize)” at the “13th Annual Awards Ceremony for Excellent Business Entities Working
on Modal Shift” in recognition of our efforts to increasingly shift to more suitable modes of transportation bymaking use of railways when shipping freight originating in the Kyushu region and bound for the Kanto
region. We also hold “Kuroneko Yamato Environmental Class” sessions designed to provide support forenvironmental education of children who will bear responsibilities of the next generation. We have heldsuch classes on an ongoing basis nationwide since 2005, attracting about 220 thousand participants so
far.
Aspiring to be a company that continually evolves in step with society, led by Yamato Welfare Foundation,
the Yamato Group conducts various activities to help realize a society in which disabled people can freely
enjoy a lifestyle as a member of the workforce. Specifically, we engage in ongoing programs that support
economic independence of people with disabilities, such that include actively employing people withdisabilities at the Swan Bakery which makes and sells bread, providing them with workplaces through theconsigned delivery of Kuroneko DM-Bin, and operating job-finding support facilities where they take part intraining to acquire skills and knowledge necessary for employment.
Aiming to create more sustainable social value, the Yamato Group promotes initiatives for sharing value
with society based on “Creating Shared Value (CSV).” In the nine months ended December 31, 2015, we
provided ongoing support with regard to watching over elderly residents, helping those living in remoteareas who face difficulties doing their shopping, lending support for community revitalization efforts inconjunction with municipal governments and local businesses, and other such initiatives geared towardextending a diverse range of services leveraging the business resources of the Yamato Group. As a result,
we have worked with government bodies on 1,360 endeavors in that regard thus far.

-6-

(2) Qualitative information on consolidated financial position(Assets, liabilities and net assets)
Total assets were 1,121,692 million yen as of December 31, 2015, up 39,161 million yen from the end of theprevious fiscal year. The major factor in this was an increase of 53,920 million yen in notes and accounts
receivable - trade.
Liabilities increased 29,317 million yen to 540,649 million yen from the end of the previous fiscal year. The
major factor in this was an increase in notes and accounts payable - trade of 23,048 million yen.
Total net assets were 581,043 million yen, up 9,843 million yen from the end of the previous fiscal year. Thiswas mainly attributable to the recording of profit attributable to owners of parent of 38,131 million yen andpayment of dividends of surplus of 10,674 million yen, as well as purchase of treasury shares amounting to
20,005 million yen.
Accordingly, the equity ratio changed to 51.3% from the previous fiscal year’s 52.2%.
(3) Qualitative information on consolidated earnings forecasts
Looking ahead at the economy, we expect business conditions in Japan to remain on a path of gradual
recovery, but the outlook still remains uncertain amid factors that include concerns regarding the prospect of an
economic downturn in overseas markets and volatility in financial and capital markets.
In this environment, the Yamato Group will pursue efforts in the Delivery Business to engage in proposal-based
sales that deliver substantial added value from the perspective of our customers, and will aggressively forge
ahead with initiatives to expand sales of the “TA-Q-BIN Compact,” “Nekopos” and “Kuroneko DM-Bin” services.
Moreover, we will continue taking steps to ensure collection of adequate fees for the task of providing
consistent quality with respect to deliveries. In the non-delivery businesses, we will expand the revenue basethrough efforts to create and develop a business model for generating a high level of added value by leveraging
the Group’s business resources.
On the cost front, we will continue our efforts geared toward keeping costs in line with operating volumes, andimproving productivity.
The Yamato Group has not made any changes to the consolidated earnings forecasts for the full year of the
fiscal year ending March 31, 2016 since the announcement made on October 29, 2015.

2. Matters Regarding Summary Information (Notes)(1) Application of specific accounting for preparing the quarterly consolidated financial statements
Calculation of tax expenses
Tax expenses are calculated by multiplying the income before income taxes by the reasonably estimatedeffective tax rates after the application of tax effect accounting to the income before income taxes for the fiscal
year including the third quarter under review.
(2) Additional information
The Company has applied provisions of Paragraph 39 of the “Accounting Standard for Consolidated Financial
Statements” (ASBJ Statement No. 22, September 13, 2013), etc., and has accordingly made changes in thepresentation of net income, etc. and has also made changes in presentation from minority interests tonon-controlling interests. To reflect these changes, the Company has restated its quarterly and full-year
consolidated financial statements for the first nine months of the previous fiscal year and the previous fiscal
year.

-7-

3. Consolidated Financial Statements(1) Consolidated balance sheet(Millions of yen)
As of March 31, 2015

As of December 31, 2015

AssetsCurrent assets
Cash and deposits

247,398

208,094

Notes and accounts receivable - trade187,833

241,754

Accounts receivable - installment

42,007

44,120

Lease investment assets

44,94848,254Merchandise and finished goods

721

762

Work in process

512

340

Raw materials and supplies

2,101

1,894

Other

42,02052,614

Allowance for doubtful accounts(1,338)(1,170)Total current assets

566,205

596,665

334,119

333,751

Accumulated depreciation(185,622)(189,863)

Buildings and structures, net

148,497

143,887

Non-current assets
Property, plant and equipment
Buildings and structures

Vehicles

194,198

200,230(176,205)(178,692)

17,992

21,537

Land

187,964

187,963

Lease assets

24,02815,804(17,181)(7,147)

6,846

8,657

156,845

168,793(98,045)(104,607)

Accumulated depreciation
Vehicles, net

Accumulated depreciation
Lease assets, net
Other
Accumulated depreciation
Other, net

58,80064,185420,101

426,233

17,60019,359Investment securities

34,56735,585

Other45,17344,816

Allowance for doubtful accounts(1,116)(968)

Total investments and other assets

78,62479,434516,325

525,027

1,082,531

1,121,692

Total property, plant and equipment
Intangible assets
Investments and other assets

Total non-current assets
Total assets-8-

(Millions of yen)
As of March 31, 2015

As of December 31, 2015

Liabilities
Current liabilities
Notes and accounts payable - trade157,479

180,528

Short-term loans payable

34,44368,728Current portion of bonds with subscription rights toshares

9,660

5,880

Lease obligations

2,733

2,586

Income taxes payable

20,024

16,390

Deferred installment income

5,655

5,883

Provision for bonuses

30,236

10,895

Other

96,800106,085

Total current liabilities

357,034

396,976

83,876

69,959Non-current liabilities
Long-term loans payable
Lease obligations

4,655

5,475

Net defined benefit liability

53,023

54,951

Other

12,742

13,286

Total non-current liabilities

154,297

143,672

511,331

540,649

127,234

127,234

Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus

70,20947,489Retained earnings

395,352

422,898

Treasury shares(43,007)(37,356)

Total shareholders’ equity

549,789

560,266

Valuation difference on available-for-sale securities

13,847

13,186

Foreign currency translation adjustment

1,169

493

Remeasurements of defined benefit plans

715

1,115

15,731

14,795

Accumulated other comprehensive income

Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

-9-

5,678

5,981

571,199

581,043

1,082,531

1,121,692

(2) Consolidated statement of income and consolidated statement of comprehensive income
Consolidated statement of income (cumulative)(Millions of yen)
For the nine months ended
December 31, 2014

For the nine months ended
December 31, 2015

Operating revenue

1,069,009

1,084,286

Operating cost

976,435

991,120

Operating gross profit

92,574

93,166

Selling, general and administrative expenses

27,982

31,057

Operating income

64,591

62,108Non-operating income
Interest income

58

86

Dividend income

569

675

Other

1,762

1,108

Total non-operating income

2,390

1,870

Interest expenses

277

396

Foreign exchange losses

—

181

Other

361

276

Total non-operating expenses

638

854

66,344

63,123Gain on sales of non-current assets

407

33

Gain on sales of investment securities

622

Compensation for damage received

257

—

Other

232

10

Total extraordinary income

904

67

Loss on retirement of non-current assets

193

169

Impairment loss

128

198

Loss on litigation

598

—

Other

—

0

Non-operating expenses

Ordinary income
Extraordinary income

Extraordinary loss

920

368

Income before income taxes and minority interests

Total extraordinary loss

66,32862,822

Income taxes

27,14324,506

Profit39,18438,31556

183

39,12838,131

Profit attributable to non-controlling interests
Profit attributable to owners of parent- 10 -

Consolidated statement of comprehensive income (cumulative)(Millions of yen)
For the nine months ended
December 31, 2014

For the nine months ended
December 31, 2015

39,18438,315

Valuation difference on available-for-sale securities

2,925

(580)

Foreign currency translation adjustment

(346)

(675)

ProfitOther comprehensive income

Remeasurements of defined benefit plans, net of tax

192

400

Total other comprehensive income

2,770

(856)

41,95537,459Comprehensive income attributable to owners of parent

41,68037,195Comprehensive income attributable to non-controllinginterests

274

263

Comprehensive income(Breakdown)- 11 -

(3) Notes to consolidated financial statements(Notes to premise of going concern)
Not applicable.
(Segment information, etc.)[Segment information]
Information regarding the amounts of operating revenue and income or loss by reportable segment
For the nine months ended December 31, 2014
(Millions of yen)
BIZ-Logistics

Home
Convenience

e-Business

Financial

854,531

74,054

34,15130,14949,83348,452

9,234

11,791

21,8252,494

902,984
43,736

83,2893,558

45,943(725)

51,975
5,883

52,3286,910

Reconciliation(Note 3)

Amountrecorded inconsolidated
statement ofincome(Note 4)

DeliveryOperating revenue(1) Operating revenue from customers(2) Inter-segment operating revenue ortransfers
Total
Segment income (loss)

Autoworks

Other(Notes 1, 2)

Total

Operating revenue(1) Operating revenue from customers
21,1305,157
1,069,009—
1,069,009(2) Inter-segment operating revenue or
22,644
40,129156,573(156,573)—
transfers
Total
43,77545,286
1,225,583(156,573)
1,069,009
Segment income (loss)
3,067
23,27385,704(21,112)64,591
Notes: 1. Other includes business-to-business distribution via JITBOX Charter and shared services.
2. Operating revenue in Other includes dividends which the Company received from the Group companies as a pure holding
company and the effect of this on operating revenue and segment income is 22,100 million yen.
3. The adjustment of segment income resulted from eliminating transactions among segments, etc.
4. We made an adjustment between segment income and operating income in the consolidated statement of income.

- 12 -

For the nine months ended December 31, 2015
(Millions of yen)
Delivery(Note 1)
Operating revenue(1) Operating revenue from customers(2) Inter-segment operating revenue ortransfers
Total
Segment income (loss)

BIZ-Logistics

Home
Convenience

e-Business

Financial

81,017

34,732

32,10254,05949,675

9,560

12,16422,9282,540

906,980
39,757

90,5784,085

46,897(63)

55,031
6,825

56,599
6,677

Reconciliation(Note 4)

Amountrecorded inconsolidated
statement ofincome(Note 5)857,305

Autoworks

Other(Notes 1, 2, 3)

Total

Operating revenue(1) Operating revenue from customers
18,7606,308
1,084,286—
1,084,286(2) Inter-segment operating revenue or
21,90043,767
162,538(162,538)—transfers
Total
40,66150,075
1,246,824(162,538)
1,084,286
Segment income (loss)
2,851
26,24886,381(24,273)
62,108Notes: 1. Effective from the first quarter of the fiscal year ending March 31, 2016, the Company has made changes to business segmentclassifications to ensure that such classifications more adequately accord with actual circumstances related to management andadministration. These changes mainly involve inclusion of the human resources management business in the Delivery Businesssegment, from the Other segment previously. The segment information for the nine months ended December 31, 2014 has been
prepared and presented according to the new classification.
2. Other includes business-to-business distribution via JITBOX Charter and shared services.
3. Operating revenue in Other includes dividends which the Company received from the Group companies as a pure holding
company and the effect of this on operating revenue and segment income is 24,889 million yen.
4. The adjustment of segment income resulted from eliminating transactions among segments, etc.
5. We made an adjustment between segment income and operating income in the consolidated statement of income.

(Notes on significant changes in the amount of shareholders’ equity)
Not applicable.
(Important subsequent matters)
1. Business and capital alliance with GD Express Carrier Bhd.
At its meeting held on January 21, 2016, the Board of Directors resolved matters related to a business andcapital alliance with major Malaysian parcel delivery company GD Express Carrier Bhd. (“GDEX”), and thecompany accordingly concluded an agreement related to the business and capital alliance on the same day.
(1) Purpose of the business and capital alliance
The alliance will enable the Company to upgrade and expand its parcel delivery network initially in
Malaysia, as one means of more swiftly implementing the Asia strategy.
GDEX is listed on Malaysia’s stock exchange, and ranks as the number two transportation company interms of its share of sales in the Malaysian parcel delivery market. It holds a delivery network withreach throughout Malaysia, and boasts high profit margins at the top of the industry. It also maintains
strengths in its ability to carry out business-to-business parcel deliveries within Malaysia, and in recent
years has achieved remarkable growth relative to its competitors.
YAMATO TRANSPORT (M) SDN. BHD., a consolidated subsidiary of the Company, also provides
TA-Q-Bin services within Malaysia and has been achieving steady growth as a result of a differentiation
approach drawing on the Yamato Group’s own “Cool TA-Q-BIN” service and the “TA-Q-BIN Collect”
cash-on-delivery service.
Through the alliance, we will heighten the Malaysian presence of both companies, by taking steps tofurther upgrade services provided in the Malaysian market while responding to that market’s needs forhigh-quality parcel delivery.

- 13 -

(2) Counterparty to the agreement
a. Name:GD Express Carrier Bhd.
b. Contents of business: Parcel-delivery business and related operations(3) Date of conclusion of agreement
January 21, 2016
(4) Details of agreementa. Business alliance
The Yamato Group and GDEX intend to leverage the business alliance to promote the following
initiatives:
i. Providing seamless services by linking with GDEX’s nation-wide network;
ii. Improving operational efficiency of both companies by sharing line-haul transport capabilities
within Malaysia;iii. Collaborating with respect to cross-border logistics between Singapore and Malaysia; andiv. Working together in a complementary manner with the aim of expanding into other Southeast
Asian markets with Malaysia as the starting point.
b. Capital alliance
The Company’s consolidated subsidiary YAMATO ASIA PTE. LTD. will acquire a third-party
allocation of new shares implemented by GDEX. Moreover, after the shares come into effect, theownership ratio will increase to 23% through acquisitions of shares from existing shareholders.
Plans call for GDEX to promptly become an equity method affiliate of the Company at that time.
Total acquisition price of the third-party allocation of new shares: MYR 217,315,000 (Malaysian
ringgits)* Approximately 5.8 billion yen at a conversion rate of 26.79 yen per Malaysian ringgit (MYR
1.74 per share)* Ownership ratio of 9.1% after the acquisition
2. Purchase and retirement of treasury shares
At the meeting held on January 28, 2016, the Board of Directors resolved matters related to the purchase oftreasury shares of the Company, in accordance with the provisions of the Articles of Incorporation, pursuant
to Article 459, Paragraph 1, Item 1 of the Companies Act of Japan, and also resolved to retire treasury
shares of the Company in accordance with the provisions of Article 178 of the Companies Act of Japan.
(1) Reason of purchase and retirement of treasury shares
The Company purchases and retires its treasury shares to implement flexible capital policies inaccordance with changes in the business environment with the aim of enhancing shareholder value.
(2) Contents of matters related to the purchase of treasury shares
Type of shares to be purchased
Common shares of the Company
Total number of shares to be purchased
Up to 16,000,000 shares (ratio to the total number ofissued shares (excluding treasury shares) 3.92%)
Total acquisition price of shares to be purchased Up to 30 billion yen
Acquisition period
From January 29, 2016 to June 30, 2016
Acquisition method
Through the market(3) Contents to retirement of treasury shares
Type of shares to be retired
Total number of shares to be retired

Common shares of the Company
13,821,700 shares (ratio to the total number ofissued shares 3.25%)
March 31, 2016

Scheduled date of share retirement- 14 -

4. Supplementary Information
Operating revenue by business
For the nine months
For the nine months
Fiscal year ended
ended December 31, 2014 ended December 31, 2015 Change
March 31, 2015
Business segment(%)
AmountRatio
AmountRatio
AmountRatio(Millions of yen)(%)
(Millions of yen)(%)
(Millions of yen)(%)
TA-Q-BIN
755,45870.7
778,609
71.8
3.1
969,923
69.4
Kuroneko DM-Bin *1
88,2688.2
66,0286.1(25.2)
116,619
8.4
Express
32,721
3.1
32,3593.0(1.1)
42,918
3.1
Delivery
Others *2
64,563
6.0
69,7206.4
8.0
87,6196.3
Eliminations(86,481)(8.1)(89,412)(8.2)
3.4(113,891)
(8.2)
Total
854,53179.9
857,30579.1
0.3
1,103,188
79.0
Trading logistics service
29,125
2.7
29,1992.7
0.3
43,215
3.1
Sales and Logistics
25,6902.4
26,8762.5
4.6
34,767
2.5
Multi maintenance
12,194
1.1
12,0961.1(0.8)
15,6891.1
BIZ-Logistics Export Factory
3,077
0.3
3,236
0.3
5.2
4,185
0.3
Others28,956
2.7
32,7763.0
13.2
39,416
2.8
Eliminations(24,989)(2.3)(23,168)
(2.1)
(7.3)
(33,453)
(2.4)
Total
74,054
6.9
81,0177.5
9.4
103,821
7.4
Home convenience
29,111
2.7
29,2452.7
0.5
41,561
3.0
Business convenience
13,193
1.2
14,072
1.3
6.7
16,665
1.2
HomeTechnical
Network
3,656
0.4
3,595
0.3
(1.7)
4,817
0.3
Convenience
Eliminations(11,809)(1.1)(12,180)(1.1)
3.1(14,568)
(1.0)
Total
34,151
3.2
34,732
3.2
1.7
48,4753.5
e-logistics solution *2
7,331
0.7
7,626
0.7
4.0
9,829
0.7
Credit card solution
6,027
0.6
6,980
0.6
15.8
8,087
0.6
IT operating solution
4,795
0.4
4,611
0.4
(3.8)
6,253
0.4
Web-based mail ordere-Business
4,795
0.4
4,569
0.4
(4.7)
6,074
0.4
solution
Others *2
31,141
2.9
34,531
3.2
10.9
41,500
3.0
Eliminations(23,940)(2.2)(26,216)(2.4)
9.5(31,258)
(2.2)
Total
30,1492.8
32,102
2.9
6.5
40,486
2.9
TA-Q-BIN Collect
28,472
2.7
28,4352.6(0.1)
37,5492.7
Lease
19,8001.9
23,6602.2
19.5
27,065
1.9
Credit & Finance
2,523
0.2
2,581
0.2
2.3
3,354
0.2
Financial
Others
1,590
0.1
1,986
0.2
24.9
2,160
0.2
Eliminations(2,554)(0.2)(2,603)(0.2)
1.9(3,481)(0.2)
Total
49,833
4.7
54,0595.0
8.5
66,649
4.8
Truck solution *3
40,397
3.8
37,0283.4(8.3)
51,122
3.6
Others
5,287
0.5
5,535
0.5
4.7
7,070
0.5
Autoworks
Eliminations(24,553)(2.3)(23,803)
(2.2)
(3.1)
(31,039)
(2.2)
Total
21,1302.0
18,7601.7(11.2)
27,153
1.9
JITBOX Charter service
4,394
0.4
5,576
0.5
26.9
6,035
0.4
Others *2
41,966
3.9
45,9884.3
9.6
48,268
3.5
Other
Eliminations(41,203)(3.8)(45,257)(4.2)
9.8(47,369)
(3.4)
Total
5,157
0.5
6,308
0.6
22.3
6,933
0.5
Total
1,069,009
100.0
1,084,286
100.0
1.4
1,396,708
100.0*1. Results shown for Kuroneko DM-Bin in the nine months ended December 31, 2014 and the fiscal year ended March 31, 2015 are those of
the Kuroneko Mail service for those periods.
*2. Effective from the first quarter of the fiscal year ending March 31, 2016, the Company has made changes to business segmentclassifications as shown below to ensure that such classifications more adequately accord with actual circumstances related to
management and administration. The figures presented for the nine months ended December 31, 2014, and for the fiscal year ended
March 31, 2015, have been restated in accordance with these changes.
• The human resources management business, previously included in the Other segment, is now presented in the Others category of the
Delivery segment.
• The setup and logistics solutions business, previously included in the e-logistics solutions category of the e-Business segment, is now
presented in the Others category.
*3. Effective from the first quarter of the fiscal year ending March 31, 2016, the name of the Truck maintenance category in the Autoworks
segment has been changed to the Truck solution.

- 15 -