Consolidated Balance Sheet
Mizuho Leasing Company, Limited and Consolidated Subsidiaries
As of September 30, 2019

September 30
2019

March 312019

Thousands of
U.S. dollars(Note 1)
September 30
2019

¥

¥

$

Millions of yen

ASSETS
Current Assets:
Cash and Cash Equivalents
Lease Receivables and Investments in Lease (Note 4)
Receivables (Note 4):
Notes and Accounts
Lease
Installment Sales
Loans
Factoring
Other
Total Receivables
Operational Investment Securities (Note 4)
Prepaid Expenses and Other
Allowance for Doubtful Receivables
Total Current Assets
Property and Equipment:
Leased Assets (Note 4)
Advances for Purchases of Leased Assets
Other Operating Assets (Note 4)
Own-used Assets
Total Property and Equipment
Investments and Other Assets:
Investment Securities
Investments in Unconsolidated Subsidiaries
and Associated Companies
Long-term Receivables
Goodwill
Intangible Leased Assets (Note 4)
Deferred Tax Assets
Asset for Employees' Retirement Benefits
Other
Allowance for Doubtful Receivables
Total Investments and Other Assets
Total Assets¥

See accompanying Notes to Consolidated Financial Statements.
1

14,0071,001,011

25,438930,318

129,745
9,272,059

577
2,712
145,112257,150
154,170750
560,473
228,517
68,163(1,745)1,870,426

1,015
3,336
147,979
235,279
233,106
750
621,467
239,814
51,121(1,555)
1,866,604

5,347
25,125
1,344,131
2,381,904
1,428,034
6,947
5,191,488
2,116,686
631,375(16,170)
17,325,183

234,533
1,958
6,154
3,316
245,962

229,817
6,042
6,311
3,360
245,5312,172,409
18,14157,01030,7192,278,279

22,254
12,71018,215
13,770206,137
117,732

3,064
457
77
1,896
11
12,219(343)
52,3472,168,737

3,432
528
82
2,338
11
11,573(215)
49,7362,161,872

28,385
4,234
715
17,568
109
113,187(3,184)
484,883
20,088,345¥$

Consolidated Balance Sheet
Mizuho Leasing Company, Limited and Consolidated Subsidiaries
As of September 30, 2019

March 312019

Thousands of
U.S. dollars(Note 1)
September 30
2019

¥

$

Millions of yen
September 30
2019
LIABILITIES and EQUITYCurrent Liabilities:
Short-term Borrowings (Note 5)
Current Portion of Long-term Debt (Note 5)
Lease Payable
Accounts Payable - trade
Accrued Expenses
Income Taxes Payable
Deferred Profit on Installment Sales (Note 4)
Accruals for Debt Guarantees
Other
Total Current Liabilities¥

Long-term Liabilities:
Long-term Debt (Note 5)
Deposits Received
Liability for Employees' Retirement Benefits
Reserve for Management Board Benefit Trust
Other
Total Long-term Liabilities

986,353
197,049
8,784
51,544
3,099
2,850
1,912
23
28,572
1,280,191

994,386
197,959
8,010
56,040
3,561
4,654
2,091
31
27,442
1,294,178

9,136,291
1,825,206
81,372477,438
28,714
26,405
17,716214
264,657
11,858,013

655,723
32,4402,318
8,991
699,474

642,411
33,217
2,461
144
7,299
685,534

6,073,759
300,488
21,474
83,2906,479,011

26,08826,088

241,645

23,941
124,877(1,745)23,941
118,219(400)

221,763
1,156,700(16,166)

8,303
(514)
(1,274)
103
179,779
9,293
189,072
2,168,737

6,755
(502)
(577)
109
173,633
8,526
182,159
2,161,872

76,910(4,765)(11,802)957
1,665,242
86,0791,751,321
20,088,345

Contingent Liabilities (Note 6)
Equity: (Note 9)
Common Stock
Authorized, 140,000,000 Shares;
Issued, 49,004,000 Shares as of September 30 and March 31, 2019
Capital Surplus
Retained Earnings
Treasury Stock - at cost
639,926 shares as of September 30 and 147,127 shares as of March
31, 2019
Accumulated Other Comprehensive Income:Unrealized Gain on Available-for-sale Securities
Deferred Loss on Derivatives under Hedge Accounting
Foreign Currency Translation Adjustments
Defined Retirement Benefit Plans
Total
Non-controlling Interests
Total Equity
Total Liabilities and Equity

See accompanying Notes to Consolidated Financial Statements.
2

¥

¥

$

Consolidated Statement of Income
Mizuho Leasing Company, Limited and Consolidated Subsidiaries
For the six-month period ended September 30, 2019

September 30
2019¥ 254,901

September 30
2018¥ 179,779

Thousands of
U.S. dollars(Note 1)
September 30
2019$ 2,361,071

Cost and Expenses
Gross Profit

230,942
23,958

158,894
20,885

2,139,151
221,920

Selling, General and Administrative Expenses
Operating Income

11,35012,608

9,819
11,066105,132
116,788

Other Income (Expenses):
Interest Income
Dividend Income
Equity in Earnings of Associated Companies
Profit from Investments
Interest Expenses
Bond Issuance Costs
Gain on Sales of Investment Securities
Loss on Devaluation of Investment Securities
Other ─ net
Income before Income Taxes

36
307
329
15
(333)
(93)
326
(156)
75
13,115

2
329
190
1,659
(210)
(213)
(46)
168
12,945

334
2,853
3,054
139
(3,093)(865)
3,024(1,451)
701
121,484

Income Taxes:
Current
Deferred
Total

3,467
563
4,030

3,341
663
4,005

32,116
5,216
37,332Net Income
Net Income attributable to Non-controlling Interests
Net Income attributable to Owners of the Parent

9,084
234
8,850

8,940
318
8,622

84,152
2,169
81,983

Millions of yen

Revenues

¥

¥

Yen

Amounts per Share of Common Stock (Note 8)
Net Income attributable to Owners of the Parent per Share

See accompanying Notes to Consolidated Financial Statements.
3

September 30
2019

September 30
2018¥ 181.37¥ 202.17$

U.S. dollars(Note 1)
September 30
2019
$

1.68

Consolidated Statement of Comprehensive Income
Mizuho Leasing Company, Limited and Consolidated Subsidiaries
For the six-month period ended September 30, 2019
Thousands of
U.S. dollars(Note 1)Millions of yen

Net Income

September 30
2019

September 30
2018

¥

¥

Other Comprehensive Income (Loss):
Unrealized Gain (Loss) on Available-for-sale Securities
Deferred Gain on Derivatives under Hedge Accounting
Foreign Currency Translation Adjustments
Defined Retirement Benefit Plans
Share of Other Comprehensive Loss in Associated Companies
Total Other Comprehensive Income (Loss)

9,084

8,940

September 30
2019
$

(548)
16
(649)
0
(93)
(1,274)

1,552
21
(909)
(6)
(28)
629

84,152

14,376198(8,420)
(62)
(262)
5,830

Comprehensive Income

¥

9,714

¥

7,666

$

89,982

Total Comprehensive Income attributable to:
Owners of the Parent
Non-controlling Interests

¥

9,683
30

¥

7,394
271

$

89,699283

See accompanying Notes to Consolidated Financial Statements.
4Consolidated Statement of Changes in Equity
Mizuho Leasing Company, Limited and Consolidated Subsidiaries
For the six-month period ended September 30, 2019

Balance as of April 1, 2018
Net Income attributable to Ownersof the Parent
Cash Dividends Paid
Purchase of Treasury Stock
Disposal of Treasury Stock
Issuance of New Stock
Change in Scope of Consolidation
Change in Scope of Applicationof Equity Method
Change in an Interest in Subsidiary bySales Transaction
Change in an Interest in Subsidiary due
to Transactions with Non-controlling
Interests
Net change during year
Balance as of March 31, 2019
Net Income attributable to Ownersof the Parent
Cash Dividends Paid
Purchase of Treasury Stock
Disposal of Treasury Stock
Issuance of New Stock
Change in Scope of Consolidation
Change in Scope of Applicationof Equity Method
Change in an Interest in Subsidiary bySales Transaction
Change in an Interest in Subsidiary due
to Transactions with Non-controlling
Interests
Net change during year
Balance as of September 30, 2019

Thousands
Number ofshares ofCommon Stock
Outstanding
42,648Millions of yen
CommonStock¥ 17,874

CapitalSurplus¥ 16,070

Retained
Earnings

TreasuryStock¥ 105,148
16,594¥ (1)(3,241)
(399)
6,208

8,213

8,213
(282)
(59)
(283)

48,856¥ 26,088¥ 23,941¥ 118,219
8,850¥ (400)(1,960)(543)
50(1,482)
137(232)

48,364¥ 26,088¥ 23,941¥ 124,877¥ (1,745)
Millions of yen

Accumulated Other Comprehensive Income
Unrealized
Deferred Loss
ForeignDefinedGain onon Derivatives
Currency
Retirement
under Hedge
Translation
Benefit Plans
Securities
Accounting
Adjustments¥ 9,047
¥ 141
¥ 621
¥ 48

Noncontrolling
Interests

Total

Available-for-sale

Balance as of April 1, 2018
Net Income attributable to Ownersof the Parent
Cash Dividends Paid
Purchase of Treasury Stock
Disposal of Treasury Stock
Issuance of New Stock
Change in Scope of Consolidation
Change in Scope of Applicationof Equity Method
Change in an Interest in Subsidiary bySales Transaction
Change in an Interest in Subsidiary due
to Transactions with Non-controlling
Interests
Net change during year
Balance as of March 31, 2019
Net Income attributable to Ownersof the Parent
Cash Dividends Paid
Purchase of Treasury Stock
Disposal of Treasury Stock
Issuance of New Stock
Change in Scope of Consolidation
Change in Scope of Applicationof Equity Method
Change in an Interest in Subsidiary bySales Transaction
Change in an Interest in Subsidiary due
to Transactions with Non-controlling
Interests
Net change during year
Balance as of September 30, 2019(2,292)¥ 6,755

1,548¥ 8,303(644)¥ (502)(11)¥ (514)(1,198)¥ (577)¥ 148,951
16,594

61
¥ 109

(697)
¥ (1,274)¥ 154,632
16,594(3,241)(399)(3,241)(399)

16,427

16,427

(282)

(282)

(59)

(59)

(283)

(283)

(4,074)¥ 173,633
8,850

(6)
¥ 103

¥ 5,681

Total Equity

2,845¥ 8,526(1,229)¥ 182,159
8,850(1,960)(1,482)137(1,960)(1,482)
137

(232)

(232)

833
¥ 179,779

766¥ 9,293

1,599¥ 189,072

Thousands of U.S. dollars (Note 1)
CommonStock
Balance as of March 31, 2019
Net Income attributable to Ownersof the Parent
Cash Dividends Paid
Purchase of Treasury Stock
Disposal of Treasury Stock
Issuance of New Stock
Change in Scope of Consolidation
Change in Scope of Applicationof Equity Method
Change in an Interest in Subsidiary bySales Transaction
Change in an Interest in Subsidiary due
to Transactions with Non-controlling
Interests
Net change during year
Balance as of September 30, 2019

$ 241,645

CapitalSurplusRetained
Earnings$ 221,763$ 1,095,027
81,983

TreasuryStock$ (3,708)(18,156)(13,735)
1,277(2,154)$ 241,645$ 221,763$ 1,156,700$ (16,166)

Thousands of U.S. dollars (Note 1)

Balance as of March 31, 2019
Net Income attributable to Ownersof the Parent
Cash Dividends Paid
Purchase of Treasury Stock
Disposal of Treasury Stock
Issuance of New Stock
Change in Scope of Consolidation
Change in Scope of Applicationof Equity Method
Change in an Interest in Subsidiary bySales Transaction
Change in an Interest in Subsidiary due
to Transactions with Non-controlling
Interests
Net change during year
Balance as of September 30, 2019

Accumulated Other Comprehensive Income
Unrealized
Deferred Loss
ForeignDefinedGain onon Derivatives
Currency
Retirement
Available-for-sale under Hedge
Translation
Benefit Plans
Securities
Accounting
Adjustments$ 62,571$ (4,657)$ (5,345)$ 1,015

14,339$ 76,910(108)$ (4,765)(6,457)$ (11,802)

Total$ 1,608,311
81,983

(58)
$ 957

5

$ 78,979

Total Equity$ 1,687,290
81,983(18,156)(13,735)
1,277(18,156)(13,735)
1,277(2,154)(2,154)

7,716$ 1,665,242

See accompanying Notes to Consolidated Financial Statements.

Noncontrolling
Interests

7,100$ 86,079

14,816$ 1,751,321

Consolidated Statement of Cash Flows
Mizuho Leasing Company, Limited and Consolidated Subsidiaries
For the six-month period ended September 30, 2019
Millions of yen
September 30
2019

September 30
2018

Thousands of
U.S. dollars(Note 1)
September 30
2019Cash Flows from Operating Activities:¥

Income before Income Taxes
Adjustments for:
Income Taxes Paid
Depreciation and Disposal of Fixed Assets
Equity in Earnings of Associated Companies
Profit from Investments
Increase (Decrease) in Allowance for Doubtful Receivables(Decrease) Increase in Accruals for Debt Guarantees
Gain on Sales of Marketable and Investment Securities
Loss on Devaluation of Investment Securities
Change in assets and liabilities:

13,115¥

12,945$

121,484(5,267)
7,317
(329)
(15)
331
(8)
(326)
156

(2,501)4,670(190)(1,659)(1,039)4
46(48,796)
67,784(3,054)
(139)
3,073
(78)
(3,024)
1,451

Increase in Lease Receivables and Investments in Lease
Decrease (Increase) in Receivables
Decrease (Increase) in Operational Investment Securities
Decrease in Accounts Payable ─ trade
Purchases of Leased Assets
Proceeds from Sales of Leased Assets(Decrease) Increase in Interest Payable
Other ─ net
Total Adjustments
Net Cash Used in Operating Activities(70,831)
59,138
10,832(4,459)(75,693)
67,941(89)(17,331)(28,634)(15,519)(58,388)(91,332)(16,354)(16,177)(62,585)
12,32485
14,288(218,809)(205,863)(656,089)
547,779
100,340(41,308)(701,123)
629,319(828)(160,540)(265,233)(143,749)

Cash Flows from Investing Activities:
Purchases of Own-used Assets(1,492)(1,199)(13,821)(1,513)
1,318

(301)
1,865

(14,019)
12,209(53)(1,740)(2,249)(1,886)(495)(16,126)(11,094)
130,664(110,747)(1,960)
(612)
6,249
(143)
(11,154)

149,766
165,903(105,881)(1,620)(143)
208,023(53)
221(102,764)
1,210,303(1,025,818)(18,156)(5,676)57,889(1,332)(103,318)

25,438(276)

29,607-

235,628(2,565)Purchases of Marketable and Investment Securities
Proceeds from Sales and Redemption of Marketable
and Investment Securities
Other ─ net
Net Cash Used in Investing Activities
Cash Flows from Financing Activities:
Net (Decrease) Increase in Short-term Borrowings
Proceeds from Long-term Debt
Repayments of Long-term Debt
Cash Dividends Paid
Other ─ net
Net Cash Provided by Financing Activities
Foreign Currency Translation Adjustments on Cash and Cash Equivalents
Net (Decrease) Increase in Cash and Cash Equivalents
Cash and Cash Equivalents at Beginning of Year
Decrease in Cash and Cash Equivalents resulting from Exclusionfrom Scope of Consolidation
Cash and Cash Equivalents at End of the Period

See accompanying Notes to Consolidated Financial Statements.
6¥

14,007¥

29,828$

129,745

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. Basis of Presenting Consolidated Financial Statements
The accompanying consolidated financial statements of Mizuho Leasing Company, Limited (“the Company”)
and its consolidated subsidiaries (together with the Company, “the Group”) have been prepared in accordancewith the provisions set forth in the Japanese Financial Instruments and Exchange Act and its related
accounting regulations and in accordance with accounting principles generally accepted in Japan, which are
different in certain respects as to application and disclosure requirements of International Financial ReportingStandards.
In preparing these consolidated financial statements, certain reclassifications and rearrangements havebeen made to the company’s financial statements issued domestically in order to present them in a form which
is more familiar to readers outside Japan. In addition, certain reclassifications have been made in the 2018
consolidated financial statements to conform to the classifications used in 2019. The accompanying
consolidated financial statements and notes should be read in conjunction with the consolidated financial
statements and related notes for the year ended March 31, 2019.
The consolidated financial statements are stated in Japanese yen, the currency of the country in which theCompany is incorporated and operates. The translations of Japanese yen amounts into U.S. dollar amounts areincluded solely for the convenience of readers outside Japan and have been made at the rate of ¥107.96 to
US$1.00, the approximate rate of exchange at September 30, 2019. The translations should not be construed as
representations that the Japanese yen amounts could be converted into U.S. dollars at that or any other rate.
The amounts indicated in millions of yen are rounded down by truncating the figures below one million. As aresult, totals may not add up exactly.

2. Scope of Consolidation
The consolidated financial statements include the accounts of the Group, which include IBJL-TOSHIBA
Leasing Company, Limited, Dai-ichi Leasing Co., Ltd., Mizuho Auto Lease Company, Limited, ML Estate
Company, Limited, IBJ Leasing (China) Ltd., PT. VERENA MULTI FINANCE Tbk, IBJ Air Leasing
Limited and IBJ Air Leasing (US) Corp. The number of the consolidated subsidiaries as of September 30,
2019 was 30. PT. IBJ VERENA FINANCE was excluded from the scope of the consolidation from the second
quarter of the current fiscal year, as it was merged with other consolidated subsidiary. The accounts of KL
INSURANCE&CO.,LTD. was also excluded from the second quarter as it became immaterial.
The number of associated companies accounted for under the equity method as of September 30, 2019 was
3. Investments in associated companies consist of MG Leasing Corporation, Krung Thai IBJ Leasing Co., Ltd.
and PNB-IBJL Leasing and Finance Corporation.

3. Summary of Significant Accounting Policies
The accounting policies are the same as those applied in the Consolidated Financial Statements as of and forthe year ended March 31, 2019.

7

4. Operating Assets(1) Operating Assets as of September 30 and March 31, 2019 consisted of the following:(Thousands of(Millions of yen)

U.S. dollars)

September 30,

March 31,

September 30,

2019

2019

2019

Finance Lease¥1,001,011¥930,318$9,272,059

Operating Lease

234,610

229,900

2,173,124

Installment Sales (*1)

143,199

145,888

1,326,415

1,378,821

1,306,106

12,771,598

Finance

640,588

708,950

5,933,571

Other

6,154

6,311

57,010¥2,025,564¥2,021,368$18,762,179

Leasing and Installment Sales:

Leasing and Installment Sales total

Total Operating Assets(*1) The amount of Installment Sales represents "Installment Sales Receivables" less "Deferred Profit on Installment Sales".

(2) The total amounts of new contracts during the periods ended September 30, 2019 and 2018 were as
follows:(Thousands of(Millions of yen)

U.S. dollars)

2019

2018

Finance Lease¥215,154¥185,803$1,992,912

Operating Lease

79,77660,402738,949

Installment Sales (*1)

29,287

23,686271,281

Leasing and Installment Sales total

324,219

269,891

3,003,142

299,971522,553

2,778,547

-

2,593

-

¥624,191¥795,038$5,781,689

2019

Leasing and Installment Sales:

Finance
Other
Total

(*1) The amount of Installment Sales represents "Installment Sales Receivables" less "Deferred Profit on Installment Sales".

85. Short-term Borrowings and Long-term Debt
(1) "Short-term Borrowings" as of September 30 and March 31, 2019 was as follows:(Thousands of(Millions of yen)

U.S. dollars)

September 30,

March 31,

September 30,

2019

2019

2019

Short-term Borrowings
Short-term Borrowings from banks and¥273,520¥302,209$2,533,538

Commercial Paper

613,500

609,800

5,682,660

Payables under securitized lease receivables

99,33382,376920,093¥986,353¥994,386$9,136,291

Bonds payable¥10,759¥20,777$99,661Long-term Debt from banks and

186,289

177,182

1,725,545¥197,049¥197,959$1,825,206

other financial institutions

Total
Current Portion of Long-term Debt

other financial institutions
Total(2) "Long-term Debt" as of September 30 and March 31, 2019 was as follows:(Thousands of(Millions of yen)

U.S. dollars)

September 30,

March 31,

September 30,

2019

2019

2019

Bonds payable¥105,000¥85,000$972,582

Long-term Debt from banks and521,458

524,173

4,830,107

29,26433,238271,070¥655,723¥642,411$6,073,759

Long-term Debt

other financial institutions
Payables under securitized lease receivables
Total

9

6. Contingent Liabilities
Contingent Liabilities as of September 30, 2019 were as follows:(Thousands of(Millions of yen)

U.S. dollars)

2019

2019

Guarantee Obligations with respect to¥8,423$78,023

Other Guarantee Obligations

12,744

118,049

Accruals for Debt Guarantees

(23)

(214)

¥21,144$195,858

operating activities (*1)

Total(*1) The amount includes bank loans provided by Mizuho Bank, Ltd. and others, which are guaranteed by the Company.

7. Segment Information(1) Information about sales and profit
For the six-month period ended September 30, 2019
(Millions of yen)
2019
Reportable segment

Leasing and
Finance

Other

Reconciliations

Consolidated

(*1)

(*2)

Total

Installment Sales

Sales:
Sales to external¥245,846¥7,997¥1,057¥254,901¥-¥254,901

189

440

56

687

(687)

-

Total

246,036

8,438

1,113

255,588(687)

254,901

Operating Expenses

236,232

3,139

713

240,0842,208

242,292

Segment Profit¥9,804¥5,298¥400¥15,503¥(2,895)¥12,608

customers
Intersegment sales
and transfers

10For the six-month period ended September 30, 2018
(Millions of yen)
2018
Reportable segment

Leasing and
Finance

Other

Reconciliations

Consolidated

(*1)

(*2)

Total

Installment Sales

Sales:
Sales to external¥170,969¥7,640¥1,169¥179,779¥-¥179,779

172

227

59

460

(460)

-

Total

171,142

7,867

1,229

180,240(460)

179,779

Operating Expenses

162,581

3,260

794

166,636

2,077

168,713

Segment Profit¥8,561¥4,607¥434¥13,603¥(2,537)¥11,066

Reconciliations

Consolidated

(*1)

(*2)

customers
Intersegment sales
and transfers

For the six-month period ended September 30, 2019
(Thousands of U.S. dollars)
2019
Reportable segment

Leasing and
Finance

Other

Total

Installment Sales

Sales:
Sales to external$2,277,200$74,077$9,794$2,361,071$-$2,361,071

1,760

4,082

524

6,366

(6,366)-

Total

2,278,960

78,15910,3182,367,437(6,366)

2,361,071

Operating Expenses

2,188,146

29,077

6,608

2,223,831

20,452

2,244,283$90,814$49,082$3,710$143,606$(26,818)$116,788

customers
Intersegment sales
and transfers

Segment Profit11

(*1) The details of Reconciliations to Segment Profit for the periods ended September 30, 2019 and 2018 were as follows:(Thousands of(Millions of yen)

U.S. dollars)

2018

2019

2019

Elimination of intersegment transactions¥31¥(129)$288

Administrative expenses not allocated to(2,926)(2,407)(27,106)¥(2,895)¥(2,537)$(26,818)

the reportable segments
Total(*2) Segment Profits are reconciled to Operating Income in the Consolidated Statement of Income.

(2) Impairment loss of long-lived assets or goodwill per reportable segment:
Not applicable

8. Per Share Information
Details of basic Net Income attributable to Owners of the Parent per share (“EPS”) for the periods ended
September 30, 2019 and 2018 were as follows:(Millions of(Thousands ofyen)shares)(Yen)(U.S. dollars)

Net Income
attributable

Weighted-average

to Owners ofsharesEPS
For the period ended September 30, 2019:

the Parent

Basic EPS
Net income available to common¥8,85048,798¥181.37$1.68¥8,62242,648¥202.17$1.87

shareholders
For the period ended September 30, 2018:

Basic EPS
Net income available to commonshareholders

129. Subsequent Events
Appropriation of Retained Earnings
On November 6, 2019, the Board of Directors of the Company resolved to approve the payment of the interim
cash dividends to its shareholders registered as of September 30, 2019 as follows:

Interim cash dividends, ¥40.00 ($0.37) per share

13(Millions of(Thousands ofyen)

U.S. dollars)¥1,960$18,156