DAIICHIKOSHO

CO.,

LTD.

FY2011, the year ending March 31, 2012

Flash Report on the Consolidated Results for the Third Quarter EndedDecember 31, 2011 [JGAAP]
February 10, 2012

Company Name:
Stock Exchange Listing:Code Number:
URL
Representative:
Contact:

DAIICHIKOSHO CO., LTD.
Osaka (JASDAQ)
7458
http://www.dkkaraoke.co.jp/
Saburo Hayashi, President
Shigeki Kobayashi,
General Manager, Accounting Department, Administration Headquarters
Phone:+81-3-3280-2151
Scheduled Date to Submit the Quarterly Securities Report: February 14, 2012
Start Date for Dividend Payment: ―Availability of Supplementary Briefing Material on Quarterly Financial Results: None
Schedule of Quarterly Financial Results Briefing Session: None
(Amounts below one million yen are truncated.)

1. Consolidated Performance for the Third Quarter Ended December 31, 2011 (From April 1, 2011,
to December 31, 2011)(1) Consolidated operating results
Nine months ended
December 31, 2011
Nine months ended
December 31, 2010

(Percentage figures indicate increase/decrease from a year earlier.)
Net sales
Operating income
Ordinary income
Millions of yen% Millions of yen% Millions of yen%95,968(0.1)
14,673
4.6
15,941
8.5
96,105

0.6

14,024

Net income

0.2

Net income per share

Millions of yen%
Yen
Nine months ended
8,297
3.3
129.88December 31, 2011
Nine months ended
8,031
(8.5)
122.77
December 31, 2010
(Note) Comprehensive income:Nine months ended December 31, 2011: 8,484 million yen 2.3%
Nine months ended December 31, 2010: 8,290 million yen ― %(2) Consolidated financial position
Total assets
Millions of yen
140,618
137,447

Net assets
Millions of yen
91,872
88,034As of December 31, 2011
As of March 31, 2011
(Reference) Equity
As of December 31, 2011: 90,875 million yen
As of March 31, 2011:87,083 million yen

1Equity ratio%
64.6
63.4

14,698(0.3)

Fully diluted net income
per share
Yen――

DAIICHIKOSHO

CO.,

LTD.

2. Dividend
First Quarter

Second Quarter
Yen
25.00
25.00

Annual dividend
Third Quarter

Year ended March 31, 2011——
Year ending March 31, 2012―—
Year ending March 31, 2012
(forecast)
Note: Changes in dividends forecast from most recently announced figures: None

Year-endYen
30.00
30.00

TotalYen
55.00
55.003. Forecast Consolidated Performance for FY2011, the Year Ending March 31, 2012
(From April 1, 2011, to March 31, 2012)

Year ending March 31, 2012
(full year)(Percentage figures indicate increase/decrease from the end of the previous term.)
Net sales
Operating income
Ordinary income
Millions of yen% Millions of yen% Millions of yen%
127,000(0.7)
18,0009.0
19,40011.1
Net income
Millions of yen
10,500Net income per share
Yen
165.57%
Year ending March 31, 2012
9.5
(full year)
Note: Changes in forecast of consolidated operating results from most recently announced figures: None

4. Other(1) Significant changes in subsidiaries during the period under review (changes to specific subsidiaries resulting
from changes in scope of consolidation): None
(2) Adoption of special accounting policies for quarterly financial statements: None
(3) Changes in accounting standard, accounting estimation change and error correction
1) Changes due to changes in accounting standard: None
2) Changes due to changes in accounting standard except (3) 1): None
3) Changes due to accounting estimation change: None
4) Error correction: None
(4) Number of common shares issued
As of63,420,596 As of64,220,596
1) Number of shares issued
December
31,
2011shares March 31, 2011
shares(including treasury stock)
As of2,863 As of2,8132) Number of shares of treasury
December
31,
2011shares March 31, 2011
sharesstock
Nine months ended
65,420,229
63,881,411 Nine months ended
3) Average number of shares
December 31, 2011
sharesshares December 31, 2010
during the period* Presentation regarding the implementation status of the quarterly review
This flash report on the consolidated results for the interim period is not covered by the quarterly review procedure
stipulated in the Financial Instruments and Exchange Act. At the time of the publication of this report, the quarterly
review procedure for quarterly consolidated financial statements is being implemented.
* Explanation for the appropriate use of performance forecasts and other special notes:
The statements regarding forecast of financial results in this report is based on the information that is available, as
well as estimates, assumptions and projections that are believed to be reasonable at the time of publication.
Therefore, there might be cases in which actual results greatly differ from forecast values.

2

DAIICHIKOSHO

CO.,

LTD.

Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets(Millions of yen)

FY2010(As of March 31, 2011)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Inventories
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Karaoke equipment for rental, net
Karaoke cabin and restaurant facilities, net
Land
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Lease and guarantee deposits
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets

3

Current third quarter(As of December 31,2011)

26,955
10,597
7,354
5,936
(397)
50,44629,490
7,981
6,589
6,725
(258)
50,5296,300
14,735
19,143
6,906
47,0856,561
14,87723,7806,604
51,823

641
7,421
8,063

508
6,282
6,791

12,91913,1986,018(283)
31,85287,001
137,447

13,192
12,8195,744(281)
31,47490,089140,618

DAIICHIKOSHO

CO.,

LTD.

(Millions of yen)

Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Income taxes payable
Provision for bonuses
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Provision for retirement benefits
Provision for directors’ retirement benefits
Negative goodwill
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Revaluation reserve for land
Foreign currency translation adjustment
Total accumulated other comprehensive income
Minority interests
Total net assets
Total liabilities and net assets

4FY2010(As of March 31, 2011)

Current third quarter(As of December 31,2011)

6,091
5,465
3,120
1,121
9,599
25,398

5,116
5,827
3,541
824
10,98026,291

16,831
3,011
2,318
234
1,618
24,01449,413

15,250
3,199
2,231
201
1,571
22,45548,746

12,35014,03561,552(4)87,934

12,35012,90566,337(4)
91,589

91
(777)
(164)
(851)
951
88,034137,447

295
(777)
(231)
(713)
996
91,872
140,618

DAIICHIKOSHO

CO.,

LTD.

(2) Quarterly Consolidated Statements of Income and Comprehensive Income(Quarterly Consolidated Statements of Income)(Millions of yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Cooperative monetary aid received
Reversal of allowance for doubtful accounts
Amortization of negative goodwill
OtherTotal non-operating incomeNon-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of noncurrent assets
Gain on sales of investment securities
Gain on redemption of investment securities
Reversal of allowance for doubtful accounts
Reversal of provision for retirement benefits
Other
Total extraordinary income
Extraordinary loss
Loss on disposal of noncurrent assets
Loss on cancellation of a new business
Loss on adjustment for changes of accounting standard for
asset retirement obligations
Loss on abolishment of qualified pension plan
OtherTotal extraordinary losses
Income before income taxes and minority interests
Income taxes-current
Income taxes-deferred
Total income taxes
Income before minority interests
Minority interests in income
Net income

5

Nine months ended
December 31, 2010
(From April 1, 2010, toDecember 31, 2010)

Nine months ended
December 31, 2011
(From April 1, 2011, toDecember 31, 2011)

96,10555,721
40,38426,36014,024

95,96856,10039,86825,194
14,673

120
83
376
－35
436
1,052

525
90
417
105
32
508
1,678

144
233
377
14,698218
192
410
15,941137148
31
107
54
362

24
19－－－－
44

226－

157
678

440

－

901
48
1,617
13,444
5,622
(328)
5,293
8,150
119
8,031

－
25
861
15,125
6,517
261
6,778
8,346
49
8,297

DAIICHIKOSHO

CO.,

LTD.

(Quarterly Consolidated Statements of Comprehensive Income)(Millions of yen)

Income before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of theparentComprehensive income attributable to minority interests

6

Nine months ended
December 31, 2010
(From April 1, 2010, toDecember 31, 2010)

Nine months ended
December 31, 2011
(From April 1, 2011, toDecember 31, 2011)

8,150

8,346

250
(109)
140
8,290

204
(66)
138
8,484

8,171

8,435

11949

DAIICHIKOSHO

CO.,

LTD.

(3) Segment Information
I Nine months ended December 31, 2010 (From April 1, 2010, to December 31, 2010)
Reportable segments

Sales

Commercial
karaokeKaraokecabin andrestaurant

Musicsoftware

Subtotal

OtherTotal

48,90731,3188,614

88,841

7,264

96,105(Millions of yen)
Postedamount to theAdjusted consolidated
amountquarterlystatements ofincome—

96,105

Segment income
9,742
4,835
909
15,487740
16,22814,024(Operating income)（2,203）(Note) The (2,203) million yen adjustment posted to Segment income is primarily composed of General and Administrative Expenses
incurred from the administrative department at the head office that are not attributable to any particular segment.

II Nine months ended December 31, 2011 (From April 1, 2011, to December 31, 2011)
Reportable segments

Sales

CommercialkaraokeKaraokecabin andrestaurantMusic
softwareSubtotal

OtherTotal

47,34233,924

8,117

89,384

6,584

95,968(Millions of yen)
Postedamount to theAdjusted consolidated
amountquarterlystatements ofincome—

95,968Segment income
9,608
5,718
912
16,239556
16,796(2.123)
14,673(Operating income)(Note) The (2,123) million yen adjustment posted to Segment income is primarily composed of General and Administrative Expenses
incurred from the administrative department at the head office that are not attributable to any particular segment.

7