Presentation of Performance
Fiscal Year Ended March 31, 2015

May 15, 2015

Contents
I . Overview of Performance for the Fiscal Year Ended March 31, 2015
1. Highlights of Performance3

2. Details of Orders Received by Segment

4

3. Details of Net Sales by Segment

5

4. Details of Operating Income

6

II . Full Year Forecasts for the Fiscal Year Ending March 31, 20167

III . Trends in Principal Businesses
1. Trends in NTT Fixed-Line Related Business8

2. Trends in NTT Mobile Business9

3. Trends in NCC Business10

IV . Strategies for Top-Line Expansion (Overview)
1. Solar Power Generation-Related Business11

2. Business Expansion Post Solar Development12

3. Hikari Collaboration-Related Business

13

V . Construction IT Platform
1. Construction IT Platform Results

14

2. Future Outlook for Construction IT Platform

15

VI . Shareholder Returns Policy (Dividends and Acquisition of Treasury Stock)16

I-1. Highlights of Performance for the Fiscal Year Ended March 31, 2015
Record-high profit for third successive year despite fall in sales(Unit: ¥100 million)

Performance inprevious term

Comparisons withthe previous term

Forecasts

Percent of Net Sales

Percent of Net Sales

Difference

Percent of Net Sales

3,369

3,279

Performance

Orders Received

Net Sales

Gross Proﬁts

+89

3,490

Comparisonswith forecasts

Remarks

Difference-120

Orders Received
Although investment by telecommunications
carriers was restrained, orders received
increased from the previous fiscal year due
to the consolidation of the Ecosystem Japan
Group (“Eco Japan” below) and the continuationof favorable orders received in solar-related
construction.

3,286

3,313

-27

3,450

-163

479

457

+21

515

-35

14.6%

13.8% +0.8 percentage points

14.9%-0.3 percentage points

Net Sales
Selling, General and202

Administrative Expenses

6.2%

Operating Income

276
8.4%

Recurring Proﬁt

281
8.6%

Net Income

182

+20

225

-22

5.5% +0.7 percentage points

6.5%-0.3 percentage points

+1

290

-13

8.3% +0.1 percentage points

8.4%-0.0 percentage points

+0

295

-13

8.5% +0.1 percentage points

8.6%-0.0 percentage points

275
280

167

163

+3

180

-12

5.1%

4.9%

-0.2 percentage points

5.2%-0.1 percentage points

Sales declined slightly from the previous ﬁscal
year due to the fall in sales in the carrier-related
business, although sales in the IT and social
infrastructure businesses grew strongly.

IncomeRecord-high proﬁt achieved for third successive
year due to continued strong performance in
the IT and social infrastructure businesses, inaddition to improved productivity and reductions
in SG&A expenses thanks to COMSYS WAY a
structural reforms, despite the rise in SG&A
expenses related to Eco Japan.

Note: Figures are rounded down to the nearest whole unit.

3I-2. Details of Orders Received by Segment
Outperformed previous fiscal year’s results, helped by an increase in solar-related construction(Unit: ¥100 million)

Comparisons with
the Previous Term

• Decline in solar construction projects(due to pending grid connection, etc.)• Decline in government and municipal
office projects• Decline in Eco Japan projects+89(+27%)NTT Business (Access)Decline in service integration projects
NTT Business (Network)
Decline in orders reflecting end of previous term’s
electric power-related transmission projects
NTT Business (Mobile)
Decline in FOMA/PDC removal projects• Increase due to consolidation of
Ecosystem Japan• Increase in solar-related projects• Increase in electrical facility
construction projects for government
and municipal offices

NTT-G
-7.2%

-138

NCC
-13.8%

Performance inPrevious Term

• Decline in Softbank and WCP (AXGP)
work• Decline in au LTE-related projects

IT
+4.3%

-13

NCC
-8.8%

-32

-120
(-3.4%)

NTT-G
-1.1%

-19

-55
SocialSystem-Related
and Other

Decline in carrier-related
software development
projects+60.2%-54

3,279

Social System-Related
IT
and Other
-2.3%
-7.5%

• Decline due to curb in investment
at au• Decline due to postponement ofplans for Y!mobile

Comparisonswith Forecasts

NTT Business (Access)Increase in utility pole renewal work
NTT Business (Network)
Increase due to orders moved forward
NTT Business (Mobile)
Decline due to curbing of investment

+259

+22
•Increase in projects received
through business alliances withother companies•Increase in local government
projects in Hokkaido area

3,369

3,490

Performance

Target4

I-3. Details of Net Sales by Segment
Slight decline in total sales despite sales growth in IT and social infrastructure businesses(Unit: ¥100 million)

Comparisons with
the Previous Term

• Decline in fire department radio
communications projects• Decline in carrier-related softwaredevelopment projects-27(-0.8%)NTT Business (Access)Decline from previous fiscal year when utility
pole renewal work was high in Hokkaido
NTT Business (Network)
Decline from previous fiscal year whenelectric power receiving projects were highNTT Business (Mobile)
Decline in FOMA/PDC removal projects

IT
-3.1%
• Increase due to consolidation ofSocial SystemEcosystem Japan• Increase in solar-related projects
Related and Other• Increase in expressway-related projects-17.8%

-120

NTT-G
-5.3%
Social SystemRelated and Other+37.7%-101
NCC-20.3%-90

3,313

Performance inPrevious Term

-17

Decline due to absence of previous
fiscal year’s Softbank projects(platinum band) and WCP work

IT
+2.6%

• Decline in solar construction
projects• Decline in government andmunicipal office projects• Decline in Eco Japan projects+151

Comparisonswith Forecasts• Decline in au LTErelated projects

NCC
-6.2%

-23

NTT-G
-0.2%

-163
(-4.7%)-3

NTT Business (Access)• Increase in utility pole renewal work
• Increase in facility management
operations
NTT Business (Network)
Increase in network simplification
process projects
NTT Business (Mobile)
Decline due to curbing of investment+13• Increase in sales received
through business alliances• Increase in Japan Post’s
P-NET projects

3,286

3,450

Performance

Target5

I-4. Details of Operating Income
Profit growth due to favorable effect of structural reforms and cost reductions(Unit: ¥100 million)

Comparisons with
the Previous Term

Improvement
due tocost reduction

+1

+10

(+0.4%)

Structuralreforms andimproved
productivity
Improvement
due toproduct mix

Comparisonswith Forecasts
Increased
expenses due toconsolidation of
Ecosystem Japan

-13(-4.6%)

-30

+18

+3
Improvement
due tocost reduction(Reference)
Forecasts and Performance at the Ecosystem Japan GroupOperating Margin(8.3%)-36

Full Year
Targets

2Q Cumulative

Full Year

Orders Received

180

100

172

Net Sales

180

75

135

276

290

Gross Proﬁts

43

14

27

Operating Margin(8.4%)

Operating Margin(8.4%)

SG&A Expenses

38

17

30

Operating Income

5

-3

-3

Performance

Target(Unit: ¥100 million)

275

Performance

Decline due tosales fallingshort offorecast+22*Amortization of goodwill equivalent to ¥500 million/year not includedin SG&A expenses above.

Performance in Previous Term

6

II. Full Year Forecasts for the Fiscal Year Ending March 31, 2016
Forecasting fourth successive fiscal year of record-high profit with a steady increase in earnings(Unit: ¥100 million)

FY March 2015
Performance

FY March 2016
Targets

Comparisons withFY March 2015

Percent of Net Sales

Percent of Net Sales

Difference

3,369

3,320

Orders Received

-49

3,286

3,310

+23

479

480

+0

14.6%

14.5%

-0.1 percentage points

Selling, General and

202

200

-2

Administrative Expenses

6.2%

6.0%

-0.2 percentage points

276

280

+3

8.4%

8.5%

+0.1 percentage points

281

285

+3

8.6%

8.6%

+0.0 percentage points

167

170

+2

5.1%

5.1%

+0.0 percentage points

Net Sales

Gross Proﬁts

Operating Income

Recurring Proﬁt

Net Income

Remarks

Orders Received
Orders received are forecast to decline slightly from the previous ﬁscal
year due to a decrease in carrier-related business accompanying
the downturn in capital expenditure by telecommunications carriers
although orders received in the IT and social infrastructure businesses
will grow in conjunction with top-line expansion.

Net Sales
Although orders received in the carrier-related business will decline
similarly to total orders received, total sales are forecasted to rise,due in part to the high level of projects carried over from the previous
ﬁscal year, sales growth in the IT and social infrastructure businesses
and the effect of newly consolidated subsidiaries (Kawanakajima
Kensetsu, Central Building Services).

IncomeProﬁt is projected to rise as forecast sales growth and the effect ofstructural reforms implemented to date enable stable income to be
secured.

Note: Figures are rounded down to the nearest whole unit.

7

III-1. Trends in NTT Fixed-Line Related Business
NTT East and NTT West capex

Business Model with Hikari Collaboration(Unit: ¥100 million)

6,907
3,513
NTT EAST
Investment infiber optics
2,630
NTT WEST

3,394

6,400

-7.8%

3,200

5,900

B

B

NTT EAST
NTT WEST-14.6%

3,200

Investment infiber optics
2,050

Hikari service
wholesale(Full Year Target)
Mar. 2015

Orders received at COMSYS Group (NTT Business−Access)(Unit: ¥100 million)

Second-halfFirst-half

452

932
475

Delivery insingle package Enhanced
convenience

Hikari service(Full Year Target)
Mar. 2016[Source: NTT Application for Approval of Business Operation Plan and NTT IR Presentation Materials]
Note: Full-year business results for the fiscal year ended March 31, 2015 scheduled for release on May 15)930

In-house
service

2,900
FLET’S
Hikari(Full Year Results)
Mar. 2014

Customers

Mobile, MVMO, ISP,
other industry corporations,
etc.

3,000

Investment infiber optics
2,400

C

Service operators

-5.6%

880
455

478

457

425

(Full Year Results)
Mar. 2014(Full Year Results)
Mar. 2015(Full Year Target)
Mar. 2016

Retailing[Capital Investment by NTT East and West]• Capital investment, including investment in ﬁber optics conversion, gradually
declining each year.
[Hikari Collaboration (Hikari wholesaling)]• From “B2C” to “B2B2C”• Supporting service creation by diverse service operators[COMSYS Group]• Orders received will remain ﬁrm due to utility pole renewal projects, despite theexpectation of a gradual decline, considering the capital investment situation.
• New ﬁber-optic installation work due to Hikari Collaboration is uncertainat present stage.
• Development of business as a service operator for Hikari wholesaling(Tsuken Hikari)

COMSYS Group materials: Simple total for five companies; NTT Engineering business–Access8

III-2. Trends in NTT Mobile Business
NTT DOCOMO capex

Further increase in network speed (toward launch of 300Mbps aimed at 5G)

Target: 6,900
7,031
Telecommunications
business
LTE & FOMA

6,618

-4.8%

(Unit: ¥100 million)

Fiscal 2015

6,300

Fiscal 2016

Fiscal 2017

5G

4G

1Gbps

LTE-Advanced
3,696
4,081

3,660

370Mbps
MIMO**
Functionality
enhancement, etc.

300Mbps
Other business(Smart Lifebusiness, etc.)

3,335

225Mbps

2,536

2,640

(Full Year Results)
Mar. 2015(Full Year Target)
Mar. 2016CA*(Full Year Results)
Mar. 2014

Orders received at COMSYS Group (NTT Business−Mobile)(Unit: ¥100 million)

712
622

-8.5%

570

395
299

First-half

CA*
Functionality
enhancement

3.5GHz band

* CA (carrier aggregation): technology that aggregates multiple frequency bands to increase communications speed.
** MIMO: technology for simultaneously transmitting and receiving different signals from multiple antennas.

[Source: NTT DOCOMO Results Briefing Materials]

Second-halfFiscal 2020

NTT DOCOMO• Capital investment in year ended March 31, 2015 (ﬁscal 2014) declined
to ¥661.8 billion from ¥703.1 billion due to signiﬁcant streamlining, andforecasted to decline further to ¥630.0 billion for year ending March 31,
2016 (ﬁscal 2015).
• Mid-term target no higher than ¥650.0 billion (ﬁscal 2015 – ﬁscal 2017)

320

317

323

250

(Full Year Results)
Mar. 2014(Full Year Results)
Mar. 2015(Full Year Target)
Mar. 2016

COMSYS Group materials: Simple total for five companies; NTT Engineering business–Mobile

COMSYS Group• Current projections for orders received set low considering capital investment situation.
• However, orders received are expected to benefit from CA projects andnewly allocated frequency 3.5GHz band projects• Ensure profit through even greater construction efficiency throughDarwinMobile construction IT platform.

9III-3. Trends in NCC BusinessKDDI Capex

5,718(Unit: ¥100 million)

5,762

4.1%

(Unit: ¥100 million)

6,000
650

Softbank Capex (for telecommunications carriers in Japan only)

UQ share

7,125

Consolidated infiscal year ending
March 31, 2016

3,740

3,852

3,150

1,978

1,910

2,200

(Full Year Results)
Mar. 2014(Full Year Results)
Mar. 2015(Full Year Forecast)Mar. 2016

MobileFixedline, etc.

Note: Figures for fiscal years ended March 31, 2014 and March 31, 2015 based on Japanese GAAP; figures
for fiscal year ending March 31, 2016 (forecast) based on IFRS
[Source: NTT DOCOMO Results Briefing Materials]

Orders received at COMSYS Group (NCC)
395

Second-halfFirst-half

212

142

183

198

(Full Year Results)
Mar. 2014(Full Year Results)
Mar. 2015

2.7%(Full Year Results)
Mar. 2014(Full Year Results)
Mar. 2015

3,900

3,900

(Full Year Forecast)Mar. 2016(Full Year Forecast)Mar. 2017

International accounting standards[Source: Softbank Results Briefing Materials]

KDDI(Unit: ¥100 million)

340

5,355

350
195

• Capital investment to be ¥600.0 billion, including UQ Communications share• From “annual bulk ordering” to “monthly ordering with additional orders to be placed
from time to time”• Combined orders for base station construction and maintenance and inspection to beplaced at the same time

Softbank• Investment in telecommunications infrastructure construction going full circle• New ordering methods in pursuit of “integrated maintenance” and “combined orders”

COMSYS Group155(Full Year Target)
Mar. 2016• Establishment of Maintenance Division Preparation Ofﬁce aimed at combining
construction and maintenance functions• Expansion of stock-type maintenance business (to expand share of base station maintenance)• Make optimum use of personnel based on multi-skilling and multi-location principles

COMSYS Group materials: simple total for five operating companies NCC Engineering business10

IV-1. Solar Power Generation-Related BusinessSolar Power Construction (EPC) Business
Orders received amounted to ¥19.0 billion in this fiscal year,with order amount expected to remain at a high level for at least the next three years¥19.0
billion¥0.1
billion¥6.0
billionMar. 2012

Mar. 2013¥10.3
billionMar. 2014

Mar. 2015

Projects on hand
Total of ¥50.0 billion – ¥60.0 billion

Mar. 2016

Mar. 2017

New business inquiries increasing,with the ongoing possibilityof obtaining some projects

Mar. 2018

Mar. 2019

Mar. 2020

Solar Power Generation (IPP) Business
Expanding investment to ¥20.0 billion by 2018
FY March 2014
Results

Power stations

Volume Single yearof power Cumulative
generatedtotal
Single year
Investment Cumulative
total

FY March 2015
Results

FY March 2016
Targets

FY March 2017
Targets

FY March 2018
Targets

Northern Kanto
Hitachiota City, Ibaraki Prefecture
Kita-Ibaraki City, Ibaraki Prefecture
Northern Kanto(Completion scheduled for June 2015)
Showa-mura, Gunma Prefecture
Northern Kanto(Completion scheduled for May 2017)
Kato City, Hyogo Prefecture(Completion scheduled for March 2017)
Tsu City, Mie Prefecture
KyusyuTohoku(Completion scheduled for December 2015)(Completion scheduled for May 2017)(2 projects)(3 projects)
8 other projects

—

7.0MW

21.0MW

2.8MW

26.0MW

7.7MW

14.7MW

35.7MW

38.5MW—¥2.1 billion¥6.9 billion¥0.9 billion¥7.7 billion¥2.4 billion¥4.5 billion¥11.4 billion¥12.3 billion¥20.0 billion

64.5MW*Also considering utilization for PPS business11

IV-2. Business Expansion Post Solar Development
Areas of Ecological Innovation

Areas of Urban Revitalization Innovation

Areas of Community Revitalization Innovation<Environment and Energy><Nationwide Resilience><Community Development>(1) Solar power generation (IPP)(2) Solar power construction (EPC)• Maintain and strengthen collaboration with qualiﬁed partners• Large-scale projects with tens of megawatts also
under consideration(3) Grey water businessAlready
introduced• Applying successful projects at corporate buildings toother private sector jobs

(1) Water and sewerage facilities• Plan expansion into Nagoya and Osaka taking advantage
of successful performance in Tokyo
Approx. ¥2.0 billion (this ﬁscal year) ¥3.0 billion (in 3 years’ time)(2) Removal of utility poles• Tokyo government is planning to double the removal of utility
poles next ﬁscal year by laying cables underground.
• Plan to launch initiatives in Kansai and Tohoku areas as well
Approx. ¥1.0 billion (this ﬁscal year)¥2.5 billion (in 3 years’ time)——(3) Renovation of Shuto Expressway• Plan to expand into NEXCO projects based on successful
Shuto Expressway work
• Develop subsidiaries to prepare business organization
Approx. ¥1.0 billion (this ﬁscal year) ¥3.0 billion (in 3 years’ time)(4) Reinforcement of slopes• Secure collaboration with Kawanakajima Kensetsu(1) Wood biomass• Commercialization combined with heat supply insmall-scale category• Aim for construction in around 10 locations in 5 years¥3.0 billion (in 3 years’ time)(2) Energy Service Company (ESCO) business

Short- tomedium-term• Participate in HEMS, BEMS, etc.
• Promote business model that spans the entire processfrom energy conservation proposals to recovering beneﬁts• Capital tie-up with alliance partners under consideration(3) Electricity retailing (PPS)• Developing business with Eco Japan acting as electricity retailer• Collaborate with COMSYS Create’s power generation
business(1) Full-scale earthquake reconstruction• Prompt response to relocating obstructive
telecommunication cables, etc.

(2) Revitalization and upgrading of urban infrastructure• Long-term infrastructure plans for major cities (forexample, master plans for waterworks maintenancein Tokyo, Osaka and Nagoya)(1) Effective utilization of assets• Enhance property development business throughutilization of idle real estate¥3.0 billion (in 3 years’ time)(2) Tokyo Olympics-related work
• Establishment of venues, transportation networks,
accommodation, etc.

(3) Agriculture and ﬁshery-related civil engineering(3) Development of area around Shinagawa Station• Aim to receive ﬁrst order in Kanto area during
this ﬁscal year
• Develop Joshinetsu area business in collaboration
with Kawanakajima Kensetsu¥0.5 billion (in 3 years’ time)• Utilize land rights to COMSYS Shinagawa Building
to be actively involved in landowner redevelopment
meetings(4) Smart grid
• Re-enter smart grid business leveraging qualifications
as an electrical construction company and a successful
track record• Also seek to enter new, expanding businesses, such as HEMs.
¥1.0 billion (in 3 years’ time)

Medium- tolong-term(1) Geothermal heat pump
(2) Small-scale geothermal power generation(3) Smart cities(1) Concession(1) Region creation projects

12IV-3. Hikari Collaboration-Related Business
Plan annual sales of ¥5.0 billion in Hikari Collaboration business in five years’ time

Aim to develop collaboration portfolio and create synergies with existing businesses

HikariWholesaling
One-stop delivery of all-in-one function
Standard Model: Hikari access, Hikari telephone, Hikari television, 116 functions, 113 functions
Enhanced Collaboration Menu: provision of network devices, remote surveillance, security operations

ResaleDevelop service content to fully
Provide Hikari services based on Tsuken
Hikari and utilizing unique characteristics
of each company

collaborate with Hikari services for
greater business synergies

Sales¥2.5 billion

Sales¥2.5 billion
Forecast annual sales of ¥2.5 billion in 5 years’ time utilizing Comsys'
reputation in the area and the inﬂuence of allied companies
Expected Customers
Business partners (around 650 corporations), allied companies (foreign-afﬁliatedvendors), local telecommunications construction companies, etc.

Forecast 50,000 lines and sales of ¥2.5 billion in 5 years’ time
based on sales to 900 line resale customers
Principal Customers
Major Manufacturer A: Contracts for a total of 2,000 lines being concluded
Major Retailer B: Planning to obtain contracts for a total of 1,000 lines
Other Companies in Hokkaido: Planning to obtain contracts for a total of
100-300 lines each with 4 companies

13V-1. Construction IT Platform Results

DarwinMobile: Construction IT Platform in Mobile Construction

Achieve an increase in productivity of around 5% this fiscal year
and aim for an improvement of about 20% in the future

Initial fiscal year with limited adoption, but alarge number of LTE projects constructed atsimilar cost to the previous fiscal year, resulting
in a 5% increase in productivity this fiscal year

Further results expected in the future• Increase in adoption rate to 100%• Establishment of best practices• Improvement in operational efficiency of• construction IT platform

Productivity
improvement
About 20%

Resultsof adoption

About 5%

Profit

Costs

Boost sales while curbing cost increases

Results from previous fiscal year

Forecast for this fiscal year

From next fiscal year onward

Before adoption

After adoption at head office

After adoption nationwide

14

V-2. Future Outlook for Construction IT Platform
Improve productivity in construction IT platform to enablepromotion of M&As in legacy sectors
STEP 0.

STEP 1.

STEP 2.

STEP 3.

Current situation

Adoption for standard projects

Expansion to diverse projects

Entering construction projects indifferent construction industries(Contribution on profit front)
Improving existing business(Contribution on profit ad sales front)
Acquiring new business

Construction projects in different constructionindustries (as a general contractor)• Aiming to expand to entire construction industry• based on the COMSYS Group’s business performance• in the telecommunications construction industry
Aiming to expand
scope of adoption

Seeking M&A of construction companies outside the telecommunications industry triggered by productivity improvements due to IT tools

IT solutions and social systems projects• Aiming to expand to diverse projects from publicand private-sector customers utilizing expertise from STEP 1

Mobile projects• Adoption for LTE projects
Present

NTT-AC and NTT-NW projects and NCC projects• Aiming to adopt for small- to medium-scale, repetitive, standard projects
from single customers (each telecommunications carrier)
Productivity improvement from adoption of construction IT platform could form catalyst for industry reorganization

Future15

VI. Shareholder Returns Policy (Dividends and Acquisition of Treasury Stock)(Unit: ¥100 million) 200

Plan increase in dividends for third successive fiscal year
and acquisition of ¥5.0 billion of treasury stock
Net Income(Target)

150

100
167

163
132
50

95

75

Value oftreasury stockacquisition

Dividends

170

80

75

30

40

25

25

24

29

35

40

March 2011

March 2012

March 2013

March 2014

March 2015

March 2016
(Planned)

Interim

¥10

¥10

¥10

¥10

¥15

¥15

Year-end

¥10

¥10

¥10

Ordinary dividends: ¥10+
Commemorative dividends: ¥5¥15 (Planned)¥20

Consolidated Payout Ratio

27.1%

36.0%

18.7%

18.4%

21.0%

23.6%

Total Return Ratio
Dividends + treasury stock
Net income

58.3%

77.7%

48.7%

66.9%

66.2%

53.0%

Number of sharesof treasury stockat the end of the period

16.12
million shares

19.18
million shares

23.01
million shares

28.31
million shares

31.41
million shares

—

ROE

6.1%

4.4%

7.9%

9.4%

9.0%

—

Dividends per
Share(annual)

30

71

¥15

16

Results for the Fiscal Year Ended March 31, 2015
— Data Book —May 15, 2015

Contents
Detailed Data
01

Consolidated Statements of Income

02

Statements of Income for Each Company (Results for Fiscal Year Ended March 31, 2015)03

Statements of Income for Each Company (Forecasts for Fiscal Year Ending March 31, 2016)04

Orders Received, Net Sales, and Contract Backlogs by Business Area

05

Orders Received and Net Sales by Detailed Business Area
for Five Companies on a Non-Consolidated Simple Sum Basis

06

Capital Expenditure, Depreciation and Amortization

Reference
07

Consolidated Balance Sheets (Condensed)

08

Consolidated Cash Flow (Condensed)

Cautionary Statement with Respect to Forward-Looking Statements
Some of the information in this document contains forward-looking statements, which are subject to various risks and uncertainties. As a result, the Company’s actual activities andbusiness results could differ significantly.
Important factors bearing on the Company’s actual business results include, but are not limited to, changes in the economic environment for the Company’s businessdomains, social trends, trends in demand for the services that the Company offers, or downward pressure on prices and fees due to intensifying competition.

01 Consolidated Statements of Income(Unit: ¥100 million)

FY March 2014

FY March 2015
YoY
2nd Quarter
Percentage
Results
difference(c)((c) – (a))⁄ (a)YoY
Percentage
difference((e) – (b)) ⁄ (b)vs. Forecast
Percentage
difference((e) – (d)) ⁄ (d)

3,369

2.7%

-3.4%

1,520

3,450

3,286

-0.8%

-4.7%

515

479

4.7%

-6.9%

(14.9%)(14.6%)

18.6%

225

202

11.3%

-9.9%

100

-2.8%

200

-1.3%

4.9%

290

276

0.4%

-4.6%

80

-28.2%

280

1.2%(8.4%)(8.4%)

295

281(8.6%)(8.6%)

180

167(5.2%)(5.1%)

Full Year
Targets

Full Year
Results

(d)

(e)

7.9%

3,490

1,442

2.6%

457

214

11.0%

(13.7%)(13.8%)(14.9%)

Selling, General and Administrative Expenses

86

182

102

Operating Income

106

275

111

(7.6%)(8.3%)(7.7%)

109

280

113

(7.8%)(8.5%)(7.8%)

61

163

68

(4.4%)(4.9%)(4.8%)

2nd Quarter
Results

Full Year
Results(a)(b)

Orders Received

1,607

3,279

1,735

Net Sales

1,405

3,313

Gross Profits

193(Gross Profit Margin)(Operating Margin)
Recurring Profit(Recurring Profit Margin)
Net Income(Net Profit Margin)

FY March 2016

3.1%

11.4%

YoY
2nd Quarter
Percentage
Targets
difference(f)((f) – (c)) ⁄ (c)

(g)

YoY
Percentage
difference((g) – (e)) ⁄ (e)-12.4%

3,320

-1.5%

1,310

-9.2%

3,310

0.7%

180

-16.0%

480

0.1%(13.7%)(14.5%)(6.1%)
0.2%

-4.7%

83

(8.5%)-26.6%(6.3%)
2.3%

-6.8%

50
(3.8%)

Full Year
Targets285

1.3%(8.6%)-27.2%

170(5.1%)

Note: Figures are rounded down to the nearest whole unit. Profit margin, and percentages of increase and decrease are calculated using a base unit of yen. Figures are rounded to the nearest first decimal place.

1.4%

02 Statements of Income for Each Company (Results for Fiscal Year Ended March 31, 2015)(Unit: ¥100 million)

Comparisons with the Previous Term

Nippon COMSYS-G

SANCOM-G

TOSYS-GMar. 2014
Results

Mar. 2015
Results

Percentage
difference

Mar. 2014
Results

Mar. 2015
Results

Percentage
difference

Mar. 2014
Results

Mar. 2015
Results

Orders Received

2,088

2,191

4.9%

574

541

-5.7%

285

286

Net Sales

2,048

2,090

2.1%

616

568

-7.9%

302

10.8%

-7.5%

Gross Profits

299

331

(14.6%)(15.9%)

Selling, General and Administrative Expenses

103

132

Operating Income(Operating Margin)

196

199

(9.6%)(9.6%)

Recurring Profit(Recurring Profit Margin)

202

203

(9.9%)(9.7%)

129

122(6.3%)(5.9%)(Gross Profit Margin)

Net Income(Net Profit Margin)

67

62(10.9%)(10.9%)

28.1%

26

24

1.7%

40

37

(6.6%)(6.6%)

0.4%
-4.8%

40

37

(6.6%)(6.7%)

23

23(3.9%)(4.1%)

Percentage Mar. 2014
difference
Results

Mar. 2015
Results

Percentage
difference

0.6%

395

410

3.7%

280

-7.2%

405

407

0.5%

-5.9%

-2.0%

23

21

(7.7%)(7.8%)

-6.9%

14

13

-7.8%

9

8

(3.1%)(3.2%)

-6.5%
-2.3%

TSUKEN-G

99(3.1%)(3.4%)

05(0.2%)(2.1%)

49

48(12.2%)(11.9%)

-7.1%

29

25

-12.3%

-4.1%

19

22

13.5%

(4.9%)(5.5%)

2.1%
923.8%

20

23(5.0%)(5.7%)

612(1.6%)(3.2%)

13.4%
94.9%

(Unit: ¥100 million)

Comparisons with Forecasts

Nippon COMSYS-G

SANCOM-G

Mar. 2015
Targets

Mar. 2015
Results

Percentage
difference

Mar. 2015
Targets

Orders Received

2,275

2,191

-3.7%

600

541

Net Sales

2,230

2,090

-6.3%

594

Gross Profits

358

331

-7.3%

(16.1%)(15.9%)

Selling, General and Administrative Expenses

145

132

Operating Income(Operating Margin)

213

199

(9.6%)(9.6%)(Gross Profit Margin)

TOSYS-GMar. 2015 Percentage
difference
Results

TSUKEN-G
Percentage Mar. 2015
difference
Targets

Mar. 2015
Results

Percentage
difference

6.2%

390

410

5.2%

280

2.5%

400

407

1.8%

23

21

-8.0%

47

48

2.9%

(8.7%)(7.8%)(11.8%)(11.9%)

-6.7%

13

13

-5.7%

26

25

-2.1%

-8.2%

10

8

-11.2%

20

22

9.3%

(3.6%)(3.2%)(5.1%)(5.5%)

Mar. 2015
Targets

Mar. 2015
Results

-9.8%

270

286

568

-4.4%

274

67

62

-7.6%

(11.3%)(10.9%)

-8.9%

26

24

-6.1%

41

37

(6.9%)(6.6%)

Notes: 1. Figures are rounded down to the nearest whole unit. Profit margin, and percentages of increase and decrease are calculated using a base unit of yen. Figures are rounded to the nearest first decimal place.
Notes: 2. No elimination of intergroup transactions between groups

03 Statements of Income for Each Company (Forecasts for Fiscal Year Ending March 31, 2016)(Unit: ¥100 million)

Forecasts for the full year

Nippon COMSYS-G

SANCOM-G

TOSYS-GMar. 2016
Targets

Percentage
difference

1.1%

410

414

0.9%

285

1.5%

407

424

4.2%

21

25

14.6%

48

50

4.7%

(7.8%)(8.8%)(11.9%)(11.9%)

2.2%

13

14

13.7%

25

27

4.1%

0.9%

8

10

16.0%

22

23

5.3%

(3.2%)(3.6%)(5.5%)(5.6%)

Mar. 2016
Targets

Percentage
difference

Mar. 2015
Results

Mar. 2016
Targets

Percentage
difference

Mar. 2015
Results

Mar. 2016
Targets

Orders Received

2,191

2,090

-4.6%

541

587

8.4%

286

290

Net Sales

2,090

2,090

0.0%

568

577

1.6%

280

Gross Profits

331

324

-2.4%

62

63

1.4%

(15.9%)(15.5%)(10.9%)(10.9%)

Selling, General and Administrative Expenses

132

121

-8.4%

24

25

Operating Income

199

203

1.5%

37

38

(9.6%)(9.7%)(6.6%)(6.6%)(Gross Profit Margin)(Operating Margin)

TSUKEN-G
Percentage Mar. 2015
difference
Results

Mar. 2015
Results

Note: Figures are rounded down to the nearest whole unit. Profit margin, and percentages of increase and decrease are calculated using a base unit of yen. Figures are rounded to the nearest first decimal place.

04 Orders Received, Net Sales, and Contract Backlogs by Business Area
Orders Received

FY March 2014

FY March 2015
YoY
2nd Quarter Percentage
Results
difference(c)((c) – (a))⁄ (a)2nd Quarter
Results(a)

Full Year
Results(b)

Social System-Related and Other

931
182
286
206

1,929
391
528
430

884
197
291
362

Total

1,607

3,279

1,735

Business Area

NTT Engineering
NCC Engineering
IT Solutions

Net Sales

Social System-Related and Other

1,938
447
524
403

837
174
197
233

Total

1,405

3,313

1,442

IT Solutions

Contract Backlogs

Social System-Related and Other

546
61
105
184

593
84
198
313

Total

1,133

898

1,190

IT Solutions

3,369

vs. Forecast
Percentage
difference((e) – (d)) ⁄ (d)

-7.2%

-1.1%

-13.8%

-8.8%

4.3%

-2.3%

60.2%

-7.5%

775
155
265
325

2.7%

-3.4%

1,520

YoY
Percentage
difference((e) – (b)) ⁄ (b)vs. Forecast
Percentage
difference((e) – (d)) ⁄ (d)Full Year
Targets(d)Full Year
Results
(e)

56.1%

1,840
380
555
675

1,836
356
537
554

2.6%

3,450

3,286

-1.9%

-5.3%

-0.2%

-20.3%

-6.1%

2.6%

-3.1%

37.7%

-17.8%

725
155
210
220

-12.1%
-3.3%

-0.8%

-4.7%

1,310

Full Year
Results
(e)

46.2%

500
42
119
319

5.0%

981

-6.5%
-17.1%
8.9%-7.6%-10.4%

1,655
350
590
725

-12.4%

3,320

-1.5%

-12.3%-21.3%
-9.0%

3.7%
6.9%
5.2%

FY March 2016
YoY
YoY
2nd Quarter Percentage Full Year Percentage
Targets
Targets
difference
difference(f)((f) – (c)) ⁄ (c)(g)((g) – (e)) ⁄ (e)FY March 2015

634
101
182
214

NCC Engineering

3,490

1.6%

YoY
2nd Quarter Percentage
Results
difference(c)((c) – (a))⁄ (a)Full Year
Results(b)

NTT Engineering

7.9%

7.9%

FY March 2014
2nd Quarter
Results(a)Business Area

1,790
337
551
689

YoY
Percentage
difference((e) – (b)) ⁄ (b)FY March 2015

853
198
204
149

NCC Engineering

75.4%

1,810
370
565
745

-5.1%

YoY
2nd Quarter Percentage
Results
difference(c)((c) – (a))⁄ (a)Full Year
Results(b)

NTT Engineering

Full Year
Results(e)

FY March 2014
2nd Quarter
Results(a)Business Area

Full Year
Targets(d)(Unit: ¥100 million)
FY March 2016
YoY
YoY
2nd Quarter Percentage Full Year Percentage
Targets
Targets
difference
difference(f)((f) – (c)) ⁄ (c)(g)((g) – (e)) ⁄ (e)YoY
Percentage
difference((e) – (b)) ⁄ (b)-8.4%-31.2%
13.2%
72.9%
9.3%

Note: Figures are rounded down to the nearest whole unit. Percentages of increase and decrease are calculated using a base unit of yen. Figures are rounded to the nearest first decimal place.

-5.7%

1,730
355
575
650

17.1%

-9.2%

3,310

0.7%

-13.4%-11.1%
6.1%

-5.8%
-0.5%
6.9%

Received and Net Sales by Detailed Business Area
05 Ordersfor Five Companies on a Non-Consolidated Simple Sum Basis(Unit: ¥100 million)
FY March 2014

Orders Received
Business Area

FY March 2015

2nd Quarter
Results

Full Year
Results

(a)

(b)

YoY
2nd Quarter Percentage
Results
difference(c)((c) – (a)) ⁄ (a)FY March 2016

Full Year
Targets

Full Year
Results

YoY
Percentage
difference

vs. Forecast
Percentage
difference

(d)

(e)

((e) – (b)) ⁄ (b)((e) – (d)) ⁄ (d)YoY
2nd Quarter Percentage
Targets
difference(f)((f) – (c)) ⁄ (c)Full Year
Targets

YoY
Percentage
difference(g)((g) – (e)) ⁄ (e)Access

478

930

457

-4.3%

899

932

0.3%

3.7%

425

-7.1%

880

-5.6%

Network

116

248

95

-18.4%

191

218-12.2%

14.2%

90

-5.5%

185

-15.2%

Mobile

317

712

323

1.8%

690

622

-12.5%-9.7%

250-22.6%

570

-8.5%

912

1,890

875

-4.0%

1,780

1,773

-6.2%

-0.4%

765

-12.7%

1,635

-7.8%

NCC Engineering

183

395

198

7.9%

370

340

-13.8%-7.9%

155-21.7%

350

2.7%

IT Solutions

231

421

226

-1.8%

444

440

4.4%

-0.8%

200

-11.9%

470

6.7%

Social System-Related and Other

127

266

183

44.1%

409

359

34.8%

-12.1%

180

-2.0%

425

18.3%

1,454

2,974

1,484

2.1%

3,003

2,914

-2.0%

-3.0%

1,300

-12.4%

2,880

-1.2%

vs. Forecast
Percentage
difference

NTT Engineering

Subtotal

Total

FY March 2014

Net Sales
Business Area

FY March 2015

2nd Quarter
Results

Full Year
Results

(a)

(b)

YoY
2nd Quarter Percentage
Results
difference(c)((c) – (a)) ⁄ (a)FY March 2016

Full Year
Targets

Full Year
Results

YoY
Percentage
difference

(d)

(e)

((e) – (b)) ⁄ (b)((e) – (d)) ⁄ (d)YoY
2nd Quarter Percentage
Targets
difference(f)((f) – (c)) ⁄ (c)Full Year
Targets

YoY
Percentage
difference(g)((g) – (e)) ⁄ (e)Access

425

982

406

-4.5%

916

924

-5.9%

0.9%

380

-6.6%

900

-2.7%

Network

102

244

98

-3.4%

211

221

-9.4%

5.1%

80

-19.1%

190-14.3%

Mobile

306

675

322

5.2%

685

665

-1.4%

-2.8%

255

-20.9%

615

-7.6%

834

1,902

828

-0.8%

1,812

1,812

-4.8%

0.0%

715

-13.6%

1,705

-5.9%

NCC Engineering

199

449

175

-12.1%

383

360-19.7%-5.9%

155-11.6%355-1.6%

IT Solutions

158

419

147

-7.1%

433

427

2.0%

-1.3%

155

5.1%

455

6.5%

Social System-Related and Other

75

235

83

11.5%

328

263

11.9%

-19.6%

95

13.5%

365

38.4%

1,267

3,006

1,234

-2.6%

2,956

2,863

-4.8%

-3.1%

1,120

-9.3%

2,880

0.6%

NTT Engineering

Subtotal

Total

Notes: 1. The non-consolidated simple sum data are for the following five companies: Nippon COMSYS Corporation; SANWA COMSYS Engineering Corporation; TOSYS Corporation; TSUKEN Corporation;
and COMSYS JOHO SYSTEM Corporation.
2. Figures are rounded down to the nearest whole unit. Percentages of increase and decrease are calculated using a base unit of yen. Figures are rounded to the nearest first decimal place.

06 Capital Expenditure, Depreciation and Amortization(Unit: ¥100 million)

March 2014

March 2015

Results

Results

March 2016
Comparisons with the previous term
Percentage
Difference
difference

Targets

Comparisons with FY March 2015
Percentage
Difference
difference

Tangible Assets

68

61

-7

-10.6%

48-12-20.7%

Intangible Assets

13

16

3

25.6%

10

-6

-39.4%

Total

82

78

-3

-4.7%

58

-19

-24.8%

Depreciation and Amortization

44

46

2

5.6%

52

5

11.5%

Capital Expenditure

Note: Figures are rounded down to the nearest whole unit. Percentages of increase and decrease are calculated using a base unit of yen. Figures are rounded to the nearest first decimal place.

07 Consolidated Balance Sheets (Condensed)
ASSETSLIABILITIES AND NET ASSETS(Unit: ¥100 million)+134(Unit: ¥100 million)
+134

2,640

2,505

2,505
Current
Liabilities

637

(-46)

(-29)
• Income taxes payable-29• Short-term bank loans-11• Other current liabilities+11

Current Assets• Cash and cash equivalents

1,564

+24
-41

• Accounts receivable—trade• Accumulated cost of constructionin progress and others• Other current assets

1,518

Long-Term
Liabilities-3(+146)

1,794• Net defined benefit asset+89• Intangible fixed assets+40• Tangible fixed assets, such as land +19• Other assets

As of March 31, 2014

79

-26

• Net income+167• Other comprehensive income+34• Changes in accounting policy
for retirement benefits+27• Other+14• Treasury stock, at cost

-61

• Cash dividends-35(+180)

940

607
91

(+17)

74

Net Assets

Fixed Assets

2,640

1,940

1,121
*Equity ratio
From 71.1% to 73.0%+32

As of March 31, 2015

As of March 31, 2014

As of March 31, 2015

08 Consolidated Cash Flow (Condensed)(Unit: ¥100 million)
Cash Flows fromOperating Activities

Cash Flows from
Investing Activities

+265

-118

• Income before income taxes
and other adjustments
to net income• Decrease in receivables—trade• Depreciation and amortization• Decrease in inventories• Cash and cash equivalents
paid for income taxes• Other

+272
+62
+46
+30

• Acquisitions of property and equipment -73-17• Payments of loans receivable• Acquisitions of intangible fixed assets -14-14• Other

Cash Flows from
Financing Activities

-121

-127
-18

• Acquisitions of treasury stock• Cash dividends paid
• Other

-79
-35
-7

+25
309

334

Cash and
Cash Equivalents
at End of Year

Cash and
Cash Equivalents
at End of YearAs of March 31, 2014

As of March 31, 2015

Cautionary Statement with Respect to Forward-Looking Statements
Forecast figures contained in these presentation materials are forward-looking statements that assume underlying
risks and uncertain factors.
Accordingly, it should be recognized that actual results may differ from such forward-looking statements due to avariety of factors.
Important factors that could affect results include, but are not limited to, changes in economic conditions and social
trends relevant to the Group’s business areas, and downward pressure on prices for the services provided by theGroup owing to fluctuations in demand and intensified competition.

For further information, please contact:

IR Department
Telephone: +81-3-3448-7000 (direct)
Facsimile: +81-3-3448-7001
E-Mail: chd-ir@comsys.co.jp
URL: http://www.comsys-hd.co.jp/