Non-consolidated Financial Results for the First Quarter of 2018
(Three Months Ended March 31, 2018)[Japanese GAAP]May 8, 2018

Company name:
Stock code:
Representative:
Contact:

Nomura System Corporation Co., Ltd.
Listing: Tokyo Stock Exchange(the second section)
3940
URL: http://www.nomura-system.co.jp
Yoshimitsu Nomura, President
Katsuhisa Katou, Executive Officer, General Manager of Administrative Dept.
Tel: +81-3-6277-0133
May 8, 2018
Scheduled date of filing of Quarterly Report:
Scheduled date of dividend payment:
Preparation of supplementary materials for quarterly financial results: YesHolding of quarterly financial results meeting:None(All amounts are rounded off to the nearest million yen)

1. Financial Results for the First Quarter (January 1 to March 31, 2018) of 2018
(1) Results of operations(Percentages represent year-on-year changes)
Net sales

Operating income

Millions of yen

Three months ended Mar. 31, 2018
Three months ended Mar. 31, 2017

616639%△11.1-

96108% Millions of yen△3.5-96108

Ordinary income
Millions ofyen

Net income per share

Diluted net income per share

YenYenProfit
Millions of%yen△11.0-%△11.3-6169

Three months ended Mar. 31, 2018
10.90
10.59
Three months ended Mar. 31, 2017
12.47
12.09
Notes: 1. As Nomura System Corporation (“Nomura System”) did not prepare a quarterly financial statement for 2016, theyear-on-year changes for the three months ended Mar 31, 2017 are not indicated.
2. Nomura System conducted a 3-for-1 common stock split on July 1, 2017. Net income per share and diluted net income
per share have calculated as if these stock splits had taken place at the beginning of 2017.

(2) Financial position
Total assets

Net assets

Millions of yenAs of March. 31, 2018
As of December. 31, 2017
Reference: Shareholders’ equity (millions of yen)

Shareholders’ equity ratio

Millions of yen

2,258
2,425
As of Mar. 31, 2018:

2,003

%

2,004
2,062
As of Dec. 31, 2017: 2,062

88.7
85.0

2. Dividends
1Q-endDividend per share
3Q-end2Q-endYen

Yen

Year-end

Yen

Yen

Total
Yen

Year ended Dec. 31, 2017
0.00
22.00
22.00
Year ending Dec. 31, 2018Year ending Dec. 31, 2018 (Forecast)
0.00
Notes: 1. Revisions to the most recently announced dividend forecast: None
2. The dividend forecast for 2018 is undecided. Based on the December 2016 policy of constant and stable dividend
returns, Nomura System plans to pay dividends targeting a payout ratio greater than 40%.

3. Forecast for 2018 (January 1 to December 31, 2018)
Net sales
Millions of yen

Operating income%Millions ofyen

Ordinary income%Millions ofyenFirst half
1,199
157
△3.2
△25.1
Full year
2,590
2.2418
2.6
Notes: Revisions to the most recently announced forecast: None

157418(Percentages represent year-on-year changes)
Profit
Net income per share%

Millions of yen%

Yen

△24.5
3.2

107285

△27.3
△4.5

18.98
50.66

* Notes(1) Application of special accounting methods for presenting quarterly financial statements: None
(2) Changes in accounting policies and accounting estimates, and restatements
1) Changes in accounting policies due to revisions in accounting standards, others: None
2) Changes in accounting policies other than 1) above: None
3) Changes in accounting estimates: None
4) Restatements: None

(3) Number of shares outstanding (common stock)1) Number of shares outstanding at the end of the period (including treasury shares)

As of Mar. 31, 2018:

5,643,600 shares

As of Dec. 31, 2017:

5,629,800 shares

As of Dec. 31, 2017:

165 share

2) Number of treasury shares at the end of the period

As of Mar. 31, 2018:

165 shares

3) Average number of shares outstanding during the period
Three months ended Mar. 31, 2018: 5,640,515 shares

Three months ended Mar. 31, 2017:

5,560,266 share

Note: Nomura System conducted a 3-for-1 common stock split on July 1, 2017. Number of shares has been calculated as if
these stock splits had taken place at the beginning of 2017.
* The current quarterly financial report is not subject to quarterly review procedures.
* Cautionary statement with respect to forward-looking statements, and other special items
Forecasts of future performance in this document are based on assumption judged to be valid and information currently
available to the management, but are not promises by Nomura System regarding future performance. Actual results may differ
materially from the forecasts for a number of reasons.

Nomura System Corporation Co., Ltd. (3940) Financial Results for the First Quarter of 2018

Contents of Attachments
1. Quarterly Financial Statements and Notes

2(1) Quarterly Balance Sheet

2(2) Quarterly Statement of Income

3(3) Notes to Quarterly Financial Statements

4

Going Concern Assumption

4

Significant Changes in Shareholders’ Equity

41Nomura System Corporation Co., Ltd. (3940) Financial Results for the First Quarter of 2018

1. Quarterly Financial Statements and Notes(1) Quarterly Balance Sheet(Thousands of yen)First Quarter of 2018
(As of Mar. 31, 2018)2017(As of Dec. 31, 2017)
AssetsCurrent assets
Cash and deposits
Accounts receivable-trade
Work in process
OtherTotal current assets

2,015,412

1,848,281

339,755

341,637

1,543

8,283

19,613

12,943

2,376,324

2,211,145

13,158

11,779218

218

34,80934,644Non-current assets
Property, plant and equipment
Intangible assets
Investments and other assets

48,18546,642

2,424,509

2,257,786

Accounts payable-trade

201,881

131,503

Income taxes payable

80,99833,484Other

75,70485,602

Total current liabilities

358,582

250,588

3,462

3,471

Total non-current assets
Total assets
Liabilities
Current liabilities

Non-current liabilities
Asset retirement obligations

3,462

3,471

362,044

254,060

Capital stock

299,357

301,082

Capital surplus

255,857

257,582

Retained earnings

1,506,871

1,444,488

(202)

(202)

2,061,884

2,002,951

582

776

2,062,466

2,003,727

2,424,509

2,257,786

Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity

Treasury stock
Total shareholders’ equity
Stock acquisition rights
Total net assets
Total liabilities and net assets

2

Nomura System Corporation Co., Ltd. (3940) Financial Results for the First Quarter of 2018

(2) Quarterly Statement of Income(For the Three-month Period)

Net sales

638,908(Thousands of yen)First three months of 2018
(Jan. 1 – Mar. 31, 2018)616,330

Cost of sales

455,499444,586

Gross profit

183,409

171,744

Selling, general and administrative expenses

75,857

76,127

Operating income

107,552

95,616

Interest income

910

Other-

150

Total non-operating income

9160

Interest expenses

44

Total non-operating expenses

44

Ordinary income

107,557

95,772

Profit before income taxes

107,557

95,772

Income taxes-current

32,87230,336

Income taxes-deferred5,357

3,967

Total income taxes

38,22834,303

Profit69,32861,469First three months of 2017
(Jan. 1 – Mar. 31, 2017)

Non-operating income

Non-operating expenses

3Nomura System Corporation Co., Ltd. (3940) Financial Results for the First Quarter of 2018

(3) Notes to Quarterly Financial Statements
Going Concern Assumption
Not applicable.
Significant Changes in Shareholders’ Equity
Not applicable.

This financial report is solely a translation of “Kessan Tanshin” (in Japanese, including attachments), which has been preparedin accordance with accounting principles and practices generally accepted in Japan, for the convenience of readers who prefer
an English translation.

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