Financial Results for the First Quarter of the Fiscal Year Ending March 31, 2018
[Japanese GAAP] (Consolidated)
Name of Listed Company:
UCHIYAMA HOLDINGS INC.
Code Number: 6059
URL: http://www.uchiyama-gr.jp
Representative: Fumiharu Uchiyama, President and Representative Director
Contact Point: Takehiro Yamamoto, Senior Managing Director and Manager of Business Planning Office
Phone: (093) 551-0002
Scheduled Date of Dividend Payment Start:
Scheduled Date of Financial Statements Filing:
August 14, 2017
Supplementary materials for Financial Results: None
Investor conference for Financial Results: None

August 10, 2017
Stock Listing: TSE(Amounts are rounded down to the nearest one million yen)

1. Consolidated Financial Results for the First Quarter of the Fiscal Year Ending March 31, 2018 (April 1, 2017 – June 30, 2017)(% of change from previous year)(1) Consolidated Financial Results
Profit attributable to
Net sales
Operating income
Ordinary income
owners of parent
Millions of yen

FY 2018 1Q
FY 2017 1Q(Note) Comprehensive income%

Millions of yen

%

6,306
7.2
208
5,885
4.7
(23)
FY 2018 1Q: ¥172 million (- %)Net income
per share

Millions of yen%

Millions of yen

%

256
－
－
23
(21.4)－FY 2017 1Q: -4 million (- %)

164
2

－
(97.0)

Diluted net income per
share
Yen

Yen

FY 2018 1Q
8.49－
FY 2017 1Q
0.14
0.14
Since the year-on-year growth rates of ordinary income and profit attributable to owners of parent for the 1 st quarter of the term
ending March 2018 exceed 1000%, “－” is used.
(2) Consolidated Financial Position
Total assets

Net assets

Millions of yen

FY 2018 1Q
FY 2017(Reference) Equity capital:

Equity ratio

Millions of yen

31,49030,355FY 2018 1Q: ¥14,870 million%

14,87047.2
14,79448.7
FY 2017: ¥14,794 million

2. Dividends
End of the 1Q

Dividends per share
End of the 3Q

End of the 2Q

Yen

FY 2017－
FY 2018－
FY 2018 (forecast)(Note) Changes from the latest dividend forecast: None

Year-end

Annual

Yen

Yen

Yen

Yen

5.00

－

5.00

10.00

5.00

－

5.00

10.00

3. Forecasts of Consolidated Financial Results for the Fiscal Year Ending March 31, 2018 (April 1, 2017 – March 31, 2018)(% of change from previous year for full year)

Net sales
Millions of yen

Operating income%

Millions of yen

Profit attributable toowners of parent

Ordinary income%

Millions of yen%

Millions of yen%

Net income
per shareYen

2Q
13,120
8.1
586
171.5
570
62.9
380
81.7
19.69
(cumulative)
Full year
26,810
5.9
1,120
44.2
1,081
7.2
702
36.32
－
(Note) 1 Changes from the latest financial forecast: None
2 Since the year-on-year growth rate of annual profit attributable to owners of parent for the term ending March 2018exceeds 1000%, “－” is used.

*Notes(1) Changes in significant subsidiaries (changes of specified subsidiaries resulting in changes in scope of consolidation) during
the current term: None
(2) Application of the accounting procedures for producing quarterly consolidated financial statements: None
(3) Changes in accounting policies, accounting estimates and restatements:
1) Changes in accounting policies due to revisions of accounting standards:
2) Changes in accounting policies due to reasons other than above 1):3) Changes in accounting estimates:
4) Restatements:(4) Number of outstanding shares (common stock)1) Number of outstanding shares (including treasury
stock) at end of term2) Number of treasury stock at end of term3) Average number of shares

None
None
None
None

FY 2018 1Q

21,618,800 shares

FY 2017

21,618,800 shares

FY 2018 1Q

2,287,776 shares

FY 2017

2,287,776 shares

FY 2018 1Q

19,331,024 shares

FY 2017 1Q

19,487,621 shares* Summary of financial results is out of scope of quarterly review.
* Statement regarding the proper use of financial forecasts and other remarks
 Descriptions regarding the future, including the financial projections contained in this report, are based on certain
assumptions currently available to the Company, which are, at the discretion of the Company, deemed reasonable. Actual
financial results may significantly vary due to various factors. For assumptions used in forecasting financial results andprecautions in using the financial projections, please refer to “Analysis Concerning Future Forecasts Including
Consolidated Financial Projections” on page 3 of the Appendix.
 A meeting for explaining the businesses and results to individual investors will be held when necessary. For the schedule ofthe meeting, etc., please see the website of the company.

○Table of contents of the appendix

1. Analysis Concerning Results of Operations and Financial Condition .......................................................................................... 2(1) Analysis Concerning Results of Operations ............................................................................................................................ 2(2) Analysis Concerning Financial Situation ................................................................................................................................ 3(3) Analysis Concerning Future Forecasts Including Consolidated Financial Projections ........................................................... 3
2. Consolidated Financial Statements ............................................................................................................................................... 4(1) Consolidated Balance Sheets .................................................................................................................................................. 4(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income .............................................. 6(3) Notes Regarding Consolidated Financial Statements .............................................................................................................. 8(Notes regarding premise of a going concern) .......................................................................................................................... 8(Notes on significant changes in the amount of shareholders’ equity) ...................................................................................... 8(Segment information, etc.) ...................................................................................................................................................... 8

1

1. Analysis Concerning Results of Operations and Financial Condition(1) Analysis Concerning Results of Operations
In the first quarter of this consolidated term, the Japanese economy saw a gentle recovery trend, thanks to the economic
policies of the government, the improvements in corporate earnings and the employment environment, etc., but there aremany uncertainties in overseas circumstances, including the trends of governmental policies in Europe and the U.S. and therisk of a military clash in North Korea and Syria, and so the future outlook remains unclear.
Amid this business environment, our corporate group has carried out sales activities, etc. actively based on our businessstrategies in each segment. In addition, we made efforts to improve the added values of our services, by planning andimplementing various measures for boosting synergetic effects among Nursing Care, Karaoke, and Restaurant Businesses.
As for expenditures, we streamlined our business administration by reducing costs, to stabilize our business performance.
As a result, sales of the first quarter of the current consolidated fiscal year were 6,306,310 thousand yen (up 7.2% Yearon-Year (YoY)), operating income was 208,339 thousand yen (operating loss of 23,356 thousand yen in the same term lastyear), ordinary income was 256,714 thousand yen (23,234 thousand yen in the same term last year), and profit attributable toowners of patent was 164,026 thousand yen (2,770 thousand yen in the same term last year).
The results of each segment were as follows.
1) Nursing Care Business
For the Nursing Care Business segment, we opened the paid nursing home with nursing care services “Sawayaka Seaside
Kukinoumi” and the day-care facilities in a project for supporting disabled children in commuting to facilities after school,etc. “Sawayaka Ai-no-ie Setouchi-kan” and “Sawayaka Ai-no-ie Niihama-kan” in June. As a result, the number of sales
footholds as of the end of the first quarter is 83 (155 offices). At existing facilities, we aimed to stabilize occupancy ratio andreduce the number of vacant rooms by promoting the cementing of cooperation with nearby hospitals and home care support
offices by visiting them. Consequently, the average occupancy ratio of existing facilities in the first quarter of thisconsolidated term was 93.4% (91.7% in the same term last year). As a result, sales were 3,893,498 thousand yen (up 12.4%
YoY) and segment income was 337,213 thousand yen (up 46.0% YoY).
2) Karaoke Business
For the Karaoke Business segment, we strived to reel in customers by actively promoting students to use the all-you-candrink counter and increasing repeat customers by continuously urging the customers to subscribe to mobile membership for
smartphone. As a result, sales were 1,785,760 thousand yen (down 5.5% YoY) and segment income was 110,627 thousandyen (up 412.8% YoY). In the first quarter of the current consolidated fiscal year, we closed two stores without opening any
new stores. Accordingly, the number of stores is 94 as of the end of this quarter.
3) Restaurant Business
For the Restaurant Business segment, one existing store changed its business type, one karaoke shop changed its businesstype to a restaurant, and closed one store. Accordingly, the number of stores as of the end of this first quarter is 23 inside
Japan, and 3 outside Japan. The number of customers at existing stores was stable. As a new type of store, we opened the
highball-specialized store “Highball Bar Gintengai 1923” in Kokurakita-ku, Kitakyushu-shi, to create new demand. As aresult, sales were 435,273 thousand yen (up 0.7% YoY) and segment loss was 9,250 thousand yen (segment loss was 14,181
thousand yen during the same term last year).
4) Real Estate Business
For the Real Estate Business segment, our corporate group’s core businesses activities are sales/purchase of real estate
properties for sale and intermediary work for rental properties. As a result, sales were 126,667 thousand yen (up 144.9%
YoY) and segment income was 35,112 thousand yen (up 163.6% YoY).

25) Other businesses
In the Other businesses segment, we strived to increase hotel guests by utilizing the advertisement media, with the aim of
meeting the demand as domestic travels increased due to the yen depreciation, in the hotel business. As a result, sales were65,109 thousand yen (up 34.9% YoY) and segment loss was 7,956 thousand yen (segment loss was 11,558 thousand yen
during the same term last year).

(2) Analysis Concerning Financial Situation
Total assets as of the end of the first quarter of this consolidated fiscal year came to 31,490,210 thousand yen, up 1,134,334
thousand yen from the end of the previous consolidated fiscal year.
Current assets came to 13,320,115 thousand yen, up 148,264 thousand yen from the end of the previous consolidated fiscal
year. This is mainly because real estate for sale and current assets (other) increased and cash and deposit decreased.
Noncurrent assets came to 18,170,095 thousand yen, up 986,070 thousand yen from the end of the previous consolidated
fiscal year. This is mainly because buildings and structures and land increased.
Liabilities as of the end of the first quarter of this consolidated fiscal year came to 16,619,642 thousand yen, up 1,058,664
thousand yen from the end of the previous consolidated fiscal year.
Current liabilities came to 6,585,025 thousand yen, up 328,368 thousand yen from the end of the previous consolidated
fiscal year. This is mainly because short-term loans payable and provision for bonuses increased and notes and accounts
payable-trade decreased.
Noncurrent liabilities came to 10,034,616 thousand yen, up 730,296 thousand yen from the end of the previous
consolidated fiscal year. This is mainly because long-term loans payable increased and noncurrent liabilities (other) decreased.
Net assets as of the end of the first quarter of this consolidated fiscal year came to 14,870,568 thousand yen, up 75,670
thousand yen from the end of the previous consolidated fiscal year. This is mainly because of an increase in retained earnings
arising from profit attributable to owners of parent and a decrease due to cash dividends paid.
Consequently, the equity ratio as of the end of the first quarter of this consolidated fiscal year was 48.7%.

(3) Analysis Concerning Future Forecasts Including Consolidated Financial Projections
As for the consolidated financial projections for the term ending March 2018, there are no changes to the estimated values
announced on May 12, 2017.

3

2. Consolidated Financial Statements(1) Consolidated Balance Sheets(Thousands of yen)
FY ended March 31, 2017
(As of March 31, 2017)

1Q of FY ending March 31, 2018
(As of June 30, 2017)

AssetsCurrent assets
Cash and deposits

9,249,929

9,019,574

Notes and accounts receivable-trade
Securities

1,731,381
5,003

1,801,705-

Merchandise
Real estate for sale

68,073
1,049,738

65,8501,173,155

Supplies
Other

174
1,080,688

174
1,273,357(13,138)(13,702)

13,171,850

13,320,115

7,721,059

8,437,714

Land
Other, net

3,629,089
1,011,502

3,843,306
996,808

Total property, plant and equipment

12,361,651

13,277,829

45,80053,5384,849,802

4,911,580(73,229)(72,852)

Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures, net

Intangible assets
Investments and other assets
Other
Allowance for doubtful accounts
Total investments and other assets

4,776,572

4,838,727

17,184,025

18,170,095

30,355,875

31,490,210

347,593844,600

279,879
1,115,720

2,225,201
162,427

2,302,332
135,932

Provision for bonuses
Provision for point card certificates

235,260
229,762

362,630
194,396

Provision for shareholder benefit program
Asset retirement obligation

11,815
6,833

11,815-

Other

2,193,162

2,182,318

Total current liabilities

6,256,657

6,585,025

Noncurrent liabilities
Long-term loans payable

7,516,797

8,308,790

214,653
1,572,869

228,072
1,497,753

9,304,320

10,034,616

15,560,977

16,619,642

Total noncurrent assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Income taxes payable

Asset retirement obligation
Other
Total noncurrent liabilities
Total liabilities

4

(Thousands of yen)
FY ended March 31, 2017
(As of March 31, 2017)

1Q of FY ending March 31, 2018
(As of June 30, 2017)

Net assets
Shareholders' equity
Capital stock

2,222,935

2,222,935

Capital surplus
Retained earnings

2,666,282
11,076,529

2,666,282
11,143,901

Treasury stock(1,166,007)(1,166,007)

Total shareholders' equity

14,799,740

14,867,111(5,814)

2,479

972

977

(4,842)

3,456

14,794,897

14,870,568

30,355,875

31,490,210

Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Total accumulated other comprehensive
incomeTotal net assets
Liabilities and net assets5(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Consolidated Statements of Income
The first quarter of this consolidated fiscal year
(Thousands of yen)
1Q of FY ended March 31, 2017
(April 1, 2016- June 30, 2016)

1Q of FY ending March 31, 2018
(April 1, 2017- June 30, 2017)

Net sales

5,885,369

6,306,310

Cost of sales

5,481,570

5,683,184

Gross profit

403,798

623,125

Selling, general and administrative expenses

427,154414,786

Operating income (loss)(23,356)

208,339

Interest income
Dividends income

1,575
24

1,414
22

Commission fee
Other22,04159,14934,66434,966

Total non-operating income

82,791

71,067

Non-operating income

Non-operating expenses
Interest expenses

23,962

18,720Other

12,238

3,972

Total non-operating expenses

36,20022,693

Ordinary income

23,234

256,714

Income before income taxes

23,234

256,714

Income taxes-current

81,987

120,033

Income taxes-deferred(62,473)(27,345)

Total income taxes

19,514

92,688Net income

3,720

164,026

950

-

2,770

164,026

Net profit attributable to non-controlling interests
Net profit attributable to owners of parent

6

Consolidated Statements of comprehensive income
The first quarter of this consolidated fiscal year
(Thousands of yen)
1Q of FY ended March 31, 2017
(April 1, 2016- June 30, 2016)
Net income

1Q of FY ending March 31, 2018
(April 1, 2017- June 30, 2017)

3,720

164,026

Other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment(8,594)

8,294

(103)

5

Total other comprehensive income(8,697)

8,299(4,976)

172,325(5,854)

172,325

877-

Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of
the parent
Comprehensive income attributable to noncontrolling interests7(3) Notes Regarding Consolidated Financial Statements(Notes regarding premise of a going concern)
Nothing is applicable.
(Notes on significant changes in the amount of shareholders’ equity)
Nothing is applicable.
(Segment information, etc.)[Segment information]
I. Cumulative period through the consolidated first quarter of the previous fiscal year (April 1 – June 30, 2016)
1. Information on sales, profits or losses, assets, liabilities, and other items for each segment(Thousands of yen)
Reporting segments

Others

Total

Adjustment

Consolidatedbalance sheet

Nursing-care

Karaoke

Restaurant

Real EstateBusiness

Business

Business

Business

3,464,008

1,889,249

432,12251,721

5,837,101

48,267

5,885,369－

5,885,369－

96

10,882－

10,978－

10,978(10,978)－

3,464,008

1,889,346

443,004

51,721

5,848,080

48,267

5,896,348(10,978)

5,885,369

231,028

21,571(14,181)

13,319251,738(11,558)

240,179(263,535)(23,356)

Total(Note) *1

Amount*2

amount*3

Sales
Sales to externalcustomers
Internal sales ortransferred
amount among
the segments
Total
Segment income(loss)(Note) 1. The classification “other business” refers to business segments that are not included in reporting segments, andincludes hotel business.
2. The segment income (loss) adjustments amount, -263,535 thousand yen, includes 117,801 thousand yen inelimination of intersegment transactions and -381,336 thousand yen in company-wide expenses that are not allocatedto reporting segments. The company-wide expenses are mainly selling, general and administrative expenses that are
not allocated to reporting segments.
3. Segment income (loss) is adjusted with operating loss calculated in consolidated quarterly statements of income.
2. Information on impairment of non-current assets and goodwill etc. for each reporting segment
Nothing is applicable.

8II. Cumulative period through the consolidated first quarter of current fiscal year (April 1 – June 30, 2017)
1. Information on sales, profits or losses, assets, liabilities, and other items for each segment(Thousands of yen)
Reporting segments

Others

Total

Adjustment

Consolidatedbalance sheet

Nursing-care

Karaoke

Restaurant

Real EstateBusiness

Business

Business

Business

3,893,498

1,785,760

435,273

126,667

6,241,200

65,1096,306,310－

6,306,310

－

2,550

9,685

345

12,581－

12,581(12,581)－

3,893,498

1,788,310

444,959

127,0126,253,781

65,1096,318,891(12,581)6,306,310

337,213

110,627(9,250)35,112473,701(7,956)

465,745(257,405)

208,339

Total(Note) *1

Amount*2

amount*3

Sales
Sales to externalcustomers
Internal sales ortransferred
amount among
the segments
Total
Segment income(loss)(Note) 1. The classification “other business” refers to business segments that are not included in reporting segments, andincludes hotel business.
2. The segment income (loss) adjustments amount, -257,405 thousand yen, includes 120,854 thousand yen inelimination of intersegment transactions and -378,260 thousand yen in company-wide expenses that are not allocatedto reporting segments. The company-wide expenses are mainly selling, general and administrative expenses that are
not allocated to reporting segments.
3. Segment income (loss) is adjusted with operating income calculated in consolidated quarterly statements of income.
2. Information on impairment of non-current assets and goodwill etc. for each reporting segment
Nothing is applicable.

9