COMSYS WAY
Advance of structural reforms and top-line growth

Annual Report 2016
Fiscal Year Ended March 31, 2016

COMSYS Holdings Corporation

Contents

01

Profile02

President’s Message

04

Five Integrated Business Groups

06

Business at a Glance

08

Review of Operations
08 NTT Engineering Business
09 NCC Engineering Business
10 IT Solutions Business
11 Social System-Related Business and Other

12

Topics14

Corporate Governance19

Corporate Social Responsibility (CSR)

20

Financial Statements*
20 Consolidated Balance Sheets
22 Consolidated Statements of Income
23 Consolidated Statements of Changes in Net Assets
25 Consolidated Statements of Cash Flows
26 Ten-Year Summary of Business Results and Financial Data

28

How to Use

Information

8

COMSYS Holdings Corporation Annual Report 2016

COMSYS Holdings Corporation Annual Report 2016

BUSINESS DOMAINS

NCC Engineering Business
BUSINESS DOMAINS

Orders Received/Net Sales(Year ended March 31, 2016)

Orders Received/Net Sales■ Telecommunications facility construction(Year ended March 31, 2016)

Five Integrated
Business Groups■ NTT access businessPresident’s
Message

NTT Engineering Businessbusiness with telecommunications carriers■ NTT network businessother than the NTT Group■ NTT mobile business(Billions of yen)(Billions of yen)

188.4

■ Net sales

56.9%

182.5

SANCOM
Group

■

TOSYS
Group

TSUKENGroup■■COMSYSJOHOSYSTEM Group

infrastructure for the NTT Group, including the instaland construction of wireless base stations. This is the
COMSYS Group’s core business and accounts for thelargest share of Group-wide sales.

process work in the NTT network business, and anincrease in next-generation LTE Advanced negotiation
process projects in the NTT mobile business.
Looking ahead, we anticipate growth in facility maintenance work and demand for removing telephone polesin Tokyo in the NTT access business. We also expect
demand to strengthen for inter-prefectural capacity
enlargement projects in the NTT network business.
In addition, we expect stronger demand related to

Respective Areas of Business Operations ofGroup Companies
NipponCOMSYSGroup

SANCOM
Group

TOSYS
Group

TSUKENGroupCOMSYSJOHOSYSTEM Group■

Business Activities
In the NCC Engineering segment, the Group undertakes construction of telecommunication and otherrelated facilities for telecommunications carriers otherthan the NTT Group.

MHz band and 3.5 GHz band base stations from KDDI
Corporation (au), order receipts are likely to continue
declining over the long term as LTE-related construction loses momentum.
Meanwhile, we expect installation work from the
SoftBank Group for its 700 MHz band, 3.5 GHz bandand 2.5 GHz band base stations, but construction unit
prices are likely to decline owing to the promotion ofreverse auctions.
In the NCC Engineering segment in fiscal 2016, the
COMSYS Group recorded net sales of ¥27.1 billion, athe Tokyo Olympic and Paralympic Games, as well as

year-on-year decrease of 23.8%. For fiscal 2017, thereconstruction-related work in the Tohoku region.

Group forecasts net sales of ¥27.0 billion, a decline of
0.7% compared with fiscal 2016, owing in part torestraints on capital investment at telecommunications

decline of 0.6% from fiscal 2015.

carriers.

For fiscal 2017, the Group forecasts net sales of ¥182.5
billion, unchanged from the previous fiscal year, despitestatements that are not historical facts are forward-looking statements, which involve risks and uncertainties. Potenexchange rates, and COMSYS Holdings’ ability to continue to win customers’ acceptance of its products, which areoffered in highly competitive markets characterized by continual new product introductions and rapid developments in technology.

To Contents* Compiled based on the content of COMSYS Holdings’ Annual Securities Report submitted in Japanese.

Left-click tabs at the right-hand edgeof the page to jump to the relevant
section.

To Contents

To Contents

the impact of lower capital investment by the NTT Group.

Statements made in this annual report with respect to COMSYS Holdings’ plans and benefits as well as othertial risks and uncertainties include, without limitation, general economic conditions in COMSYS Holdings’ markets,

Information

In the NTT Engineering segment in fiscal 2016, the
COMSYS Group posted net sales of ¥182.5 billion, aFinancial
Statements

lation of telephone lines and exchange equipment

and backbone system work in the NTT access business,an increase in transmission system equipment upgrade

Corporate Social
Responsibility(CSR)

In the NTT Engineering segment, the Group is mainly

27.1

Although we anticipate installation work for 700

Corporate
GovernanceNipponCOMSYSGroup

Business Activities

26.9

8.5%

Group.

TopicsRespective Areas of Business Operations ofGroup Companies

8.1%■ Net sales

Sales declined on account of restrained capital investment at KDDI Corporation (au) and the SoftBank

investment in conversion to fiber optics. Regardless,there was an increase in telephone pole upgrade work

engaged in the construction of telecommunications■ Orders received

Operating Results Analysis and Forecast

In the NTT fixed-line business, capital investment has
declined every year at NTT East and NTT West, including

Review ofOperations

56.8%

Operating Results Analysis and Forecast

30 Investor Information
Cautionary Statement with Respect to Forward-Looking Statements■ Orders received

Business at a
Glance28 COMSYS Holdings Information

9

ProfileReview of Operations

COMSYS Holdings Corporation Annual Report 2016

1

ProfileProfilecompany through share transfers from three companies—Nippon COMSYS Corporation, SANWA

President’s
Message

COMSYS Holdings Corporation (the “Company”) was established in September 2003 as a holding
ELEC Co., Ltd. (now SANWA COMSYS Engineering Corporation) and HIGASHI NIHON System
Today, the COMSYS Group consists of 44 subsidiaries and 7 affiliates, centered on 5 core operating
subsidiaries, specifically the above 3 companies and TSUKEN Corporation and COMSYS JOHO
infrastructure construction services and the information processing-related business.

Review ofOperations

COMSYS WAY (advanced etc.)

Business at a
GlanceSYSTEM Corporation. The COMSYS Group’s main businesses are electrical and telecommunications

Five Integrated
Business Groups

Construction Co., Ltd. (now TOSYS Corporation).

The COMSYS Group has made further progress on its COMSYS WAY medium- to long-term
cifically, the Group is tackling the following issues.

1 Actively increase orders received in response to higher public investment and investment in ICT

Corporate
Governance

Top-Line Growth

Topicsmanagement strategy centered on top-line growth and advancing structural reforms. More spe-

2 Actively enter and expand the green innovation business, including the solar power business3 Pioneer new business areas with a focus on the Smart Community
4 Seek out M&A opportunities and enhance business alliances

Financial
Statements

Promote Structural Reforms

Corporate Social
Responsibility(CSR)(Expand business areas by taking advantage of the liberalization of electric power)

1 Mobilize personnel for growth businesses

3 Strengthen integrated sales and project construction systems at Group companies

Information

2 Maximize the use of human resources by fostering multi-skilled employees

4 Utilize a construction IT platform that provides comprehensive management from receipt throughTo Contents

to project management

2

COMSYS Holdings Corporation Annual Report 2016

President’s Message

We aim to achieve growthover the medium to long termby achieving top-line growth andpromoting structural reforms.
September 2016

Hajime Takashima
President and Representative Director

COMSYS Group Performance andadvancing structural reforms and improving productivity.

Business Environment in Fiscal 2016

However, these efforts were unable to absorb the decline

In the information and communications field of thewhile net income attributable to owners of the parent came

COMSYS Group, there were significant changes in services

to ¥15.4 billion.

and market conditions. We saw the emergence of new

in net sales and operating income totaled ¥23.8 billion

demand due to the Hikari Collaboration Model as well as

Market Environment andtechnological innovation aimed at diversifying and adding

Performance in Fiscal 2017

functionality to mobile devices that use LTE and otherhigh-speed wireless broadband networks.

Our outlook for fiscal 2017 anticipates a decline in capital

In both the public and private sectors, we expect to see

investment at telecommunications carriers, but we expect

expanding investment. The main drivers are likely to be aorder receipts to increase as a result of growth in both the

new wave of innovation involving the Internet of Things inpublic and private sectors with continued government

the fields of medicine, disaster prevention, and electronic

spending to strengthen national resilience, investments ingovernment, as well as government spending to strengthen

environmental and energy projects, and investments innational resilience and investment in environmental andsocial infrastructure ahead of the Tokyo Olympic andenergy projects. In addition, we anticipate an increase in

Paralympic Games.

investment for social infrastructure ahead of the Tokyo
Olympic and Paralympic Games.

We expect net sales to increase in light of the highvolume of work in progress carried forward from fiscal 2016

To Contents

Under these market conditions, orders were broadly inand the addition of TOKYO HOSOH KOGYO CO., LTD.

line with expectations in fiscal 2016, but capital investment

and other company to the scope of consolidation. We also

at telecommunications carriers declined, resulting in net

expect profits to expand on account of ongoing structuralsales of ¥320.6 billion.

reforms and efforts to increase construction efficiency and

The COMSYS Group endeavored to reduce costs by

reduce costs.

COMSYS Holdings Corporation Annual Report 2016

3

ProfileDividend Policy

and Medium- to Long-Term

COMSYS Holdings views returning earnings to sharehold-

Corporate Management Strategy

ers as an important management priority. Our basic policy

President’s
Message

Target Management Indicators

is to pay steady and continuous dividends linked tobusiness performance.

for management and each business with an eye on theBased on the above policy, COMSYS decided to

anticipated business environment in 10 years.

increase the annual dividend for fiscal 2016 by ¥5.00 to¥35.00 per share, consisting of an interim dividend of ¥15
Moreover, to further enhance shareholder returns andfacilitate the implementation of a flexible capital policythat is responsive to changes in the corporate environment,
we acquired ¥8.0 billion in treasury stock and retired 4.97

50%

million shares of treasury stock during the fiscal year underreview.

Review ofOperations

from non-carrier business(social systems, IT solutions):

per share and a year-end dividend of ¥20.00 per share.

Business at a
Glance• Net sales: ¥400 billion or more
• Operating income: ¥30 billion or more
• Ratio of net sales

Five Integrated
Business Groups

In 2014, the COMSYS Group established target indicators

For fiscal 2017, we plan to increase the annual dividend

To achieve these indicators, the COMSYS Group aims

interim dividend and a ¥20.00 per share year-end dividend)

even further through the construction of various infra-

Topicsby ¥5.00 per share to ¥40.00 per share (a ¥20.00 per shareto increase its social contribution and corporate value

while considering performance and the dividend payout

structure that supports everyday life in society in addition

ratio.

to the telecommunications-related infrastructure it has

to ¥5.0 billion of its own shares.
We look forward to the ongoing understanding andCorporate
GovernanceIn addition, COMSYS Holdings intends to acquire up

constructed so far.

support of all our stakeholders as we endeavor to reach
Corporate Social
Responsibility(CSR)

our goals.

Operating Results by Year
(Millions of yen)

400,000

40,000331,341

316,092

300,000

295,851

8.4%

8.3%

320,654
27,67430,0007.4%

7.4% 25,000
23,84922,54720,000200,000

Information

27,5707.1%

340,000

328,631

Financial
Statements(Millions of yen)

4.3%
12,592

0

12■ Net Sales (Left Scale)13■ Operating Income (Right Scale)

14■

Operating Margin15

16

17 (Forecast)(Years ended March 31)

0

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10,000100,000

4

COMSYS Holdings Corporation Annual Report 2016

Five Integrated Business Groups

The main businesses of the COMSYS Group(COMSYS Holdings and its subsidiaries andaffiliates) comprise the installation of electricaland telecommunications facilities and equipment, and the information processing-related
business. As of March 2016, the Group included
NipponCOMSYS
Corporation

SANWA
COMSYS
Engineering
Corporation

TOSYS
Corporation

TSUKEN
Corporation

Nippon COMSYS
Corporation

Business Activities
With its primary customers consisting of the NTT
Group, public offices, and private enterprises,
the Nippon COMSYS Group is engaged in the
installation of electrical and telecommunications
facilities and equipment on a nationwide scale.

SANWA COMSYSEngineering Corporation

Business Activities
With its primary customers consisting of theKDDI Group and the SoftBank Group, the
SANWA COMSYS Engineering Group is engaged
in the installation of electrical and telecommunications facilities and equipment on a nationTo Contents

wide scale.

COMSYSJOHOSYSTEM
Corporation

56 companies.

Address:
17-1, Higashigotanda 2-chome, Shinagawa-ku,
Tokyo 141-8647, Japan
Establishment:
December 1951
Number of Employees:
Consolidated 5,044
Non-Consolidated 2,902
URL:
http://www.comsys.co.jp/(Japanese only)
Number of Consolidated Subsidiaries:
15 companies

Address:
12-3, Koenji-Minami 2-chome, Suginami-ku,
Tokyo 166-0003, Japan
Establishment:
September 1947
Number of Employees:
Consolidated 1,456
Non-Consolidated 710
URL:
http://www.sancom-eng.co.jp/(Japanese only)
Number of Consolidated Subsidiaries:
3 companies

COMSYS Holdings Corporation Annual Report 2016

5

ProfileWith the NTT Group as its primary customer,
the TOSYS Group is engaged in the installationof electrical and telecommunications facilities
and equipment, mainly in Nagano and Niigata.

the TSUKEN Group is engaged in the installationand equipment, mainly in Hokkaido.

With the NTT Group as its primary customer,
engaged in the software development business,
mainly in Tokyo.

Information

the COMSYS JOHO SYSTEM Group is primarily

Financial
Statements

Business Activities

To Contents

Address:
23-14, Takanawa 3-chome, Minato-ku,
Tokyo 108-0074, Japan
Establishment:
April 2009
Number of Employees:
Consolidated 518
Non-Consolidated 370
URL:
http://www.comjo.co.jp/(Japanese only)
Number of Consolidated Subsidiaries:
1 company

Corporate Social
Responsibility(CSR)

COMSYS JOHO SYSTEM
Corporation

Corporate
Governanceof electrical and telecommunications facilities

TopicsWith the NTT Group as its primary customer,

Review ofOperations

Business Activities

Address:
1-23, Kitashijounishi 15-chome, Chuo-ku Sapporo,
Hokkaido 060-0004, Japan
Establishment:
April 1951
Number of Employees:
Consolidated 1,714
Non-Consolidated 846
URL:
http://www.tsuken.co.jp/(Japanese only)
Number of Consolidated Subsidiaries:
6 companies

Business at a
GlanceTSUKEN Corporation

Five Integrated
Business Groups

Business Activities

Address:
1108-5, Higashiyama Aza, Watauchi, Wakaho, Nagano City,
Nagano 381-0193, Japan
Establishment:
January 1960
Number of Employees:
Consolidated 1,069
Non-Consolidated 640
URL:
http://www.tosys.co.jp/(Japanese only)
Number of Consolidated Subsidiaries:
4 companies

President’s
Message

TOSYS Corporation

6

COMSYS Holdings Corporation Annual Report 2016

Business at a Glance

Business Segments

NTT Engineering
Business

Fiscal 2016 Business Activities• In the NTT access business, fiber-optic installation projects
declined, but infrastructure work increased, including upgrading telephone poles and moving power lines underground.

• In the NTT network business, there was an increase in orders

Primary customers

due to transmission system equipment upgrade work as well
as renewal and disaster recovery projects for electric power
equipment, among others.

NTT East and NTT West,NTT Communications,
NTT DOCOMO• In the NTT mobile business, there was a decline in orders due

NCC Engineering
Business• Order receipts and sales declined due to curbs on capitalto the absence of LTE construction work carried out in fiscal
2015, but there was growth in new work for the 4G (LTE Advanced)
negotiation process.

investment at KDDI Corporation (au) and the SoftBank Group.

• Competition for orders intensified because KDDI Corporation(au) introduced an integrated order placement system for
installation and maintenance work in some regions.

• Construction unit prices declined due to SoftBank Group’s

Primary customers

promotion of reverse auctions.

KDDI Group,
SoftBank GroupIT Solutions
Business• Business declined owing in part to the absence of P-NET(Japan Post)-related projects that arose in the previous fiscal
year.

• Orders decreased due to a decline in network projects at
manufacturers.

Primary customers
Various private-sector
companies, public offices andlocal government authorities

SocialSystem-Related
Business and OtherTo Contents

Primary customers
Public offices,
local government authorities andvarious private-sector companies• Competition intensified while work orders placed by local
governments declined.

• The solar power construction (EPC*) business expanded,achieving record-high orders.

• Both orders and sales increased from the addition of newly
consolidated companies.

• Public- and private-sector demand weakened, and electrical
power construction orders declined.
* EPC: Engineering, Procurement and Construction

COMSYS Holdings Corporation Annual Report 2016

7

Profilean increase in equipment maintenance work, and growth in projects for removing telephone
poles ahead of the Tokyo Olympic and Paralympic Games. In addition, we expect an increase
in removal projects and so forth to result from NTT’s revision of its depreciation method.

■ Orders Received(Billions of yen)200

■ Net Sales

188.4 182.5

176.5 182.5

2015.32016.32017.3(Forecast)• In the NTT network business, we expect transmission system equipment upgrades to
run their course, but anticipate growth in inter-prefectural capacity enlargement projects
through fiscal 2021, as well as projects for installing HVDC power supply systems thatdeliver direct current to servers in NTT buildings, data centers and other sites.

• In the NTT mobile business, we anticipate growth from efforts to increase communication
speeds (carrier aggregation), full-scale advancement in 4G (LTE Advanced) negotiation,engineering, and installation, and the new introduction of the 700 MHz band.

and the SoftBank Group intends to keep capital investment unchanged from fiscal
2016 levels.

0■ Orders Received(Billions of yen)
50

33.7

35.6

plans to install new 700 MHz band and 4G (3.5 GHz band) base stations.

• We expect the SoftBank Group to install new 700 MHz band and 4G (3.5 GHz band)• We aim for growth by offering comprehensive services, from system building tomaintenance and operations.

strategic businesses.

55.1

53.7

■ Net Sales

57.5

52.2

54.0

50.7

40

2015.32016.32017.3(Forecast)■ Orders Received■ Net Sales

90.5
76.5

68.9

64.4
55.4

60.0

50

(Jibun Denryoku Program).
businesses via M&A.

0

2015.32016.32017.3(Forecast)

To Contents• We are entering the retail electric power business centered on solar power generation• We aim to advance the post-solar development business and expand into peripheral

Information(Billions of yen)100

• We plan to invest a combined total of ¥23.0 billion in the retail solar power generation
business. Additions to the scope of consolidation will contribute to sales andprofits.

2017.3(Forecast)Financial
Statements

business is likely to decline, we will target growth in new types of solar power generation construction projects, such as water-floating and car-park solar power projects.

2016.3■ Orders Received(Billions of yen)800• In the solar power generation construction business, since the mega solar power

2015.3

Corporate Social
Responsibility(CSR)• We will target growth in the middleware and information securities fields.
• We plan to expand alliance domains in line with the horizontal collaboration model.
• We plan to forge new alliances and expand into new business fields, including

0

27.0

25.5

Corporate
Governancebase stations, but anticipate a decline in construction unit prices due to reverse
auctions. Although we expect orders for KDDI Corporation (au) to increase, orders
are likely to decline for the SoftBank Group. Overall, we expect orders in the NCC
Engineering segment to decline year on year in fiscal 2017.

27.1

26.9

25

Topics• We expect construction volume for KDDI Corporation (au) to increase based on its■ Net Sales

Review ofOperations• KDDI Corporation (au) has announced an expansion in its capital investment plans,

100

Business at a
Glance179.0 183.6

Five Integrated
Business Groups• In the NTT access business, we expect work to continue for upgrading telephone poles,

President’s
Message

Orders Received/ Net Sales

Future Business Opportunities

8

COMSYS Holdings Corporation Annual Report 2016

Review of Operations

NTT Engineering Business
BUSINESS DOMAINS

Orders Received/Net Sales(Year ended March 31, 2016)■ NTT access business■ NTT network business■ NTT mobile business(Billions of yen)
■ Orders received

56.8%

188.4

■ Net sales

56.9%

182.5

Operating Results Analysis and Forecast

In the NTT fixed-line business, capital investment has
declined every year at NTT East and NTT West, including
investment in conversion to fiber optics. Regardless,there was an increase in telephone pole upgrade work

Respective Areas of Business Operations ofGroup Companies
NipponCOMSYSGroup

SANCOM
Group

■

TOSYS
Group

TSUKENGroup■■COMSYSJOHOSYSTEM Group

Business Activities
In the NTT Engineering segment, the Group is mainly
engaged in the construction of telecommunications
infrastructure for the NTT Group, including the installation of telephone lines and exchange equipment
and construction of wireless base stations. This is the
COMSYS Group’s core business and accounts for thelargest share of Group-wide sales.

and backbone system work in the NTT access business,an increase in transmission system equipment upgrade
process work in the NTT network business, and anincrease in next-generation LTE Advanced negotiation
process projects in the NTT mobile business.
Looking ahead, we anticipate growth in facility maintenance work and demand for removing telephone polesin Tokyo in the NTT access business. We also expect
demand to strengthen for inter-prefectural capacity
enlargement projects in the NTT network business.
In addition, we expect stronger demand related to
the Tokyo Olympic and Paralympic Games, as well asreconstruction-related work in the Tohoku region.
In the NTT Engineering segment in fiscal 2016, the
COMSYS Group posted net sales of ¥182.5 billion, adecline of 0.6% from fiscal 2015.
For fiscal 2017, the Group forecasts net sales of ¥182.5
billion, unchanged from the previous fiscal year, despite

To Contents

the impact of lower capital investment by the NTT Group.

COMSYS Holdings Corporation Annual Report 2016

9

ProfileBUSINESS DOMAINS

President’s
Message

NCC Engineering Business
Orders Received/Net Sales(Year ended March 31, 2016)

Five Integrated
Business Groups■ Telecommunications facility construction

business with telecommunications carriers
other than the NTT Group26.9■ Net sales

8.5%

27.1

Operating Results Analysis and Forecast

Sales declined on account of restrained capital invest-

Review ofOperations

8.1%

Business at a
Glance(Billions of yen)
■ Orders received

ment at KDDI Corporation (au) and the SoftBank
Although we anticipate installation work for 700

Respective Areas of Business Operations ofGroup Companies
SANCOM
Group

TOSYS
Group

TSUKENGroupCOMSYSJOHOSYSTEM Group■In the NCC Engineering segment, the Group undertakes construction of telecommunication and otherrelated facilities for telecommunications carriers otherdeclining over the long term as LTE-related construction loses momentum.
Meanwhile, we expect installation work from the
SoftBank Group for its 700 MHz band, 3.5 GHz bandand 2.5 GHz band base stations, but construction unit
prices are likely to decline owing to the promotion ofreverse auctions.
In the NCC Engineering segment in fiscal 2016, the
COMSYS Group recorded net sales of ¥27.1 billion, a
year-on-year decrease of 23.8%. For fiscal 2017, theGroup forecasts net sales of ¥27.0 billion, a decline of

Financial
Statements

than the NTT Group.

Corporation (au), order receipts are likely to continue

Corporate Social
Responsibility(CSR)

Business Activities

MHz band and 3.5 GHz band base stations from KDDI
Corporate
GovernanceNipponCOMSYSGroup

TopicsGroup.

0.7% compared with fiscal 2016, owing in part tocarriers.

Information

restraints on capital investment at telecommunications

To Contents

10

COMSYS Holdings Corporation Annual Report 2016

IT Solutions Business
BUSINESS DOMAINS

Orders Received/Net Sales(Year ended March 31, 2016)■

Network Integration (NI) Solutions■

System Integration (SI) Solutions■

Software development and contracted development■

Maintenance(Billions of yen)
■ Orders received

15.7%

52.2

■ Net sales

15.8%

50.7

Operating Results Analysis and Forecast

In fiscal 2016, both orders and sales decreased owing
to tougher competition, a decrease in construction
orders placed by local governments, and a decline in
the absence of P-NET-related work ordered by Japan
Post Bank in fiscal 2015.

Respective Areas of Business Operations ofGroup Companies
NipponCOMSYSGroup

SANCOM
Group

TOSYS
Group

TSUKENGroupCOMSYSJOHOSYSTEM Group

■

■

■

■

■

In the IT Solutions segment, the COMSYS Groupaims to become a total service provider trusted bycustomers, by leveraging its advantages in network
server and SDX technology capabilities over the longterm to create a business expansion cycle.
The COMSYS Group will also concentrate on

Business Activities

expanding alliance domains based on the horizontal

In the IT Solutions segment, the Group combines its

collaboration model.

accumulated expertise with cutting-edge network tech-

In the IT Solutions segment in fiscal 2016, thenologies to provide comprehensive solutions services

COMSYS Group posted net sales of ¥50.7 billion, ain the IT field, ranging from planning proposals regard-

decline of 5.6% from the previous fiscal year.

ing optimal systems integration for customers’ business
operations to providing maintenance services.

For fiscal 2017, the Group forecasts net sales of¥54.0 billion, an increase of 6.3%, owing to expansion
in the alliance and solutions businesses, as well as
growth in the financial system software development
business.

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COMSYS Holdings Corporation Annual Report 2016

11

ProfileBUSINESS DOMAINS

President’s
Message

Social System-Related Business and Other
Orders Received/Net Sales(Year ended March 31, 2016)■

Communication cable box (C.C. Box) construction■

Civil engineering construction■

Building construction and associated construction■

Environment and eco-solutions■

Others(Billions of yen)

19.4%

64.4

■ Net sales

18.8%

60.0

Operating Results Analysis and Forecast

In fiscal 2016, net sales increased as a result of growth

Review ofOperations■ Orders received

Business at a
GlanceElectrical facility construction

Five Integrated
Business Groups■

in solar power generation construction projects andtraction in orders owing in part to a decline following

Topicsadditions to the scope of consolidation, despite a concarry-over projects from Ecosystem Japan Co., Ltd.
becoming a subsidiary in fiscal 2015.

Respective Areas of Business Operations ofGroup Companies
SANCOM
Group

TOSYS
Group

TSUKEN
Group

■

■

■

■

COMSYSJOHOSYSTEM Group

Business Activities
ment, the Group is engaged in the design and construction of electrical facilities for places such as public
facilities and office buildings; general civil engineering
houses, factories, and disaster preparation facilities aswell as businesses related to the environment andeco-businesses, such as solar power generation sysinfrastructure businesses.

In the solar power sales business (IPP* business), we
forecast growth in both sales and operating income fromthe addition of COMSYS Create Corporation to thescope of consolidation.
In the Social System-Related Business and Other
segment in fiscal 2016, the COMSYS Group posted net
sales of ¥60.0 billion, an increase of 8.3% compared withthe previous fiscal year.
For fiscal 2017, the COMSYS Group forecasts a 27.3%
increase in net sales to ¥76.5 billion, reflecting the additions
to the scope of consolidation of COMSYS Create Corporation and TOKYO HOSOH KOGYO CO., LTD., which becamea subsidiary of Nippon COMSYS Corporation via an M&A.
* IPP: Independent Power Producer

To Contents

tems, energy conservation solutions, and other urban

new customers increase.

Information

projects and the construction of office buildings, ware-types, and the diversification of our customer base as

Financial
Statements

In the Social System-Related Business and Other seg-

generation facilities, such as water-floating and car-park
Corporate Social
Responsibility(CSR)

NipponCOMSYSGroup

owing to the construction of new types of solar power

Corporate
GovernanceIn fiscal 2017, in the solar power construction business(EPC business), we expect order receipts to expand

12

COMSYS Holdings Corporation Annual Report 2016

TopicsEstablishment of the COMSYS Group Management Philosophy

The COMSYS Group’s business territory goes beyond

Under the newly formulated COMSYS Group Manage-

communications infrastructure construction, which is thement Philosophy, we are committed to contributing evencarrier-related business, to encompass the construction

more to our stakeholders—customers, society, andof diverse infrastructure that is the foundation of social

shareholders and Group employees—as we move forwardand economic activity. That includes the non-carrier

toward achieving the COMSYS WAY as a united Group.

related businesses of urban infrastructure development
and ICT-related construction and renewable energy, which
includes solar power.

COMSYS Group Management Philosophy

At the COMSYS Group, we are united as a Group andstrive for strong partnership and collaboration with diverse external players
in achieving our management philosophy.

We will build a company that customers continue
to choose through the construction ofdiverse infrastructure that carries our era forward.
We will contribute to our country and local communities bybuilding social infrastructure that supports affluent lifestyles.
We will continue with unrelenting reformin our aim to further increase corporate value.

To Contents

COMSYS Holdings Corporation Annual Report 2016

13

ProfileOn April 1, 2016, COMSYS Holdings implemented a share

Nippon COMSYS Corporation subsidiary Ecosystem

exchange with TOKYO HOSOH KOGYO CO., LTD., andJapan Co., Ltd. began accepting applications and provid-

converted it into a subsidiary of Nippon COMSYS

ing services for its Jibun Denryoku Program in conjunction

Corporation.

with the full deregulation of the electric power retail sector

As a company that upgrades and maintains social

in April 2016.

engages in general civil engineering work centered on

business centered on solar power generation. Customers

road construction, water supply and sewer construction,

who sign up to purchase electricity through this program

and the production and sale of asphalt mixture materials.

agree to let Ecosystem Japan Co., Ltd. install a solar power

The company has earned the enduring trust of its custom-

system on the roof of their homes for free. In return, theers with more than 68 years of experience since its

customers can use electricity generated by the solar panels

founding in 1947.

without going through the power grid. This program is
Customers do not have to pay any upfront costs. During

pavement work, while leveraging the business foundation

hours of the day when the solar panels do not generateof Nippon COMSYS Corporation, a leading company inenough electricity, such as in the evening, ENNET Corpo-

telecommunications construction projects.

ration, a major power producer and supplier, delivers

Organization Outline

electricity to the customer on behalf of Ecosystem JapanTOKYO HOSOH KOGYO CO., LTD.

Address:

Sotokanda, Chiyoda-ku, Tokyo

Representative:

Hiromichi Yokota

Paid-In Capital:¥100 million

Net sales:¥1.27 billion (Year ended March 2016)

Year established:

1947

Number of employees:

197

Co., Ltd., so power outages are not a concern.

Corporate Social
Responsibility
(CSR)

Name:

Corporate
Governancewill concentrate on expanding business fields related to

Topicsthe first of its kind in Japan.

Review ofOperations

The Jibun Denryoku Program is a retail electric power

Business at a
Glanceinfrastructure, TOKYO HOSOH KOGYO CO., LTD.

Looking ahead, TOKYO HOSOH KOGYO CO., LTD.

Five Integrated
Business Groups

Ecosystem Japan Co., Ltd. Launches
the Jibun Denryoku Program

President’s
Message

Conversion of TOKYO HOSOH KOGYO
CO., LTD. into a Wholly Owned Subsidiary through an Exchange of Shares

Financial
Statements

Information

To Contents

Chairman and Representative Director Hosaku Shibuya (left) and President andRepresentative Director Hiromichi Yokota (right)

14

COMSYS Holdings Corporation Annual Report 2016

Corporate Governance

Basic Corporate Governance Philosophy

appropriate information disclosure, promoting theobservance of compliance, strengthening risk manage-

The COMSYS Group recognizes that it is important toment, rigorously implementing the COMSYS Group’s

strengthen corporate governance in order to improvecode of conduct, strengthening internal control, andcorporate value. By striving to achieve this, the COMSYS

contributing to society based on our businessGroup aims to be a company that possesses the ability

activities.

to win the trust and admiration of all stakeholders
through its actual performance.

Organizational Structure

To do this, the COMSYS Group considers it isessential to establish the transparency and soundnessof corporate management, and makes all possible

Corporate governance at COMSYS Holdings Corporation

efforts to entrench measures such as ensuring(the “Company”) includes the Audit & Supervisory Board

Diagram of the COMSYS Group’s Business Execution Framework, Management Monitoring and Internal Control System

General Shareholders’ Meeting
Election /Dismissal

Election /Dismissal
Cooperation

Election /Dismissal

Audit & Supervisory Board
Cooperation

Audit

Board of Directors

Independent
Auditor

Audit

Internal Control and
Audit Department
Internal
Audit

President(Senior Management Committee)

Instruct /ReportExecutive
Department

Internal Audit /ReportElection /Dismissal / Supervise

Instruct /ReportVariousCommittees

Management
Monitoring

Deliberate /ReportDisseminate
Information

COMSYS Group
Presidents Committee

COMSYS GroupTo Contents

Nippon COMSYS Corporation, SANWA COMSYS Engineering Corporation, TOSYS Corporation, TSUKEN Corporation,
COMSYS JOHO SYSTEM Corporation, COMSYS Shared Services Corporation

COMSYS Holdings Corporation Annual Report 201615

Profilesystem, which comprises a general shareholders’ meeting,Status of the Internal Control Systemorganizations.

The Company implements its internal control system
based on a “Basic Policy on Establishing an Internalversed in the Company’s operations and outside directors

Control System” that was approved by resolution of the

who monitor management from an independent stand-

Board of Directors as follows.

point, with the aim of enhancing management efficiency.
Meanwhile, the Company has reinforced auditing functions
by appointing outside corporate auditors who now have

Establishing a Compliance Structure

to ensure and enhance sound management.

The Company has formulated its internal Compliance
Program, has set forth Compliance Action Guidelinesof 12 directors. Based on internal rules governing the Board

within this framework, and has established the Compli-of Directors, the Board meets regularly and ad hoc as

ance Committee.

tions and to decide on important management issues, andmade up of representatives from the Company and eachmonitors each directors’ performance of their duties. Inof the core operating subsidiaries, as well as all Audit &addition, four Audit & Supervisory Board members, includ-

Supervisory Board members. The committee oversees

ing outside Audit & Supervisory Board members, attend

compliance throughout the COMSYS Group, and strives

meetings of the Board of Directors and express their views

to increase the COMSYS Group’s awareness of compli-

on issues related to business execution, and monitor theance and establish an effective compliance structure

directors’ performance of their duties.

through various discussions. All COMSYS Group companies have set up similar compliance committees ofness segment report to the Board of Directors on progress

their own. These committees work to establish anwith business execution based on policies determined byeffective compliance structure by implementing educa-

the Board. Also, each business segment conducts efficienttional and training programs, as part of efforts to deepen

operational management under the supervision of theemployee understanding of the corporate philosophy

responsible director.

and action guidelines of each respective COMSYS GroupThe Senior Management Committee is made up of
Audit & Supervisory Board member. In principle, thiscommittee meets once a month to examine, discuss, andcompany.
Financial
Statements

directors other than outside directors and the standing

Corporate Social
Responsibility(CSR)

Every quarter, the directors responsible for each busi-

TopicsThis committee, which is chaired by the president, is

Corporate
Governancenecessary to discuss matters stipulated by laws and regula-

Review ofOperations

As of June 29, 2016, the Board of Directors consisted

Business at a
Glancestronger legal authority to audit company activities, in order

Five Integrated
Business Groups

The Board of Directors comprises internal directors well

President’s
Message

Board of Directors, Audit & Supervisory Board and otherpass resolutions on issues related to key decisions, in an
The term of office for directors is set at one year in orderto clarify directors’ management responsibilities every fiscal

Information

effort to improve the efficiency of business execution.

year, and to flexibly structure an optimal management
To Contents

team in step with changes in the business environment.

16

COMSYS Holdings Corporation Annual Report 2016

Establishing a Risk Management
Structure

CSR Activities

In its efforts to maintain and enhance corporate value

The Company and the COMSYS Group have estab-amid a rapidly changing business environment, thelished the CSR Committee to coordinate Group-wide

COMSYS Group is aware that it faces a variety of busi-

CSR activities with the aim of ensuring that the Groupness risks which must be managed appropriately. There-

actively fulfills its economic and social responsibilities,

fore, the Group has established a Risk Management

including social contribution activities, as a good

Committee, chaired by the president and made up of

corporate citizen.

directors from the Company and each of the core
operating subsidiaries.

The CSR Committee is engaged in CSR activities
addressing various themes, such as compliance, cor-

The Basic Policy on Risk Management was formulated

porate governance, risk management, informationin order to promote Group-wide risk management.

disclosure and protection, security countermeasures,

Furthermore, similar risk management committees weresocial contributions and environmental issues.

established at each Group company. In this manner,
efforts are being made to properly address the businessrisks faced by each Group company, and to minimize
the materialization of each risk.

Establishing an Information Management
Structure

The Company has formulated Risk Management
Guidelines and Crisis Management Guidelines and will

Important documents and records related to businessstrive to maintain sustainable operations and ensure

activities and the performance of directors’ duties,

steady growth at the Company and the COMSYS Group

including minutes of the Board of Directors and Senior

by practicing effective risk management.

Management Committee meetings and other reports,

For example, the COMSYS Group manages opera-

are stored and managed appropriately based on laws

tional risk by ensuring that Group companies work inand regulations, as well as the Group’s internal rules.

accordance with management systems such as ISO 9001,

Furthermore, in order to improve the efficiency ofISO 14001, ISO/IEC 27001, COHSMS (Construction

operations and business execution, after ensuring an

Occupational Health and Safety Management System),adequate level of information security, the Company

and Privacy Mark certifications given the actual working

is working to deploy various information systems toenvironments at each Group company. As a result, theput in place a framework for sharing the latest manage-COMSYS Group acquires and maintains certification inment information.

these systems.

To Contents

COMSYS Holdings Corporation Annual Report 201617

ProfileCompany, including the CSR Committee, the Compliance Committee and the Risk Management Committee.
In this way, the COMSYS Group ensures that all policies
and decisions discussed by these groups are reported

which are the major subsidiaries of the COMSYS Group,

to and thoroughly understood by each Groupis based on the “COMSYS Group Agreement.” In addi-

company.
In addition, the Group has formed the COMSYS

ment of the subsidiaries in which they have directlyGroup Presidents Committee, which is made up of theinvested. As regards the business management to bepresidents of COMSYS Group companies. This commit-

conducted by the core operating subsidiaries, the Com-tee meets regularly and works to ensure that manage-pany possesses a Group operations system that provides

ment policies and activities are clearly understood by

guidance and advice as necessary.

all members.

Business at a
Glancetion, each core operating company conducts the manage-

Five Integrated
Business Groups

Business management of the core operating subsidiaries,

President’s
Message

Establishing a Group Management
Structure

Important management decisions within the COMSYSManagement Committee and the Board of Directors in

System to Eliminate Antisocial Forcesline with Group Operation Standards, which clarify
To fulfill our social responsibility as a company, theGroup. In this manner, the Group management andCompany and the COMSYS Group have absolutely nomonitoring framework is centered on the Company.

relationship with any antisocial forces or groups thatthreaten the order and safety of civic society. Moreover,contacts that cover the entire COMSYS Group, both inside

the Company and the COMSYS Group will maintain a

the Company and at a law firm external to the Company.

resolute and uncompromising attitude in the face of any

The Company works to prevent corporate impropriety byattempts to form a coercive relationship.
The Company and the COMSYS Group have preparedothers about material facts that may violate laws andan organizational framework that enables them to block

regulations associated with organizations or individuals.

the formation of a relationship with any antisocial forces

In order to ensure that all COMSYS Group operations

or groups, and to maintain a resolute and uncompromis-

are carried out appropriately, the directors of each coreing attitude while coordinating with lawyers, the police,

operating subsidiary also participate as members in theand other relevant authorities.
Financial
Statements

various Group committees established within the

Corporate Social
Responsibility(CSR)

receiving reports from COMSYS Group employees andCorporate
Governance

The Company has established internal reporting liaison

Topicsdecision-making and reporting rules for the COMSYS

Review ofOperations

Group are reported to and discussed by the Senior

Information

To Contents

18

COMSYS Holdings Corporation Annual Report 2016

Internal Auditing and Audit &Supervisory Board Members

reporting at any time as necessary, as well as otherrequired disclosures.
The Audit & Supervisory Board members regularly

The Company’s internal auditing organization consists

attend both regular and extraordinary meetings of theof an Internal Audit Office and an Internal Control Office

Board of Directors as well as meetings of the Senior

within the Internal Control and Audit Department.

Management Committee, the CSR Committee, theThe Internal Audit Office formulates internal auditing

Compliance Committee and other important internal

policies based on top management requirements, andcommittee meetings or discussions. This structure has

conducts internal audits of the Company and all Groupbeen established to allow the Audit & Supervisory Board

companies. These activities are intended to ensure thatmembers to verify the status of business execution oneach business risk faced by the Group is minimized,a regular basis and to express their views on thesewhile maximizing the quality of business operations. The

matters. The Audit & Supervisory Board members alsoInternal Control Office formulates operational internal

hold regular meetings with the president to directly

control policies as regards financial reporting, andexpress their views on issues related to business execu-

provides leadership and effective evaluation as regards

tion and other topics.

entrenching internal control systems in the Company
and the COMSYS Group.

In accordance with audit plans formulated by the
Audit & Supervisory Board, the Audit & Supervisory

The Audit & Supervisory Board has four members,

Board members of COMSYS Holdings regularly checktwo of whom are outside Audit & Supervisory Board

to see whether business operations are executed appro-

members. No employees are specifically assigned to

priately and efficiently by maintaining close ties with theassist the Audit & Supervisory Board members with theirInternal Control and Audit Department and with theactivities. If such assistance is required, there is a struc-Group’s independent auditor. For example, the Audit &ture in place for addressing personnel issues such as

Supervisory Board members accompany the indepen-

determining appointees and ensuring independence

dent auditor and others on on-site internal and financialfrom directors. Based on the rules governing the Audit

audits as observers. The Audit & Supervisory Board& Supervisory Board members, directors and employees

members of COMSYS Holdings also convene regular

are required to report on major business activities or

meetings with their counterparts at core COMSYS Groupissues that could affect the COMSYS Group’s operations

companies, and maintain close ties within the COMSYS

or performance to the Audit & Supervisory Board.

Group mainly by sharing information and exchanging

In addition, Audit & Supervisory Board members may
request further information on the above-mentioned

views, in order to improve the effectiveness of audits.

To Contents

COMSYS Holdings Corporation Annual Report 2016

ProfileCorporate Social Responsibility (CSR)

19

Basic Approach to CSR
of society by expanding our business through sophisticatedrealize a reliable, safe and convenient networked society.

technological capabilities cultivated since our foundation,

We conduct our basic CSR activities as a social contribu-

steadily increasing profits and returning these profits tostakeholders.

Five Integrated
Business Groups

tion made through business. We believe that it is extremely
important to contribute to the sustainable development

COMSYS Group Value Creation Process

through business.”
Consideration for stakeholders is indispensable whenimportant element in supporting value creation.

conducting business. Looking ahead, we seek to maintaincreation, within the basic framework of corporate gover-and enhance good relations with various stakeholders,

nance to engage our priority challenges, which are toincluding shareholders, society, customers and group“pursue reliability and safety,” “enhance quality andemployees.

Review ofOperations

We utilize human resources, the source of our value

Business at a
GlanceThe COMSYS Group believes CSR activities are an

President’s
Message

The COMSYS Group has strengthened its initiatives toconsider the environment” and “contribute to society

Realizing the
medium- to long-term vision

SocietyBusiness
expansion

Corporate governanceMaximize
utilization ofhuman
resources

Pursuereliability
and safety

Humanresources

Promotestructuralreforms

Enhance quality
and consider
the environment

Financial
Statements

Spirit for taking on challenges
Firm management and financial foundations
Partnership with cooperating companies

Customers

Technology and expertise
Expand business scope throughM&As and alliancesGroup employees

Management
Philosophy

Insistenceon quality

Reliableand safe
operations

We will continue with unrelenting reform in our aim
to further increase corporate value.

1

2

3

Four Guideposts

Top-line growth
Promote structural reforms

To Contents

4

We will build a company that customers
continue to choose through the construction ofdiverse infrastructure that carries our era forward.
We will contribute to our country and local
communities by building social infrastructurethat supports affluent lifestyles.

Developmentof people

Information

COMSYS WAYContinuous
BPR

Corporate Social
Responsibility(CSR)

Contributeto society
throughbusiness

Corporate
Governance

Outstanding
management resources

TopicsCOMSYS Group
Business Activities

Shareholders

20

COMSYS Holdings Corporation Annual Report 2016

Financial Statements

Consolidated Balance Sheets
COMSYS Holdings Corporation and Consolidated Subsidiaries
As of March 31, 2015 and 2016
2015

Millions of yen
2016

Cash and cash equivalents �������������������������������������������������������������������������������������������������������������

¥ 33,496¥ 28,930

ASSETS
Current assets:
Notes and accounts receivable—trade ����������������������������������������������������������������������������������������

93,513

102,559

Lease investment assets �����������������������������������������������������������������������������������������������������������������

2,900

2,662

Accumulated cost of construction in progress �����������������������������������������������������������������������������

15,215

15,261

Merchandise �����������������������������������������������������������������������������������������������������������������������������������

218

112

Materials and supplies �������������������������������������������������������������������������������������������������������������������

468

390

Deferred income taxes �������������������������������������������������������������������������������������������������������������������

3,480

3,152

Other current assets �����������������������������������������������������������������������������������������������������������������������

2,640

2,533

Less: Allowance for doubtful receivables �������������������������������������������������������������������������������������

(55)

(51)

Total current assets �������������������������������������������������������������������������������������������������������������������������

151,878

155,551

Fixed assets:
Property and equipment:
Buildings and structures �������������������������������������������������������������������������������������������������������������

51,012

54,120Less: Accumulated depreciation �������������������������������������������������������������������������������������������

(24,878)(26,217)
27,902

Buildings and structures, net �������������������������������������������������������������������������������������������������

26,133

Machinery, vehicles and equipment �����������������������������������������������������������������������������������������

18,271

18,636

Less: Accumulated depreciation �������������������������������������������������������������������������������������������

(13,418)(14,034)

Machinery, vehicles and equipment, net ������������������������������������������������������������������������������

4,852

4,601

Land ���������������������������������������������������������������������������������������������������������������������������������������������

39,77039,265

Lease assets ���������������������������������������������������������������������������������������������������������������������������������

450

565

Less: Accumulated depreciation �������������������������������������������������������������������������������������������

(139)

(224)
341

Lease assets, net ���������������������������������������������������������������������������������������������������������������������

311

Construction in progress �����������������������������������������������������������������������������������������������������������

1,227

767

Total property and equipment ���������������������������������������������������������������������������������������������������

72,29572,878Intangible assets
Goodwill ���������������������������������������������������������������������������������������������������������������������������������������

3,394

2,935

Other intangible assets �������������������������������������������������������������������������������������������������������������

4,249

4,055

Total intangible assets ���������������������������������������������������������������������������������������������������������������

7,643

6,990

Investment securities �����������������������������������������������������������������������������������������������������������������

12,70010,460Long-term loans receivable �������������������������������������������������������������������������������������������������������

4,833

8,033

Investments and other assets:

Deferred income taxes ���������������������������������������������������������������������������������������������������������������

367

319

Net defined benefit asset �����������������������������������������������������������������������������������������������������������

11,392

9,094

Other assets ���������������������������������������������������������������������������������������������������������������������������������

5,156

4,758

To Contents

Less: Allowance for doubtful receivables ���������������������������������������������������������������������������������

(2,250)(2,020)Total investments and other assets �������������������������������������������������������������������������������������������

32,20130,645

Total fixed assets �����������������������������������������������������������������������������������������������������������������������������

112,140

110,514

Total assets �����������������������������������������������������������������������������������������������������������������������������������������

¥264,019¥266,066

COMSYS Holdings Corporation Annual Report 2016

21

ProfileMillions of yen
2016¥ 44,675¥ 49,191

President’s
Message

2015

LIABILITIESCurrent liabilities:
Short-term bank loans �������������������������������������������������������������������������������������������������������������������

100

114

Income taxes payable ���������������������������������������������������������������������������������������������������������������������

3,852

3,296
710

257

202

Allowance for losses on construction contracts ���������������������������������������������������������������������������

15—

Other current liabilities �������������������������������������������������������������������������������������������������������������������

10,349

7,711

Total current liabilities ���������������������������������������������������������������������������������������������������������������������

60,791

61,225

Review ofOperations

1,540

Business at a
GlanceAdvances received on construction in progress �������������������������������������������������������������������������
Allowance for warranty work on construction projects ���������������������������������������������������������������

Five Integrated
Business Groups

Accounts payable—trade ���������������������������������������������������������������������������������������������������������������

Long-term liabilities:
2,982

2,186

1,508

1,428

Net defined benefit liability �����������������������������������������������������������������������������������������������������������

3,784

3,726

Allowance for directors’ retirement benefits �������������������������������������������������������������������������������

222

219

691

735

Total long-term liabilities ���������������������������������������������������������������������������������������������������������������

9,189

8,296

Total liabilities �����������������������������������������������������������������������������������������������������������������������������������

69,98069,522

10,00010,000

Corporate
Governance

Other long-term liabilities �������������������������������������������������������������������������������������������������������������NET ASSETS
Shareholders’ equity:
Common stock �������������������������������������������������������������������������������������������������������������������������������

TopicsDeferred income taxes �������������������������������������������������������������������������������������������������������������������
Deferred tax liabilities for unrealized gains on land revaluation ������������������������������������������������

56,61551,264

164,836

176,847

Treasury stock, at cost ���������������������������������������������������������������������������������������������������������������������

(34,852)(36,008)

Total shareholders’ equity �������������������������������������������������������������������������������������������������������������

196,599

202,104

Corporate Social
Responsibility(CSR)

Additional paid-in capital ���������������������������������������������������������������������������������������������������������������
Retained earnings ���������������������������������������������������������������������������������������������������������������������������

Financial
Statements

Accumulated other comprehensive income:
2,350(7,856)

Remeasurements of defined benefit plans �����������������������������������������������������������������������������������

1,473(1,219)Total accumulated other comprehensive income �����������������������������������������������������������������������

(3,824)(6,724)

Subscription rights to shares ���������������������������������������������������������������������������������������������������������

500

542

Non-controlling interests �����������������������������������������������������������������������������������������������������������������

762

621

Total net assets ���������������������������������������������������������������������������������������������������������������������������������

194,038

196,543

Total liabilities and net assets �������������������������������������������������������������������������������������������������������������

¥264,019¥266,066

To Contents

2,638(7,936)

Information

Unrealized gain (loss) on other securities �������������������������������������������������������������������������������������
Unrealized gain (loss) on land revaluation �����������������������������������������������������������������������������������

22

COMSYS Holdings Corporation Annual Report 2016

Consolidated Statements of Income
COMSYS Holdings Corporation and Consolidated Subsidiaries
Years ended March 31, 2015 and 2016
2015

Millions of yen
2016

Net sales �������������������������������������������������������������������������������������������������������������������������������������������������

¥328,631¥320,654
277,264

Cost of sales �������������������������������������������������������������������������������������������������������������������������������������������

280,693

Gross profits �����������������������������������������������������������������������������������������������������������������������������������������

47,93843,389Selling, general and administrative expenses ���������������������������������������������������������������������������������

20,264

19,540Operating income ���������������������������������������������������������������������������������������������������������������������������������

27,674

23,849Other income:Interest income �����������������������������������������������������������������������������������������������������������������������������������

58

62

Dividend income ���������������������������������������������������������������������������������������������������������������������������������

216

168

Reversal of allowance for doubtful receivables �������������������������������������������������������������������������������

—165

Rent income on noncurrent assets ���������������������������������������������������������������������������������������������������

101

93

Foreign exchange gains ���������������������������������������������������������������������������������������������������������������������

150—

Other ���������������������������������������������������������������������������������������������������������������������������������������������������

176

172

Total other income �����������������������������������������������������������������������������������������������������������������������������

702

662

7

9
39

Other expenses:
Interest expenses �������������������������������������������������������������������������������������������������������������������������������
Rent expenses �������������������������������������������������������������������������������������������������������������������������������������

40

Provision for allowance for doubtful receivables �����������������������������������������������������������������������������

168

4

Foreign exchange losses �������������������������������������������������������������������������������������������������������������������

—145

Other ���������������������������������������������������������������������������������������������������������������������������������������������������

39

90

Total other expenses �������������������������������������������������������������������������������������������������������������������������

254

289

Recurring profit �������������������������������������������������������������������������������������������������������������������������������������

28,121

24,223Extraordinary income:Gain on sales of fixed assets �������������������������������������������������������������������������������������������������������������

46

72

Gain on sales of investment securities ���������������������������������������������������������������������������������������������

46

237

Gain on redemption of investment securities ���������������������������������������������������������������������������������

44—

Gain on payback of insurance payments �����������������������������������������������������������������������������������������

55

8

Gain on reversal of subscription rights to shares �����������������������������������������������������������������������������

24—

Gain on negative goodwill �����������������������������������������������������������������������������������������������������������������

—386

Other ���������������������������������������������������������������������������������������������������������������������������������������������������

8

5

Total extraordinary income ���������������������������������������������������������������������������������������������������������������

225

709

Extraordinary loss:
Loss on sales of fixed assets �������������������������������������������������������������������������������������������������������������

149

3

Loss on disposal of fixed assets ��������������������������������������������������������������������������������������������������������

128

98

Loss on impairment of fixed assets ���������������������������������������������������������������������������������������������������

432

470

Special payments on employees’ retirement benefits �������������������������������������������������������������������

196

162
159

Other ���������������������������������������������������������������������������������������������������������������������������������������������������

158

Total extraordinary loss ���������������������������������������������������������������������������������������������������������������������

1,064

893

Income before income taxes and other adjustments to net income �������������������������������������������

27,28324,040

9,438

7,417

Income taxes:
Current �������������������������������������������������������������������������������������������������������������������������������������������������

To Contents

Deferred ���������������������������������������������������������������������������������������������������������������������������������������������

1,093

1,170

Total income taxes �����������������������������������������������������������������������������������������������������������������������������

10,531

8,588
15,451

Net income ���������������������������������������������������������������������������������������������������������������������������������������������

16,751

Net income (loss) attributable to non-controlling interests ���������������������������������������������������������

(16)

30

Net income attributable to owners of parent ���������������������������������������������������������������������������������

¥ 16,767¥ 15,420

COMSYS Holdings Corporation Annual Report 2016

23

ProfileConsolidated Statements of Changes in Net Assets

Additional
paid-in
capitalRetainedearnings

Balance at the end of the previous period ���������������������������������

¥10,000¥55,494¥148,713

10,00055,494

151,500

Cumulative effect of changes in accounting policies ���������������
Restated balance �������������������������������������������������������������������������

¥(28,658)¥185,549(28,658)

188,337

2,787

2,787

Changes during the period(3,545)(3,545)

Net income attributable to owners of parent ���������������������

16,767

16,767(7,938)

1,121

1,744

2,865

Retirement of treasury stock �����������������������������������������������

—

—

—

Purchase of treasury stock of subsidiaries �������������������������

—Repurchase of treasury stock �����������������������������������������������

—Changes of scope of consolidation �������������������������������������

112

—
112

Net changes during the period except
for shareholders’ equity �����������������������������������������������������
—

1,121

13,335(6,194)

8,262¥10,000¥56,615¥164,836¥(34,852)¥196,599
Millions of yen

Balance at the end ofthe ­previous period ��������������������������

Subscription
rights toshares

Noncontrollinginterests

Total net
assets¥1,803¥(8,090)¥(1,028)¥(7,315)

¥478

¥701

¥179,414

1,803(8,090)(1,028)(7,315)478

701

182,202

Cumulative effect of changes
in accounting policies ������������������������

2,787

Changes during the period

16,767

Repurchase of treasury stock ������

(7,938)

Disposal of treasury stock ����������

2,865

Retirement of treasury stock ������

—Purchase of treasury stock ofsubsidiaries ��������������������������������

—Changes of scope of
consolidation ������������������������������

112

835

153

2,501

3,490

22

60

3,573

Total changes during
the period ����������������������������������

835

153

2,501

3,490

22

60

11,836

Balance at the end of the period ������

¥2,638¥(7,936)¥1,473¥(3,824)

¥500

¥762

¥194,038

To Contents

Net changes during
the period except for­shareholders’ equity ������������������

Information(3,545)

Net income attributable toowners of parent ������������������������

Financial
Statements

Cash dividends ����������������������������

Corporate Social
Responsibility(CSR)

Restated balance ��������������������������������

Corporate
GovernanceYear ended March 31, 2015

Unrealized
gain (loss)
on othersecurities

Accumulated other comprehensive income
Total
Unrealized
accumulated
gain (loss)
Remeasurementsotheron landof definedcomprehensive
revaluation
benefit plansincomeTopicsTotal changes during the period �����������������������������������������
Balance at the end of the period �����������������������������������������������

Review ofOperations(7,938)

Disposal of treasury stock ���������������������������������������������������

Business at a
GlanceCash dividends ���������������������������������������������������������������������

Five Integrated
Business Groups

Year ended March 31, 2015

CommonstockMillions of yen
Shareholders’ equity
TreasuryTotalstock,
shareholders’at costequityPresident’s
Message

COMSYS Holdings Corporation and Consolidated Subsidiaries
Years ended March 31, 2015 and 2016

24

COMSYS Holdings Corporation Annual Report 2016

Millions of yen
Shareholders’ equity
TreasuryTotalstock,
shareholders’at costequityYear ended March 31, 2016

Commonstock

Additional
paid-in
capitalRetainedearnings

Balance at the end of the previous period ���������������������������������

¥10,000¥56,615¥164,836¥(34,852)¥196,599

10,00056,615

164,836(34,852)

196,599

Cumulative effect of changes in accounting policies ���������������
Restated balance �������������������������������������������������������������������������

—Changes during the period
Cash dividends ���������������������������������������������������������������������

(3,402)(3,402)

Net income attributable to owners of parent ���������������������

15,42015,420

Repurchase of treasury stock �����������������������������������������������

(8,002)(8,002)

Disposal of treasury stock ���������������������������������������������������

273

1,067

1,341

Retirement of treasury stock �����������������������������������������������

(5,778)

5,778—

Purchase of treasury stock of subsidiaries �������������������������

154

154

Changes of scope of consolidation �������������������������������������

(6)

(6)

Net changes during the period except
for shareholders’ equity �����������������������������������������������������
Total changes during the period �����������������������������������������

—(5,350)12,011(1,155)5,504

Balance at the end of the period �����������������������������������������������

¥10,000¥51,264¥176,847¥(36,008)¥202,104
Millions of yen

Year ended March 31, 2016

Balance at the end ofthe ­previous period ��������������������������

Unrealized
gain (loss)
on othersecurities

Accumulated other comprehensive income
Total
Unrealized
accumulated
gain (loss)
Remeasurementsotheron landof definedcomprehensive
revaluation
benefit plansincomeSubscription
rights toshares

Noncontrollinginterests

Total net
assets¥2,638¥(7,936)¥ 1,473¥(3,824)

¥500

¥ 762

¥194,038

2,638(7,936)

1,473(3,824)500762

194,038

Cumulative effect of changes
in accounting policies ������������������������
Restated balance ��������������������������������

—Changes during the period
Cash dividends ����������������������������

(3,402)

Net income attributable toowners of parent ������������������������

15,420

Repurchase of treasury stock ������

(8,002)

Disposal of treasury stock ����������

1,341

Retirement of treasury stock ������

—Purchase of treasury stock ofsubsidiaries ��������������������������������

154

Changes of scope of
consolidation ������������������������������

(6)

To Contents

Net changes during
the period except for­shareholders’ equity ������������������

(288)

80

(2,692)(2,900)41(141)(2,999)Total changes during
the period ����������������������������������

(288)

80

(2,692)(2,900)

41

(141)

2,505

Balance at the end of the period ������

¥2,350¥(7,856)¥(1,219)¥(6,724)

¥542

¥ 621

¥196,543

COMSYS Holdings Corporation Annual Report 201625

ProfileConsolidated Statements of Cash Flows

Information

To Contents

(8)
(16)
(8,025)234(7)(3,402)(3)(78)(11,307)(0)(5,521)33,435883
21¥ 28,818

Financial
Statements(1,170)—(7,958)546—(3,545)(4)(68)(12,199)
02,495
30,91524—¥ 33,435

Topics

59
(206)
1,156
100
—
—
216
(70)
(4,639)(1,664)863(3,695)
511
(16)
235
(152)
(7,303)

Corporate Social
Responsibility
(CSR)

60
(172)
111
100
50
(2,575)—(47)(7,349)(1,452)270(1,766)
804
(17)
163
(61)
(11,882)

Corporate
Governance¥ 24,040
5,009
470
(386)
594
(236)
(264)
(230)
9
(8,377)
653
2,955
(177)
(998)
(2,506)146
20,701227(9)(7,829)13,089

Review ofOperations¥ 27,283
4,672
432
—
527
140
(241)
(274)
7
6,206
3,028
(1,825)(44)(1,553)590
135
39,085268(7)(12,771)
26,575Business at a
GlanceCash and cash equivalents received on interest and dividend income �����������������������������������������Cash and cash equivalents paid for interest expenses �������������������������������������������������������������������Cash and cash equivalents paid for income taxes ���������������������������������������������������������������������������
Net cash provided by operating activities ���������������������������������������������������������������������������������������Cash flows from investing activities:
Decrease in time deposits, net ���������������������������������������������������������������������������������������������������������
Payment for purchases of investment securities �����������������������������������������������������������������������������
Proceeds from sale of investment securities �����������������������������������������������������������������������������������
Proceeds from redemptions of investment securities ���������������������������������������������������������������������
Collection of investments in capital �������������������������������������������������������������������������������������������������
Purchase of investments in subsidiaries resulting in change in scope of consolidation���������������
Proceeds from purchase of stocks of subsidiaries resulting in change in scope of consolidation�������
Purchase of investments in subsidiaries �������������������������������������������������������������������������������������������
Acquisitions of property and equipment �����������������������������������������������������������������������������������������
Acquisitions of intangible fixed assets ���������������������������������������������������������������������������������������������
Proceeds from sale of property and equipment �����������������������������������������������������������������������������
Payments of loans receivable �����������������������������������������������������������������������������������������������������������
Collection of loans receivable �����������������������������������������������������������������������������������������������������������
Purchase of insurance funds �������������������������������������������������������������������������������������������������������������
Proceeds from cancellation of insurance funds �������������������������������������������������������������������������������
Other, net �������������������������������������������������������������������������������������������������������������������������������������������
Net cash used in investing activities �������������������������������������������������������������������������������������������������Cash flows from financing activities:
Decrease in short-term borrowings, net �������������������������������������������������������������������������������������������
Repayment of long-term debt �����������������������������������������������������������������������������������������������������������
Acquisitions of treasury stock �����������������������������������������������������������������������������������������������������������
Proceeds from sale of treasury stock �����������������������������������������������������������������������������������������������
Purchase of treasury stocks of subsidiaries ���������������������������������������������������������������������������������������Cash dividends paid ���������������������������������������������������������������������������������������������������������������������������Cash dividends paid to non-controlling interests ���������������������������������������������������������������������������
Repayment of financial lease obligations �����������������������������������������������������������������������������������������
Net cash used in financing activities �������������������������������������������������������������������������������������������������
Effect of exchange rate changes on cash and cash equivalents �������������������������������������������������
Net increase (decrease) in cash and cash equivalents �������������������������������������������������������������������Cash and cash equivalents at beginning of year �����������������������������������������������������������������������������
Increase (decrease) in cash and cash equivalents resulting from change of scope of consolidation �����
Increase in cash and cash equivalents resulting from merger �����������������������������������������������������Cash and cash equivalents at end of year ���������������������������������������������������������������������������������������

Millions of yen
2016

Five Integrated
Business Groups

Cash flows from operating activities:
Income before income taxes and other adjustments to net income ���������������������������������������������
Depreciation and amortization ���������������������������������������������������������������������������������������������������������
Loss on impairment of fixed assets ���������������������������������������������������������������������������������������������������
Gain on negative goodwill �����������������������������������������������������������������������������������������������������������������
Amortization of goodwill �������������������������������������������������������������������������������������������������������������������
Increase (decrease) in allowance for doubtful receivables �������������������������������������������������������������
Decrease in net defined benefit liability �������������������������������������������������������������������������������������������
Interest and dividends received �������������������������������������������������������������������������������������������������������
Interest expenses �������������������������������������������������������������������������������������������������������������������������������
Decrease (increase) in receivables—trade ���������������������������������������������������������������������������������������
Decrease in inventories ���������������������������������������������������������������������������������������������������������������������
Increase (decrease) in payables—trade �������������������������������������������������������������������������������������������
Gain on sale of investment securities �����������������������������������������������������������������������������������������������
Increase in other assets ���������������������������������������������������������������������������������������������������������������������
Increase (decrease) in other liabilities �����������������������������������������������������������������������������������������������
Other, net �������������������������������������������������������������������������������������������������������������������������������������������

2015

President’s
Message

COMSYS Holdings Corporation and Consolidated Subsidiaries
Years ended March 31, 2015 and 2016

26

COMSYS Holdings Corporation Annual Report 2016

Ten-Year Summary of Business Results and Financial Data
Years ended March 31

Net Sales(Millions of yen)

400,000
336,518

327,526

321,185

300,000

293,086

315,480

316,092

295,851

331,341

328,631

320,654

14

15

16

27,57027,674340,000

200,000
100,000
0

07

08

09

10

11

12

13

17

(Forecast)

Operating Income(Millions of yen)

30,00025,00020,00023,84922,54725,00019,213
16,29815,00015,61012,54011,785

12,5921011

12

10,000
5,000
0

07

08

09

13

14

15

28,07828,12116

17(Forecast)

Recurring Profit(Millions of yen)

30,00025,00021,12020,00024,223

22,914
18,22825,50017,14415,00013,113

12,14012,96910

11

12

10,000
5,000
0

07

08

09

13

14

15

16

17

(Forecast)

Net Income attributable to owners of parent/Primary Earnings per Share (EPS)(Millions of yen)

(Yen)

200

20,00016,38915,00012,382

10,00087.39

13,284
11,641
83.87

10,06275.60

To Contents

5,000
0

07

08

09

■ Net Income attributable to owners of parent (Left Scale)

73.92

15,420136.75

11

150
100

7,173
55.50

55.18

10

142.72

16,000144.47106.82

9,543
7,097

136.08

16,767

12■ Primary Earnings per Share (EPS) (Right Scale)

50

13

14

15

16

17

(Forecast)

0COMSYS Holdings Corporation Annual Report 201627

ProfilePresident’s
Message

Total Assets(Millions of yen)

250,000

229,953

224,121220,651

211,809

07

08

09

10

237,436

228,13511

12

240,602250,56113

14

264,019

266,06615

16

Five Integrated
Business Groups

300,000

200,000
150,000
100,000

0

Business at a
Glance50,000(Millions of yen)

(%)

250,000

85

200,000
147,005

150,000

161,768

71.2%

164,574

173,411

71.7%

71.6%

179,41471.1%

194,038

196,543

73.0%

73.4%

75
65

67.7%

63.4%

55

50,000007■ Net Assets (Left Scale)

08
■

09

10

11

12

13

14

15

16

45

Shareholders’ Equity Ratio (Right Scale)Corporate
Governance

Return on Equity (ROE)
(%)

10

9.4%

9.0%

8.8%

Corporate Social
Responsibility
(CSR)

7.9%

8

7.9%

7.9%
6.7%
6.1%

6
4.7%

07

08

09

4.4%

10

11

12

13

14

15

Financial
Statements

4

Topics

68.4%

66.5%

100,000

151,768

151,775

150,417

Review ofOperations

Net Assets/Shareholders’ Equity Ratio

16

Dividends per Share/Acquisitions of Treasury Stock/Consolidated Payout Ratio

40

25.00
17.00

20.00*

17.00

5,544
4,386

0

19.5%
998

20.3%

07

08

■ Interim Dividend (Left Scale)

20.00
36.2%

20.00

20.00

27.1% 3,612

36.0%
3,526

5,250

26.5%

5,839

10

■ Year-End Dividend (Left Scale)

11

12

13

■ Acquisitions of Treasury Stock (Right Scale)* Includes a special ¥3 dividend paid to reflect the benefits of the merger.

18.4%

14
■

21.0%

15

Consolidated Payout Ratio

6,000

4,734

4,700

4,168
18.7%

09

9,000

20.00

25.6%

16

27.7%

17

(Forecast)

3,000
0

To Contents

10

12,000

30.00

30
20

15,00035.00

Information(Yen)(Thousands of shares)
40.00

28

COMSYS Holdings Corporation Annual Report 2016

Information

COMSYS Holdings Information
Corporate Data
As of March 31, 2016

Name:

COMSYS Holdings Corporation
Head Office:Corporate History
October 2010
Management integration of TSUKEN Corporation.

June 2009

17-1, Higashigotanda 2-chome, Shinagawa-ku,
Tokyo 141-8647, Japan

Minimum share purchase unit reduced from 1,000 shares to
100 shares.

URL:

April 2009http://www.comsys-hd.co.jp/english/
Date of Establishment:

September 29, 2003
Paid-In Capital:¥10 billion
Number of Employees:

9,994 (Consolidated)

Directors and Audit & Supervisory Board Members
As of June 29, 2016

President and Representative Director
Hajime Takashima
Representative Director
Takashi Kagaya(President and Representative Director of Nippon COMSYS Corporation)

Directors

The information systems business related to software development outsourcing was spun off from Nippon COMSYS
Corporation to form COMSYS JOHO SYSTEM Corporation.

April 2007
COMSYS Holdings Corporation converted COMSYS Shared
Services Corporation, previously a consolidated subsidiary of
Nippon COMSYS Corporation, into a wholly owned subsidiary inorder to clarify its role as a common provider of business process
outsourcing services for the COMSYS Group.

October 2005
COMSYS Holdings Corporation converted Kokusai DensetsuCo., Ltd. (now COMSYS WING Corporation) into a wholly owned
subsidiary through a stock exchange, and made Kokusai
Densetsu a wholly owned subsidiary of Nippon COMSYS
Corporation on the same day.

April 2005

Noriaki Ito

SANWA ELEC Co., Ltd. was renamed SANWA COMSYSEngineering Corporation.

Akio Ogawa

January 2005

(Chairman and Representative Director of Nippon COMSYS Corporation)(President and Representative Director of TOSYS Corporation)

Yoshihisa Omura(President and Representative Director of TSUKEN Corporation)

Shigemi Sakamoto(President and Representative Director of
SANWA COMSYS Engineering Corporation)

The NTT Information Telecommunication Engineering Businessof SANWA ELEC Co., Ltd. was centralized at Nippon COMSYS
Corporation.

September 2004

Tsuyoshi Nishiyama

COMSYS Holdings Corporation subscribed to a third-party
allotment of shares of SANWA ELEC Co., Ltd.

Hitoshi Kumagai

September 2003

Kenichi SatoCOMSYS Holdings Corporation listed its shares on the firstsections of the Tokyo Stock Exchange and Osaka Securities
Exchange.

Hidehiko Ozaki
Kenichi Narumiya*1
Masahiko Miyashita*1

September 2003

Audit & Supervisory Board Members

Nippon COMSYS Corporation delisted its shares in line with theestablishment of the holding company.

Hiroshi Komori

To Contents(Standing)March 2002

Koichiro Kamiwaki
Takaharu Saegusa*2

Nippon COMSYS Corporation was selected as one of the 225
components of the Nikkei Stock Average.

Kazuyoshi Onohara*2

December 2001

*1 Outside Director*2 Outside Audit & Supervisory Board Member( ): Concurrent positions held

Nippon COMSYS Corporation celebrated its 50th founding
anniversary.

July 1990
The Company was renamed Nippon COMSYS Corporation.

COMSYS Holdings Corporation Annual Report 2016

29

ProfileOrganization Chart
President’s
Message

As of June 29, 2016

Board of Directors
President

Audit & Supervisory Board

CSR Committee
Compliance Committee

Personal Information Protection
and Administration Committee

IR Department

Finance & Accounting
Department• Corporate Planning Unit
• Corporate Strategy Unit
• Strategy Planning Unit
• Corporate Information Unit

General Affairs
Department

Personnel
Department• Internal Control Office• Internal Audit Office

Topics• General Affairs Unit
• Legal Unit
• PR Unit• CSR OfficeInternal Control and
Audit Department

Review ofOperations

Corporate Planning
Department

Business at a
GlanceRisk Management Committee

Five Integrated
Business Groups

Senior Management Committee

Wakkanai
Asahikawa

Hokkaido

Muroran
Hakodate

ObihiroTomakomai

NIIGATA

Niigata

TochigiTOKYO
Chiba
Kanto Minami
Kanagawa

Chugoku
KyushuShizuoka

Nishi Nippon
ShikokuTokaiHead Office/COMSYS Holdings Corporation
Head Office/Nippon COMSYS Corporation
Head Office/SANWA COMSYS Engineering Corporation

Information

KansaiHead Office/TOSYS Corporation
Head Office/TSUKEN Corporation
Branch/Nippon COMSYS Corporation
Branch/SANWA COMSYS Engineering Corporation
Branch/TOSYS Corporation
Branch/TSUKEN Corporation
Branch/COMSYS JOHO SYSTEM Corporation

To Contents

Head Office/COMSYS JOHO SYSTEM Corporation

Okinawa

Financial
Statements

NAGANO

NaganoSaku/Chushin/Nanshin

Corporate Social
Responsibility(CSR)

TohokuSendai

Kanto Naka

Hokuriku

Corporate
Governance

Kitami
Kushiro

Otaru

30

COMSYS Holdings Corporation Annual Report 2016

Investor Information■ Fiscal Year-End:
March 31, 2016
■ Annual Shareholders’ Meeting:June 29, 2016
■ Common Stock:
Authorized: 580,000,000 shares
Issued: 141,000,000 shares■ Number of Shareholders:
9,024■ Date of Listing:
September 2003
■ Stock Exchange Listing:First Section of the Tokyo Stock Exchange(Securities code: 1721)■ Transfer Agent:
Mitsubishi UFJ Trust and Banking Corporation
Securities Department
10-11, Higashisuna 7-chome, Koto-ku, Tokyo 137-8081,
Japan■ Auditor:
GYOSEI & CO.

■ Major Shareholders:
As of March 31, 2016
Shares held Percentage(Thousands) of total (%)

Shareholders

The Master Trust Bank of Japan, Ltd. (Trust Account)

16,804

11.91

Japan Trustee Services Bank, Ltd. (Trust Account)

12,014

8.52

Japan Trustee Services Bank, Ltd.
(The Sumitomo Trust & Banking Co., Ltd.
Retrust Account, Sumitomo Electric Industries, Ltd.
Employee Pension Trust Account)

5,166

3.66

Trust & Custody Services Bank, Ltd.
(Investment Trust Account)

3,104

2.20

Goldman Sachs Japan Co., Ltd.

2,697

1.91

Nippon Life Insurance Company

2,590

1.83

Meiji Yasuda Life Insurance Company

1,544

1.09

Japan Trustee Services Bank, Ltd.
(Trust Account No.9)

1,478

1.04

NEC Corporation

1,408

0.99

COMSYS Holdings Corporation Employee
Shareholder Association

1,392

0.98

■ Composition of Shareholders:
As of March 31, 2016

■ Securities Companies

4.7%■ For Further Information on this Annual Report,■ Financial Institutions

40.2%

Please Contact:
IR Department
Tel: +81-3-3448-7000 (direct)
Fax: +81-3-3448-7001
E-Mail: chd-ir@comsys.co.jp■ Domestic Companies

5.7%■ Foreign Companies
and Individuals

17.8%■ Treasury Stock

21.4%■ Individuals

10.2%■ Stock Price Range / Monthly Trading Volume

To Contents(Yen)(Thousands of shares)

2,400

60,0002,000

50,0001,600

40,0001,200

30,000800

20,000400

10,0000014/4 14/5 14/6 14/7 14/8 14/9 14/10 14/11 14/12 15/1 15/2 15/3 15/4 15/5 15/6 15/7 15/8 15/9 15/10 15/11 15/12 16/1 16/2 16/3 (Month)■ ■ Stock Price (Left Scale)   ■ Monthly Trading Volume (Right Scale)