Financial Results Overview
for 3rd Quarter Ended
December 31, 2023
Japan Asia Investment Co., Ltd.
(JAIC) (TSE 8518)
Announcement date : Feb. 14, 2024

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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Contents
1

Summary

P3

2 Results for the current quarter (year-on-year)
3

Progress of the Medium-Term Management Plan
(Action Plan)

P4P94 Result forecast

P12

5 Appendix

P15

The figures in this document are based on consolidated financial statements prepared inaccordance with the previous accounting standards.
Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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1. Summary
 Results for the current quarter (year-on-year)•

Operating revenue decreased to ¥ 549 million (down, 79.6 %).

•Quarterly net loss attributable to owners of parent was ¥ (1,155) million (down, ¥1,075 million).

•

Since no stocks with relatively large investment amount and no project-oriented investment were sold,operating revenue significantly declined, and deficit widened.

 Progress of the Medium-Term Management Plan (Action Plan)•

The second fund, which supporting business succession needs, completed the final closing with a total
amount ¥5,101 million.

•

One logistic warehouse was built up in Akiruno City, Tokyo. One logistic warehouse has started
construction in Kaskabe City, Saitama Prefecture.

•

One group home for disabled people has started operation in Yatsushiro City, Kumamoto Prefecture.

 Result Forecast•

JAIC revised result forecast for FY 2024. Operating revenue was revised to 950～2,300 million yen andnet loss attributable to owners of parent was revised to (1,500) ～(450) million yen.

•

The timing of sales of project-oriented investments was delayed. Capital loss of shares was incurred.
Provision for possible investment loss and investment write-off exceeded the previous forecast.

•

Revised result forecast is estimated to fluctuate significantly depending on the sales of unlisted shares
those are under negotiation for sales.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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2. Results for the current quarter
Outline of results

P5

Breakdown of operating revenue & operating cost

P8

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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2. Results for the current quarter- Outline of results - I/S(million yen)

FY 2023 FY 2024
Change(3Q)(3Q)

Operating revenue

2,688

549 (79.6%)

Operating cost

1,774

879 (50.4%)

Operating gross profit

914

(329)

-

SG&A expenses

864

785

(9.2%)

Operating income

49(1,115)-

Ordinary income

17(1,151)-

Profit attributable toowners of parent(80)(1,155)-



Factors for decreased operating revenue and widened deficit• Private equity investment
Though sales of listed shares has progressed, sales of unlisted shares with relatively large investment
amounts has not been executed.
• Project-oriented investment
No project was sold, compared to 3 projects were sold in the same period of the previous fiscal year.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024-5-

2. Results for the current quarter- Outline of results - B/S(million yen)
Total assets

Cash and deposits

FY 2023

13,4132,464

FY 2024(3Q)

10,978Changefluctuation factors(billion yen)

(18.2%)

1,611

repayments of loan (0.8),
execution of investments &(34.6%) loans (1.2), expenses etc.(0.4),
collection +1.5
execution of investments &loans +0.8, distribution &(5.3%) collection (1.0), interests
income/loss(0.19), unrealized
gain +0.03

Project oriented investment securities &loans after deducting allowance forpossible investment loss

6,053

5,735

Strategic investment securities in partnercompanies after deducting allowance forpossible investment loss

782

913

16.7% execution of investments +0.13

Financial investment securities after
deducting allowance for possible
investment loss

3,301

2,204

execution of investments +0.2,
distribution &(33.2%) collection (0.5), unrealized gain
(0.3), write-off & allowance(0.5)

Loans payable

5,142

4,314

(16.1%) repayments of loan (0.8)

Total shareholders' equity

7,518

6,115

(18.7%) loss (1.1), unrealized gain (0.2)



Total assets decreased mainly due to investment collection, provision and writ-off of financial investments.

Cash and deposits decreased due to repayments of loan and execution of investments & loans.



Loans payable decreased due to repayments in accordance with agreement.



Total shareholders’ equity decreased due to loss and a decrease of unrealized gains.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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2. Results for the current quarter- Outline of results - C/F(JPY million)

FY 2023(3Q)

FY 2024(3Q)

Operating cash flow

517

234

Investing cash flow

(2)

1

Financing cash flow

(806)

(828)

Change in net cash flow

(263)

(580)

Cash & cash equivalents at end of period

2,134

1,181

Operating cash flow decreased year-on-year. Investment collection proceeded by redemption of bonds,
however, deficit widened.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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2. Results for the current quarter- Break down of operating revenue & operating cost
Total

（JPY million）

FY 2024(3Q)

Project oriented investment

FY 2023(3Q)

FY 2023(3Q)

FY 2024(3Q)

FY 2024
(3Q)

2,688

549

1,936

502

752

47

Fund management fees etc.

103

115

97

110

5

5

Proceeds of sales of securities

1,983

335

1,833

335

149

0

Fund interests income etc.

568

47

0

39

567

7

Other operating reveue

34

50

4

17

29

33

1,774

879

1,397

678

376

201

Operating revenue

Operating cost
Cost of securities sold

1,019

179

929

178

90

0

Investment write-offs and Provision
for allowance for possible investment
losses

450

491

450

491

-

-

Fund interests losses etc.

293

196

14

5

279

191

Other operating costs

9

11

2

2

6

9

914

(329)

539

(175)

375

(154)

Operating gross profit

FY 2023(3Q)

Private equity investment

Private equity investment – Revenue decreased, and operating gross profit went into the red• Of operating revenue, proceeds of sales of securities decreased. Sales of shares with relatively large investment amount
has not been executed.
• Of operating cost, write-offs & provisions increased. JAIC posted provisions and write-offs for portfolio companies thosebusiness progress had been slower than planned.

Project oriented investment – Revenue decreased, and operating gross profit went into the red• Operating revenue decreased since no project was sold. (3 projects were sold in the same period of the previous fiscal
year.)• Of operating cost, fund interests losses etc. decreased due to decrease of operating cost and loss from projects.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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3. Progress of the Medium-Term Management Plan
(Action Plan)
Progress in the current quarter

P10

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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3. Progress of the Medium-Term Management Plan
(Action Plan) - Progress in the current quarter
Action plan for 3 years

Progress in FY 2024 3Q (9 months)

 Liquidate existing assets and complete
asset replacement.
Private equity
investment

Renewableenergy Originate three new funds.
 Support strategic partners to go on public.
Cultivate new investment areas andpromote strategic investment.
 Increase investments in rooftop solar
power generation project in Vietnam andbiogas project in Japan.
 Sell mega solar projects in Japan after thecompletion to post gain on sale.

 JAPAN SYSTEMBANK CORPORATION
achieved IPO.
 “Succession Investment Limited Partnership,
Ⅱ” completed the final closing with a total
amount ¥5,101 million in Oct. 2023.

 Promoting the development of 3 mega solar
projects in Tochigi Prefecture 1 of the 3 projects has started electricity
sales in Dec. 2023.
 2 group homes developed in-house havestarted operation in Aug. 2023.

Healthcare(group home fordisabled people)

Invest in 50 projects by originating funds
from major banks and leasing companies

 Agreed with a construction company toacquire 8 group homes under construction
or scheduled to be constructed.
 1 of the 8 group homes has stared operationin Dec. 2023.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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3. Progress of the Medium-Term Management Plan
(Action Plan) - Progress in the current quarter
Action plan for 3 years

Distribution
Center(logistics
warehouse)

New investment
area

Progress in FY 2024 3Q (9 months)

 Increase investments as a priority area.
 Invest in early stages of projects andachieve high returns by attracting laterstage investors looking for middle-risk &middle returns.

Develop new investment area that will
become a core revenue generator frombusinesses related to existing investment
themes and other business themes which
may arise from corona crisis

Financial Results Overview for 3rd Quarter of FY Mar. 2024

 1 logistics warehouse has started
construction in Kaskabe City, Saitama, in Jan.
2024.
 1 logistics warehouse was built up in Akiruno
City, Tokyo, in Dec. 2023.
 2 memorial tree burial projects have started
operation at Koenji Temple in Minato-ku,
Tokyo and at Kaihoji Temple in Fushimi-ku,
Kyoto City.
 Actively invested in electric assist bicycles
those used in subscription service© Japan Asia Investment Co., Ltd. 2024

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4. Result forecast
Revised result forecast

P13

Cautionary statements

P14

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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4. Result forecast-Revised result forecast(million yen)

Actual
FY 2024 (3Q)

Result forecast
FY2024(disclosed in May
2023)

Result forecast
FY2024(Revised in Feb.
2024)

Change (%)

Operating revenue

549

2,300

950～2,300△58.7%～0%Operating income(1,115)200(1,450)～(４００)ーOrdinary income(1,151)120(1,500)～(４５０)ーProfit attributable toowners of parent(1,155)120(1,500)～(４５０)ーJAIC revised result forecast for FY Mar. 2024. The timing of sales of projects was delayed. Capital loss ofshares was incurred. Provision for possible investment loss and investment write-off exceeded the previous
forecast. Income and profit are estimated to go into the red.

Estimated sales of projects such as logistics warehouse and group home for disabled people were delayed to
FY Mar. 2025.



Estimated sales of shares with relatively large investment amount is under negotiation. If the sale is realizedon the best terms currently envisioned by JAIC, consolidated operating revenue is expected to remainunchanged. if the terms of the sale are lower than expected, if only a part of the unlisted shares can be sold,or if the sale is not completed during the current fiscal year, operating revenue is expected to decrease
accordingly up to 58.7% lower than the previous forecast.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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4. Result forecast - Cautionary statements

 The private equity investment business conducted by the Group will
be significantly affected by changing factors such as stock markets,given the characteristics of the business. In addition, it has beendifficult to forecast results reasonably in the rapidly changing
environment.
 For the convenience of investors and shareholders, however, we
disclose “result forecast consolidated under the Previous AccountingStandard” even though it doesn’t have enough rationality.
 The “result forecast consolidated under the Previous AccountingStandard” and any other forward-looking statements in this document
are based upon the information currently available to JAIC and certain
assumptions. The achievement is not promised. Various factors could
cause actual results to differ materially from these result forecasts.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix
Business policy of the Medium-Term Management Plan

P16

Cases of business progress

P17

Renewable energy projects

P20

Health care projects (group home for disabled people)

P21

List of project-oriented investments

P22

Strategic investment

P26

Asia network

P27

Funds & investment activities

P28

Business results & financial position

P29

Breakdown of operating revenue & operating cost

P30

Business field

P31

Profit structure

P32Core competence

P34

Efforts for SDGs

P35

Company data

P36

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Business policy of the Medium-Term
Management Plan
Business
Policy

Secure profits and funds by selling existing financial investment assetsIncrease the balance of project investment based on the new investment policyEstablish a hands-on investment style through collaboration in project investment andincrease capital gains from strategic investees

Basic
policyIncrease capitalgains fromstrategic
investees

Liquidatefinancialinvestment
assets early

Priority
measures

Basic
policy• Increase thebalance of project
investment• Diversify
investment target
projects

Financial Results Overview for 3rd Quarter of FY Mar. 2024

Priority
measures•

Keep the balance of financial investment within therange of equity capital•

Increase capital gains by providing hands-on
support to strategic investees•

Liquidate financial investment assets in maturity
venture funds early•

Forming investment funds in collaboration withpartners and, in principle, investing in financial
investment assets from these funds•

Provide hands-on support to strategic investees andrealize their IPO early•

Increase the balance of project investment•

Diversify investment target projects and invest in
the partner companies of new investment area•

Accelerate investment in logistics warehouses andgroup homes for the handicapped as the next pillarof earnings for the Mega Solar Project•

Realize the sale of existing logistics warehouses.

•

Aiming for early profitability of the vegetable plant•

Diversify investment target projects and invest in
the partner companies of new investment area

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Cases of business progress
Succession Investment Limited Partnership, Ⅱ
completed the final closingwith a total amount of ¥5,101 million
Name

Succession Investment Limited Partnership, Ⅱ

Date of establishment

16, August 2022

General Partner

AJ Capital Co., Ltd. [JV as a 50% stake in JAIC and Aozora Bank, Ltd.]

Total commitment amount

5,101 million yen
Aozora Bank, Awa Bank, Ikeda Senshu Bank, Ehime Bank, Kagoshima Bank, Gifu

Limited Partners

Shoko Shinkumi Bank, Keiyo Bank, Shonai Bank, Towa Bank, Tottori Bank, Bank ofToyama, Japan Asia Investment, Fukui Bank, Hokuto Bank, Japan Post Bank

Investment target

SMEs in Japan with business succession needs



AJ Capital, JV as a 50% stake in JAIC and Aozora Bank, manages the fund which supporting thebusiness succession needs.



The fund was funded by 15 companies, including regional financial institutions, and wascompleted the final closing in October 2023 with a total commitment amount of 5,101 million yen.

The Fund mainly invests in small cap zone (enterprise value is less than 1 billion yen).

The Fund collaborates with regional financial institutions nationwide to ensure smooth businesssuccession of SMEs.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Cases of business progress
KIC Akiruno Distribution Center has been built up

Partner:
ＫＩＣ Holdings
Inc.

Partner:Smart Solar
CorporationIn Dec. 2023, KIC Akiruno Distribution Center, developed ＫＩＣ Holdings Inc, has been built up. The logistics
warehouse is in good locations and with low environmental impact.

It is about 4.6 km from the Hachioji IC on the Chuo Expressway, about 3.8 km from the Akiruno IC on the Ken-O
Expressway, about 1.5 km from National Route 16, and about 1.7 km from Haijima Station on the JR East Japanand Seibu Railway, covering a wide range of areas in central Tokyo, West Tokyo, western Saitama, and Kanagawa

The logistics warehouse plans to introduce a combined power supply system developed by Smart Solar
Corporation. Low-cost clean energy generated by solar power covers part of the facility's electricity consumption,
reduces CO2 emissions, and functions as an emergency power source in the event of a power outage.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Cases of business progress
Perpetual memorial tree burial project, “Fushimi
Momoyama Forest “, started at Kaihoji Temple inFushimi-ku, Kyoto City

Partner:
366 Co., Ltd.

In Nov. 2023, a tree burial garden has opened in Kaihoji Temple in Fushimi-ku, Kyoto
City. This is the 2nd project co-developed with 366 Co., Ltd.

URL： https://366jumokuso.jp/jiin/fushimimomoyamanomori/Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Renewable energy projects(as of December 2023)
Mega solar projects

Started electricity sales 11 projects (13 power plants) 26.7 MW
Under construction or under planning
2 projects
4.2 MWTotal
13 projects (15 power plants) 30.9 MW
attributable to JAIC
13.3 MWTransfers to buyers other than the funds operated by the JAIC Group

33 projects

189.0 MW

*1: Underlined projects are invested from JAIC Solar Fund L.P., Ⅱ*2: solar power systems with storage batteries installed on the rooftops
Fukuoka, Mega Solar
1 project, 3 power
plants 3.0 MW
in total

Kumamoto, Mega Solar
1 project 3.1MW

Saitama, Solar Power System*2,
1 project 0.2 MW
1 project 0.3 MW

Kagawa, Mega Solar Mie,
4 projects 8.7MW Biomass, 1 project 2.0MW / 1 project 2.0MW
Wind power, 1 project at most 25.2MW

Hokkaido, Mega Solar,
1 project 2.3MW
Aomori, Biogas,
1project 0.03MW
Iwate, Mega Solar,
1 project 2.4MW
Fukushima, Mega Solar,
1 project 2.7MW
Tochigi, Mega Solar,
1 project 2.0MW
2 projects 4.2MW
Tokyo, Biogas,
1 project 1.1MW
Kanagawa, Mega Solar,
1 project 2.5MW
Solar Power System*2,
1 project 0.7MW* Since our investment ratio differs in each project, the amount of JAIC’s investment or revenues from mega solar projects that are attributable to JAIC are not necessarily linked
to the MW figure of the project.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix – Health care projects, group home fordisabled people (as of December 2023)
Number ofgroup homes
invested20

Cyugoku1

Chubu
Tohoku1

1

Kyushu3

Kanto
11

Shikoku
3

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - List of project-oriented investments(as of December 2023)
Type ofproject
Solar

No.

Name of power plant or Location

Generation
Capacity [MW]Current status

FIT[excl. tax, ¥]1

Nishiki-cho, Kuma-gun, Kumamoto(*)

3.1

Started electricity sales in Dec. 2015

40

2

Nomaike solar power plant(*)

2.4

Started electricity sales in May. 201736

3

Mitakabeike solar power plant(*)

1.5

Started electricity sales in Sep. 201732

4

Iwate Ichinoseki solar park(*)

2.4

Started electricity sales in Jan. 2018

36

5

Nakaoudaike solar power plant(*)

2.4

Started electricity sales in Apr. 201836

6

Higashioudaike solar power plant(*)

2.4

Started electricity sales in Jul. 201836

7

Hirono solar park

2.7

Started electricity sales in Feb. 2020

40

8

Akkeshi Luke Supor Solar Power Plant

2.3

Started electricity sales in May 2020

40

9

Akada solar power plant

2.5

Started electricity sales in Mar. 2023

32

10

Ukiha-shi, Shirakabe Solar Power Plant
Ukiha-shi, Mizunosato Solar Power Plant
Ukiha-shi, Minou Alps Solar Power Plant

3.0 in total

Started electricity sales in Mar.-May
2020

36

11

Karasuyama Nakayama Solar Power Plant

2.1

Under construction

36

12

Kanuma City Kamiishikawa Solar Power
Plant

2.0

Started electricity sales in Dec. 2023

32

13

Otawara City Kamehisa Solar Power Plant

2.1

Under construction

32

Total 30.9MW [attributable to JAIC 13.3MW]

In addition to the above, there is one project to hold anonymous partnership interests.
*Projects that are invested from JAIC Solar Fund L.P., Ⅱ

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - List of project-oriented investments(as of December 2023)
Type ofproject

No.

Location

solar powersystems withstoragebatteries
installed on
the rooftops

1

Koshigaya City, Saitama

0.2

Started electricity sales in Dec. 2022－

2

Hidaka City, Saitama

0.3

Started electricity sales in Feb. 2023－

3

Atsugi City, Kanagawa

0.7

Started electricity sales in Feb. 2023－

Biomass1

Matsusaka City, Mie

2.0Started electricity sales in Jan. 2018－2

Matsusaka City, Mie

2.0

Under planning－

1

Hamura City, Tokyo

1.1

Started electricity sales in Mar. 2021

39

Food recycle company that generates
biogas for power generation[operator of Hamura biogas power
generation]－

Started electricity sales in Nov. 201839

Under planning

22

BiogasGeneration
Capacity [MW]23Wind power

Touhoku Town, Aomori
MieFinancial Results Overview for 3rd Quarter of FY Mar. 2024

0.03
At most 25.2

Current status© Japan Asia Investment Co., Ltd. 2024

FIT
[excl. tax, ¥]- 23 -

5. Appendix - List of project-oriented investments(as of December 2023)
Type ofproject

Group homefor disabled
peopleFacility forthe elderly

No.

Location

Project scale

Current status1

Hamamatsu City, Shizuoka

Started operation in Aug. 2020

2

Hiroshima City, Hiroshima

Started operation in Aug. 20203

Utsunomiya City, Tochigi

Started operation in Sep. 2021

4

Kazo City, Saitama

Started operation in May. 2023

5

Sano City, Tochigi

Started operation in Sep. 2022

6

Koga City, Ibaragi

Started operation in Oct. 2022

7

Tatebayashi City, Gunma

Started operation in June 2023

8

Takamatsu City, Kagawa

Started operation in Sep. 2022

9

Oota City, Gunma

Started operation in Oct. 2022

10

Kiryu City, Gunma

11

Kawagoe City, Saitama

12

Konosu City, Saitama

Under construction

13

Iwaki City, Fukushima

Started operation in Aug. 2023

14

Higashikagawa City, Kagawa

Preparing for operation

15

Takamatsu City, Kagawa

Under construction

16

Kumamoto City, Kumamoto

Preparing for operation

17

Kuki City, Saitama

Under construction

18

Yatsushiro City, Kumamoto

Started operation in Dec. 2023

19

Kumagaya City, Saitama

Under construction

20

Kirishima City, Kagoshima

Under construction

1

Shinonome, Koto-ku, Tokyo

20-21 rooms for residents, 2-3 rooms for
short stay

8-story complex facility with a capacity of
100 people

Financial Results Overview for 3rd Quarter of FY Mar. 2024

Started operation in Mar. 2023
Started operation in Aug. 2023

Started operation in Apr. 2023

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - List of project-oriented investments(as of December 2023)
Type ofproject

No.

Type ofproject

Others

Project scale

Current status

Tamba Sasayama City,
Hyogo

Annual production: 470 tons in total

Existing part: started operation in
Mar. 2019
Expansion part: full-scale operation
started in Aug. 2022

1

Atsugi City, Kanagawa

Total floor area 10,370 m², 3 stories above groundStarted operation

2

Akiruno City, Tokyo

Total floor area 25,804 m² (scheduled), 4 stories above
groundCompleted in Dec. 2023

3

Kasukabe City,
Saitama

Total floor area 18,158 m² (scheduled), 4 stories above
groundUnder construction

4

Non-disclosed

Non-disclosed

Under planning

No.

Location

1

Kanagawa City

Shared facility for creative activities "KIKI BASE
FUJISAWA"

Started operation in Apr. 2023

2-

Electric assisted bicycle subscription service “NORUDE”

Executed first investment in Aug.
2022

3

Non-disclosed

Non-disclosed

Non-disclosed

4Non-disclosed

Non-disclosed

Non-disclosed

5

Tokyo

Tree burial project, Koenji Temple "Shiba Atago Forest TM“Started operation in May. 2023

6

Kyoto City

Tree burial project, Kaihoji Temple “Fushimi Momoyama
Forest“Started operation in Nov. 2023

7

Korea

Exhibition of Japanese animation, “Attack on Titan FINALin SEOUL”

Held from July 15th to October 15th,
2023

Vegetable
plant

Logistics
warehouse

Location

Details of project

Financial Results Overview for 3rd Quarter of FY Mar. 2024

Current status© Japan Asia Investment Co., Ltd. 2024

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5. Appendix – Strategic investment

Renewable Japan Co., Ltd.
Partner company in mega solar
projects
IPO date : 22 Dec. 2021
Stock market : TSE Mothers

Morihisa Engineering Co., Ltd.
Morvel Farm (subsidiary of Morihisa
Engineering)Partner company in smart
agriculture projects (vegetables)

366 Co., Ltd.

Partner company in perpetual
memorial tree burial project

Smart Solar Corporationsocial inclu CO., LTD.

Partner company in mega solar
projects

Partner company in projects forgroup homes for the handicapped
Investment Exit: Nov. 2022

MD-Farm

KIC Holdings Inc.

Partner company in smart
agriculture projects (strawberries)

Partner company in distribution
warehouse projects

cycloop Co., Ltd.

Partner company in electric assisted
bicycle subscription service

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Asia network

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

- 27 -

5. Appendix - Funds & investment activities(JPY million)

FY 2019

FY 2020

FY 2021

FY 2022

FY 2023

FY 2023(3Q)

FY 2024(3Q)

New & increased funds

2,000

1,359

151

1,001

3,701

2,701

1,400

AUM of funds - total *1

16,494

17,39016,45016,46315,85014,813

15,416

AUM of funds - JAIC *1

5,344

5,163

5,434

4,953

3,389

3,378

2,404

Execution of investnemts (Total)*2

3,749

3,374

1,767

3,420

3,561

2,330

1,932

Balance of investments (Total)*2

13,951

15,101

12,855

13,784

14,133

13,697

12,951

Execution of investnemts (project oriented investment)*2

3,612

2,150

1,445

1,938

2,152

1,132

826

Balance of investments (project oriented investment)*2

5,514

6,696

6,088

6,344

7,123

6,584

6,968

Execution of investnemts (private equity)*2

136

1,224

322

1,482

1,408

1,198

1,105

Balance of investments (private Equity)*2

8,437

8,405

6,767

7,440

7,010

7,113

5,983

Note 1: Since the number of funds in the course of being wound up while possessing investment assets has increased, funds
during the liquidation procedure are included in the scope of disclosure from FY March 2021.
Note 2: Due to an increase in loan execution for the projects by the JAIC Group, the aggregation method has been changed
from FY March 2021 to include loans extended to the projects (excluding distressed receivables) in the scope of aggregation.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Business results, financial position(Previous accounting standards)(JPY million)

FY 2019

FY 2020

FY 2021

FY 2022

FY 2023

FY 2023(3Q)

FY 2024(3Q)

Business results
Operating revenues

2,475

2,760

3,089

2,409

3,017

2,688

549

Operating gross profit

1,286

1,359

1,301

1,276

961

914

(329)

SG&A expenses

1,109

1,094

1,086

1,189

1,147

864

785

Operating income

177

265

214

86

(185)

49

(1,115)

Ordinary income

83

140

173

61

(224)

17

(1,151)

578

302

144

49

(269)

(80)

(1,155)

Cash and deposits

5,564

3,920

3,699

2,740

2,464

2,841

1,611

Operational investment securities and operatingloans of project oriented investment after
deducting allowance for possible investment loss

5,514

5,437

5,583

6,781

6,053

5,878

5,735

373

1,005

1,155

1,783

782

1,194

913

4,765

4,282

3,111

3,029

3,301

2,882

2,204

Loans payable, bonds & bonds with subscription
rights to shares

9,784

8,166

6,950

5,943

5,142

5,137

4,314

Total shareholders' equity

6,840

7,223

7,338

7,779

7,518

7,772

6,115

Total assets

17,30515,80014,657

14,972

13,413

13,517

10,978Net income
Financial position

Operational investment securities of strategic
investment in partner companies after deducting
allowance for possible investment loss
Operational investment securities of financial
investment after deducting allowance for possible
investment loss

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Statement of Income- break down (Previous accounting standard)(JPY:million)

FY 2019

FY 2020

FY 2021

FY 2022

FY 2023

FY2023(3Q)

FY2024(3Q)

Change(%)

１． Fund management operation
241

199

169

154

134

103

115

12.3%

-

-

-

-

-

-

-

-

241

199

169

154

134

103

115

12.3%

1,746

2,349

2,221

1,573

2,057

1,983

335

(83.1%)

429

172

648

631

781

568

47

(91.7%)

2,176

2,521

2,870

2,204

2,839

2,551

382

(85.0%)

554

965

1,249

810

1,311

1,019

179

(82.4%)

579

245

194

145

304

450

491

9.1%

49

184

336

167

426

293

196

(33.1%)

1,182

1,395

1,780

1,123

2,043

1,764

867

(50.8%)

993

1,125

1,090

1,081

796

786

(484)

-

57

40

49

50

44

34

50

49.3%

Operating cost

6

5

7

10

12

9

11

22.6%

Operating gross profit

51

34

41

40

31

24

39

59.7%

Operating revenues

2,475

2,760

3,089

2,409

3,017

2,688

549

(79.6%)

Operating cost

1,188

1,401

1,788

1,133

2,056

1,774

879

(50.4%)

Operating gross profit

1,286

1,359

1,301

1,276

961

914

(329)

-

Operating revenue
Operating cost
Operating gross profit
２． Investment operation
Proceeds of sales of securities
Fund interests income etc.
Operating revenue
Cost of securities soldInvestment write-offs and Provision forallowance for possible investment losses
Fund interests losses etc.
Operating cost
Operating gross profit
３． Others
Operating revenue

Total

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Business field

Private equity investment
JAIC provides growth capital in venturecompanies and small and medium sizedenterprise (“SME”) with high growthpotential, as well as to SMEs withsuccession problem.
After the investment, JAIC is committed toprovide various support to achieve growthstrategies of the company by utilizing
JAIC’s resources in Japan and elsewhere in
Asia.

Strategic investment

Project oriented investment

Strategic investment in partnercompanies that correspond toselected themes of JAIC.

JAIC has been investing to renewable energy
industries represented by solar energy as well as
to healthcare industry such as nursing facilities
and facilities for persons with disabilities.

JAIC provides “hands-on”
support to partner companies
to improve its businesspromotion and financing
activities, etc.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

In addition to above, JAIC is determined toinvest to new areas such as smart-agri business
represented by vegetable plant and logistic
industry such as distribution center where
JAIC’s accumulated expertise can be leveraged.

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Profit structure – Private equity investment•

Private equity investment is an investment in promising companies centered on venture companies and small and mediumsized enterprises in the Asian region including Japan. We support investee companies to increase their corporate value andobtain capital gains.

•

We also perform intermediary business as an FA based on the needs of M & A obtained through our investment activities.

•

There are two types of private equity investments. One is "strategic investments" in partners of project-oriented investment
and the other is "financial investments".

•

For investees of strategic investments, we not only support them as shareholders, but also manage projects together aspartners and support their growth.

•

For investees of financial investment, we provide not only the listing support but also provide overseas expansion support andsales support. We utilize our experience and wide network which we have built up through many years of investment activities
when we support our investees. To that end, we are building a network in Asia by forming business alliances with government
agencies in China and partner companies in Asian countries.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Profit structure – Project oriented investment•

We invest in SPCs (special purpose companies) that own facilities such as power plants, factories, residential facilities andwarehouses. We construct these facilities and receive the profits generated by the operation of the facilities in proportion to
the investment. In some cases, these facilities are sold for profits after completion.

•

We invest in projects such as renewable energy, healthcare (facility for the elderly, group homes for the disabled), smart
agriculture (vegetable plant), and distribution center (logistics warehouse).

•

We are pursuing high profitability with a small amount of investment funds by procuring non-recourse loans from financial
institutions. Most of the funds for the construction and operation of the project is procured by these loans.

•

In addition, in order to flexibly invest in projects in various fields, we collaborate with venture companies that are familiar withproject planning and development.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Core competence
Historical background in Asian region
Since its establishment in 1981 by the Japan
Association of Corporate Executives (Keizai

Capability to capture up-to-datebusiness information

Doyukai), JAIC has contributed to economic

Through the activity of exploring promisingover 35 years which led to high namecompanies and investment opportunities,

recognition.

exchange between Japan and Asian countries

JAIC has capability to capture highly
professional and cutting-edge information
on various corporates.

Expertise to structure sophisticatedfinance scheme
JAIC’s accumulated invested volume inside andoutside of Japan is Japanese Yen 330 billion.

Wide range of network with venture companies

For the project oriented investment, in addition
JAIC has track record of leading more than 300 invested venture

to providing direct equity investment, JAIC has

companies to “Going Public”. Through the long time investment

been arranging various financing scheme

activities, JAIC enjoys close relationship with wide range of venture

utilizing project-finance approach and leveragecompanies. Based on this intangible asset, JAIC is utilizing thefinancing together with financial institutions.

network to create value for invested companies through businessmatching and cultivating new business theme for JAIC’s own.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix – Efforts for SDGs
Becoming an SDGs investment company as our core value, we will thoroughly carry out
investment activities with a strong awareness of SDGs based on our management policy.

Environment
SocialRenewableenergySmartagriculture(vegetable
plant)

We will provide solutions for the decline and aging of farming population,
climate change and food safety through investments in vegetable plants.

Distribution
center(logistics
warehouse)

Facilities forthe elderlyManagement
system

We will contribute to achieve a productive society, revitalizing
regional industries and creating employment through investments inthe distribution center projects (logistics warehouse).

Group
homes forthehandicappedＰＥ
investment

GovernanceWe contribute to reducing the burden on the environment byinvesting in renewable energy projects and partner companies of the
projects.

We will provide solutions for realizing an inclusive, safe andcomfortable society through investments in healthcare
projects (facilities for the elderly, group homes for thehandicapped).

We will improve productivity and complement labor throughinnovations by supporting investee companies which revitalize
existing businesses. We will also support to sustain basic industry byproviding funds for SMEs with succession problem.

2 out of 5 directors are independent outside directors. / A voluntary ”Evaluation
Committee” evaluates personnel matters and compensation of executive directors./ Selfassessment of the effectiveness of the Board of Directors is conducted and its results areproperly disclosed. / Audit & Supervisory Committee audits and internal audits are properly
conducted.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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5. Appendix - Company data (as of December 31, 2023)
Company name

Japan Asia Investment Co., Ltd.

Abbreviation; JAIC

Head office

2F Medical Friend Building, 3-2-4 Kudn-kita, Chiyoda-ku, Tokyo 1020073, Japan

Established

July 10, 1981

Paid-in capital

5,426 million yen

Listed market

Tokyo Stock Exchange, Standard Market (Securities code 8518)

Employees

40 (Consolidated) / 21 (Non-consolidated)

Main businessPrivate equity investment / Project oriented investment
President & CEO

Tetsuro Shimomura

Managing Executive Officer

Masafumi Hatta

Chairman of Audit & Supervisory Committee

Kazunori Omori

Directors

Harumi Katagiri[Outside/Independent]
Member of Audit & Supervisory Committee
Ken Kudo[Outside/Independent]

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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Disclaimer

The information in this document is for presentational purposes only and is not an
inducement to invest in securities issued by JAIC.



Any forward-looking statements in this document are based on materials available at thetime of its compilation and no guarantee can be made as to the continued accuracy andreliability of the material. The contents may be changed without prior notice. Risks anduncertainties including changes to economic circumstances may cause results andprojections to differ materially from those presented in the document.



JAIC owns all copyrights and other rights to all information contained in this material,and it is prohibited to copy or divert it without the permission of JAIC.



The figures in this document are based on consolidated financial statements prepared inaccordance with the previous accounting standards.

This document has been translated from the Japanese original for reference purposes
only. In the event of any discrepancy between this translated document and theJapanese original, the original shall prevail. JAIC assumes no responsibility for thistranslation or for direct, indirect or any other forms of damages arising from thetranslation.

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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https://www.jaic-vc.co.jp
Contact to:
Kenji Kishimoto, Executive Officer
Miyuki Maruyama, Administration GroupIR e-mail : ir@jaic-vc.co.jp

Financial Results Overview for 3rd Quarter of FY Mar. 2024

© Japan Asia Investment Co., Ltd. 2024

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