Financial Results Overview
for the 1st Quarter Ended
June 30, 2022
Japan Asia Investment Co., Ltd.
(JAIC) (TSE 8518)
Announcement date : August 12, 2022

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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Contents
1

Summary

P3

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

P4

3 Business plan progress report

P9

4 Result forecasts

P18

5 Appendix

P22

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

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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

Operating revenue of ¥ 219 million (up, 30.2 % year on year) and quarterly net loss attributable to ownersof parent of ¥ (262) million (¥25 million reduction in deficit).

•

Proceeds of sales of shares increased and investment write-off decreased.

 Business plan progress report•

Decided to invest in “non FIT type” solar power systems installed on the rooftops of distribution centers•

The mega solar power plant in Iwaki City, Fukushima started electricity sales in July. We sold our equity of
the fund invested in this power plant in August.

•The logistic warehouse in Hidaka City, Saitama was built up in Apr. and was sold in June.

•

The facility for the elderly in Minamiaoyama, Minato-ku was built up in May and was sold in June.

•

The group home for the handicapped in Takamatsu City, Kagawa was built up. Expanded to 10 grouphomes including scheduled to be built up by the end of the year•

Business development has progressed steadily in new investment area.

 Result forecasts•

Full-year forecast remains unchanged. Sales of projects progress steadily. 2 projects were sold in 1Q and
1 project was sold in 2Q.

•

Forecast for fist half was revised. Sales of shares and project will be delayed from 2Q to 3Q.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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2. Results for the current quarter
Outline of results

P5

Break down of operating revenue & operating cost

P8

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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

FY 2022 (1Q)
AmountFY 2023 (1Q)
AmountChangeOperating revenue

168

219

30.2%

Operating cost

165

185

12.0%

3

34

929.7%

SG&A expenses

273

262

(4.0%)

Operating income

(270)

(227)

-

Ordinary income

(286)

(248)

-

Profit attributable to owners ofparent

(287)

(262)

-

Operating gross profit






Of operating revenue, proceeds of listed sales in Japan increased.
Capital gains increased from sales of unlisted shares in Greater China.
Investment write-off decreased.
Upfront costs from projects increased.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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2. Results for the current quarter - Outline of results - B/S
FY 2022Amount(million yen)

Total assets

FY 2023 (1Q)
Amounq(million yen)

14,972

14,294

Changefluctuation factors(billion yen)

(4.5%)
repayments of loan (0.3),
execution of investments &(19.1%) loans (0.1), expenses etc.(0.3),
collection +0.2

Cash and deposits

2,740

2,217

Project oriented investment securities &
loans

6,781

6,801

Strategic investment securities in partnercompanies

1,783

1,622

(9.0%) unrealized gain (0.1)

Financial investment securities after
deducting allowance for possible
investment loss

3,029

3,016

(0.4%)

Loans payable

5,943

5,633

(5.2%) repayments of loan (0.3)

Total shareholders' equity

7,779

7,515

(3.4%) loss (0.2)

0.3%



Cash and deposits decreased due to repayments of loan, and payment of expenses and interests.

No significant changes in operational investment assetsAfter securing investment funds for future growth, we will repay loans payable to an appropriate level.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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

FY 2022 1Q

FY 2023 1Q

Operating cash flow

(533)

(265)

Investing cash flow

(0)

(0)

Financing cash flow

(507)

(309)

(1,024)

(561)

2,276

1,836

Change in net cash flow
Cash & cash equivalents at end of periodOperating cash flow; net cash used in decreased as investment collection progressed.
Financing cash flow; net cash used in decreased due to a decrease of repayment of loans payable.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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2. Results for FY Mar. 2022
- Break down of operating revenue & operating cost
Total

（JPY million）

Private equity investment

Project oriented investment

FY 2022 (1Q)

FY 2023 (1Q)

FY 2022 (1Q)

FY 2023 (1Q)

FY 2022 (1Q)

FY 2023 (1Q)

168

219

150

207

18

12

Fund management fees etc.

41

35

39

34

1

1

Proceeds of sales of securities

104

171

104

171

-

-

Fund interests income etc.

9

1

3

0

6

1

Other operating reveue

12

11

2

1

9

9

165

185

145

124

20

60

88

113

88

113

-

-

28

1

28

1

-

-

Fund interests losses etc.

46

66

27

8

18

58

Other operating costs

2

3

1

0

1

2

3

34

5

82

(2)

(48)

Operating revenue

Operating cost
Cost of securities soldInvestment write-offs and Provision forallowance for possible investment losses

Operating gross profitPrivate equity investment – Revenue increased and operating gross profit increased•
Of operating revenue, proceeds of sales of securities increased due to progress of sales of listed
shares in Japan.
•
Of operating cost, investment write-offs from investees those business development were delays
decreased.

Project oriented investment – Revenue decreased and operating gross profit decreased•
Of operating cost, fund interests losses etc. increased due to upfront costs from the smart agriculture
project which expanded the vegetable plant and newly developed projects.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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3. Business plan progress report
Action plan

P10

Renewable energy

P11

Distribution centre (logistics warehouse)

P13

Healthcare (facility for the elderly)

P14

Healthcare (group home for the handicapped)

P15

New investment area (shared atelier)

P17

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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3. Business plan progress report – Action plan
Action plan for 3 years
 Increase investments in rooftop solar power
Renewable energy Decided to invest in “non FIT type” solar power

generation project in Vietnam and biogas

systems installed on the rooftops of distribution

project in Japan.

centers

 Sell mega solar projects in Japan after thecompletion to post gain on sale.
 Increase investments as a priority area.
Distribution center(logistics
warehouse)

Progress in the second year (since Apr. 2022)

 Invest in early stages of projects and achieve
high returns by attracting later stage investors
looking for middle-risk & middle returns.

 Mega solar power plant in Iwaki City, Fukushima
started electricity sales in Jul. and was sold in Aug.
The distribution center in Hidaka City, Saitama wasbuilt up in Apr. and sold in Jun. (This profit will be
posted in 3Q.)
The facility in Minamiaoyama, Minato-ku was built up

Healthcare (facility
for the elderly)Continue to invest in carefully selected projects

in May and sold in Jun. (This profit will be posted in
3Q.) The group home for the handicapped in Takamatsu

Healthcare (grouphome for thehandicapped)

Invest in 50 projects by originating funds frommajor banks and leasing companies

City, Kagawa was built up.
 Collaboration with regional financial institutions
accelerated the business development.

Develop new investment area that will become a
New investment
area

core revenue generator from businesses related
to existing investment themes and other businessthemes which may arise from corona crisis Invested in entertainment contents, “NAKED
FLOWERS FOR YOU”, through PIA Corporation
 Decided to invest in a shared atelier project in JulyBusiness development progressed in renewable energy, distribution center and healthcare
Invested in various projects in new investment area

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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3. Business plan progress report – Renewable energy
Decided to invest in “non FIT type” solar power systems
installed on the rooftops of distribution centers

Strategic investee;
KIC Holdings Inc.



Strategic investee;
Smart Solar Corporation

These distribution centers were developed by KIC Holdings Inc., one of our strategic investees. This non
FIT type solar power system was developed by Smart Solar, other strategic investee.

Combined and efficient operation of solar panels installed on the rooftop, storage batteries, andcommercial power sources

A low environmental-load distribution center that uses sunlight to cover 60% of the power used by thefacility

The clean energy generated can be consumed at low cost by the tenant of the facility. Additionally, thissystem functions as an independent emergency power source in the event of a power outage.

This is the result of successful collaboration between strategic investee companies.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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3. Business plan progress report – Renewable energy
Mega solar power plant in Iwaki City, Fukushima started electricity sales in Jul. 2022

Location

Iwaki City, Fukushima

Maximum
outputaround ２．４ MW

Expected
annualpower
generation

Around 2,9５0 MWh（Equivalent to annual
power consumption of
approx. 620 average
households ※）Start ofelectricity
sales

July 202２

Investment
exit

August 2022

※ Annual power consumption of average households are converted at 4,743 kWh per annum based on the Photovoltaic Power Generation
Association “Disclosure Guidelines (FY 2022).

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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3. Business plan progress report – Logistic warehouse
KIC Sayamahidaka Distribution Center was built up in Apr. 2022

Strategic investee;
KIC Holdings Inc.

Location

Hidaka City, Saitama

Accessapproximately 0.5 km fromthe Ken-O Expressway"Sayamahidaka IC",
approximately 4.8km from
Seibu Shinjuku Line "Sayama
City" Station

Outline ofwarehouse

Total floor space: 15,113㎡,
4 floors above ground

Investment
execution

Jan. 2021

Completion

Apr. 2022

Investment
exit

Jun. 2022

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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3. Business plan progress report – Facility for the elderlies
Facility in Minamiaoyama, Minato-ku was built up in May 2022

Name

Plaisant Luxe Minami Aoyama
about 15 minutes from Tokyo
Metro Hibiya Line Hiroo Station,
17 minutes from Tokyo Metro

AccessChiyoda Line Omotesando Station,
about 15 minutes from Minami
Aoyama 7-chome bus stop, on
foot
Site area: 1,691.52㎡, Reinforced
concrete construction, 5 floors

Outlineabove ground,
Paid nursing home for the elderly(Capacity 61 people）

Investment
execution

Jan. 2021

Completion

May. 2022

Investment
exit

Jun. 2022

Financial Results Overview for the 1st Quarter of FY Mar. 2023

Partner company：
AIP Healthcare Japan GK© Japan Asia Investment Co., Ltd. 2022

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3. Business plan progress report– Group home for the handicapped
Social Inclu Home Kagawa Town Takamatsu was built up in May 2022

Strategic investee;social inclu CO., LTD.
Location

Kagawa town,
Takamatsu city, Kagawa

Completion

May 2022

No. of rooms

20 for residents, 2 forshort-stayType of grouphome

24-hours support
service typeOperatorsocial inclu CO., LTD.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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3. Business plan progress report– Group home for the handicapped
Collaboration with regional financial institutions accelerated business development



By strengthening cooperation with regional financial institutions, the speed of project development has
accelerated and the target area has expanded.

Expanded to 10 group homes including scheduled to be built up by the end of the yearSocial Inclue, our partner company of group home for the handicapped business, operates these grouphomes.

We have also invested in Social Inclu and have proactively supported its growth through developing
projects.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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3. Business plan progress report – New business
Decided to invest in a shared atelier in Fujisawa City, Kanagawa in Jul. 2022

Partner company;
ENJOYWORKS
A photo of "Sakurayama Shared
Atelier" where ENJOYWORKS
renovated an abandoned factory in
Sakurayama, Zushi City, Kanagawa.



Decided to invest in a shared atelier project to renovate an abandoned factory in Fujisawa City, Kanagawa
into a shared factory and shared atelier for creators and artists



ENJOYWORKS (“EW”), the partner company of this project, develops and renovates real estate for 15 years
since its incorporation. EW has successfully involved local residents, local companies, regional financial
institutions and local government in EW’s projects and has developed various distinctive projects.



By utilizing the crowdfunding sympathetic investment fund "Hello! RENOVATION", EW solicits investment
from various related population and raises the funds necessary for development.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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4. Result forecasts
Business policy for FY Mar. 2023

P19

Breakdown of result forecast

P20

Cautionary statements

P21

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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4. Result forecasts for FY Mar. 2023 - Business policy

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 the 1st Quarter of FY Mar. 2023

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. 2022

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4. Result forecasts for FY Mar. 2023
- Breakdown of result forecast(million yen)

Actual
FY 2023(1Q)

Result forcast
FY2023 1st Half

Revised result forcast
FY2023 1st Half

Result forcast
FY. 2023 full-year(disclosed in May 2022)(Revised in Aug. 2022)(disclosed in May 2022)

AmountAmountChangeAmountAmountProgression
ratio

Operating revenue

219

1,950

1,330

(31.8%)

3,000

7.3%

Operating cost

185

600

740

23.3%

1,050

17.7%

34

1,350

590

(56.3%)

1,950

1.8%

SG&A expenses

262

570

540

(5.3%)

1,200

21.9%

Operating income

(227)

780

50

(93.6%)

750-

Ordinary income

(248)

730

0

(100.0%)650-

Profit attributable toowners of parent

(262)

600

(10)

-

550

-

Operating gross profit•

Full-year forecast remains unchanged. Reflecting capital gains from private equity investments mainly inJapan and sales of projects, we aim to achieve the profit plan.

•

Forecast for fist half was revised. Expected sales of shares and project have been delayed from 2Q to 3Q.

•

Sales of projects have steadily progressed. 2 projects were sold in 1Q and the profits will be posted in 3Q.

•

Actual results of 1Q were behind the forecast due to unexpected extraordinary loss, less capital gain fromshares and operating costs from projects those exceeded expectations.

•

On the other hand, 1 mega solar project was sold in 2Q. This capital gain was not expected at the beginningof the term and is expected to compensate for behinds in 1Q.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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4. Result forecasts for FY Mar. 2023 - Cautionary statements
 The private equity investment business conducted by theGroup will be significantly affected by changing factors suchas stock markets, given the characteristics of the business. In
addition, it has been difficult to forecast results reasonably inthe rapidly changing environment.
 For the convenience of investors and shareholders, however,
we disclose “result forecast consolidated under the Previous
Accounting Standard” even though it doesn’t have enoughrationality.
 The “result forecast consolidated under the Previous
Accounting Standard” 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 the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix
Renewable energy projects

P23

List of project oriented investments

P24

Strategic investment

P27

Asia network

P28

Funds & investment activities

P29

Business results & financial position

P30

Break down of operating revenue & operating cost

P31

Business field

P32

Core competence

P33

Profit structure

P34

Efforts for SDGs

P36

Company data

P37

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix - Renewable energy projects(as of June 2022)
Mega solar projects
Started electricity sales 9 projects (11 power plants) 22.2 MW
Under construction or under planning
5 projects 10.8 MW
Total
14 projects (16 power plants) 33.0 MW
attributable to JAIC
14.2 MWTransfers to buyers other than the funds operated by the JAIC Group

32 projects

Aomori, Bio gas,
1project 0.03MW

186.6 MW
Iwate, Solar,
1 project 2.4MW*Underlined projects are invested from JAIC
Solar Fund L.P., Ⅱ

Fukushima, Solar,
1 project 2.7MW
1 project 2.4MW

Fukuoka, Solar
1 project, 3
power plants
3.0MW in total

Kumamoto, Solar
1 project 3.1MW

Hokkaido, Solar,
1 project 2.3MW

Tochigi, Solar,
3 projects 6.0MW

Mie,
Kagawa, Solar
4 projects 8.7MW Woody biomass, 1 project 2.0MW
Wind power,
1 project at most 25.2MW

Tokyo, Bio gas,
1 project 1.1MW
Kanagawa, Solar,
1 project 2.4MW* 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 the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix - List of project oriented investments(as of June 2022)
Type ofproject
Solar

No.

Name of power plant or Location

Generation
Capacity [MW]Current status

FIT[tax excluded,¥]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. 2018

36

7

Iwaki City, Fukushima

2.4

Under construction (Started electricity
sales in Jul. 2022)

32

8

Hirono solar park

2.7

Started electricity sales in Feb. 2020

40

9

Akkeshi Luke Supor Solar Power Plant

2.3

Started electricity sales in May 202040

10Kanagawa

2.4

Under planning

32

11

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

Started electricity sales in Mar.-May
2020

36

12

Tochigi

2.0

Under planning36

13

Tochigi

2.0

Under planning32

14

Tochigi

2.0

Under planning32

3.0 in total

Total 33.0MW [attributable to JAIC 14.2MW]*Projects that are invested from JAIC Solar Fund L.P., Ⅱ

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix - List of project oriented investments(as of June 2022)
Type of project

No.

Woody biomass
Bio gas1

Location

Generation Capacity[MW]

Current status

FIT[tax excluded,¥]

Matsusaka City, Mie

2.0Started electricity sales in Jan. 2018－

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

2

3
Wind power

Type ofproject

Mie

No.

Commercial
building

0.03
At most 25.2

Location

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
scheduled for Aug. 2022

1

Atsugi City, Kanagawa

Total floor area 10,890 m² (scheduled), 2
stories above ground

Under construction or Under
planning

2

Ebina City, Kanagawa

Undecided

Under construction or Under
planning

3

Akiruno City, Tokyo

Total floor area 25,804 m² (scheduled), 4
stories above ground

Under construction or Under
planning

4

Non-disclosed

Non-disclosed

Under construction or Under
planning

5

Non-disclosed

Non-disclosed

Under construction or Under
planning

Aichi

Site area 1,752 m², 1 basement floor, 6 floors
above ground

Opened*investment in building which has
already started operation

Vegetable
plant

Logistics
warehouse

Touhoku Town, Aomori

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix - List of project oriented investments(as of June 2022)
Type ofproject

No.

Facility forthe elderly

1

Shinonome, Koto-ku, Tokyo1

Hamamatsu City, Shizuoka

Started operation in Aug. 2020

2

Utsunomiya City, Tochigi

Started operations in Sep. 2021

3

Hiroshima City, Hiroshima

Started operation in Aug. 2020

4

Kazo City, Saitama

Built up in Feb. 2022

5

Koga City, Ibaragi

Built up in Mar. 2022

6

Tatebayashi City, Gunma

Built up in Mar. 2022

7

Kawagoe City, Saitama

8

Sano City, Tochigi

Built up in Mar. 2022

9

Oota City, Gunma

Under construction (Scheduled
to be built up in 2022)

10

Takamatsu City, Kagawa

Built up in May 2022

11

Kiriu City, Gunma

Under construction (Scheduled
to be built up in 2022)

12

Iwaki City, Fukushima

Under construction or Under
planning

1

Naked Flowers For You

Group home
for thehandicapped

Contents

Location

Project scale
8-story complex facility with a capacity of
100 people

20 rooms for residents, 2 rooms for shortstay-

Current status
Under construction or Under
planning

Under construction or Under
planning

Held on the 8th floor of
Yurakucho Marui since March2022

Other 2 projects

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix – Strategic investment

Renewable Japan Co., Ltd.
Partner company in mega solar
projects
Year of first investment: 2015
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)

Smart Solar Corporationsocial inclu CO., LTD.

Partner company in mega solar
projects

Partner company in projects forgroup homes for the handicapped

Year of first investment: 2017

Year of first investment: 2019

MD-Farm

KIC Holdings Inc.

Partner company in smart
agriculture projects (strawberries)

Partner company in distribution
warehouse projects

Year of first investment: 2019Year of first investment: 2020

Year of first investment: 2019
Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix - Asia network

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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

18/3

19/3

20/3

21/3

22/3

22/3(1Q)

23/3(1Q)

New & increased funds

1,000

2,000

1,359

151

1,001

1,001

-

AUM of funds - total *1

19,15016,494

17,39016,45016,46317,02016,952

AUM of funds - JAIC *1

5,867

5,344

5,163

5,434

4,953

5,470

5,113

New investnemts (Total)*2

3,887

3,749

3,374

1,767

3,420

862

93

Balance of investments (Total)*2

13,981

13,951

15,101

12,855

13,784

13,522

13,128New investnemts (project oriented investment)*2

2,681

3,612

2,150

1,445

1,938

142

81

Balance of investments (project oriented investment)*2

3,582

5,514

6,696

6,088

6,344

6,208

5,879

New investnemts (private equity)*2

1,205

136

1,224

322

1,482

720

11

10,398

8,437

8,405

6,767

7,440

7,313

7,248

Balance of investments (private Equity)*2

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 the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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

18/3

19/3

20/3

21/3

22/3

22/3(1Q)

23/3(1Q)

Business results
Operating revenues

5,403

2,475

2,760

3,089

2,409

168

219

Operating gross profit

2,328

1,286

1,359

1,301

1,276

3

34

SG&A expenses

1,311

1,109

1,094

1,086

1,189

273

262

Operating income

1,017

177

265

214

86

(270)

(227)

Ordinary income

954

83

140

173

61

(286)

(248)

Net income

874

578

302

144

49

(287)

(262)

Cash and deposits

7,308

5,564

3,920

3,699

2,740

2,781

2,217

Operational investment securities and operatingloans of project oriented investment

3,582

5,514

5,437

5,583

6,781

5,646

6,801

Operational investment securities of strategic
investment in partner companies

373

373

1,005

1,155

1,783

1,355

1,622

Operational investment securities of financial
investment after deducting allowance for possible
investment loss

5,657

4,765

4,282

3,111

3,029

3,047

3,016

Loans payable, bonds & bonds with subscription
rights to shares

11,954

9,784

8,166

6,950

5,943

6,442

5,633

Total shareholders' equity

6,545

6,840

7,223

7,338

7,779

6,998

7,515

Total assets

19,22017,30515,80014,657

14,972

13,90014,294

Financial position

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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

18/3

19/3

20/3

21/3

22/3

22/3(1Q)

23/3(1Q)

Change(%)

１． Fund management operation
Fund management fees and others

277

241

199

169

154

41

35

(13.1%)

Success Fees

86

-

-

-

-

-

-

-

Operating revenue

364

241

199

169

154

41

35

(13.1%)

-

-

-

-

-

-

-

-

364

241

199

169

154

41

35

(13.1%)

Proceeds of sales of securities

3,219

1,746

2,349

2,221

1,573

104

171

63.3%

Fund interests income etc.

1,677

429

172

648

631

9

1

(83.5%)

4,897

2,176

2,521

2,870

2,204

114

172

50.9%

2,469

554

965

1,249

810

88

113

29.3%

562

579

245

194

145

28

1

(94.9%)

36

49

184

336

167

46

66

43.6%

Operating cost

3,069

1,182

1,395

1,780

1,123

163

182

11.7%

Operating gross profit

1,827

993

1,125

1,090

1,081

(48)

(9)

-

142

57

40

49

50

12

11

(13.7%)

5

6

5

7

10

2

3

36.9%

136

51

34

41

40

10

8

(24.5%)

Operating revenues

5,403

2,475

2,760

3,089

2,409

168

219

30.2%

Operating cost

3,074

1,188

1,401

1,788

1,133

165

185

12.0%

Operating gross profit

2,328

1,286

1,359

1,301

1,276

3

34

929.7%

Operating cost
Operating gross profit
２． Investment operation

Operating revenue
Cost of securities soldInvestment write-offs and Provision for allowance forpossible investment losses
Fund interests losses etc.

３． Others
Operating revenue
Operating cost
Operating gross profit
Total

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix - Business field

Private equity investment

Strategic investment

Project oriented 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 to provide various
support to achieve growth strategies of thecompany by utilizing
JAIC’s resources in Japan and elsewhere in
Asia.

Strategic investment in
partner companies that
correspond to selected
themes of JAIC.
JAIC provides “hands-on”
support to partner companies
to improve its businesspromotion and financing
activities, etc.

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

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix - Core competence
Historical background in Asian region

Capability to capture up-to-datebusiness information
Through the activity of exploringpromising companies and investment
opportunities, JAIC has capability tocapture highly professional andcutting-edge information on various
corporates.

Since its establishment in 1981 by theJapan Association of Corporate
Executives (Keizai Doyukai), JAIC has
contributed to economic exchange
between Japan and Asian countries over
35 years which led to high namerecognition.

Expertise to structure sophisticatedfinance scheme

Wide range of network with venture companies
JAIC has track record of leading more than 300 invested
venture companies to “Going Public”. Through the long time
investment activities, JAIC enjoys close relationship withwide range of venture companies. Based on this intangible
asset, JAIC is utilizing the network to create value forinvested companies through business matching andcultivating new business theme for JAIC’s own.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

JAIC’s accumulated invested volume
inside and outside of Japan is Japanese
Yen 330 billion.
For the project oriented investment, in
addition to providing direct equity
investment, JAIC has been arranging
various financing scheme utilizing
project-finance approach and leverage
financing together with financial
institutions.

© Japan Asia Investment Co., Ltd. 2022

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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 and warehouses. 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 thedisabled), 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 bythese loans.
In addition, in order to flexibly invest in projects in various fields, we collaborate with venture companies thatare familiar with project planning and development.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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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 medium-sized enterprises in the Asian region including Japan. We support investee companies to increase
their corporate value and obtain 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 as partners and support their growth.
For investees of financial investment, we provide not only the listing support but also provide overseas
expansion support and sales 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 the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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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.

Financial Results Overview for the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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5. Appendix - Company data (as of June 30, 2022)
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

Directors

Chairman of the Board:Yoshiaki Kawamata [Outside/Independent]

President & CEO:Tetsuro Shimomura

Managing Executive Officer :Masafumi Hatta
Chairman of Audit & Supervisory Committee:Kazunori Omori
Member of Audit & Supervisory Committee

Financial Results Overview for the 1st Quarter of FY Mar. 2023

:Hitoshi Yasukawa[Outside/Independent]:Tadashi Nunami[Outside/Independent]:Harumi Katagiri[Outside/Independent]© Japan Asia Investment Co., Ltd. 2022

- 37 -

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 the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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https://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 the 1st Quarter of FY Mar. 2023

© Japan Asia Investment Co., Ltd. 2022

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