Financial Statements(under Japanese GAAP)
February 10, 2017
Company nameIFIS JAPAN LTD.
Stock Exchange listing TSE
Code number7833
URL http://www.ifis.co.jp
Representative President
Kazuharu Osawa
ContactDirectorHiroki Osawa
TEL 81-(3)6825-1250
Scheduled date of annual
Scheduled start date ofMarch 24, 2017
March 27, 2017
shareholder’s meeting
dividend
Scheduled submission date
March 27, 2017of annual security report
Preparation of supplementary material on earnings：Yes
Holding of earnings performance review：Yes (for analysts)(Fractions less than ¥1 million have been omitted.)
1.Consolidated Financial Results for the Fiscal Year Ended December 31, 2016(January 1, 2016 toDecember 31, 2016)(1) Consolidated Operating Results(Percentages figure represent changes from same period of previous year.)Net sales
Operating income
Ordinary income
Net income％¥ million

Fiscal year ended
December 2016
4,596
8.4
Fiscal year ended
December 2015
4,241
14.4
(Note)
Comprehensiveincome (loss)

Net income
per share％¥ million588

1.0592％¥ million△0.3373△2.0582
53.3594
51.4
381
43.4
Fiscal year ended ¥368 million Fiscal year ended ¥377 million
December 2016(△2.4%) December 2015
(40.0%)
Diluted net
Return on
Profit margin on
income per Return on equity
assetssalesshare¥％¥

Fiscal year ended－December 2016
38.66
14.5
Fiscal year ended
December 2015
39.47
39.46
16.8
(Reference) Earnings on
Fiscal year ended ¥3 million
investments in equity- December 2016
method affiliates(2) Consolidated Financial Position
Total assets¥ million

Fiscal year ended
December 2016
Fiscal year ended
December 2015
(Reference) Equity％¥ million

Net assets％

17.820.9
Fiscal year ended
December 2015

Equity ratio％

12.8
13.7
¥7million

Net assets per share％¥ million

¥

3,614

2,734

75.6

283.04

3,057

2,418

79.1

250.36

Fiscal year ended
December 2015

¥2,418 million

Fiscal year ended
December 2016

¥2,734 million(3) Cash FlowsNet cash provided by Net cash provided by Net cash provided by Closing balance of(used in) operating(used in) investment (used in) financing
cash and cash
activities
activities
activities
equivalents¥ million¥ million¥ million¥ million

Fiscal year ended
December 2016

352

△309

△531,971

Fiscal year ended
December 2015

570

△193

△671,982

12. Dividends
Dividend Dividends
Total cash
payouton equity
dividends ratio(consoli (consolidatedated)d)Annual dividends

1st Qtr¥2nd Qtr¥

3rd Qtr Year-end¥¥

Total¥¥million％％

Fiscal year ended －December 2015－

200 －－

550

750

72

19.0

3.2

Fiscal year ended
December 2016 －Fiscal year ending
December 2017 －(Estimated)－

000 －－

650

650

62

16.8

2.4－

000 －－

700

700－－－

3. Projected Results for Fiscal year 2017(January 1 to December 31, 2017)(Percentages figure represent changes from same period of previous year.)

OperatingincomeNet sales％¥ million

Ordinaryincome％¥ million％¥ million

Net income
per share

Net income％¥ million¥

First half ending
Jun. 2017

2,500

9.9330△1.5300

0.5217

2.5

22.54

Fiscal year ending
Dec. 2017

5,000

8.8630

7.1

630

6.3

400

7.1

41.40

＊Notes(1) Significant changes in subsidiaries during the period (changes in specified subsidiaries resulting in thechange in consolidation scope): None
(2) Changes in accounting policies, estimates, and restatements:
1) Changes in accounting policies in accordance with revisions of accounting standards: Yes
2) Changes other than 1) above: None
3) Changes in accounting estimates: None
4) Restatements: None
(3) Number of shares outstanding (common stock)
Number of shares
outstanding at term
Fiscal year ended
Fiscal year ended
10,242,000 shares
10,242,000 shares
1)end (including treasuryDecember 2016
December 2015stock)
Number of shares ofFiscal year ended
Fiscal year ended
582,237 shares582,237 shares
2) treasury stock at term
December 2016
December 2015
end
Average number of
Fiscal year ended
Fiscal year ended
9,659,763 shares
9,659,763 shares3) shares during theDecember 2016
December 2015
period2

(Reference) Non-Consolidated Financial Results
1. Non-Consolidated Financial Results for the Fiscal Year Ended December 31, 2016(January 1 to December
31, 2016)(1) Non-Consolidated Operating Results(Percentages figure represent changes from same period of previous year.)Net salesOperating income
Ordinary income
Net income％¥ million％¥ million％¥ million％¥ million

Fiscal year ended
December 2016

3,053

6.4

511

15.4

514

15.2

337

20.2

Fiscal year ended
December 2015

2,869

15.0

443

68.4

446

63.5

280

69.1

Net income per share
Fiscal year ended December 2016
Fiscal year ended December 2015(2)Non-Consolidated Financial Position
Total assets

Diluted net income per share
¥¥

34.92
29.06

－29.06

Net assets¥ million

Equity ratio

Net assets per share％¥ million¥

Fiscal year ended
December 20162,798

2,342

83.7

242.53Fiscal year ended
December 2015

2,485

2,058

82.8

213.11

Fiscal year ended
December 2015

¥2,058 million(Reference)

EquityFiscal year ended
December 2016

¥2,342 million

2. Non-Consolidated earnings forecasts for Fiscal year 2017(January 1 to December 31, 2017)(Percentages figure represent changes from same period of previous year.)Net sales

Ordinary income％¥ million％¥ million

Net income
per share

Net income％¥ million¥First half ending
Jun. 2017

1,5753.3

235

△6.4

155

△6.0

16.04

Fiscal year endingDec. 2017

3,150

3.2470△8.6310△8.132.09* Disclosure regarding execution of audit procedures
At the time of disclosure of this earnings report, audit procedures in accordance with the Financial
Instruments and Exchange Act are in progress.
Note to ensure appropriate use of forecasts, and other noteworthy items（Cautionary note on forward-looking statements and other information）

The forward-looking statements, including earnings forecasts, contained in these materials are based on
information currently available to the Company and on certain assumptions deemed to be reasonable. Actual
business and other results may differ substantially due to various factors.
(Means of contents of supplementary material on earnings and earnings performance review)
The Company holds presentations for analysts regarding the six-month and year-end results.
Distributed presentation materials and audio recordings from performance reviews are available on theCompany’s website.

3Consolidated Financial Statements(1)Consolidated balance sheet(Thousands of yen)
Fiscal year ended

Fiscal year ended

December 31, 2015

December 31, 2016

(Assets)
Current assets
Cash and deposits
Notes and accounts receivable-trade
Work in process
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and accompanying
facilities
Accumulated depreciation
Buildings and accompanying
facilities, Net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, Net
Total Property, plant and equipment
Intangible assets
Goodwill
Software
Software in progress
Other
Total intangible assets
Investments and other assets
Investment securities
Stock of affiliated company
Affiliated company investments
Guarantee deposits
Deferred tax assets
Other
Total investment and other assets
Total noncurrent assets
Total assets

4

2,030,368
400,42232,031
21,871
102,278△42,586,967

2,020,748
503,588
62,59635,58534,923－2,657,441

28,05444,943△18,661△18,957

9,393

25,985160,260△134,656
25,60434,997

158,864△120,095
38,76964,75560,33399,2199,452
1,469
170,475

460,247
84,548－1,469
546,265

115,616
2,360
55,91456,56624,991
9,535
264,983
470,456
3,057,424

102,3072,360
54,806
100,803
67,39018,621
346,289
957,3103,614,752

(Thousands of yen)
Fiscal year ended

Fiscal year ended

December 31, 2015

December 31, 2016

Liabilities
Current liabilities
Accounts payable-trade
Income taxes payable
Accounts payable-other
Advances received
Provision for bonuses
Other
Total current liabilities
Noncurrent liabilities
Deferred tax liabilities
Net defined benefit liability
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on securities (otherthan subsidiaries and affiliatedcompanies)
Currency adjustment accountTotal accumulated othercomprehensive income
Total net assets
Total net liabilities

5203,402138,142
78,74391,72014,901
94,909621,820

228,415
184,808
105,665
128,502
18,21090,181
755,783

2,520
14,708－17,228639,049

4,286
14,707
105,875
124,869
880,653

382,510438,310
1,661,118△77,928
2,404,010

382,510438,310
1,981,430△77,928
2,724,322

△223

△299

14,588

10,076

14,3659,776

2,418,375
3,057,424

2,734,098
3,614,752

(2) Consolidated statements of income and consolidated statements of comprehensive income(Consolidated Statement of Income)(Thousands of yen)
Fiscal year ended

Fiscal year ended

December 31, 2015

December 31, 2016

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Investment gain by equity method
Foreign exchange gains
OtherTotal non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
OtherTotal non-operating expenses
Ordinary income
Extraordinary income
Compensation for transfer
Total extraordinary income
Extraordinary loss
Loss on retirement of noncurrent assets
Office transfer expenses
Total extraordinary loss
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Net income
Profit attributable to owners of parent

64,241,754
2,661,719
1,580,035
997,235
582,800

4,596,325
2,810,356
1,785,968
1,197,529
588,439

2,365
116
7,631
123
1,122
11,359

1,993
166
3,405
－
1,532
7,097

44－
1761
594,098－
1,974
1,061
3,035
592,501

－
－

9,715
9,715

186
－
186
593,911
189,730
22,926
212,656
381,254381,254

144
11,712
11,857590,359
230,528△13,609
216,918
373,440
373,440

(3)Consolidated statement of cash flows(Thousands of yen)
Fiscal year ended

Fiscal year ended

December 31, 2015

December 31, 2016

Net cash provided by (used in) operating
activities
Income before income taxes
Depreciation and amortization
Amortization of goodwill
Increase (decrease) in allowance for
doubtful accounts）
Increase (decrease) in provision forbonuses
Increase (decrease) in net defined benefit
liability
Interest and dividends income
Interest expenses
Investment gain(loss) by equity method
Loss on retirement of noncurrent assets
Compensation for removal
Relocation expenses
Decrease (increase) in notes and accounts
receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts
payable-trade
Increase (decrease) in accrued
consumption taxes
Other
SubtotalInterest and dividends income received
Interest expenses paid
Proceeds from compensation for removal
Payments for removal expenses
Income taxes paid
Income taxes refund
Net cash provided by (used in) operating
activities

7593,911
56,973
6,481

590,359
62,25630,945△789△41,909

3,309

697

△1△2,481
44△7,631186－－△2,160－△3,405144△9,715
11,712

18,183△92,770△9,218△30,565

35,625

9,332△13,044△19,119

10,511
691,358
3,859
△44－
－
△127,646
3,133

32,178582,498
3,425
－
4,935
△8,737△230,068－

570,659

352,052(Thousands of yen)
Fiscal year ended

Fiscal year ended

December 31, 2015

December 31, 2016

Net cash provided by (used in) investment
activities
Purchase of property, plant and equipment
Purchase of intangible assets
Payments for transfer of business
Proceeds from redemption of securities
Purchase of shares of subsidiaries
resulting in change in scope of
consolidation
Proceeds from collection of lease andguarantee deposits
Proceeds from collection of guarantee
deposits
Payments for insurance premium reserve
Proceeds from cancellation of insurance
funds
Payments into time deposits
Proceeds from withdrawal of time deposits
Advance payments for business transferagreement
Net cash provided by (used in) investment
activities
Net cash provided by (used in) financing
activities
Increase in short-term loans payable
Decrease in short-term loans payable
Cash dividends paid
Net cash provided by (used in) financing
activities
Increase (decrease) in cash and cash
equivalents
Opening balance of cash and cash
equivalents
Closing balance of cash and cash
equivalents

8△7813△22,726△110,000
10,398△27,201△26,953△34,538
10,360－△266,707－△44,060

242,346△960△1,500－79,711△1,201
10,000△1,202－△70,900－△193,178△309,746

50,000△50,000△67,618－－△53,128△67,618△53,128

309,862△10,822

1,672,497

1,982,360

1,982,360

1,971,537