Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Three Months Ended June 30, 2016
(Based on Japanese GAAP)
July 25, 2016
Company name:
TRANCOM CO.,LTD.
Stock exchange listing: Tokyo, Nagoya
Stock code:
Representative:

9058
URL http://www.trancom.co.jp/ir/index.html
President and COO
Yutaka Tsunekawa

Inquiries:

Executive Officer, in charge ofAdministration GroupToru Iwao

Scheduled date to file Quarterly Securities Report:
Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:TEL(052)939-2011

August 10, 2016–
No
No(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the three months ended June 30, 2016 (from April 1, 2016 to June 30, 2016)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating income
Ordinary income
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%Three months ended June 30, 2016
31,660
2.9
1,338
4.1
1,298
1.9
1,449 125.1
Three months ended June 30, 2015
30,759
15.5
1,285
27.9
1,274
29.3
644
15.0
Earnings per share

Diluted earnings per shareYen
149.31
66.37

Three months ended June 30, 2016
Three months ended June 30, 2015

Yen
148.8966.20(2) Consolidated financial position
Total assets

Net assets

Millions of yen
42,421
42,113As of June 30, 2016
As of March 31, 2016

Equity ratio

Millions of yen
25,74824,628

Net assets per share
%60.1
58.2

Yen
2,623.94
2,524.56

2. Cash dividends
Annual dividends per share
1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––

Yen
34.00

Yen–

Yen
40.00

Yen
74.00

39.00

–

39.00

78.00

Year ended March 31, 2016
Year ending March 31, 2017
Year ending March 31, 2017 (Forecast)Total

3. Forecast of consolidated financial results for the year ending March 31, 2017 (from April 1, 2016 to March 31, 2017)Net sales
Millions of yen
Six months ending
September 30, 2016
Full year

Percentages indicate year-on-year changes
Profit attributable toOperating income
Ordinary income
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%
Yen

64,0803.6

2,530(6.1)

2,490

(7.1)

1,830

17.8

188.52

133,130

5.5

6,340

5.4

6,260

4.6

4,200

15.4

432.661

4. Notes(1) Changes in significant subsidiaries during the three months ended June 30, 2016(changes in specified subsidiaries resulting in the change in scope of consolidation):Yes(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

No(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Changes in accounting policies due to other reasons:

Yes
No

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of June 30, 2016

10,324,150 shares As of March 31, 2016

10,324,150 shares

Number of treasury shares at the end of the period
As of June 30, 2016

615,919 shares As of March 31, 2016

616,719 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Three months ended June 30, 2016

9,707,528 shares Three months ended June 30, 2015

2

9,703,593 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2016

As of June 30, 2016

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade

7,708
19,337

6,231
19,405MerchandiseWork in process

17
1121

Supplies
Prepaid expenses

17423

15554

Deferred tax assets
Other242
161

76
243

Allowance for doubtful accounts

(16)

(15)

27,893

26,524

7,225

7,607

Accumulated depreciation(3,711)(3,894)

Buildings and structures, net

3,513

3,713

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures

Machinery, equipment and vehicles

3,323

3,820

Accumulated depreciation(2,535)(2,784)

788

1,036

Land

Machinery, equipment and vehicles, net

2,701

2,701

Leased assets
Accumulated depreciation

2,428(1,065)

2,406(1,100)

Leased assets, net

1,363

1,305

Construction in progress
Other

63
880

–
929

(564)

(595)

Accumulated depreciation
Other, net

315

333

8,746

9,090

Intangible assets
Goodwill

261

1,431

Leased assets
Software

17
1,554

16
1,497

Software in progress
Customer Relationship

109–

124
678

Other

176

175

2,119

3,924

Investment securities
Deferred tax assets

1,403444914
431

Guarantee deposits
Other

1,370
154

1,394
162(19)(21)

Total property, plant and equipment

Total intangible assets
Investments and other assets

Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

3

3,353

2,882

14,22015,897

42,11342,421

(Millions of yen)
As of March 31, 2016

As of June 30, 2016

Liabilities
Current liabilities
Accounts payable - trade

8,960

8,857

Short-term loans payable
Lease obligations

1,500
232

1,007
233

Accounts payable - otherAccrued expenses285
1,211

235
2,013

Income taxes payable
Accrued consumption taxes

1,014
598

190
585

493
35

155
7

Provision for bonuses
Provision for directors' bonuses
Other

381

480

14,712

13,767

1,473
11

1,413
11

Provision for stocks payment
Reserve for loss on dissolution of employee's pension fund

100
309

112
309

Net defined benefit liability
Asset retirement obligations

118
410

117
411

Other

348

529

Total current liabilities
Non-current liabilities
Lease obligations
Deferred tax liabilities for land revaluation

Total non-current liabilities2,772

2,905

17,485

16,672

Capital stock
Capital surplus

1,080
1,234

1,080
1,236

Retained earnings
Treasury shares

22,974(966)24,034(965)

Total shareholders' equity

24,322

25,3855941267726(0)Remeasurements of defined benefit plans

21

20

Total accumulated other comprehensive income

184

88

Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Revaluation reserve for land
Foreign currency translation adjustment

Subscription rights to shares

115

111

Non-controlling interests

5162

24,62825,74842,11342,421

Total net assets
Total liabilities and net assets

4Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)(Millions of yen)Three months ended
June 30, 2015

Three months ended
June 30, 2016

Net sales

30,75931,660

Cost of sales

28,82629,700Gross profit

1,933

1,959

Selling, general and administrative expenses

647

621

1,285

1,338

77

Share of profit of entities accounted for using equity method
Other910

4
5

Total non-operating income

28173229–
620
6

Operating income
Non-operating income
Interest and dividend income

Non-operating expenses
Interest expenses
Contribution
Other
Total non-operating expenses

3956

1,274

1,298

Gain on sales of non-current assets
Gain on step acquisitions

3–

4595

Other–

6

Total extraordinary income

3606

43309

–

Ordinary income
Extraordinary income

Extraordinary losses
Loss on abandonment of non-current assets
Provision of reserve for loss on dissolution of employee'spension fund
Other00313

3

Profit before income taxes

964

1,901Income taxes - current
Income taxes - deferred

250
71254
187

Total income taxes

322

442

Profit

641

1,459

644
(2)

1,449
9

Other comprehensive income
Valuation difference on available-for-sale securities

23(17)

Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax

(11)
(1)

(86)
(1)

Total other comprehensive income

10(105)Comprehensive income

652

1,353

Comprehensive income attributable toComprehensive income attributable to owners of parent

653

1,352

Comprehensive income attributable to non-controlling interests(1)

1Total extraordinary losses

Profit attributable toProfit attributable to owners of parent
Profit (loss) attributable to non-controlling interests5