This is an English translation of the official announcement in Japanese that was released on February 12, 2016. The translation is prepared for thereaders’ convenience only. All readers are strongly encouraged to refer to the original Japanese version for more complete and accurate information.
Should there be any inconsistency between the translation and the official Japanese text, the latter shall prevail.

Consolidated Financial Results for the Fiscal Year Ended December 31, 2015
Company name: B-Lot Company Limited
Stock listing: TSE Mothers Section
Ticker code: 3452
URL: http://www.b-lot.co.jp/
Representative: Makoto Miyauchi, President
Contact: Yoshimi Endo, Corporate Officer
Phone: +81-3-6891-2525
Ordinary general shareholders’ meeting: March 25, 2016
Submission of Securities Report: March 28, 2016
Commencement of dividend payments:
Preparation of supplementary materials for financial results: Yes
Holding of financial results meeting: Yes (for analysts)(Note: All amounts have been rounded down to the nearest million yen)

1. Consolidated Financial Results for the Fiscal Year Ended December 31, 2015.
（January 1, 2015 to December 31, 2015）
1) Consolidated Operating Results (cumulative)(Percentages indicate year-on-year changes.)

Revenue

Operating profit

Ordinary income

Profit for the year(¥ million)%(¥ million)%(¥ million)%(¥ million)%

The fiscal year ended
December 31, 2015

6,950

―

800

―

655

―

400

―

The fiscal year ended
December 31, 2014

―

―

―

―

―

―

―

―

(Note: Comprehensive income was 398 million yen for the fiscal year ended December 31, 2015)

Net income per share after
adjustment for residual equity

Basic earnings
per share

Equity ratio forthe year

Ratio of ordinary
income to total assets

Diluted earnings
per share

(¥)

(¥)

(%)

(%)

(%)

The fiscal year ended
December 31, 2015112.60105.61

16.5

6.6

11.5

The fiscal year ended
December 31, 2014

―

―

―

―

―

Note 1: Consolidated financial statement was made from the fiscal year ended December 31, 2015. For this reason, the rate of increase from theprevious year is not stated.
Note 2: Although the Company conducted a three-for-one share split for its common stock on April 16, 2015, the basic earnings per share is
calculated on the assumption that the share split was conducted at the beginning of the fiscal year under review.

2) Consolidated Financial Position
Total assets

Total equity

Equity ratio

Net assets per share(¥ million)(¥ million)

(%)

(¥)

As of
December 31, 2015

9,984

2,431

24.4

626.51

As ofDecember 31, 2014

―

―

―

―

Note 1: Equity ratio was 2,430 million yen for the fiscal year ended December 31, 2015
Note 2: Consolidated financial statement was made from the fiscal year ended December 31, 2015. For this reason, the rate of increase from theprevious year is not stated.
Note 3: Although the Company conducted a three-for-one share split for its common stock on April 16, 2015, the basic earnings per share is
calculated on the assumption that the share split was conducted at the beginning of the fiscal year under review.

2) Consolidated Cash Flows
Cash flows fromoperating activities

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash equivalents
at end of year(¥ million)(¥ million)(¥ million)(¥ million)

As ofDecember 31, 2015

-1,680-1.241

4,019

2,102

As of
December 31, 2014

―

―

―

―

2. Dividends
Annual dividends per share
1Q-end2Q-end3Q-endYear-end

Total

Dividend

Dividend

Dividend

per share

payout ratio

to net asset(Total)(Consolidated)

ratio(Consolidated)(¥)
Fiscal year ended December 31, 2014
Fiscal year ended December 31, 2015
Fiscal year ending December 31, 2016 (Forecast)

―
―
―

(¥)

(¥)

(¥)

(¥)

0.00
0.00
―

―
―
―

0.00
0.00
―

0.00
0.00
―

(¥million)

―
―

%

%

―
―
―

―
―

Note: Revision to the most recently released earnings forecasts is not fixed at this period.

3. Consolidated Earnings Forecasts for the Fiscal Year Ending December 31, 2016
(January 1, 2016 to December 31, 2016)
Revenue
Fiscal year ending
December 31, 2016

Operating profit

Profit before tax(¥million)%(¥million)%(¥million)%

11,263

62.1

974

21.8

735

13.2

(Percentages indicate year-on-year changes.)
Profit attributable to
Basic earnings
owners of the parent
per share(¥million)
%
(¥)

482

20.4

124.33

Note: Revision to the most recently released earnings forecasts: No*Notes1. Changes in significant subsidiaries during the period (changes in specified subsidiaries that resulted in changes in the scope of consolidation): No
Newly added: –Excluded: –Note. Although this does not fall under a change in specified subsidiaries, we have included B-Lot Asset Management Co. Ltd. in the range ofconsolidation from the first three months of the fiscal year under review, reflecting the fact that it was established during that same period. We also haveincluded B-Lot Singapore. Ltd. in the range of consolidation from the second quarter of the fiscal year.

2. Accounting treatment and special accounting treatments for quarterly consolidated financial statements: No
3. Changes in accounting policies and changes in accounting estimates(a) Changes in accounting policies: No(b) Changes in accounting policies due to other reasons: No(c) Changes in accounting estimates: No(d) Changes or restatement of accounting estimates: No
4

Number of issued shares (ordinary shares)(a) Number of issued shares at the end of the period (including treasury shares)
Fiscal year ended December 31, 2015
3,879,600 sharesFiscal year ended December 31, 2014(b) Number of treasury shares at the end of the period
Fiscal year ended December 31, 2015
Fiscal year ended December 31, 2014

3,283,500 shares――(c) Average number of outstanding shares during the period (cumulative)
Fiscal year ended December 31, 2015
3,551,292 sharesFiscal year ended December 31, 2014

2,175,891 shares

Note: Although the Company conducted a three-for-one share split for its common stock on April 16, 2015, the number of shares (common stock) is
calculated on the assumption that the share split was conducted at the beginning of the previous fiscal year under review.

(Reference) Summary of Non-consolidated Results
1. Non-consolidated Financial Results for the Fiscal Year Ended December 31, 2015
RevenueYear ended Dec. 31, 2015
Year ended Dec. 31, 2014

Operating profit

Profit for the year

Profit before tax(¥million)%(¥million)%(¥million)%(¥million)

%

6,896
3,709

85.9
66.3

802
378

112.2
73.8

657
295

122.9
61.7

390
176

121.3
69.4

Net income per share(diluted)

Net income per share

Year ended Dec. 31, 2015
Year ended Dec. 31, 2014(¥million)(¥million)

109.8881.18

103.0580.48

Note: Although the Company conducted a three-for-one share split for its common stock on April 16, 2015, the number of shares (common stock) is
calculated on the assumption that the share split was conducted at the beginning of the previous fiscal year under review.

Total
assetsTotal equity

Equity ratio

Net assets per share(¥ million)(¥ million)

(%)

(¥)

Year ended Dec. 31, 2015

9,958

2,423

24.3

624.58Year ended Dec. 31, 2014

5,268

997

18.6

297.74Note 1: Equity as of December 31, 2015: 2,423million yen / Equity as of December 31, 2014: 977million yen
Note 2: Although the Company conducted a three-for-one share split for its common stock on April 16, 2015, the number of shares (common stock) is
calculated on the assumption that the share split was conducted at the beginning of the previous fiscal year under review.

*Information on implementation of audit proceduresThis financial results report is excluded from the audit procedures stipulated in the Financial Instruments and Exchange Act. At the time thisfinancial results report was disclosed, the review procedures for the financial statements stipulated in the Financial Instruments and Exchange
Act had not been completed.

*Proper use of earnings forecasts and other notes
The forward-looking statements contained in these materials, including outlook of future performance, are based on information currently
available to the Company and on certain assumptions deemed to be reasonable by the Company. Actual performance and other results may
differ from these statements due to various factors. For the assumptions on which the earnings forecasts are based and cautions concerning theiruse, please refer to “Qualitative Information on Quarterly Consolidated Financial Performance (1) Qualitative Information Regarding
Operating Results” on page 2 of the attached materials.

Attached Materials
1. Analysis of Business Results and Financial Positions…………………………………….2(1) Qualitative Information Regarding Operating Results(2) Qualitative Information Regarding Financial Positions(3) Fundamental Earnings Distribution Policy Dividends for Fiscal 2015 and Fiscal 2016(4) Overview of Important Information on Going Concern Assumption

2. Conditions of Corporate Group ………………………………………………………………4
3. Management Policies (Notes) 0…………………………………………………………………5(1) Fundamental Management Policy(2) Performance Target(3) Medium to Long-term Management Strategies(4) Issued to Be Addressed(5) Other Important Matters for Corporate Management

4. Basic Concept Regarding Selection of Accounting Standards…….……………………7
5. Consolidated Financial Statements……………………………………………………………8(1) Consolidated Balance Sheets….8(2) Consolidated Profit and Loss Statement and Consolidated Statements of Comprehensive Income…………10
Quarterly Consolidated Profit and Loss Statement …………..….…………………….…………...10
Consolidated Statements of Comprehensive Income..……...…..…………………….……………11(3) Consolidated Statement of Shareholders’ Equity and Others………………….……………..…….12(4) Consolidated Statement of Cash Flows ……..………………………….……………………….…13(5) Notes on Consolidated Financial Statements ……..………………………….……………………14(Notes on Going Concern Assumptions).……..………………………….…………………..……14(Segment Information, etc.) ……..………………………….………………………………..……15(Earnings per Share Information) ……..………………………….………………………….……17(Notes on Important Subsequent Events) ……..………………………….…………………….…181

1. Analysis of Business Results and Financial Positions(1) Qualitative Information Regarding Operating ResultsA.) Operating results for the year
During the fiscal year ended December 31, 2015, the Japanese economic recovery was spurred by improvements incorporate performance and the employment environment, backed by the government’s economic measures and the
Bank of Japan’s monetary easing policy. On the other hand, the Chinese economy remains unstable and general
economic outlook is uncertain given the downside risks of overseas economies.
In the real estate industry, in which B-Lot operates, real estate prices are on an upward trend. Land prices rose inTokyo 23-ku from 2014 and have continued to rise in 2015, leading to intensifying competition for the acquisition ofland in Tokyo. J-REITs and overseas investors have been actively making investments against a backdrop of yen
depreciation and improved financial environments, and demand for real estate investment has remained strong.
As a result, revenue was ¥6,950,909 thousand, operating profit was ¥800,131 thousand, and ordinary profit was¥655,414 thousand. Net profit for the year was ¥400,560 thousand.
The performance by business segment is as follows:

Real Estate Investment and Development Business
The segment sold thirteen properties. The thirteen properties sold were eight in the Kanto (west) area, three in
Hokkaido, one in the Kyushu area, and one in the Kansai (east) area, consisting of seven housing-related real estate
properties, four retail and office floors one land lot, and one hotel.
The hotel sold was the first hotel conversion project, which converted an office building into a compact hotel, First
Cabin Tsukiji, and the segment made significant progress.
The segment acquired nineteen properties, which consisted of nine housing-related real estate properties, four retailand office floors, one nursing home, one land lot for residence, and four land lots for development (eleven in the Kanto(west) area, five in Hokkaido, one in the Kyushu area, and two in the Kansai (east) area).
There were nineteen properties in inventory for the consolidated accounting period of the fiscal year. These
properties included property for a hotel revitalizing project that is currently underway, which is targeting foreign
tourists for inbound expectations.
One of the acquired buildings was part of the second hotel conversion project, and the hotel, IMANO TOKYO was
opened in November 2016. Another hotel project is currently underway, and the number of development projects isincreasing.
As a result, consolidated revenue for the fiscal year ended December 31, 2015 was ¥ 6,137,303 thousand, and segment
profit was ¥839,826 thousand.

Real Estate Consulting BusinessIn the Real Estate Consulting Business, contracts were concluded for a series of investment properties in the Kanto(west) area. There were a total of twenty-nine contracts, with fifteen in Kanto, eight in Hokkaido, four in the Kyushu
area, and two in other areas of Japan.
As a result, consolidated revenue for the fiscal year ended December 31, 2015 was ¥171,338 thousand, and segment
profit was ¥57,951 thousand.

Real Estate Management BusinessIn the Real Estate Management Business, the number of buildings under management in the real estate owned byclients increased to 40.
The breakdown of the areas where buildings were under management is as follows: 17 buildings in Kanto, 14
buildings in Hokkaido, and 9 buildings in Kyushu.
The segment acquired two new leasing properties to improve the profit of the segment.
As a result, consolidated revenue for the fiscal year ended December 31, 2015 was ¥642,267 thousand, and segment
profit was ¥283,613 thousand.

B.) Forecast
As for the outlook for the fiscal year ending December 31, 2016, the domestic economy is expected to continue torecover against the background of the economic policies of the government and the monetary easing policy of the
Bank of Japan, despite the fear of a downturn in the overseas economy. The real estate industry to which theCompany belongs is also expected to remain on a recovery track backed by the government’s policies to buoy up the
economy. Under these circumstances, the Company will engage in business toward medium- and long-term growth.
With respect to the existing businesses, measures to increase the earning power will be promoted and best efforts will
be made to secure profits. At the same time, the business will be diversified by finding new ways of making the mostof overseas inbound demand.

2

(2) Qualitative Information Regarding Financial Positions
1. Conditions of assets and liabilities(Assets)
Total assets for the fiscal year ended December 31, 2015 were ¥9,984,559 thousand.
(Liabilities) Total liabilities amounted to ¥7,553,154 thousand for the fiscal year ended December 31, 2015.
(Net assets) Consolidated net assets for the fiscal year ended December 31, 2015 were ¥2,431,450 thousand.
2. Conditions of cash flows
Cash flows from operating activities decreased by ¥1,680,908 thousand, investment activities decreased by ¥1,241,452
thousand, and net cash used in financing activities amounted to ¥4,019,354 thousand.
The cash flow conditions for the fiscal year ended December 31, 2015 under review and factors contributing to thoseamounts are as follows:(Cash flows from operating activities)
The cash flow from operating activities was down ¥1,608,908 thousand compared to the previous year, due to inventory
assets in the Investment and Development Business increasing by ¥2,662,100 thousand.
(Cash flows from investing activities)
Cash flows from investing activities were down ¥1,241,354 thousand, due to the purchase of fixed assets in the Real
Estate Management Business.
(Cash flows from financing activities)
Cash flows from financing activities totaled ¥4,019,354 thousand, due to an increase in liabilities of ¥2,974,329
thousand, as a result of purchasing selling properties, inventory properties, and fixed assets. It also reflected thesituation of totaled ¥1,054,618 thousand increase as a result of issuing new shares.
(3) Fundamental Earnings Distribution Policy Dividends for Fiscal 2015 and Fiscal 2016
Although the Company considers profit distribution to shareholders to be one of the most important management
issues, the financial strength and internal reserves to achieve business expansion are also important for future business.
Accordingly, dividends will be determined based on ongoing comprehensive consideration of trends for operating
results.
The Company has decided not to pay a year-end dividend for the fiscal year under review, as it has decided that it isessential in the Company to strengthen its financial base.
Based on the fundamental earnings distribution policy above, the Company will determine the profits to be returned
profits to the stockholders by considering the business results in the future.
(4) Overview of Important Information on Going Concern Assumptions:
No items to report.

32. Conditions of Corporate Group
The B-Lot Group is composed of B-Lot Corporation (“B-Lot” or the “Company”) and two subsidiaries.
B-Lot Asset Management Co., Ltd. was in the range of consolidation from the first three months of the fiscal year, and
B-Lot Singapore Pte. Ltd. from the second quarter of the fiscal year.
The Company operates the Real Estate Investment and Development business, the Real Estate Consulting businessand the Real Estate Management business.
The Company realizes the intrinsic value of real estate through the Real Estate Investment and Development Business,and provides the means to realize the potential value of real estate as much as possible and the real estate information
obtained through the market to customers through the Real Estate Consulting Business. In real estate investment
undertaken by the Company and customers, the Company endeavors to maintain and increase the asset value throughthe Real Estate Management Business.

The following diagram depicts the businesses of the B-Lot Group4

3. Management Policies (Notes)(1) Fundamental Management Policy
Under the management philosophy of “pursuit of profits and long-term continual growth according to social norms,”
the Company Group creates business that provides value to society and engages in business as a company that isneeded in society in the real estate and real estate finance fields. Its specific objectives are investment according to its
investment standards in the Real Estate Investment and Development Business, continual asset management forcustomers in the Real Estate Consulting Business, and stable securement of operating profit in the Real EstateManagement Business.
Under the management policy in accordance with this philosophy, the pursuit of the enhancement of its social
recognition shall be continued.
(2) Performance Target
Under the recognition of business expansion and increased shareholder value as key business challenges, theCompany Group emphasizes short-term growth and medium- and long-term growth. In addition, more efficientbusiness management in the process of growth shall be ensured, and a sound financial standing shall also be
secured and improved.
(3) Medium to Long term Management Strategies
The Company Group realizes the potential of real estate and improves the value and profitability of assets, andthen sells them as investment properties under its core business, the Real Estate Investment and Development
Business.
The growth of the Real Estate Investment and Development Business shall be continued in future. Concurrently,
efforts will be made to secure stable revenue in the medium and long term by responding flexibly to any changes
in the market conditions.
(4) Issued to Be Addressed
1. Expanding Business
The Company Group currently engages in business centered on the Real Estate Investment and Development
Business. With the growth of the Company, the business scale has also expanded; on the other hand, excessive
dependence on this Business in terms of revenue may be risky.
Meanwhile, the Real Estate Consulting Business has steadily increased its sales since its foundation, and inrecent years it has secured stable results in terms of quantity and revenue. In addition, the Real EstateManagement Business contributes to stable revenue with an increase in the managed properties for each fiscal
period. These two Businesses shall be grown further to increase stable revenue and avoid a lack of balance insales sources.
As for the area of business, the ratio of the Tokyo metropolitan area (Tokyo, Kanagawa, Saitama and Chiba
Prefectures) is high. The leveling of sales in terms of area shall be ensured by business expansion into Hokkaido
and Fukuoka, where branches were established. Subsequently, efforts will be made to further expand the businessarea in addition to the Tokyo metropolitan area, Hokkaido and Fukuoka.

2. Expansions of investment in long-term holdings leasing business
The Real Estate Investment and Development Business, the main source of sales of the Company Group, tends
to be significantly affected by the real estate market conditions. Accordingly, investment in rental property for the
purpose of long-term holding shall be promoted and stable revenue from rent shall be increased to ensure overallbusiness stability.

3. Selling Routes
One of the Company Group’s strengths is the stable stocking of real estate information. However, to aim for
future business expansion, additional information routes are essential. Among the real estate agencies and otherreal estate businesses that are the main source of information, credit shall be secured by accumulating the resultsof the Company Group toward the establishment of the relationship of mutual trust, and additional initiatives
shall be taken for the further development of the business.

54. Improvement of real estate management service
In the Real Estate Investment and Development Business and the Real Estate Consulting Business, good-quality
property management is essential. To expand the two businesses described above, the quality of property
management shall be further enhanced

5. Improving selling and inventory property’s turnover
The funds for the purchase of real estate for sale under the Real Estate Investment and Development Business aremainly covered by loans from financial institutions. In addition to compliance with the due dates for repayment, thefurther acceleration of the repayment cycle will lead to loans of the funds for additional purchases. In addition, thelong-term holding of real estate for sale will increase the interest-bearing debts. To improve the financial standing,
prompt sales of real estate for sale shall be ensured.

6. Exploring new business
The Company Group has been engaged in three businesses since its foundation: the Real Estate Investment andDevelopment Business, the Real Estate Consulting Business and the Real Estate Management Business. It
considers that the development of new businesses is essential for the Company’s growth and business expansion. To
establish the fourth business in addition to the three businesses described above, the development of newly
constructed properties as part of the Real Estate Investment and Development Business has been launched since the
6th period. Further growth of the new construction business shall be realized in future. In addition, with thefoundation of the subsidiary engaging in the asset management business as part of the Real Estate Management
Business, further business expansion shall be ensured.
7. Strengthen corporate governance
The Company Group has been engaged in three businesses since its foundation: the Real Estate Investment andDevelopment Business, the Real Estate Consulting Business and the Real Estate Management Business. It
considers that the development of new businesses is essential for the Company’s growth and business expansion. To
establish the fourth business in addition to the three businesses described above, the development of newly
constructed properties as part of the Real Estate Investment and Development Business has been launched since the
6th period. Further growth of the new construction business shall be realized in future. In addition, with thefoundation of the subsidiary engaging in the asset management business as part of the Real Estate Management
Business, further business expansion shall be ensured.
8. Secure and cultivate talented human resources
One of the greatest strengths of the Company Group is human resources with a thorough understanding of its
corporate philosophy and the necessary expertise and know-how. This also serves as the source of corporate value.
Considering the retention and employment of such human resources as one of the key management issues, theCompany Group will employ capable people and improve its education and training programs as well as promotemanagement to increase employees’ motivation and enhance their quality.

(5) Other Important Matters for corporate management
No items to report.

6

4. Basic Concept Regarding Selection of Accounting Standards
To allow organizations to compare themselves against industry peers, the accounting standards announced by theGroup are based on the Japanese standard.

75. Consolidated Financial Statements(1) Consolidated Balance Sheets(¥thousand)As of December 30, 2015
AssetsCurrent assets
Cash and deposits
Accounts receivable
Real estate for sale
Real estate for sale in progress
Deferred tax assets
OthersTotal current assets
Fixed assets
Tangible fixed assets
Properties（Net amount)
Plot of land
OthersTotal tangible fixed assets
Intangible fixed assets
Lease hold
OthersTotal intangible fixed assets
Investment properties and others
Deferred tax assets
OthersTotal investment properties and others
Total fixed assets
Deferred assets
Bond issuance cost
Total deferred assets
Total assets

2,106,980
22,906
6,069,688
17,854
125,857
8,343,286

644,235
167,240
10,392821,867
659,13382
659,215
1,099
149,905
151,005
1,632,089
9,183
9,183
9,984,559

8

Liabilities
Current liabilities
Short term borrowings
Current portion of long term borrowings
Current payable corporate bonds
Unpaid income tax and other
Provision for after costs

Total current liabilities
Fixed liabilities
Long term borrowings
Corporate bonds
OthersTotal fixed liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Capital reserves
Retained earnings
Total equity
Total of other comprehensive income
Currency translation adjustment
Other comprehensive income
Share options
Total net assets
Total liabilities and equity

930,500
305,936
60,000219,053
2,484
Others318,356
1,836,329
5,096,662
510,000
110,1625,716,824
7,553,154

932,082
853,097
647,637
2,432,817-2,210-2,210798
2,431,405
9,984,559

9

(2) Consolidated Profit and Loss Statement and Consolidated Statements of Comprehensive Income
Consolidated Profit and Loss Statement(¥thousand)Fiscal year ended December 31, 2015
Revenue
6,950,909
Cost of revenue
5,394,634
Gross profit
1,556,275
Selling, general and administrative expenses
756,144
Operating profit
800,131
Non-operating profit
Interest income
6,634
Dividends income
5Commission income
29
Others15
Total of non-operating income
6,684
Non-operating expenses
Interest expense
128,479
Others22,922
Total of non-operating expenses
151,401
Operating income
665,414
Income before income tax
665,414
Corporate income, inhabitant and enterprise taxes
265,265
Deferred income taxes-10,411
Total of corporate tax
254,854
Income before minority interests
400,560
Profit for the period
400,560

10

Consolidated Statements of Comprehensive Income(¥thousand)Fiscal year ended December 31, 2015
Income before minority interests
400,560
Other comprehensive income
Currency translation adjustment-2,210Total comprehensive income for the period-2,210Comprehensive income for the period
398,349(Breakdown)Comprehensive income attributable to owners of the parent 398,349

11

(3) Consolidated Statement of Changes in Shareholder’s Equity and Others
Fiscal year ended December 31, 2015(¥thousand)Share Capital

Other comprehensive income
Total of othercomprehensive income

Shareoptions

Total
net
assets-977,639

Capitalstock

Capitalreserves

Retainedearnings

Total sharecapitalForeign currencytranslation adjustment

Balance at the beginningof the year
Change in assets forthe year404,773

325,788247,077

977,639-

Issuance of new shares

508,274

508,274

1,016,548

1,016,548

Issuance of new shares

19,03519,03538,07038,070-(exercising stock acquisition rights)

Profit for the year

400,560

400,560

Change in assets forthe year besides equity

400,560-2,210-2,210798-1,412

Total changes in assets
for the year

527,309527,309400,560

1,455,178-2,210-2,210798

1,453,765

Balance for the year

932,082

853,097

647,637

2,432,817-2,210-2,210798

2,431,405

12

(4) Consolidated Statement of Cash Flows(¥thousand)As of December 31, 2015
Cash flows from operating activities
Income before income tax
655,414
Depreciation expense
67,917
Increase (-decrease) in provision for after costs-1,818Interest and dividend income-6,661
Interest expenses and corporate bonds
136,857
Other non-operating income
14,287
Decrease (-increase) in trade receivables-19,080
Decrease (-increase) in inventory assets-2,662,100
Decrease (-increase) in other current assets
266,483
Decrease (-increase) in fixed assets-12,900
Increase (-decrease) in other current liabilities
69,702
Increase (-decrease) in other fixed liabilities
72,710
Others1,625
Subtotal-1,417,560
Interest and dividend income received
6,661
Interest expense-137,577
Income tax paid
-132,432
Cash flows from operating activities-1,680,908
Cash flows from investing activities
Payments into time deposits-21,854
Proceeds from withdrawal of time deposits
4,200
Purchase of tangible assets-842,511
Purchase of intangible assets-502,013
Purchase of insurance funds-1,440
Payments of loans receivable-90,000
Collection of loans receivable
290,000
Decrease (-increase) in investing and other assets-77,833
Cash flows from investing activities-1,241,452
Cash flows from financing activities
Proceeds from short-term borrowings
2,632,564
Repayments of short-term borrowings-4,387,765
Proceeds from non-current borrowings
5,649,000
Repayments of non-current borrowings-1,476,569
Proceeds from issuance of corporate bonds
587,100
Redemption of corporate bonds-30,000
Proceeds from issuance of shares
1,044,227
Proceeds from issuance of new shares
798
Cash flows from financing activities
4,019,354
Effect of exchange rate change on cash and cash equivalents -2,210
Net increase (-decrease) in cash and cash equivalents
1,094,782
Cash and cash equivalents at the beginning of the year
1,007,747
Cash and cash equivalents at the end of the year
2,102,53013

(5) Notes on Consolidated Financial Statements(Notes on Going Concern Assumptions)
No items to report.

14

(Segment Information, etc.)[Segment Information]
1.

Reportable Segments

The Group’s reportable segments are components of the Company for which separate financial information isavailable, and it is periodically reviewed for the purpose of making decisions on the allocation of business resourcesand evaluating the performance of the Board of Directors.
The Group is divided into the three following reportable segments, the Real Estate Investment and Development
Business, the Real Estate Consulting Business and the Real Estate Management Business.
The Real Estate Management Business was newly added to the segment by establishing a new subsidiary, B-Lot AssetManagement Co., Ltd., in the consolidated fiscal year under review.
The Company also added the Real Estate Consulting Business to the segment by establishing a subsidiary in Singapore,
B-Lot Singapore Pte. Ltd., in the consolidated fiscal year under review.
The major operations of each segment are as follows:(Real Estate Investment and Development Business)
This segment consists of investing, revitalizing, and developing business for real estate.
(Real Estate Consulting Business)
This segment consists of property trading and brokerage services.
(Real Estate Management Business)
This segment consists of property management and asset management services.
2. The calculation methods of revenue, income or loss, assets, liabilities and other items in each reported segments are
generally the same as those for statements in “Basic information for consolidated financial statements preparation.”
Income by business segments reported is calculated based on operating income.

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(3) Information regarding net sales and income or loss by reporting segment
Fiscal year ended December 31, 2015

Adjustment(Note 1)

Amountstated inconsolidated
statements ofincome (Note 2)―

6,950,909―
642,267 6,950,909
283,613 1,181,391 -381,260
1,537,378 7,688,174 2,296,385

6,950,909
400,560
9,984,559

61,67861,6781,327,241 1,327,241

67,917
1,344,524

Reporting Segment

Revenue
Revenue from external customers
Internal sales between individual
segments or amount transfer
Total
Segment profit
Segment assets
Other items
Cost of sales
Increase in tangible and intangible assets

Real estate
investment
business

Real estate
consulting
business

Real estate
managementbusiness

Total

6,137,303

171,338

642,267

6,950,909

6,137,303
839,826
6,141,049

171,338
57,951
9,746

―
―

―
―

6,239
17,283Note 1: Adjustments are as follows:(1)The adjustment of minus 381,260 thousand yen posted in segment profit (loss) includes corporate expenses that are not distributed to eachreportable segment, and are primarily selling, general and administrative expenses.
(2)The adjustment of 2,296,385 thousand yen posted in segment assets includes corporate expenses that are not distributed to each reportablesegment, and are primarily selling, general surplus funds and office facility expenses.
(3)The adjustment of 6,239 thousand yen posted in cost of sales consists of depreciation and amortization of corporate assets.
(4)The adjustment of 17,283 thousand yen posted in increase in tangible and intangible assets mainly includes corporate expenses such as officefacility expenses that are not distributed to each reportable segment.
Note 2: The segment profits are adjusted to the operating income reported in the quarterly consolidated statement of income.

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(Earnings Per Share Information)
As of the fiscal year ended December 31, 2015

Net assets per share

626.51 JPY

Current net assets per share
Diluted net income per share

112.60 JPY
105.61 JPY

Note 1: Although the Company conducted a three-for-one share split for its common stock on April 16, 2015, the number of shares is calculated on theassumption that the share split was conducted at the beginning of the fiscal year under review.
Note 2: Transaction amounts listed above are amounts paid upon the exercise of stock option rights in the current fiscal year by the number of shares
granted.

As of the fiscal year ended December 31, 2015

Current net assets per share
Current net assets (¥thousand)

400,560

Profit not attributable to ordinary shareholders (¥thousand)-Net profit relating to common stock (¥thousand)

400,560

Average number of shares (shares)

3,557,292

Diluted net income per share
Adjustment of current net profit (¥thousand)-Number of common stock (shares)(Subscription warrant)
Descriptions of potentially dilutive common shares thatwere not included in the computation of diluted net income
per share

235,624(235,624)
Board meeting held on Dec. 1, 2015
Stock option resolved
Subscription warrant: 1,140 shares(114,000 ordinary shares)

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(Notes on Important Subsequent Events)
No items to report.

18