Financial Information and References

Consolidated Financial Statements
Consolidated Balance Sheets
SECOM CO., LTD. and Subsidiaries
March 31, 2021 and 2020

ASSETS
Current assets:
Cash and cash equivalents .........................................................................................................
Time deposits ..................................................................................................................................
Cash deposits for armored car services.................................................................................
Short-term investments ..............................................................................................................
Notes and accounts receivable, trade .....................................................................................
Due from subscribers ...................................................................................................................
Inventories .......................................................................................................................................
Short-term deferred charges ....................................................................................................
Short-term receivables ................................................................................................................
Allowance for doubtful accounts ..............................................................................................
Deferred insurance acquisition costs ......................................................................................
Other current assets .....................................................................................................................
Total current assets .............................................................................................................

Investments and long-term receivables:
Investment securities ...................................................................................................................
Investments in affiliated companies ........................................................................................
Long-term receivables .................................................................................................................
Lease deposits ................................................................................................................................
Other investments .........................................................................................................................
Allowance for doubtful accounts ..............................................................................................

In millions of yen

Translation into
thousands of
U.S. dollars

March 31

March 31

2021

2020

2021

¥ 502,201
9,587
138,890
21,220
153,41061,47931,784
7,887
27,666(1,708)2,640
24,375
979,431¥ 414,668
9,097
140,906
31,084
166,612
63,11256,297
8,612
25,679(1,641)
4,301
25,749944,476$ 4,524,333
86,3691,251,261
191,171
1,382,072
553,865
286,342
71,054249,243(15,387)
23,784
219,595
8,823,702

214,107
67,13039,602
19,731
11,105(4,002)
347,673

194,82264,49941,566
17,725
10,947(4,237)
325,322

1,928,892
604,775
356,775
177,757
100,045(36,054)
3,132,190

LIABILITIES AND EQUITYCurrent liabilities:
Bank loans .......................................................................................................................................
Current portion of long-term debt ............................................................................................
Notes and accounts payable, trade ..........................................................................................
Other payables ................................................................................................................................
Deposits received...........................................................................................................................
Deferred revenue ...........................................................................................................................
Accrued income taxes ..................................................................................................................
Accrued payroll ..............................................................................................................................
Current operating lease liabilities.............................................................................................
Other current liabilities ................................................................................................................
Total current liabilities ........................................................................................................
Long-term liabilities:
Long-term debt...............................................................................................................................
Guarantee deposits received ......................................................................................................
Accured pension and severance costs ....................................................................................
Long-term deferred revenue......................................................................................................
Unearned premiums and other insurance liabilities ..........................................................
Investment deposits by policyholders .....................................................................................
Deferred income taxes .................................................................................................................
Noncurrent operating lease liabilities .....................................................................................
Other long-term liabilities ...........................................................................................................
Total long-term liabilities ...................................................................................................
Total liabilities ......................................................................................................................

In millions of yen

Translation into
thousands of
U.S. dollars

March 31

March 31

2020

2021

2021

¥

33,852
15,45744,26543,679123,808
37,93823,56041,11920,44835,876420,002¥

39,002
17,98348,46644,331
122,796
39,331
24,811
39,65019,171
35,623431,164$

304,973
139,252
398,784
393,505
1,115,387
341,784
212,252
370,441
184,216
323,2073,783,801

53,492
23,34629,868
17,944133,118
19,82913,470120,052
15,542426,661
846,663

44,25523,342
31,393
20,715
128,908
21,51613,132
124,297
14,991
422,549
853,713

481,910210,324
269,081
161,658
1,199,261
178,640
121,351
1,081,550
140,021
3,843,796
7,627,597

66,41074,607
10,884
1,070,419

66,401
74,68010,833
1,017,661

598,288672,135
98,054
9,643,414

2,566
(658)
(8,120)(6,212)

2,046(4,601)(4,506)(7,061)

23,117(5,928)(73,152)(55,963)(73,785)
1,142,323
148,820
1,291,143¥2,137,806(73,776)
1,088,738
138,669
1,227,407¥2,081,120(664,730)
10,291,198
1,340,721
11,631,919$19,259,516

Commitments and contingent liabilities
Property, plant and equipment:
Land ...................................................................................................................................................
Buildings and improvements .....................................................................................................
Security equipment and control stations ...............................................................................
Machinery, equipment and automobiles.................................................................................
Construction in progress .............................................................................................................
Accumulated depreciation ..........................................................................................................

Other assets:
Operating lease right-of-use assets ........................................................................................
Long-term deferred charges......................................................................................................
Goodwill ............................................................................................................................................
Other intangible assets ................................................................................................................
Prepaid pension and severance costs.....................................................................................
Deferred income taxes .................................................................................................................
Total assets............................................................................................................................

62

SECOM REPORT 2021

120,613377,361355,945
160,139
10,166
1,024,224(595,115)
429,109140,500
13,905
109,946
58,37639,532
19,334
381,593¥2,137,806

117,457
365,362
346,168
156,830
7,026
992,843(567,339)
425,504

143,468
17,052
108,925
58,814
31,79025,769385,818¥2,081,120

1,086,604
3,399,649
3,206,712
1,442,694
91,586
9,227,245(5,361,396)
3,865,849

1,265,766
125,270
990,505
525,910356,144
174,180
3,437,775$19,259,516

Equity:SECOM CO., LTD. shareholders' equity:
Common stock
Authorized—900,000,000 shares, issued 233,295,926 shares in 2021
Authorized—900,000,000 shares, issued 233,293,998 shares in 2020....................
Additional paid-in capital .............................................................................................................
Legal reserve ..................................................................................................................................
Retained earnings..........................................................................................................................
Accumulated other comprehensive income (loss):
Unrealized gains on securities ..............................................................................................
Pension liability adjustments.................................................................................................
Foreign currency translation adjustments........................................................................
Common stock in treasury, at cost:
15,034,565 shares in 2021 and 15,033,588 shares in 2020 ........................................
Total SECOM CO., LTD. shareholders' equity.....................................................................
Noncontrolling interests...................................................................................................................
Total equity ............................................................................................................................
Total liabilities and equity.................................................................................................

SECOM REPORT 2021

63

Financial Information and References/Consolidated Financial Statements

Consolidated Statements of Income

Consolidated Statements of Changes in Equity

SECOM CO., LTD. and Subsidiaries
Three years ended March 31, 2021

SECOM CO., LTD. and Subsidiaries
Three years ended March 31, 2021

Net sales and operating revenue ......................................................................................................
Costs and expenses:
Cost of sales .........................................................................................................................................
Selling, general and administrative expenses...........................................................................
Impairment loss on long-lived assets..........................................................................................
Impairment loss on goodwill ..........................................................................................................
Gain and loss on sales and disposal of fixed assets, net .......................................................
Operating income ...............................................................................................................
Other income:Interest and dividends ......................................................................................................................
Gain and loss on sales of securities, net .....................................................................................
Gain on other-than-temporary impairment of investment securities ...............................
Gain on private equity investments ..............................................................................................
Other.......................................................................................................................................................
Other expenses:
Interest ..................................................................................................................................................
Gain and loss on sales of securities, net .....................................................................................
Loss on other-than-temporary impairment of investment securities ...............................
Loss on private equity investments ..............................................................................................
Other.......................................................................................................................................................
Income from continuing operations before income taxes and equity
in net income of affiliated companies.......................................................................
Income taxes:
Current...................................................................................................................................................
Deferred ................................................................................................................................................
Income from continuing operations before equity in net income ofaffiliated companies .......................................................................................................
Equity in net income of affiliated companies ................................................................................
Income from continuing operations ............................................................................
Income (loss) from discontinued operations, net of tax ............................................................
Net income ...........................................................................................................................
Less: Net income attributable to noncontrolling interests ......................................................
Net income attributable to SECOM CO., LTD. ...........................................................

Per share data:
Income from continuing operations attributable to SECOM CO., LTD. ...............................
Income (loss) from discontinued operations attributable to SECOM CO., LTD. ...............
Net income attributable to SECOM CO., LTD. .............................................................................
Cash dividends per share ....................................................................................................................

In millions of yen

Translation into
thousands of
U.S. dollars

Years ended
March 31

Year ended
March 31

2021

2020

2019

2021

¥1,135,339¥1,132,632¥1,087,355$10,228,279

790,288
201,723
95
5,660
1,764
999,530
135,809795,318
203,223
952
758
2,754
1,003,005
129,627

763,459
198,551595—
1,443
964,048
123,307

7,119,711
1,817,324
856
50,991
15,892
9,004,774
1,223,505

1,880
—
4,594
—
5,647
12,121

1,961
2,297
—
—
5,545
9,803

1,639
—
—
4,673
4,747
11,05916,937—41,387—50,874
109,198

1,168
121
—
302
1,254
2,845

1,120
—
3,738
139
1,477
6,474

1,111
115
3,959
—
1,123
6,308

10,523
1,090
—
2,721
11,29725,631145,085

132,956

128,058

1,307,072

43,743
3,855
47,59845,546(4,711)
40,83547,088(12,076)
35,012

394,081
34,730428,811

97,487
6,578
104,065(2,570)101,495(11,582)¥ 89,913

92,121
6,654
98,775975
99,750(12,614)
87,136

93,046
7,002
100,048393
100,441(10,755)¥ 89,686

878,261
59,261
937,522(23,153)914,369(104,342)
810,027¥

In yenTranslation into
U.S. dollars

Years ended
March 31

Year ended
March 31

2021

2020

2019

2021

¥423.73(11.78)411.95¥170.00¥394.76
4.47
399.23¥170.00¥409.111.80
410.91¥160.00$3.82(0.11)
3.71$1.53

In millions of yen

Translation into
thousands of
U.S. dollars

Years ended
March 31

Year ended
March 31

Consolidated Statements of Comprehensive Income
SECOM CO., LTD. and Subsidiaries
Three years ended March 31, 2021

Comprehensive income:Net income ...........................................................................................................................................
Other comprehensive income (loss), net of tax:
Unrealized gains on securities ..................................................................................................
Pension liability adjustments ....................................................................................................
Foreign currency translation adjustments ............................................................................
Total comprehensive income ........................................................................................................
Less: Comprehensive income attributable to noncontrolling interests ..............................
Comprehensive income attributable to SECOM CO., LTD. .............................................

64

SECOM REPORT 2021

$

2021

2020

2019

2021

¥101,495¥99,750¥100,441$914,369

519
4,462(3,975)102,501(11,739)¥ 90,762(263)(4,037)(2,934)92,516(12,364)¥80,152274(2,566)(4,908)93,241(10,060)¥ 83,181

4,676
40,200(35,810)923,435(105,758)$817,677

In millions of yen
Number ofsharesissuedBalance, March 31, 2018 ......................................................... 233,290,441
Cumulative effect adjustments resulting fromadoption of new accounting standards, net of tax .........
—
Comprehensive income:—Net income .............................................................................
Other comprehensive income (loss), net of tax:
Unrealized gains on securities .................................
—
Pension liability adjustments ....................................
—
Foreign currency translation adjustments............
—
Total comprehensive income ...........................................
Issuance of new stocks.............................................................
1,778
Cash dividends paid to SECOM CO., LTD. shareholders...
—
Cash dividends paid to noncontrolling interests ...............
—
Transfer to legal reserve ..........................................................
—
Equity transactions with noncontrolling interestsand other ....................................................................................
—
Changes in the scope of application of
the equity method ....................................................................
—
Gains on disposal of treasury stock......................................
—Net changes in treasury stock ................................................
—
Balance, March 31, 2019 ......................................................... 233,292,219
Comprehensive income:—Net income .............................................................................
Other comprehensive income (loss), net of tax:—
Unrealized gains on securities .................................
Pension liability adjustments ....................................
—
Foreign currency translation adjustments............
—
Total comprehensive income ...........................................
Issuance of new stocks.............................................................
1,779
Cash dividends paid to SECOM CO., LTD. shareholders...
—
Cash dividends paid to noncontrolling interests ...............
—
Transfer to legal reserve ..........................................................
—
Equity transactions with noncontrolling interestsand other.....................................................................................
—
Changes in the scope of application of
the equity method ....................................................................
—
Gains on disposal of treasury stock......................................
—Net changes in treasury stock ................................................
—
Balance, March 31, 2020 ......................................................... 233,293,998
Comprehensive income:—Net income .............................................................................
Other comprehensive income (loss), net of tax:—
Unrealized gains on securities .................................
Pension liability adjustments ....................................
—
Foreign currency translation adjustments............
—
Total comprehensive income ...........................................
Issuance of new stocks.............................................................
1,928
Cash dividends paid to SECOM CO., LTD. shareholders...
—
Cash dividends paid to noncontrolling interests ...............
—
Transfer to legal reserve ..........................................................
—
Equity transactions with noncontrolling interestsand other.....................................................................................
—
Changes in the scope of application of
the equity method ....................................................................
—
Gains on disposal of treasury stock......................................
—Net changes in treasury stock ................................................
—
Balance, March 31, 2021 ......................................................... 233,295,926

Commonstock

Additional
paid-in
capitalLegalreserve

Retainedearnings

Accumulated
other comprehensive
income (loss)

Commonstock intreasury,
at costTotal
SECOM CO., LTD.
shareholders’ Noncontrolling
equityinterests¥66,385¥73,133¥10,733¥ 896,586¥27,189(¥73,749)¥1,000,277¥131,028¥1,131,305

—

—

—

16,379(20,762)—(4,383)(421)(4,804)———

89,686——

89,686

10,755

100,441

—
—
—

—
—
—

—
—
—

—
—
—

274
(2,320)(4,459)

—
—
—

8
—
—
—

7
—
—
—

—
—
—
50

—
(34,922)
—
(50)

—
—
—
—

—
—
—
—

274
(2,320)(4,459)83,181
15(34,922)
—
—

—
(246)
(449)
10,060——(6,252)—274(2,566)(4,908)93,241
15(34,922)(6,252)
—

Total

—

26

—

—

—

—

26

(2,697)(2,671)———
66,393———73,166———
10,783———
967,679

—
—
—
(78)

—
—
(10)
(73,759)——(10)
1,044,184———
131,718——(10)
1,175,902———

87,136——

87,136

12,61499,750

—
—
—

—
—
—

—
—
—

—
—
—

(263)
(3,858)(2,862)

—
—
—

8
—
—
—

8
—
—
—

—
—
—
50

—
(37,104)
—
(50)

—
—
—
—

—
—
—
—

(263)
(3,858)(2,862)80,153
16(37,104)
—
—

—
(178)
(72)
12,364——(3,438)—(263)(4,036)(2,934)92,517
16(37,104)(3,438)
—

—

1,506

—

—

—

—

1,506

(1,975)

(469)

—
—
—
66,401—0—74,680———10,833———
1,017,661———(7,061)—0(17)(73,776)—0(17)
1,088,738———
138,669—0(17)
1,227,407———

89,913——89,913

11,582

101,495

—
—
—

—
—
—

—
—
—

—
—
—

519
3,942
(3,612)

—
—
—

9
—
—
—

9
—
—
—

—
—
—
51

—
(37,104)
—
(51)

—
—
—
—

—
—
—
—

519
3,942
(3,612)
90,762
18(37,104)
—
—

—
520
(363)
11,739——(2,523)
—

519
4,462
(3,975)102,501
18(37,104)(2,523)
—

—

(82)

—

—

—

—

(82)

935

853

—
—
—
¥66,410———¥74,607———¥10,884———¥1,070,419———(¥6,212)——(9)(¥73,785)——(9)¥1,142,323———¥148,820——(9)¥1,291,143

Commonstock

Additional
paid-in
capitalLegalreserve

Retainedearnings

Accumulated
other comprehensive
income (loss)

Commonstock intreasury,
at cost$672,793$97,595$9,168,117($63,613)($664,649)$9,808,450——

810,027——810,027

104,342914,369

—
—
—

—
—
—

—
—
—

4,676
35,515(32,541)

—
—
—

81
—
—
—

—
—
—
459

—
(334,271)
—
(459)

—
—
—
—

—
—
—
—

4,676
35,515(32,541)
817,677
162(334,271)
—
—

—
4,685
(3,269)105,758——(22,730)—

4,676
40,200(35,810)923,435
162(334,271)(22,730)
—

(739)

—

—

—

—

(739)

8,423

7,684

—
—
—
$672,135———$98,054———$9,643,414

—
—
—
—
—
(81)
($55,963) ($664,730)

—
—
(81)
$10,291,198

Translation into thousands of U.S. dollars

Balance, March 31, 2020 ...................................................................................... $598,207
Comprehensive income:—Net income ..........................................................................................................
Other comprehensive income (loss), net of tax:—
Unrealized gains on securities ..............................................................
Pension liability adjustments .................................................................
—
Foreign currency translation adjustments.........................................
—
Total comprehensive income ........................................................................
Issuance of new stocks..........................................................................................
81
Cash dividends paid to SECOM CO., LTD. shareholders................................
—Cash dividends paid to noncontrolling interests ............................................
—
Transfer to legal reserve .......................................................................................
—
Equity transactions with noncontrolling interestsand other..................................................................................................................
—
Changes in the scope of application of—
the equity method .................................................................................................
Gains on disposal of treasury stock...................................................................
—Net changes in treasury stock .............................................................................
—
Balance, March 31, 2021 ...................................................................................... $598,288

Total
SECOM CO., LTD.
shareholders’ Noncontrolling
equityinterests

Total$1,249,270 $11,057,720

—
—
—
—
—
(81)
$1,340,721 $11,631,919

SECOM REPORT 2021

65

Financial Information and References/Consolidated Financial Statements

Consolidated Statements of Cash Flows

Segment Information

SECOM CO., LTD. and Subsidiaries
Three years ended March 31, 2021

Cash flows from operating activities:
Net income ...........................................................................................................................................
Adjustments to reconcile net income to net cash provided by operating activities—
Depreciation and amortization, including amortization of deferred charges .............
Accrual for pension and severance costs, less payments ...............................................
Deferred income taxes, including discontinued operations .............................................
Gain and loss on sales and disposal of fixed assets, net ..................................................
Impairment loss on long-lived assets ....................................................................................
Write-down on real estate inventories ...................................................................................
Gain and loss on private equity investments ........................................................................
Impairment loss on goodwill .....................................................................................................
Gain on sales of securities, net .................................................................................................
Loss on other-than-temporary impairment of investment securities ..........................
Equity in net income of affiliated companies........................................................................
Changes in assets and liabilities, net of effects from acquisitions and disposals:(Increase) decrease in cash deposits for armored car services ...............................
(Increase) decrease in receivables and due from subscribers,
net of allowances ...................................................................................................................
(Increase) decrease in inventories ......................................................................................
Increase in deferred charges ...............................................................................................
Increase (decrease) in notes and accounts payable .....................................................
Increase (decrease) in deposits received .........................................................................
Increase (decrease) in deferred revenue ..........................................................................
Increase (decrease) in accrued income taxes .................................................................
Increase (decrease) in guarantee deposits received.....................................................
Increase in unearned premiums and other insurance liabilities ..............................
Increase (decrease) in accrued consumption tax ..........................................................
Other, net ....................................................................................................................................
Net cash provided by operating activities ...................................................................
Cash flows from investing activities:(Increase) decrease in time deposits ...........................................................................................
Proceeds from sales of property, plant and equipment .........................................................
Payments for purchases of property, plant and equipment ..................................................
Payments for purchases of intangible assets ...........................................................................
Proceeds from sales and redemptions of investment securities ........................................
Payments for purchases of investment securities ..................................................................
(Increase) decrease in short-term investments .......................................................................
Proceeds from sale of subsidiaries, net of cash and cash equivalents disposed of......
Acquisitions, net of cash acquired.................................................................................................
(Increase) decrease in short-term receivables, net .................................................................
Payments for long-term receivables............................................................................................
Proceeds from long-term receivables .........................................................................................
Other, net ...............................................................................................................................................
Net cash used in investing activities .............................................................................
Cash flows from financing activities:
Proceeds from long-term debt.......................................................................................................
Repayments of long-term debt ......................................................................................................
Increase (decrease) in bank loans, net ........................................................................................
Increase (decrease) in investment deposits by policyholders ..............................................
Dividends paid to SECOM CO., LTD. shareholders .....................................................................
Dividends paid to noncontrolling interests .................................................................................
Payments for acquisition of shares of consolidated subsidiaries fromnoncontrolling interest holders ...................................................................................................
Proceeds from sales of shares of consolidated subsidiaries tononcontrolling interest holders ...................................................................................................
Increase in treasury stock, net .......................................................................................................
Other, net ...............................................................................................................................................
Net cash used in financing activities ............................................................................
Effect of exchange rate changes on cash and cash equivalents ............................................
Net increase in cash and cash equivalents ...................................................................................
Cash and cash equivalents at beginning of year .........................................................................
Cash and cash equivalents at end of year......................................................................................

66

SECOM REPORT 2021

In millions of yen

Translation into
thousands of
U.S. dollars

Years ended
March 31

Year ended
March 31

2021

2020

2019

2021

¥101,495¥ 99,750¥100,441$ 914,369

78,716(2,110)
3,859
1,788
95
20
302
5,660
2,476
(11,441)(6,578)77,574
1,193(4,715)
2,770
952
66
139
758
(2,962)
8,540(6,654)75,300614(12,086)
1,444
595
580
(4,673)
—
(901)
8,991
(7,002)

709,153(19,009)34,766
16,108
856
180
2,721
50,991
22,306(103,072)(59,261)

2,016

1,430

(6,527)

18,162

14,319(787)(8,985)(4,077)1,061(1,807)(935)(1,197)
4,209
1,295
9,329
188,723(10,576)
9,256(11,754)
2,361(4,822)
1,874
5,146
(352)
4,600
4,529
5,295
184,398(17,404)
4,285(10,716)
3,388
8,690
938
(4,914)
(164)
9,495
(831)
8,784
158,327

129,000(7,090)(80,946)(36,730)
9,559(16,279)(8,423)(10,784)
37,91911,66784,0441,700,207

(593)
766
(50,122)(10,738)
47,859(55,991)
9,269
14,633(7,098)310(1,472)
1,947(1,719)(52,949)

1,564
1,178
(63,126)(11,722)
50,259(45,325)(1,357)
2,670
(725)
(147)
(1,416)
1,578(42)(66,611)(1,251)
3,379(56,401)(11,454)
43,597(36,686)(4,256)(0)(3,133)62(1,024)
1,685
1,052(64,430)(5,342)
6,901(451,550)(96,739)
431,162(504,423)
83,505
131,829(63,946)
2,793(13,261)
17,541(15,488)(477,018)

16,699(18,752)(4,500)(1,687)(37,104)(2,600)8,802(18,793)162(2,099)(37,104)(3,425)

7,161(20,184)(1,789)(1,592)(34,922)(6,263)

150,441(168,937)(40,541)(15,198)(334,271)(23,423)

(241)

(659)

(3,033)(2,171)—(9)
478(47,716)(525)
87,533414,668¥502,201

—
(16)
190
(52,942)93
64,938349,730¥414,668

—
(10)
331
(60,301)(595)
33,001
316,729¥349,730

—
(81)
4,307
(429,874)(4,730)788,585
3,735,748$4,524,333

Information by business and geographic segments for the years ended and as of March 31, 2021, 2020 and 2019 is as follows:(1) Business Segment Information

Net sales and operating revenue:
Security services—

Customers .......................................................................
Intersegment ..................................................................

Fire protection services—

Customers .......................................................................
Intersegment ..................................................................

Medical services—

Customers .......................................................................
Intersegment ..................................................................

Insurance services—

Customers .......................................................................
Intersegment ..................................................................

Geospatial information services— Customers .......................................................................
Intersegment ..................................................................
BPO and ICT services—

Customers .......................................................................
Intersegment ..................................................................

Real estate and other services—

Customers .......................................................................
Intersegment ..................................................................

Total ........................................................................................................................................................
Eliminations .........................................................................................................................................
Total net sales and operating revenue ...................................................................................

Operating income (loss):
Security services ................................................................................................................................
Fire protection services ....................................................................................................................
Medical services .................................................................................................................................
Insurance services .............................................................................................................................
Geospatial information services ....................................................................................................
BPO and ICT services ........................................................................................................................
Real estate and other services.......................................................................................................
Total ........................................................................................................................................................
Corporate expenses and eliminations .........................................................................................
Operating income ...............................................................................................................................
Other income .......................................................................................................................................
Other expenses ...................................................................................................................................
Income from continuing operations before income taxes ................................................

In millions of yen

In thousands of
U.S. dollars

Years ended
March 31

Year ended
March 31

2021

2020

2019

2021

¥ 563,349
3,072
566,421140,599
3,275
143,874
182,573
206
182,779
58,291
3,084
61,37553,908204
54,112
109,619
9,709
119,328
27,0001,087
28,087
1,155,976(20,637)¥1,135,339¥ 570,041
3,370
573,411
151,861
4,050
155,911
187,101
220
187,32143,515
3,413
46,92853,535201
53,736
97,616
13,321
110,937
28,963
1,271
30,234
1,158,478(25,846)¥1,132,632¥ 557,123
3,039
560,162
140,139
3,942
144,081
181,705
168
181,873
41,6373,120
44,75751,510386
51,896
88,162
13,121
101,283
27,0791,786
28,865
1,112,917(25,562)¥1,087,355$ 5,075,216
27,676
5,102,892
1,266,658
29,505
1,296,163
1,644,802
1,856
1,646,658
525,144
27,784552,928
485,658
1,838
487,496
987,559
87,4681,075,027
243,242
9,793
253,035
10,414,199(185,920)$10,228,279

In millions of yen

In thousands of
U.S. dollars

Years ended
March 31

Year ended
March 31

2021

2020

2019

2021

¥102,579
13,091
3,938
9,309
4,443
13,636
5,422
152,418(16,609)¥135,809
12,121(2,845)¥145,085¥108,646
17,817
6,232(4,319)3,030
10,624
5,336
147,366(17,739)¥129,627
9,803(6,474)¥132,956¥109,879
14,188
5,782(4,856)
1,878
9,390
4,947
141,208(17,901)¥123,307
11,059(6,308)¥128,058$ 924,135
117,937
35,477
83,86540,027
122,847
48,847
1,373,135(149,630)$1,223,505
109,198(25,631)$1,307,072

In millions of yen

In thousands of
U.S. dollars

Assets:Security services ...............................................................................................................................................................
Fire protection services ...................................................................................................................................................
Medical services ................................................................................................................................................................
Insurance services ............................................................................................................................................................
Geospatial information services ...................................................................................................................................
BPO and ICT services .......................................................................................................................................................
Real estate and other services......................................................................................................................................
Total .......................................................................................................................................................................................
Corporate items .................................................................................................................................................................
Investments in affiliated companies ...........................................................................................................................
Total assets ....................................................................................................................................................................

March 31

March 31

2021

2020

2021

¥ 915,768
180,083
202,191
242,071
72,703245,129
109,670
1,967,615
103,059
67,132¥2,137,806¥ 853,101
175,854
201,449
231,650
68,516
243,152
137,425
1,911,147
105,473
64,500¥2,081,120$ 8,250,162
1,622,369
1,821,541
2,180,820
654,982
2,208,369
988,018
17,726,261
928,459
604,796$19,259,516

SECOM REPORT 2021

67

Financial Information and References

Financial Information and References/Consolidated Financial Statements

Other Financial Data

Segment Information

Summary of Selected Financial Data
SECOM CO., LTD. and Subsidiaries
Years ended/as of March 31
In millions of yen

In thousands of
U.S. dollars

Years ended
March 31

Year ended
March 31

2021

2020

2019

2021

Depreciation and amortization:
Security services ......................................................................................................................
Fire protection services ..........................................................................................................
Medical services........................................................................................................................
Insurance services ...................................................................................................................
Geospatial information services ..........................................................................................
BPO and ICT services ...............................................................................................................
Real estate and other services .............................................................................................
Total ..............................................................................................................................................
Corporate items.........................................................................................................................
Total depreciation and amortization ..............................................................................

¥41,360
2,662
8,496
2,556
1,665
9,647
909
67,295868¥68,163¥50,383
2,537
8,321
2,290
1,700
10,644842
76,717857¥77,574¥49,409
2,375
8,684
1,792
2,249
9,075
953
74,537763¥75,300$372,612
23,982
76,541
23,027
15,00086,9108,189
606,2617,820$614,081

Capital expenditure:
Security services ......................................................................................................................
Fire protection services ..........................................................................................................
Medical services........................................................................................................................
Insurance services ...................................................................................................................
Geospatial information services ..........................................................................................
BPO and ICT services ...............................................................................................................
Real estate and other services .............................................................................................
Total ..............................................................................................................................................
Corporate items.........................................................................................................................
Total capital expenditures .................................................................................................

¥44,525
5,249
4,057
1,936
2,052
6,824
3,532
68,175486¥68,661¥44,930
2,569
8,778
4,440
2,987
12,8942,121
78,7191,116¥79,835¥48,451
2,269
4,750
2,972
2,420
9,085
4,550
74,497
1,291¥75,788$401,126
47,28836,55017,441
18,486
61,477
31,820614,188
4,378$618,566

The capital expenditures in the above table represent the additions to property, plant and equipment and intangible assets of each segment.
The Company has no single customer that accounts for more than 10 percent of total revenues.
The following table is a breakdown of security services revenue to external customers by service category. The security services businessis managed as a single operating segment by the Company’s management.

Electronic security services .......................................................................................................
Other security services:
Static guard services ...............................................................................................................
Armored car services ..............................................................................................................
Merchandise and other ................................................................................................................
Total security services ............................................................................................................

In millions of yen

In thousands of
U.S. dollars

Years ended
March 31

Year ended
March 31

2021

2020

2019

2021

¥347,407¥347,209¥344,362$3,129,794

69,37062,841
83,731¥563,349

70,05463,602
89,176¥570,041

66,28962,41784,055¥557,123

624,954
566,132
754,336$5,075,216(2) Geographic Segment Information
Net sales and operating revenue attributed to countries based on the geographical location of customers for the years ended March 31,
2021, 2020 and 2019 and long-lived assets as of March 31, 2021 and 2020 were as follows:

Net sales and operating revenue:
Japan ........................................................................................................................
Other .........................................................................................................................
Total .....................................................................................................................

In millions of yen

In thousands of
U.S. dollars

Years ended
March 31

Year ended
March 31

2021

2020

2019

2021

¥1,091,216
44,123¥1,135,339¥1,083,446
49,186¥1,132,632¥1,038,978
48,377¥1,087,355$ 9,830,774
397,505$10,228,279

In millions of yen

In thousands of
U.S. dollars

Long-lived assets:
Japan .....................................................................................................................................................
Other ......................................................................................................................................................
Total ..................................................................................................................................................

March 31

March 31

2021

2020

2021

¥771,547
13,711¥785,258¥772,155
13,122¥785,277$6,950,874
123,523$7,074,397

In millions of yen
2021

2020

2019

2018

2017

2016

Composition of consolidated net sales andoperating revenue by segment
Net sales and operating revenue ....................................................... ¥1,135,339 ¥1,132,632 ¥1,087,355 ¥1,058,568 ¥1,004,094¥961,202
Security services: ..............................................................................
563,349
570,041
557,123
555,444536,897498,385
As a percentage of net sales and operating revenue ...
49.6%
50.3%
51.2%
52.4%
53.4%
51.9%
Electronic security services.......................................................
347,407347,209344,362341,207
338,797
330,894
As a percentage of net sales and operating revenue ...
30.6
30.7
31.7
32.2
33.7
34.4
Other security services—
Static guard services ..............................................................
69,37070,054
66,28959,05456,43855,925
As a percentage of net sales and operating revenue ...
6.1
6.2
6.1
5.6
5.6
5.8
Armored car services .............................................................
62,841
63,60262,41761,08957,87332,990As a percentage of net sales and operating revenue ...
5.5
5.6
5.7
5.8
5.8
3.4
132,211
133,656
128,706
120,143
114,311
88,915
Subtotal .............................................................................
Merchandise and other ...............................................................
83,731
89,176
84,05594,094
83,78978,576
As a percentage of net sales and operating revenue ...
7.4
7.9
7.7
8.9
8.3
8.2
140,599
151,861
140,139
136,559
126,232
131,743
Fire protection services ...................................................................
As a percentage of net sales and operating revenue ...
12.4
13.4
12.9
12.9
12.6
13.7
182,573
187,101
181,705
175,318
168,819
163,538
Medical services.................................................................................
16.1
16.5
16.7
16.6
16.8
17.0
As a percentage of net sales and operating revenue ...
Insurance services ............................................................................
58,291
43,515
41,63744,683
43,78040,654
5.1
3.8
3.8
4.2
4.4
4.2
As a percentage of net sales and operating revenue ...
Geospatial information services ...................................................
53,90853,53551,51050,906
51,60952,553
4.7
4.7
4.7
4.8
5.1
5.5
As a percentage of net sales and operating revenue ...
BPO and ICT services ........................................................................
109,619
97,616
88,162
69,71349,741
48,368
9.7
8.6
8.1
6.6
5.0
5.0
As a percentage of net sales and operating revenue ...
Real estate and other services ......................................................
27,00028,96327,07925,94527,01625,961
2.4
2.6
2.5
2.5
2.7
2.7
As a percentage of net sales and operating revenue ...
Net income attributable to SECOM CO., LTD.,
cash dividends and SECOM CO., LTD.
shareholders’ equity
Net income attributable to SECOM CO., LTD. ................................. ¥ 89,913
37,104
Cash dividends paid(2) ............................................................................
SECOM CO., LTD. shareholders’ equity ............................................. 1,142,323
Consolidated financial ratios
Percentage of working capital accounted for by:
Debt—
Bank loans ......................................................................................
Current portion of long-term debt ...........................................
Straight bonds ...............................................................................
Other long-term debt ...................................................................
Total debt ....................................................................................
SECOM CO., LTD. shareholders’ equity.........................................
Total capitalization ...................................................................
Return on total assets (percentage)(a)...............................................
Return on equity (percentage)(b) .........................................................
Percentage of net sales and operating revenue absorbed by(c):Depreciation and amortization ......................................................
Rental expense under operating leases .....................................
Ratio of accumulated depreciation to depreciable
assets (percentage) .............................................................................
Net property turnover (times)(c) ..........................................................
Before-tax interest coverage (times)(c) (d)..........................................

¥

87,136 ¥ 89,686 ¥ 96,623
37,10434,922
32,7381,088,738
1,044,184
1,000,277¥

91,38730,557929,242¥ 84,072
28,373865,278

2.7
1.2
0.3
4.0
8.3
91.7
100.0

3.3
1.5
0.3
3.4
8.5
91.5
100.0

3.4
1.6
0.4
3.6
8.9
91.1
100.0

3.5
1.7
0.5
4.1
9.8
90.2
100.0

4.0
1.9
0.7
4.5
11.1
88.9
100.0

5.6
1.8
0.8
5.3
13.5
86.5
100.0

4.2
7.9

4.2
8.0

4.8
8.6

5.3
9.7

5.2
9.8

5.0
9.7

6.9
2.6

5.7
2.4

6.8
2.5

7.3
2.3

7.6
2.5

7.4
2.5

66.6
2.65
125.2

65.3
2.73
117.5

65.4
2.67
109.6

64.6
2.63
123.0

63.2
2.49
107.1

62.8
2.38
89.2

Note: Installation revenue is included in the corresponding electronic security services.

There are no individually material countries other than Japan with respect to net sales and operating revenue and long-lived assets.

68

SECOM REPORT 2021

SECOM REPORT 2021

69