DAIBIRU : For the 3rd Quarter Cumulative of Fiscal 2016 (summary)

Financial Highlights for the 3rd Quarter Cumulative of Fiscal 2016 (Unaudited) (Apr. 1, 2016 - Dec. 31, 2016)

DAIBIRU CORPORATION

(Unaudited Translation of 'Kessan Tanshin', Provided for Reference Only)

Listing of Stock : First Section of Tokyo Stock Exchange

Jan. 31，2017

Securities Code :

8806

Head Office : 3-6-32 Nakanoshima, Kita-ku, Osaka, Japan URL: http://www.daibiru.co.jp/english

1. Consolidated Results

   Revenue		Operating income		Ordinary income		Profit attributable to owners of parent
   3Q Fiscal 2016	Millions of yen 29,314	％ 5.5	Millions of yen 8,098	％ 19.6	Millions of yen 7,099	％ 18.7	Millions of yen 4,816	％ 24.3
   3Q Fiscal 2015	27,779	3.2	6,770	△ 15.6	5,981	△ 17.6	3,876	△ 16.9

   Note: Comprehensive income

   Dec. 31, 2016 : 5,301 millions of yen (34.5％) ; Dec. 31, 2015 : 3,941 millions of yen (△44.6％)

   Net income per share	Diluted net income per share
   3Q Fiscal 2016	Yen 41.30	Yen -
   3Q Fiscal 2015	33.23	-

   Note: Average number of shares issued and outstanding

   Dec. 31, 2016 : 116,628,116 shares ; Dec. 31, 2015 : 116,628,889 shares

2. Consolidated Financial Position

   Total assets	Net assets	Equity ratio
   3Q Fiscal 2016	Millions of yen 346,565	Millions of yen 147,837	％ 42.2
   Fiscal 2015	351,810	144,286	40.6

   Note: Number of shares issued and outstanding

   Dec. 31, 2016 : 116,627,835 shares ; Mar. 31, 2016 : 116,628,313 shares

3. Dividends

   Dividends per share
   1Q	2Q	3Q	4Q	Annual
   Fiscal 2015 Fiscal 2016	- -	Yen 7.00 8.00	- -	Yen 7.00	Yen 14.00
   Fiscal 2016 (forecast)	8.00	16.00

4. Forecast of Consolidated Results for Fiscal 2016 (Apr. 1, 2016 - Mar. 31, 2017)

   Revenue		Operating income		Ordinary income		Profit attributable to owners of parent		Net income per share
   Fiscal 2016	Millions of yen 39,000	％ 4.4	Millions of yen 10,000	％ 9.7	Millions of yen 9,000	％ 12.7	Millions of yen 6,000	％ 13.7	Yen 51.45

5. Segment Information

6. 3Q Fiscal 2016

   Reportable segment			Other	Total	Adjustment	Consolidated
   Leasing	Facility management	Subtotal
   Revenue: Outside customers Intersegment	22,583 78	6,396 1,670	28,979 1,749	334 -	29,314 1,749	- △ 1,749	29,314 -
   Total sales	22,661	8,067	30,728	334	31,063	△ 1,749	29,314
   Segment income	8,670	392	9,062	143	9,205	△ 1,107	8,098

7. 3Q Fiscal 2015

8. Reportable segment			Other	Total	Adjustment	Consolidated
   Leasing	Facility management	Subtotal
   Revenue:	21,200	6,151	27,351	427	27,779	-	27,779
   Outside
   customers
   Intersegment	77	1,630	1,707	-	1,707	△ 1,707	-
   Total sales	21,277	7,781	29,059	427	29,487	△ 1,707	27,779
   Segment income	7,008	541	7,550	181	7,731	△ 961	6,770

   Consolidated Financial Statements

9. Consolidated Balance Sheets

   (Millions of yen, figures are rounded down to the nearest million yen)

   Assets

   Current assets

   Previous Fiscal Year As of Mar. 31, 2016

   3Q of Current Fiscal Year As of Dec. 31, 2016

   Cash and cash equivalents	6,230	5,280
   Accounts receivable-trade	960	992
   Inventories	57	53
   Deferred tax assets	195	140
   Other current assets	645	456
   Allowance for doubtful accounts	(7)	(6)
   Total current assets	8,082	6,918

   Noncurrent assets Property and equipment

   Buildings and structures	117,146	112,293
   Land	157,071	157,149
   Land in trust	31,231	31,231
   Construction in progress	56	173
   Other	505	445
   Net property and equipment	306,011	301,294
   Intangible assets
   Goodwill	2,335	1,863
   Other	14,241	11,719
   Total intangible assets	16,577	13,582
   Investments and other assets
   Investment securities	18,870	22,529
   Deferred tax assets	104	127
   Other	2,195	2,144
   Allowance for doubtful accounts	(31)	(31)
   Total investments and other assets	21,139	24,770
   Total noncurrent assets	343,728	339,646
   Total assets	351,810	346,565

   (Millions of yen, figures are rounded down to the nearest million yen)

   Liabilities

   Current liabilities

   Previous Fiscal Year As of Mar. 31, 2016

   3Q of Current Fiscal Year As of Dec. 31, 2016

   Current portion of long-term debt	7,770	8,130
   Current portion of bonds	15,000	―
   Accrued income and enterprise taxes	898	1,123
   Accrued bonuses for directors	41	―
   Other current liabilities	7,330	4,664
   Total current liabilities	31,041	13,917
   Long-term liabilities
   Bonds payable	70,000	80,000
   Long-term debt	64,672	61,880
   Guarantee deposits received	25,273	25,557
   Deferred tax liabilities	7,134	7,999
   Deferred tax liabilities for land revaluation	8,024	8,024
   Retirement benefits for directors and 5344 statutory auditors
   Defined benefit liabilities	772	804
   Other long-term liabilities	552	499
   Total long-term liabilities	176,483	184,810
   Total liabilities	207,524	198,727
   Net assets
   Shareholders' equity
   Common stock	12,227	12,227
   Capital surplus	13,852	13,852
   Retained earnings	92,353	95,419
   Treasury stock	(146)	(146)
   Total shareholders' equity	118,287	121,354
   Accumulated other comprehensive income
   Net unrealized holding gains on securities	9,119	11,788
   Deferred losses on hedges	(26)	(17)
   Land revaluation reserve	12,193	12,193
   Foreign currency translation adjustment	3,193	933
   Total accumulated other comprehensive income 24,479 24,897
   Non-controlling interests	1,518	1,585
   Total net assets	144,286	147,837
   Total liabilities and net assets	351,810	346,565

10. Consolidated Statements of Income

(Millions of yen, figures are rounded down to the nearest million yen)

3Q of Previous Fiscal Year (From Apr. 1, 2015 to Dec. 31,

2015)

3Q of Current Fiscal Year (From Apr. 1, 2016 to Dec.

31, 2016)

Revenue from operations 27,779 29,314

Cost of revenue from operations 18,622 18,595

Operating gross profit 9,156 10,718

Selling, general and administrative expenses 2,386 2,620

Operating income 6,770 8,098

Non-operating income

Interest income 37 24

Dividend income 494 516

Other 25 21

Total non-operating income 557 562

Non-operating expenses

Interest expense 1,138976

Foreign exchange losses 193503

Other 14 81

Total non-operating expenses 1,346 1,561

Ordinary income 5,981 7,099

Extraordinary income

Gain on sales of investment securities ― 24

Total extraordinary income ― 24

Extraordinary loss

Loss on disposal of fixed assets	10	5
Total extraordinary losses	10	5
Profit before income taxes	5,970	7,119
Income taxes-current	1,659	2,095
Income taxes-deferred	328	140
Total income taxes	1,987	2,236
Profit	3,983	4,883
Profit attributable to non-controlling interests	107	66
Profit attributable to owners of parent	3,876	4,816