Consolidated Financial Results for the Third Quarter Ended December 31, 2016 (J-GAAP) (Unaudited)

January 26, 2017 Listed company: DAIKYO INCORPORATED Listed stock exchange: Tokyo Securities code: 8840 URL:http://www.daikyo.co.jp Representative: Akira Yamaguchi, Representative Executive Officer, President

Contact: Koichi Hinago, General Manager, Group Corporate Planning Dept. Planned date of the filing of quarterly report: February 2, 2017

Planned dividends payment commencement date: -

3Q earnings presentation materials: Yes

Holding of 3Q earnings announcement: None

(Amounts less than one million yen are truncated)

  1. Consolidated Performance for the Nine Months Ended December 31, 2016 (April 1, 2016 to December 31, 2016)

  2. ) Consolidated operating results (Cumulative)

    (% figures show year-on-year change) (Millions of yen)

    Net sales

    Operating income

    Ordinary income

    Profit attributable to owners of parent

    Nine months ended December 31, 2016

    228,099

    (4.3)%

    12,639

    5.9%

    12,309

    10.5%

    8,290

    11.0%

    Nine months ended December 31, 2015

    238,320

    24.7%

    11,939

    482.0%

    11,142

    859.2%

    7,471

    435.6%

    (Note) Comprehensive income: Nine months ended December 31, 2016: ¥8,447 million / 11.1%

    Nine months ended December 31, 2015: ¥7,601 million / 322.7%

    Net income per share

    Fully diluted net income per share

    Nine months ended December 31, 2016 Nine months ended

    December 31, 2015

    ¥9.87

    ¥8.89

    ¥9.74

    ¥8.78

  3. ) Consolidated financial position (Millions of yen except for %)

  4. Total assets

    Net assets

    Shareholders' equity ratio

    As of December 31, 2016

    As of March 31, 2016

    264,406

    274,594

    171,933

    166,090

    65.0

    60.5

    (Reference) Shareholders' equity:

    As of December 31, 2016: ¥171,933 million As of March 31, 2016: ¥166,090 million

  5. State of Dividends

    Annual dividends (Yen)

    1Q-end

    2Q-end

    3Q-end

    Year-end

    Total

    Fiscal year ended March 31, 2016

    -

    0.00

    -

    3.00

    3.00

    Fiscal year ending March 31, 2017

    -

    0.00

    -

    Fiscal year ending March 31, 2017 (Forecast)

    6.00

    6.00

    (Note) Revisions to the latest dividend forecast: None

    The above "State of Dividends" represents the state of dividends from common stock only. Please refer to "State of Dividends from Class Stock" for the state of dividends from class stock (unlisted) issued by DAIKYO INCORPORATED ("the Company") with different rights from common stock.

  6. Consolidated Performance Forecast for the Fiscal Year Ending March 31, 2017 (April 1, 2016 to March 31, 2017)

  7. (% figures show year-on-year change) (Millions of yen)

    Net sales

    Operating income

    Ordinary income

    Profit attributable to owners of parent

    Net income per share

    Full year

    340,000

    1.5%

    20,000

    9.2%

    19,000

    11.2%

    14,000

    10.9%

    ¥16.57

    (Note) Revisions to the latest performance forecast: None

    Disclaimer:

    This document was prepared in English for convenience purposes only. The original Japanese document shall take precedence in the event of any discrepancies arising from the translations or interpretations contained in this document.

    * Notes

    New: -

    (Company name: )

    Excluded: -

    (Company name: )

    1. ) Changes in significant subsidiaries during the nine months under review (changes in specified subsidiaries resulting in change in scope of consolidation): None

    2. Application of special accounting treatment for the preparation of quarterly consolidated financial statements: None

    3. ) Changes in accounting policies and estimates, or retrospective restatements

    4. Change in accounting policies in accordance with revision of accounting standards: Yes

    5. Change in accounting policies other than item (i) above: None

    6. Change in accounting estimates: None

    7. Retrospective restatements: None

      (Note) For details on those changes, refer to "2. Summary Information (Notes), (3) Changes in accounting policies and estimates, or retrospective restatements" on page 9.

    8. ) Number of shares issued (common stock)

    9. (Unit: share)

      1) Number of issued shares at end of period (including treasury stock):

      Dec. 31, 2016

      843,542,737

      Mar. 31, 2016

      843,542,737

      2) Number of shares of treasury stock at end of period:

      Dec. 31, 2016

      3,501,083

      Mar. 31, 2016

      3,488,219

      3) Average number of shares during period:

      Apr.-Dec. 2016

      840,050,209

      Apr.-Dec. 2015

      840,068,414

      • Presentation of implementation state for quarterly review procedures

        The quarterly review procedure based on the Financial Instruments and Exchange Act does not apply to these Consolidated Financial Results, and the quarterly review procedure based on the Financial Instruments and Exchange Act had not been completed as of the release of these Consolidated Financial Results.

      • Explanation of the appropriate use of performance forecasts, other points to note

      Forward-looking statements in this document, including performance outlook, are based on the information available to the Company at this time, as well as certain assumptions deemed reasonable by the Company. Accordingly, the actual results may vary significantly due to a variety of factors.

      Earnings presentation materials for the third quarter will be posted on TDnet on the day of the earnings announcement, and also posted on the Company's website.

      State of Dividends from Class Stock

      Annual dividends (Yen)

      1Q-end

      2Q-end

      3Q-end

      Year-end

      Total

      Fiscal year ended March 31, 2016

      -

      -

      -

      8.13

      8.13

      Fiscal year ending March 31, 2017

      -

      -

      -

      Fiscal year ending March 31, 2017 (Forecast)

      7.73

      7.73

      The breakdown of the dividends per share from class stock with different rights from common stock is as follows. (Class 1 preferred stock)

      1. Qualitative Information on Consolidated Performance in the Third Quarter (1) Explanation of the consolidated operating results

      During the nine months ended December 31, 2016, net sales decreased ¥10,221 million yen, or 4.3% year on year, to ¥228,099 million, operating income increased ¥700 million, or 5.9% year on year, to ¥12,639 million, and ordinary income increased ¥1,166 million, or 10.5%, to ¥12,309 million. Profit attributable to owners of parent increased ¥818 million, or 11.0%, to ¥8,290 million.

      Progress was generally in line with full-year forecasts, and there has been no change in the full-year performance forecast announced in May 2016.

      (Millions of yen)

      Category

      Nine months ended December 31, 2015

      Nine months ended December 31, 2016

      Change

      Net sales

      238,320

      228,099

      (10,221)

      Operating income

      11,939

      12,639

      700

      Ordinary income

      11,142

      12,309

      1,166

      Profit attributable to owners of parent

      7,471

      8,290

      818

      Performance by segment is described below. Please note that amounts for each segment include intersegment transactions.

      The order in which segments are listed has been changed from the second quarter of this consolidated fiscal period.

      Performance by Segment (Millions of yen)

      Category

      Nine months ended December 31, 2015

      Nine months ended December 31, 2016

      Change

      Net sales

      Operating

      income

      Net sales

      Operating

      income

      Net sales

      Operating

      income

      Real Estate Management

      114,295

      6,531

      115,064

      6,775

      768

      244

      Real Estate Brokerage

      39,439

      2,456

      44,575

      2,027

      5,136

      (428)

      Real Estate

      Development and Sales

      88,170

      5,254

      71,953

      5,609

      (16,216)

      354

      Adjustments

      (Eliminations or Corporate Assets/Expenses)

      (3,584)

      (2,302)

      (3,494)

      (1,772)

      90

      529

      Total

      238,320

      11,939

      228,099

      12,639

      (10,221)

      700

    Daikyo Inc. published this content on 26 January 2017 and is solely responsible for the information contained herein.
    Distributed by Public, unedited and unaltered, on 28 January 2017 02:15:09 UTC.

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