*Effective as of October 1, 2017, the stock consolidation was conducted at the ratio of 1 share per 5 ordinary
shares. Number of issued shares, number of treasury stocks, as well as average number of shares
outstanding during the period is calculated given the stock consolidation was conducted at the start of the
previous consolidated financial year.
* Quarterly consolidated results are not subject to Quarterly review
* Use of business result forecasts, and other notable reports
- Statements regarding the future on matters such as business result outlook included in this document
are based on information acquired by the company that is within rational assumption. However, it is
not the company's intent to make promises regarding the completion of such forecasts. Furthermore,
actual results are subject to variables that could greatly affect the outcome. For information regarding
the conditions that affect business forecasts, and cautionary note regarding the use of such data,
please refer to page 2 of the attached document: "1. Qualitative Information regarding current quarter
results (3) Regarding the use of information regarding future outlooks such as consolidated result
forecasts".
- Based on the decisions made on the 69th ordinary general shareholders' meeting held on June 28th,
2017, a stock consolidation was conducted at the ratio of 1 share per 5 ordinary shares, effective as of
October 1st, 2017. Based on the above, the dividend forecasts as well as the consolidated result
forecast of FY2018 pre-consolidation is as stated below:
1. Dividends of FY2018
Dividends per share: End of second quarter 
5.00 (Note 1), End of Year (Forecast) 5.00 (Note 2)
2. Forecast of consolidated results at end of FY2018
Net profit per share at end of period 33.66
(Note 1) Dividend payments at the end of the second quarter have been conducted based on
number of shares before stock consolidation.
(Note 2) Dividend amount has been calculated before stock consolidation.
(Note 3) The yearly dividends per share as of FY2018 (before stock consolidation) is 10.00.
1. Qualitative information regarding current quarter results
(1) Information regarding operation results
While the Company's business benefited from an improvement in the improving domestic economy during
the first three quarters of the current fiscal year due to higher personal consumption and better employment
figures, there is continued uncertainty due to geo-political risk in overseas markets.
Continued, modest recovery is expected in the Cargo Automobile Transport Industry in Japan, bringing a
slight increase in volume. However, acquisition of labor force such as drivers remains a subject of concern
due to increasing labour costs and rising safety standards.
Against this backdrop, Fukuyama Transporting is committed to revising costs and fees, as well as
developing a cost-effective logistics network to deliver improved quality, productivity.
As a result of these measures stated above, the company achieved sales of 201.412 billion JPY (4.6%
increase since same quarter of the previous year), operating profit of 11.636 billion JPY (23.7% increase
since same quarter of the previous year), ordinary income of 12.773 billion JPY (18.8% increase since same
quarter of the previous year), and Net income returned to parent company equity of 8.386 billion JPY (3.3%
increase since same quarter of the previous year).
Highlights of each business segments is as follows.
The transportation business has been continuously promoting the implementation of the new transportation
fares in conjunction to the revision of contracts regarding shipping costs and fees. Moreover, as an effort to
diversify the modes of transport, in October a brand-new 25 meter long van-type trailer, a first of it's kind in
Japan, was put into service that is expected to increase efficiency of route transport and labor productivity.
As a result of the measures above, sales was 1,76.443 billion JPY (4.2% increase since same quarter of
the previous year), and operating profit of 11.236 billion JPY (22.7% increase since same quarter of the
previous year).
Warehouse processing business has increased it's efficiency in logistic services given the newly operational
Fukuyama Kita distribution center as of December.
Sales and operating profit of this segment are as follows: Sales 8.788 billion JPY (1.1% increase since
same quarter of the previous year), and operating profit 435 million JPY (3.5% increase since same quarter
of the previous year).
Internationally, the company has expanded truck delivery routes within the ASEAN region led to a
significant results. Furthermore, sales in customs clearance services have shown steady increase, given the
stable flow of import cargo from China, and south east Asian countries.
Total sales in this segment was 6.073 billion JPY (28.8% increase since same quarter of the previous year),
and operating profit 390 million JPY (69.7% increase since same quarter of the previous year).
In addition to the above, the facilities leasing business showed a steady increase.
Total sales in this segment was 10.107 billion JPY (1.6% increase since same quarter of the previous
year), and operating profit 2.761 billion JPY (2.7% increase since same quarter of the previous year).
(2) Information regarding financial status
Assets
Compared to the end of the previous fiscal year, the total consolidated assets at the end of the third quarter
of this fiscal year increased by 19.951 billion JPY, totaling to 437.071 billion JPY. The increase is attributable
mainly to the increase in trade notes and accounts receivable, which increased current assets by 10.958
billion JPY, as well as the increase in market value of investment securities that resulted in an increase of
8.787 billion JPY in investments and other assets.
Liabilities
Compared to the end of the previous fiscal year, the total consolidated liabilities at the end of the third
quarter of this fiscal year increased by 9.823 billion JPY, totaling to 192.432 billion JPY.The increase is
attributable mainly due to an increase in long-term borrowings (including one-year scheduled repayments).
Net assets
Compared to the end of the previous fiscal year, the net consolidated assets at the end of the third quarter of
this fiscal year increased by 10.128 billion JPY, totaling to 244.638 billion JPY.This is attributable mainly to an
increase in retained earnings and the difference in the valuation of available-for-sale securities.
(3) Regarding the use of information regarding future outlooks such as consolidated result forecasts
Given the gradual recovery of the domestic economy, the cargo volume is expected to overwhelm our
expectations. Although the shortage of labor and the outsourcing cost of labor is expected to increase, our
company has seen positive results from the increased the productivity of operation and cutting down costs.
Based on the aforementioned measures, we have revised the forecast announced in "Second Quarter
consolidated results for Financial Year 2018", published on November 8th, 2017.
Revision of forecasts of consolidated results of Financial year 2018 (April 1st, 2017 ~ March 31st, 2018)
* Effective as of October 1, 2017, the stock consolidation was conducted at the ratio of 1 share per 5
ordinary shares. Net income per share on current term is calculated given the stock consolidation was
conducted at the start of the previous consolidated financial year.
2. Notable information regarding quarterly consolidated financial statements
(1) Quarterly consolidated balance sheet
(Unit 1 Million JPY)
|
Previous consolidated financial year
(March 31st, 2017) |
Current third quarter consolidated results (December 31st, 2017) |
|
Assets
|
|
|
|
Current Assets
|
|
|
| Cash and Deposits |
20,877 |
25,392 |
| Notes and Accounts Receivable |
35,020 |
41,799 |
| Deferred Tax Assets |
1,434 |
901 |
| Other |
3,656 |
3,875 |
| Allowance for Doubtful Accounts |
(80) |
(102) |
| Current Assets Total |
60,908 |
71,866 |
|
Fixed Assets
|
|
|
| Tangible Fixed Assets |
|
|
| Buildings and Structures |
237,281 |
242,470 |
| Accumulated Depreciation |
(145,131) |
(148,650) |
| Buildings and Structures (Net) |
92,150 |
93,820 |
| Machinery and Transportation Equipment |
79,748 |
83,188 |
| Accumulated Depreciation |
(62,899) |
(66,751) |
| Machinery and Transportation Equipment
(Net)
|
16,849 |
16,436 |
| Tools, furniture, and Fixtures |
13,897 |
13,936 |
| Accumulated Depreciation |
(11,261) |
(11,378) |
| Tools, Furniture, and Fixtures (Net) |
2,636 |
2,557 |
| Land |
191,689 |
192,901 |
| Construction in Progress |
2,359 |
232 |
| Tangible Fixed Assets Total |
305,684 |
305,948 |
| Intangible Fixed Assets |
|
|
| Other |
5,306 |
5,248 |
| Intangible Fixed Assets Total |
5,306 |
5,248 |
| Investments, and other Assets |
|
|
| Investment Securities |
39,897 |
48,663 |
| Deferred Tax Assets |
2,043 |
2,153 |
| Other |
3,954 |
3,411 |
| Allowance for Doubtful Accounts |
(675) |
(221) |
| Investments, and other Assets Total |
45,219 |
54,007 |
| Fixed Assets Total |
356,210 |
365,204 |
|
Assets Total
|
417,119 |
437,071 |
|
Previous consolidated financial year
(March 31st, 2017) |
Current third quarter consolidated results (December 31st, 2017) |
|
Liabilities
|
|
|
|
Current Liabilities
|
|
|
| Notes and Accounts Payable |
17,319 |
17,825 |
| Short-Term Loans Payable |
10,685 |
10,800 |
| Long-Term Loans Payable within 1 Year |
16,429 |
27,250 |
| Lease Obligations |
144 |
28 |
| Accrued Income Tax |
2,455 |
2,111 |
| Accrued Consumption Tax |
1,128 |
3,310 |
| Deferred Tax Liabilities |
11 |
13 |
| Bonuses |
3,212 |
1,404 |
| Other |
14,535 |
16,931 |
| Current Liabilities Total |
65,921 |
79,676 |
| Fixed Liabilities |
|
|
| Long-Term Loans Payable |
61,799 |
55,120 |
| Lease Obligations |
1 |
107 |
| Deferred Tax Liabilities |
8,774 |
11,155 |
| Deferred Tax Liabilities for Land Revaluation |
23,688 |
23,688 |
| Liabilities for Retirement Benefit |
20,902 |
21,191 |
| Asset Retirement Obligations |
489 |
493 |
| Other |
1,032 |
999 |
| Fixed Liabilities Total |
116,687 |
112,756 |
| Liabilities Total |
182,609 |
192,432 |
|
Net Assets
|
|
|
| Shareholder's Equity |
|
|
| Capital |
30,310 |
30,310 |
| Capital Surplus |
39,058 |
39,065 |
| Retained Earnings |
124,415 |
130,240 |
| Treasure Stocks |
(10,999) |
(12,924) |
| Shareholder's Equity Total |
182,784 |
186,691 |
| Accumulated Other Comprehensive Income |
|
|
| Other Available-for-Sale Securities |
14,798 |
20,594 |
| Revaluation Reserve for Land |
34,411 |
34,411 |
| Foreign Currency Translation Adjustment |
21 |
18 |
| Accumulated Adjustments for Retirement Benefits |
(436) |
(207) |
| Accumulated other Comprehensive Income Total |
48,795 |
54,817 |
| Non-Controlling Interest Component |
2,930 |
3,129 |
| Net Assets Total |
234,510 |
244,638 |
|
Liabilities and Net Assets Total
|
417,119 |
437,071 |
(2) Quarterly combined statement of comprehensive income
(Current third quarter consolidated period)
(Unit 1 Million JPY)
|
Previous third consolidated cumulative period (April 1st, 2016 - December 31st, 2016)
|
Current third consolidated cumulative period (April 1st, 2017 - December 31st, 2017)
|
|
Sales
|
192,644 |
201.412 |
| Sales Cost |
177,202 |
182,953 |
| Gross Profit |
15,442 |
18,459 |
| Selling, General, and Administrative Expenses |
6,034 |
6,822 |
| Operating Profit |
9,408 |
11,636 |
| Non-Operating Income |
|
|
| Dividends Received |
912 |
936 |
| Subsidies |
311 |
209 |
| Other |
472 |
284 |
| Non-Operating Income Total |
1,697 |
1,429 |
| Non-Operating Expenses |
|
|
| Interest Expenses |
218 |
195 |
| Other |
134 |
97 |
| Non-Operating Expenses Total |
353 |
293 |
| Ordinary Income |
10,752 |
12,773 |
| Special Income |
|
|
| Gain on Sales of Fixed Assets |
238 |
2 |
| Gain on Sales of Investment Securities |
1,244 |
- |
| Settlement Payment |
- |
57 |
| Special Income Total |
1,482 |
59 |
| Extraordinary Loss |
|
|
| Loss on Sales of Fixed Assets |
- |
3 |
| Loss on Disposal of Fixed Assets |
149 |
77 |
| Impairment Loss |
23 |
- |
| Loss from a Disaster |
- |
19 |
| Extraordinary Loss Total |
173 |
100 |
| Quarterly Net Income before tax and other adjustments |
12,061 |
12,732 |
| Corporate Income, Local Resident, and Enterprise Tax |
2,734 |
3,913 |
| Corporate Income, and Other Tax Adjustments |
989 |
284 |
| Corporate Income and Other Tax Total |
3,723 |
4,197 |
| Quarterly Net Income |
8,338 |
8,534 |
| (Breakdown) |
|
|
| Net Return on Parent Company Equity |
8,121 |
8,386 |
| Net Income to Non-Controlling Interests |
216 |
148 |
| Other Comprehensive Income |
|
|
| Other Available-for-Sale Securities |
3,123 |
5,851 |
| Foreign Currency Translation Adjustment |
(243) |
1 |
| Accumulated Adjustments for Retirement Benefits |
(171) |
228 |
| Other Comprehensive Income Total |
2,708 |
6,081 |
| Quarterly Comprehensive Income |
11,047 |
14,615 |
| (Breakdown) |
|
|
| Comprehensive Income attributable to Parent Company Equity |
10,885 |
14,408 |
| Comprehensive Income attributable to Non-Controlling
Interests
|
162 |
207 |
(3) Note regarding quarterly consolidated financial statements
(Note regarding the assumption of a going concern)
None Applicable.
(Note on significant changes in the amount of shareholders' equity)
None Applicable.
(Segment information)
I. Previous third consolidated cumulative period (April 1st, 2016 - December 31st, 2016)
1. Information regarding Net Sales, Income, and losses for each reportable segments
(Unit 1 Million JPY)
(Note) "Other" defines the business segments that are not included in the reportable segments, which
include leasing of real estate, retail business, and labor dispatch business (commission).
2. Total value of Income and Losses of reportable segments, and difference between quarterly
consolidated income and comprehensive income and detail of difference (Section regarding difference
adjustment)
(Unit 1 Million JPY)
(Note) Head Office Expenses are mainly comprised of expenses that are non-attributable to reportable
segments, such as advertisement expenses, and management expenses regarding each consolidated head
offices.
3. Information regarding impairment of non-current assets, goodwill, etc for each reportable
segment
(Notable impairment of non-current assets)
No impairments attributed to the reportable segments.
Total impairments attributed to segments not included in the reportable segments is 23 million JPY.
(Significant changes in the amount of Goodwill)
In the "International Business" segment, our company had acquired shares of E.H. Utara Holdings
Sdn. Bhd., making E.H. Utara Holdings Sdn. Bhd., UFA Utara Forwarding Agency Sdn. Bhd.,
Chalim Warehouse Sdn. Bhd., and E.H. Utara (Thailand) Co., Ltd. our consolidated subsidiary company, from which a Goodwill amount of 539 million JPY was calculated.
II. Current third consolidated cumulative period (April 1st, 2017 - December 31st, 2017)
1. Information regarding Net Sales, Income, and losses for each reportable segments
(Unit 1 Million JPY)
(Note) "Other" defines the business segments that are not included in the reportable segments, which
include leasing of real estate, retail business, and labor dispatch business (commission).
2. Total value of Income and Losses of reportable segments, and difference between quarterly
consolidated income and comprehensive income and detail of difference (Section regarding difference
adjustment)
(Unit 1 Million JPY)
(Note) Head Office Expenses are mainly comprised of expenses that are non-attributable to reportable
segments, such as advertisement expenses, and management expenses regarding each consolidated head
offices.
3. Information regarding impairment of non-current assets, goodwill, etc for each reportable
segment
None Applicable
Contact (Japanese Only)
Kojima/Doi
Public Relations IR Office
Tel: (03)3643-0292
Fax: (03)3643-3730
