Non-Consolidated Financial Statements

Non-Consolidated Balance Sheets

	Prior fiscal year (As of October 31, 2015)	Current fiscal year (As of October 31, 2016)
	Millions of yen	Millions of yen	Thousands of U.S. dollars (Note)
Assets
Current assets
Cash and deposits	¥ 29,250	¥ 25,489	$ 243,083
Notes receivable - trade	5,983	5,630	53,693
Electronically recorded monetary claims - operating	2,290	3,658	34,884
Accounts receivable - trade	19,522	18,238	173,932
Securities	350	200	1,907
Merchandise and finished goods	279	259	2,477
Costs on uncompleted construction contracts	39	61	587
Construction machine parts	8,214	9,058	86,388
Raw materials and supplies	139	267	2,550
Prepaid expenses	301	303	2,889
Deferred tax assets	472	334	3,186
Short-term loans receivable	242	50	481
Other	98	403	3,843
Allowance for doubtful accounts	(101)	(69)	(665)
Total current assets	67,084	63,885	609,241
Non-current assets
Property, plant and equipment
Rental equipment	51,165	53,451	509,738
Buildings	6,504	7,603	72,511
Structures	1,577	1,926	18,373
Machinery and equipment	666	736	7,023
Vehicles	10	12	117
Tools, furniture and fixtures	246	254	2,424
Land	31,423	31,925	304,462
Construction in progress	1,081	438	4,177
Total property, plant and equipment	92,676	96,348	918,829
Intangible assets
Software	63	88	847
Telephone subscription right	52	52	495
Software in progress	108	302	2,886
Other	−	0	9
Total intangible assets	224	444	4,238
Investments and other assets
Investment securities	5,507	5,557	53,001
Shares of subsidiaries and associates	4,221	11,309	107,852
Investments in capital	12	12	115
Long-term loans receivable from subsidiaries and associates	2,267	2,249	21,454
Claims provable in bankruptcy, claims provable in rehabilitation and other	44	20	191
Long-term prepaid expenses	26	29	279
Insurance funds	32	38	369
Guarantee deposits	865	908	8,662
Other	60	44	427
Allowance for doubtful accounts	(1,691)	(1,491)	(14,228)
Allowance for investment loss	(438)	(560)	(5,342)
Total investments and other assets	10,908	18,118	172,783
Total non-current assets	103,809	114,911	1,095,852
Total assets	¥ 170,894	¥ 178,796	$ 1,705,093

	Prior fiscal year (As of October 31, 2015)	Current fiscal year (As of October 31, 2016)
	Millions of yen	Millions of yen	Thousands of U.S. dollars (Note)
Liabilities
Current liabilities
Notes payable - trade	¥ 17,522	¥ 16,190	$ 154,404
Accounts payable - trade	4,866	4,750	45,303
Short-term loans payable	10,814	11,079	105,655
Accounts payable - other	15,643	16,932	161,478
Accrued expenses	467	388	3,703
Income taxes payable	3,347	1,442	13,760
Accrued consumption taxes	1,026	137	1,308
Provision for bonuses	576	614	5,862
Notes payable - facilities	605	480	4,581
Other	344	303	2,892
Total current liabilities	55,213	52,320	498,952
Non-current liabilities
Long-term loans payable	16,551	21,452	204,577
Long-term accounts payable - other	32,637	32,797	312,774
Deferred tax liabilities	341	296	2,825
Asset retirement obligations	202	259	2,478
Other	−	4	46
Total non-current liabilities	49,732	54,810	522,702
Total liabilities	104,946	107,130	1,021,654
Net assets
Shareholders’ equity
Capital stock	13,652	13,652	130,201
Capital surplus
Legal capital surplus	14,773	14,773	140,888
Other capital surplus	143	143	1,367
Total capital surpluses	14,916	14,916	142,256
Retained earnings
Legal retained earnings	1,375	1,375	13,115
Other retained earnings
Reserve for advanced depreciation of non-current assets	22	22	218
General reserve	26,731	33,731	321,683
Retained earnings brought forward	9,479	8,082	77,080
Total retained earnings	37,609	43,212	412,097
Treasury shares	(2,128)	(2,129)	(20,304)
Total shareholders’ equity	64,050	69,653	664,250
Valuation and translation adjustments
Valuation difference on available-for-sale securities	1,897	2,012	19,188
Total valuation and translation adjustments	1,897	2,012	19,188
Total net assets	65,948	71,665	683,439
Total liabilities and net assets	¥ 170,894	¥ 178,796	$ 1,705,093

Note: U.S. dollar amounts have been translated from yen for convenience only, at the rate ¥104.86=US$1, the approximate exchange rate on October 31, 2016.

Statements of Income

	Prior fiscal year (From November 1, 2014 to October 31, 2015)	Current Fiscal Year (From November 1, 2015 to October 31, 2016)
	Millions of yen	Millions of yen	Thousands of U.S. dollars (Note)
Net sales	¥ 102,029	¥ 103,777	$ 989,673
Cost of sales	70,510	73,575	701,659
Gross profit	31,518	30,201	288,014
Selling, general and administrative expenses	17,410	18,337	174,871
Operating income	14,108	11,864	113,142
Non-operating income
Interest and dividend income	139	148	1,411
Rent income	292	293	2,798
Temporary transfer charges income	170	202	1,930
Reversal of allowance for doubtful accounts	103	205	1,958
Other	214	137	1,308
Total non-operating income	919	986	9,408
Non-operating expenses
Interest expenses	191	127	1,211
Loss on sales of notes receivable - trade	15	9	89
Provision of allowance for doubtful accounts	706	23	226
Provision of allowance for investment loss	−	278	2,653
Foreign exchange losses	−	139	1,335
Other	166	140	1,337
Total non-operating expenses	1,079	718	6,853
Ordinary income	13,948	12,132	115,697
Extraordinary income
Gain on sales of non-current assets	8	10	99
Subsidy income	−	2	28
Gain on sales of investment securities	307	2	21
Gain on sales of shares of subsidiaries and associates	99	ー	ー
Compensation income for damage	118	ー	ー
Total extraordinary income	532	15	148
Extraordinary losses
Loss on sales and retirement of non-current assets	144	64	615
Loss on valuation of investment securities	87	54	521
Loss on valuation of shares of subsidiaries and associates	228	1,014	9,672
Bad debts written off of subsidiaries and associates	104	ー	ー
Total extraordinary losses	565	1,133	10,809
Profit before income taxes	13,915	11,014	105,036
Income taxes - current	5,482	4,065	38,774
Income taxes - deferred	88	108	1,031
Total income taxes	5,571	4,174	39,806
Profit	¥ 8,344	¥ 6,840	$ 65,230

Note: U.S. dollar amounts have been translated from yen for convenience only, at the rate ¥104.86=US$1, the approximate exchange rate on October 31, 2016.

Statements of Changes in Equity
(From November 1, 2014 to October 31, 2016)

	Shareholders’ equity
	Capital stock	Capital surplus			Retained earnings
		Legal capital surplus	Other capital surplus	Total capital surplus	Legal retained earnings	Other retained earnings			Total retained earnings
						Reserve for advanced depreciation of non-current assets	General reserve	Retained earnings brought forward
	Millions of yen
Balance at beginning of current period	¥ 13,652	¥ 14,773	¥ 143	¥ 14,916	¥ 1,375	¥ 19	¥ 19,731	¥ 9,399	¥ 30,526
Changes of items during period
Provision of general reserve				−			7,000	(7,000)	−
Dividends of surplus				−				(1,261)	(1,261)
Profit				−				8,344	8,344
Purchase of treasury shares				−					−
Adjustment to reserve due to change in tax rate				−		2		(2)	−
Net changes of items other than shareholders’ equity
Total changes of items during period	−	−	−	−	−	2	7,000	80	7,082
Balance at beginning of current period	¥ 13,652	¥ 14,773	¥ 143	¥ 14,916	¥ 1,375	¥ 22	¥ 26,731	¥ 9,479	¥ 37,609
Changes of items during period
Provision of general reserve				ー			7,000	(7,000)	ー
Dividends of surplus				ー				(1,236)	(1,236)
Profit				ー				6,840	6,840
Purchase of treasury shares				ー					ー
Adjustment to reserve due to change in tax rate				ー		0		(0)	ー
Net changes of items other than shareholders’ equity				ー					ー
Total changes of items during period	ー	ー	ー	ー	−	0	7,000	(1,397)	5,603
Balance at end of current period	¥ 13,652	¥ 14,773	¥ 143	¥ 14,916	¥ 1,375	¥ 22	¥ 33,731	¥ 8,082	¥ 43,212

	Shareholders' equity		Valuation and translation adjustments		Total net assets
	Treasury shares	Total shareholders' equity	Valuation difference on available-for-sale securities	Total valuation and translation adjustments
	Millions of yen
Balance at beginning of current period	¥ (56)	¥59,039	¥1,928	¥1,928	¥60,968
Changes of items during period
Provision of general reserve		−			−
Dividends of surplus		(1,261)			(1,261)
Profit		8,344			8,344
Purchase of treasury shares	(2,072)	(2,072)			(2,072)
Adjustment to reserve due to change in tax rate		−			−
Net changes of items other than shareholders’ equity			(30)	(30)	(30)
Total changes of items during period	(2,072)	5,010	(30)	(30)	4,980
Balance at beginning of current period	¥(2,128)	¥64,050	¥1,897	¥1,897	¥65,948
Changes of items during period
Provision of general reserve		ー		ー	ー
Dividends of surplus		(1,236)		ー	(1,236)
Profit		6,840		ー	6,840
Purchase of treasury shares	(0)	(0)		ー	(0)
Adjustment to reserve due to change in tax rate		ー		ー	ー
Net changes of items other than shareholders’ equity		ー	114	114	114
Total changes of items during period	(0)	5,602	114	114	5,716
Balance at end of current period	¥(2,129)	¥69,653	¥2,012	¥2,012	¥71,665

	Shareholders' equity
	Capital stock	Capital surplus			Retained earnings
		Legal capital surplus	Other capital surplus	Total capital surplus	Legal retained earnings	Other retained earnings			Total retained earnings
						Reserve for advanced depreciation of non-current assets	General reserve	Retained earnings brought forward
	Thousands of U.S. dollars (Note)
Balance at beginning of current period	$130,201	$140,888	$1,367	$142,256	$13,115	$213	$254,927	$90,406	$358,662
Changes of items during period
Provision of general reserve				ー			66,755	(66,755)	ー
Dividends of surplus				ー				(11,795)	(11,795)
Profit				ー				65,230	65,230
Purchase of treasury shares				ー					ー
Adjustment to reserve due to change in tax rate				ー		5		(5)	ー
Net changes of items other than shareholders’ equity				ー					ー
Total changes of items during period	ー	ー	ー	ー	ー	5	66,755	(13,325)	53,435
Balance at end of current period	$130,201	$140,888	$1,367	$142,256	$13,115	$218	$321,683	$77,080	$412,097

	Shareholders' equity		Valuation and translation adjustments		Total net assets
	Treasury shares	Total shareholders' equity	Valuation difference on available-for-sale securities	Total valuation and translation adjustments
	Thousands of U.S. dollars (Note)
Balance at beginning of current period	$(20,301)	$610,818	$18,100	$18,100	$628,918
Changes of items during period
Provision of general reserve		ー			ー
Dividends of surplus		(11,795)			(11,795)
Profit		65,230			65,230
Purchase of treasury shares	(3)	(3)			(3)
Adjustment to reserve due to change in tax rate		ー			ー
Net changes of items other than shareholders’ equity		ー	1,088	1,088	1,088
Total changes of items during period	(3)	53,431	1,088	1,088	54,520
Balance at end of current period	$(20,304)	$664,250	$19,188	$19,188	$683,439

Note: U.S. dollar amounts have been translated from yen for convenience only, at the rate ¥104.86=US$1, the approximate exchange rate on October 31, 2016.