Non-Consolidated Financial Statements

Non-Consolidated Balance Sheets

	Prior fiscal year (As of October 31, 2016)	Current fiscal year (As of October 31, 2017)
	Millions of yen	Millions of yen	Thousands of U.S. dollars (Note)
Assets
Current assets
Cash and deposits	¥ 25,489	¥ 27,335	$ 241,565
Notes receivable - trade	5,630	6,073	53,668
Electronically recorded monetary claims - operating	3,658	3,605	31,864
Accounts receivable - trade	18,238	18,139	160,298
Securities	200	200	1,767
Merchandise and finished goods	259	244	2,162
Costs on uncompleted construction contracts	61	25	229
Construction machine parts	9,058	10,081	89,094
Raw materials and supplies	267	149	1,318
Prepaid expenses	303	313	2,771
Deferred tax assets	334	361	3,192
Short-term loans receivable	50	398	3,522
Other	403	210	1,858
Allowance for doubtful accounts	(69)	(54)	(477)
Total current assets	63,885	67,085	592,837
Non-current assets
Property, plant and equipment
Rental equipment	53,451	51,644	456,384
Buildings	7,603	8,202	72,484
Structures	1,926	2,004	17,713
Machinery and equipment	736	792	7,007
Vehicles	12	9	85
Tools, furniture and fixtures	254	240	2,125
Land	31,925	31,919	282,070
Construction in progress	438	288	2,545
Total property, plant and equipment	96,348	95,101	840,417
Intangible assets
Software	88	91	804
Telephone subscription right	52	52	459
Software in progress	302	655	5,794
Other	0	19	169
Total intangible assets	444	817	7,228
Investments and other assets
Investment securities	5,557	6,543	57,825
Shares of subsidiaries and associates	11,309	11,753	103,865
Investments in capital	12	10	89
Long-term loans receivable from subsidiaries and associates	2,249	3,803	33,607
Claims provable in bankruptcy, claims provable in rehabilitation and other	20	66	591
Long-term prepaid expenses	29	47	420
Insurance funds	38	45	399
Guarantee deposits	908	905	8,001
Other	44	57	505
Allowance for doubtful accounts	(1,491)	(1,896)	(16,762)
Allowance for investment loss	(560)	(0)	(0)
Total investments and other assets	18,118	21,335	188,544
Total non-current assets	114,911	117,255	1,036,189
Total assets	¥ 178,796	¥ 184,340	$ 1,629,027

	Prior fiscal year (As of October 31, 2016)	Current fiscal year (As of October 31, 2017)
	Millions of yen	Millions of yen	Thousands of U.S. dollars (Note)
Liabilities
Current liabilities
Notes payable - trade	¥ 16,190	¥ 17,028	$ 150,485
Accounts payable - trade	4,750	5,010	44,276
Short-term loans payable	11,079	10,116	89,395
Accounts payable - other	16,932	16,978	150,039
Accrued expenses	388	473	4,185
Income taxes payable	1,442	2,215	19,582
Accrued consumption taxes	137	718	6,345
Provision for bonuses	614	631	5,583
Notes payable - facilities	480	617	5,458
Other	303	311	2,749
Total current liabilities	52,320	54,101	478,100
Non-current liabilities
Long-term loans payable	21,452	20,546	181,565
Long-term accounts payable - other	32,797	29,953	264,701
Deferred tax liabilities	296	416	3,678
Asset retirement obligations	259	274	2,422
Other	4	−	−
Total non-current liabilities	54,810	51,190	452,368
Total liabilities	107,130	105,291	930,469
Net assets
Shareholders’ equity
Capital stock	13,652	13,652	120,651
Capital surplus
Legal capital surplus	14,773	14,773	130,555
Other capital surplus	143	143	1,266
Total capital surpluses	14,916	14,916	131,822
Retained earnings
Legal retained earnings	1,375	1,375	12,153
Other retained earnings
Reserve for advanced depreciation of non-current assets	22	22	202
General reserve	33,731	39,731	351,110
Retained earnings brought forward	8,082	9,046	79,940
Total retained earnings	43,212	50,175	443,407
Treasury shares	(2,129)	(2,129)	(18,820)
Total shareholders’ equity	69,653	76,616	677,060
Valuation and translation adjustments
Valuation difference on available-for-sale securities	2,012	2,432	21,497
Total valuation and translation adjustments	2,012	2,432	21,497
Total net assets	71,665	79,048	698,558
Total liabilities and net assets	¥ 178,796	¥ 184,340	$ 1,629,027

Note: U.S. dollar amounts have been translated from yen for convenience only, at the rate ¥113.16=US$1, the approximate exchange rate on October 31, 2017.

Statements of Income

	Prior fiscal year (From November 1, 2015 to October 31, 2016)	Current Fiscal Year (From November 1, 2016 to October 31, 2017)
	Millions of yen	Millions of yen	Thousands of U.S. dollars (Note)
Net sales	¥ 103,777	¥ 107,277	$ 948,013
Cost of sales	73,575	75,778	669,658
Gross profit	30,201	31,498	278,355
Selling, general and administrative expenses	18,337	19,535	172,635
Operating profit	11,864	11,963	105,719
Non-operating income
Interest and dividend income	148	217	1,926
Rent income	293	285	2,523
Temporary transfer charges income	202	220	1,952
Reversal of allowance for doubtful accounts	205	84	745
Reversal of allowance for investment loss	−	239	2,120
Other	137	179	1,589
Total non-operating income	986	1,228	10,858
Non-operating expenses
Interest expenses	127	84	745
Provision of allowance for doubtful accounts	23	454	4,015
Provision of allowance for investment loss	278	−	−
Foreign exchange losses	139	−	−
Other	149	131	1,163
Total non-operating expenses	718	670	5,924
Ordinary profit	12,132	12,521	110,654
Extraordinary income
Gain on sales of non-current assets	10	10	92
Subsidy income	2	5	47
Gain on sales of investment securities	2	220	1,948
Total extraordinary income	15	236	2,088
Extraordinary losses
Loss on sales and retirement of non-current assets	64	95	847
Loss on valuation of investment securities	54	−	−
Loss on sales of shares of subsidiaries and associates	−	79	703
Loss on valuation of shares of subsidiaries and associates	1,014	140	1,240
Total extraordinary losses	1,133	315	2,790
Profit before income taxes	11,014	12,442	109,951
Income taxes - current	4,065	3,979	35,164
Income taxes - deferred	108	(90)	(802)
Total income taxes	4,174	3,888	34,362
Profit	¥ 6,840	¥ 8,553	$ 75,589

Note: U.S. dollar amounts have been translated from yen for convenience only, at the rate ¥113.16=US$1, the approximate exchange rate on October 31, 2017.

Statements of Changes in Equity
(From November 1, 2015 to October 31, 2017)

	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	¥ 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
Total changes of items during period	ー	ー	ー	ー	−	0	7,000	(1,397)	5,603
Balance at beginning of current period	¥ 13,652	¥ 14,773	¥ 143	¥ 14,916	¥ 1,375	¥ 22	¥ 33,731	¥ 8,082	¥ 43,212
Changes of items during period
Provision of general reserve				−			6,000	(6,000)	−
Dividends of surplus				−				(1,590)	(1,590)
Profit				−				8,553	8,553
Purchase of treasury shares				−					−
Adjustment to reserve due to change in tax rate				−					−
Net changes of items other than shareholders’ equity
Total changes of items during period	−	−	−	−	−	−	6,000	963	6,963
Balance at end of current period	¥ 13,652	¥ 14,773	¥ 143	¥ 14,916	¥ 1,375	¥ 22	¥ 39,731	¥ 9,046	¥ 50,175

	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	¥ (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			114	114	114
Total changes of items during period	(0)	5,602	114	114	5,716
Balance at beginning of current period	¥ (2,129)	¥ 69,653	¥ 2,012	¥ 2,012	¥ 71,665
Changes of items during period
Provision of general reserve		−		−	−
Dividends of surplus		(1,590)		−	(1,590)
Profit		8,553		−	8,553
Purchase of treasury shares	(0)	(0)		−	(0)
Adjustment to reserve due to change in tax rate		−		−	−
Net changes of items other than shareholders’ equity			420	420	420
Total changes of items during period	(0)	6,962	420	420	7,383
Balance at end of current period	¥ (2,129)	¥ 76,616	¥ 2,432	¥ 2,432	¥ 79,048

	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	$ 120,651	$ 130,555	$ 1,266	$ 131,822	$ 12,153	$ 202	$ 298,088	$ 71,426	$ 381,871
Changes of items during period
Provision of general reserve				−			53,022	(53,022)	−
Dividends of surplus				−				(14,053)	(14,053)
Profit				−				75,589	75,589
Purchase of treasury shares				−					−
Adjustment to reserve due to change in tax rate				−					−
Net changes of items other than shareholders’ equity
Total changes of items during period	−	−	−	−	−	−	53,022	8,513	61,536
Balance at end of current period	$ 120,651	$ 130,555	$ 1,266	$ 131,822	$ 12,153	$ 202	$ 351,110	$ 79,940	$ 443,407

	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	$ (18,815)	$ 615,529	$ 17,781	$ 17,781	$ 633,310
Changes of items during period
Provision of general reserve		−		−	−
Dividends of surplus		(14,053)		−	(14,053)
Profit		75,589		−	75,589
Purchase of treasury shares	(4)	(4)		−	(4)
Adjustment to reserve due to change in tax rate		−		−	−
Net changes of items other than shareholders’ equity			3,715	3,715	3,715
Total changes of items during period	(4)	61,531	3,715	3,715	65,247
Balance at end of current period	$ (18,820)	$ 677,060	$ 21,497	$ 21,497	$ 698,558

Note: U.S. dollar amounts have been translated from yen for convenience only, at the rate ¥113.16=US$1, the approximate exchange rate on October 31, 2017.