Financial Highlights of FY 2020/3 up to the 2nd Quarter
Pressance Corporation Co., Ltd.

Released in November, 2019

JPX Section Code: 3254.T• JPX Nikkei Index 400 component• JPX Nikkei Mid and Small Cap Indexcomponent

Consolidated Income Statement Summary• Sales for the cumulative 2nd quarter improved year on year
• Sales and each profit level exceeded the forecast for the cumulative 2nd quarter released in May 2019(no change in the full-year forecast).
FY 2018/March
2Q
Ratio
Amounts
to salesFY 2019/March
2Q
Ratio
Amounts
to salesFY 2020/March
2Q
AmountsRatio
YoYAto sales （％）

【million yen】
FY 2020/MarchProgress
Forecast (Full year)-ionRate
AnnualRatio
A/B
Forecast B to sales

Sales

66,241 100.0% 121,350 100.0% 125,383 100.0% 103.3% 209,219 100.0% 59.9%

Cost of Goods Sold

48,12772.7%

86,78871.5%

90,929

72.5% 104.8% 154,940

74.1% 58.7%

Gross Margin

18,11427.3%

34,56228.5%

34,453

27.5%

99.7%

54,278

25.9% 63.5%

SG&A expenses

7,126

10.8%

8,784

7.2%

10,783

8.6% 122.8%

21,746

10.4% 49.6%

Operating Profit

10,98716.6%

25,77721.2%

23,669

18.9%

91.8%

32,531

15.5% 72.8%

Ordinary Profit

10,726

16.2%

25,583

21.1%

23,398

18.7%

91.5%

31,429

15.0% 74.4%

7,239

10.9%

17,402

14.3%

15,660

12.5%

90.0%

21,520

10.3% 72.8%

Net Income attributable toshareholders of parent company

Year-on-Year change: • 2Q FY2019/3: Legend Biwako, our largest-scale condo (486 units), contributed to a significant increase in sales.
• 2Q FY2020/3: Sales to the current period improved year on year due to an expansion of studio condo sales.
• Factors pushing up SG&A expenses: Sales commissions, advertisements for Family-type condos, ReTechrelated expenses, advertisement and promotion expenses including corporate commercials, as well as anincrease in labor expenses due to increased staff . (Costs incurred prior to recording sales)
Progression on• Soundly progressed as planned with a 2nd quarter-end progression rate on annual sales plan of 59.9% andannual plan:annual operating profit plan of 72.8%• Actual operating profit for the cumulative 2Q was 23,669 million yen, up by 15.5% from the forecast of 20,487
million yen released in May 2019.
1Sales by Major Products in Condominium Sales Business
FY 2018/March
2Q Results
No. of units

FY 2019/March
2Q Results

AmountNo. of units

1,300

95.5% 22,330

94.5% 1,638 126.0%

29,780 133.4% 2,161 131.9% 43,462 145.9%

70,901

61.3%

Family Type
CondoCondo Building
Sales ※

680

81.7% 23,889

88.4% 1,639 241.0%

61,985 259.5% 1,402

85.1%

74,75770.6%

672 133.6%

9,965 134.8%

24,715

40.3%

Hotel Sales72129

3,050

18,292

16.7%

93.5% 188,666

57.9%

Total

823 145.7% 13,378 177.4%
NA1,053

NA503

61.1%

980 1361.1%

7,392

55.3%

17,625 1673.4%

unit

2,875 104.2% 60,651 104.2% 4,760 165.6% 116,784 192.5% 4,364

YoY
（％）

AmountmillionYoYyen（％）
AStudio Condo

million
yen

YoY
（％）

No. of units

YoY
（％）

unit

YoY
（％）

AmountFY2020/MarchAnnualForecast
Amount Progression
million yen Rate (% )
A/B
B

unit

million
yen

YoY
（％）

FY 2020/March
2Q Results

85.5%

13.2%

52,764

91.7% 109,243

17.3%Year-on-Year change: Sales in the cumulative 2nd quarter of FY2020/3 remained at a high level due to continued strong sales of Studiocondos and Family-type condos.
• Studio condo: Increased by 13,681 million yen in sales, 523 units (including 235 units in total of Pressance THE Kobe)• Family-type condo: Sales remained at a high level• Condominium building Sales: Progressing steadily• Hotel Sales : Two properties delivered by the end of the 2nd quarter FY2020/3. More sales are planned in the following 6 months.
Progression on annual plan: Sales made good progress until 2Q, achieving 57.9% of the annual sales plan.
• Properties has been successfully delivered as planned.
• Condo Building Sales and Hotel Sales progressing steadily as planned until 2Q. Condo Building Sales and Hotel Sales for the 3rd and4th Qs FY2020/3 are planned to be larger.
※ Condominium building sales: Wholesaling a whole or part of a condo building to other condominium retail dealer
2Changes in Results and Forecasts by Each Quarter
Sales for the 2Q (July – September ) FY2020/3 alone increased year on year. Sales for the cumulative 2Q increased
by 4,032 million yen, to 103.3% year on year.
• 2nd quarter-end progression rate on the annual sales plan is 59.9% (down from an exceptional rate of 75.6% in
the previous fiscal year).
•(1) Quarterly cumulative sales(comparison between FY2020/3 and FY2019/3)(million yen)

FY2020/3

209,219 mil yen(annual forecast)
200,000

160,580 mil yen

125,383
ActualFY2019/3
160,580

150,000

3Q: 11.0％

138,987
81,514

121,350

100,000

Sales plan for the current FY
68,240• Achieved the same level asFY2019/3 as of the end of 2nd Q• Expected to exceed FY2019/3 result
from 3rd Q FY2020/3 onwards

4Q: 13.4％

40.1％
3Q+4Q PLAN

2Q: 24.8％

Large portion ofannual sales posted inthe 1st & 2nd quarters
50,000

1Q: 50.8％

27.3％
2Q RESULT

32.6％
1Q RESULT

Quarterly sales in FY2020/3 are generated
more evenly than in FY2019/3

Solid line: the actual performance
Dotted line: the plan

209,219
plan(2) Percentage of quarterly sales

01Ｑ

2Ｑ

3Ｑ

4Ｑ

Cumulative Sales results up to 2Q & 3Q・4Q plans FY '20/03
Cumulative Sales results in FY '19/03

FY2019/03
results

FY2020/03
results and plans* Condominium sales are posted when condos are constructed and delivered to customers. They may be posted irregularly due to the timingof land acquisition, development plans and/or construction periods.
3

Consolidated Balance Sheet Summary
As of March 31, 2018
Result(million yen)

Current Assets
real estate for salereal estate for sale in process
Non-current Assets
Total Assets
Current Liabilities
short-term liabilities with interest
Non-current Liabilities
long-term liabilities with interest
Total Liabilities
Total Net Assets
Total Liabilities and Net Assets

227,161
11,275
180,461
18,237245,399
067,53740,473
102,689
102,021
170,226
75,172
245,399

Composition
ratio

92.6%
4.6%
73.5%
7.4%
100.0%
0
27.5%
16.5%
41.8%
41.6%
69.4%
30.6%
100.0%

As of March 31, 2019
Result(million yen)

280,591
9,603
225,30221,350301,942
082,91654,467
124,407
123,619
207,323
94,618301,942

Composition
ratio

92.9%
3.2%
74.6%
7.1%
100.0%
027.5%
18.0%
41.2%
40.9%
68.7%
31.3%
100.0%

As of September 30, 2019
Result(million yen)292,246
12,651
231,506
21,005313,251075,96047,437
128,310
127,481204,271
108,980
313,251

Composition
ratio

Change(million yen)

93.3%

11,654

4.0%

3,047

73.9%

6,204

6.7%

▲ 345

100.0%
024.2%

11,309▲ 6,955

15.1%▲ 7,030

41.0%

3,903

40.7%

3,861

65.2%

▲ 3,052

34.8%

14,361100.0%

11,3090Major factors of change: Changes from the end of March 31, 2019
• Current Assets:
Real estate for sale up by 3,047 million yen, Real estate for sale in process up by 6,204 million yen• Non-current Assets: Real estate for rent (net) down by 850 million yen (new holdings: 1 building ; transferred to real estate for sale:2 buildings)• Liabilities:
Bank loans payable down by 3,168 million yen, advances received down by 2,922 million yen (due to an increasein delivered properties)• Total Net Assets:
Recorded net income of 15,660 million yen* As for inventory in red frame in the matrix above, refer to the next page for details.
4Land Inventory as of September 30, 2019
Breakdown of the number in the red frameon the previous page

Amount(million yen)

Real Estate for Sale

12,651
3,810
7
8,832
231,506
170,706
14,86545,934

Land Cost for Condominium Biz A
Other Land Cost
Construction Cost

Real Estate for Sale in Process
Land Cost for Condominium Biz B
Other Land Cost
Construction Cost

Amount(million yen)
Land Cost for Condominium Biz A + B

Land inventories of condo business(millions of yen)

116,662 119,255

'18/3

Units

'18/6

134,210'18/9

161,954 167,791

174,517

141,727'18/12'19/3'19/6'19/9

Volume of procured land compared with sales plans

174,517 26,481

Studio Condominium

66,374 13,101 Equivalent to the sales volume for about next 3 years

Family-type Condominium

74,2437,553 Equivalent to the sales volume for about next 3 years

Condominium Building Sales

20,716

4,012 Equivalent to the sales volume for about next 3 years

Hotel Sales

13,181

1,815－✓ Properties with settled land (registered under the Company’s name) are included in land inventory.
(In addition to the numbers above, there are 38 buildings with 2,712 units whose land sales contracts have been completed but
payment has not been settled yet. Of these, Studio condos 2,084 units, Family-type condos 628 units.)✓ The sum of land cost for the condominium business (included in total inventory) of A + B of 174,517 million yen is obtained byaggregating real estate for sale (12,651 million yen) and real estate for sale in process (231,506 million yen) recorded in the balance
sheet for 2Q FY 2020/3, minus other land cost (7 million yen + 14,865 million yen = 14,873 million yen) and construction cost (8,832
million yen + 45,934 million yen = 54,767 million yen).
* Other land costs include land-related costs for used real estate and residential houses.
5Prospects for Achievement of Condo Sales Plan FY ‘20/3 & Outstanding Contracts (as of October 1, ‘19)
Outstanding Balance of Contracts as of September 30, 2019
Total Outstanding
Balance of contracts
A+B
Units
Amount(mil yen)StudioFamily-type
Condo Bldg. Sales
Hotel Sales
Sales of other residentialhouses and real estate
Total

1,548
1,878
2,125
1,066

28,492
67,90835,09626,254

44

Breakdown by delivery timing
During FY 2020/3
FY 2021/3 or later
Scheduled Delivery A Scheduled Delivery B
Units
AmountUnits
Amount(mil yen)(mil yen)

1,198
503
606
664

21,937
18,42011,50916,242

350
1,375
1,519
402

6,555
49,48823,587
10,011

2,200

44

2,200

0

0

6,661 159,952

3,015

70,3093,646

89,642

Progress on Sales Plan FY2020/3
Sales results in 2Q,
FY2020/3
C
Units

Amounts(mil yen)

As of the end of the 2nd Q of FY 2020/3(Sep. 30, 2019),
the combined amount of 2Q sales resultsand received orders to be posted as sales
during FY2020/3 has already achieved

Of Outstanding Orders,Orders Scheduled for
Delivery in FY 2020/3

AUnitsStudio2,161 43,462 ＋ 1,198
Family-type
1,402 52,764
503
Condo Bldg. Sales
672
9,965
606
Hotel Sales
129
3,050
664
Sales of other residential
101 11,993
44
houses and real estate
Total
4,465 121,236
3,015

95.4% of the annual sales plan
Outstanding orders: The sum of the prices ofproperty sales contract, proceeding in thefollowing status.
• Buildings under construction and yet to bedelivered• Completed sales contracts• Uncompleted transfer of property (beforebuyers’ registration)
Normally, outstanding orders are transferred tosales when properties are completed anddelivered to customers.

Sales Results & Sales
to Be Posted as of theend of 2Q FY2020/3
D=C+A

Progress to
Annual Sales Plan (E)as of the end of 2Q

Amounts(mil yen)Amount(mil yen)

Progression rate(% )E

D/E

Amounts(mil yen)Units21,937 ＝18,42011,50916,242

3,359
1,905
1,278
793

65,39971,185
21,474
19,2922,200

145

14,193

12,035

92.2%
95.2%
86.9%
105.5%
117.9%

70,3097,480

191,545

200,70295.4%

÷

70,90174,757
24,715
18,292

6

ReTech-based project and its progress
Our ReTech = AI-driven web marketing tool to visualize real estate investment information【Pressance Braight】
Braight
Simulator

BraightLab
Braight
ArrivalUseful news and topic
articles for asset
formation

Learn
Enhance prospective
customers

Visualize property
prices

New property
information

AI-driven
Price and revenue simulation

BraightOwner app
Braight
Vintage

Visualize operation

Used property
information

Property managementapp for owners

Search/compare properties

Manage assets
Contract

Cultivate potential customers

Retain customers

Braight’s achievements during the April-September period* Figures in ( ) are for 2Q only.

3,218# of memberships
New properties
Orders in amount(million yen, excluding tax)

# of orders

Used properties

299

（166）

1,049 （551）

15（8）

77 （40）（2,147）
Total
1,349 （718）92（48）

Made a good start with orders increasing as memberships increases
7

Pressance Corporation Co., Ltd.

(Note) Prospective numbers listed in the earnings outlook and other materials are based on information
available at the time of disclosure and largely contain uncertain factors. The actual results may bedifferent depending on changes in business.

<For inquiries, contact>
Management headquarters Pressance Corporation
TEL: 06-4793-1650 (main)
E-mail: psc@pressance.co.jp

FAX: 06-4793-1651