This document has been translated from a part of the Japanese original for the convenience of non-Japanese shareholders. In the event of any discrepancy between thistranslation and the Japanese original, the original shall prevail.

February 12, 2021

Consolidated Financial Results
for the First Nine Months of the Fiscal Year Ending March 31, 2021
<under J-GAAP>
Company name:
Listing:
Section code:
URL:
Representative:
Contact:

Pressance Corporation Co., Ltd.
First Section of the Tokyo Stock Exchange3254
http://www.pressance.co.jp/
Yutaka Doi, President and Representative Director
Kyosuke Ichikawa, Executive Officer, Deputy General Manager of Management Division,and General Manager of Accounting Department
TEL: +81-6-4793-1650
Scheduled date of filing of quarterly securities report:
February 12, 2021
Scheduled starting date for dividend payments:–
Preparation of supplementary quarterly materials for financial results:
Yes
Holding of quarterly financial results presentation meeting:No(Values of less than one million rounded down)

1.

Consolidated operating results for the first nine months of the fiscal year ending March 31, 2021
(from April 1, 2020 to December 31, 2020)(Percentages indicate year-on-year changes
compared to the same period of the previous FY)
Profit attributable toOperating profit
Ordinary profit
owners of parent% Millions of yen% Millions of yen% Millions of yen%(1) Consolidated operating results (cumulative)
Net sales
Millions of yen
First nine months of the fiscal
year ending March 31, 2021
First nine months of the fiscal
year ended March 31, 2020
Note: Comprehensive income

First nine months of the fiscal
year ending March 31, 2021
First nine months of the fiscal
year ended March 31, 2020

194,378

5.9

27,245 (14.2)

27,223 (13.0)

18,829 (10.5)

183,588 32.1
31,76318.3
31,27418.3
21,041
17.3
First nine months of the fiscal year ending March 31, 2021 18,866 million yen [(10.2) %]First nine months of the fiscal year ended March 31, 2020 21,007 million yen [17.1 %]Basic earnings per
share
Yen
292.32

Diluted earnings per
share
Yen
292.28336.28326.98

Total assets
Millions of yen
267,753
310,779

Net assets
Millions of yen
134,123
116,690(2) Consolidated financial position
As of December 31, 2020
As of March 31, 2020
Reference: Equity
As of December 31, 2020:
As of March 31, 2020:

132,638 million yen
115,253 million yen

Equity ratio
%
49.5
37.1

2.

Dividends
1st quarter-end
Yen

Annual dividends per share
2nd quarter-end
3rd quarter-end
Year-end
Yen
Yen
Yen

Fiscal year ended March 31,
–
26.00
2020
Fiscal year ending March 31,
–
13.00
2021
Fiscal year ending March 31,
2021 (Forecast)
Note: Revisions to the dividends forecasts most recently announced: None

3.

–

Annual total
Yen

13.00

39.00

13.00

26.00

–

Forecasts of consolidated operating results for the fiscal year ending March 31, 2021 (from April 1,2020 to March 31, 2021)(Percentages indicate year-on-year changes.)
Basic
Profit attributable to
Net sales
Operating profit
Ordinary profit
earnings
owners of parent
per share
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Yen
Full year
234,496
4.7
26,728 (18.0)
26,433 (17.4)
18,239 (16.7)
283.11
Note: Revisions to the results forecasts most recently announced: None

*
(1)

(2)

Notes
Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change
in scope of consolidation): None
Adoption of specific accounting policies for quarterly consolidated financial statements: Yes(Corporate Income Tax Calculation Standards)
Regarding taxes, a reasonable estimate of the effective tax rate for the projected full-year pretax income for thecurrent fiscal year, including the actual income figure for the first nine months of the fiscal year, has been
arrived at using the tax-effect accounting method.

(3) Changes in accounting policies, changes in accounting estimates and restatement after error corrections
a. Changes in accounting policies due to amendments to accounting standards and other regulations: Noneb. Changes in accounting policies due to other reasons than a. above: Nonec. Changes in accounting estimates: None
d. Restatement after error corrections: None(4)

Number of issued shares (common stock)a. Number of issued shares at the end of each period (including treasury shares)
As of December 31, 2020
As of March 31, 2020

65,336,739 shares
65,198,961 sharesb. Number of treasury shares at the end of each period
As of December 31, 2020
As of March 31, 2020

866,637 shares
870,054 sharesc. Average number of shares during the period
First nine months of the fiscal year ending March 31, 2021
First nine months of the fiscal year ended March 31, 2020

64,412,363 shares
62,571,132 shares

Notes:
Due to the introduction of the share-based payment type ESOP, a certain number of shares of the Company
held in the trust account is included in the “Number of treasury shares at the end of period” (309,860 sharesfor the 3rd quarter of the fiscal year ending March 31, 2021 and the 313,320 shares for the fiscal year ended
March 31, 2020). And, a certain number of shares held in the trust account is included in the treasury sharesthat were deducted in the calculation of the “Average number of outstanding shares during the period”(311,193 shares for the 3rd quarter of the fiscal year ending March 31, 2021 and 313,834 shares for the 3rdquarter of the fiscal year ended March 31, 2020).

* Quarterly financial result reports by public accountants or auditing firms are not required.
* Explanations about the proper use of financial forecasts and other important notes(Caution Concerning Forward-looking Statements)
Forward-looking statements in this document, including the results forecasts, are based on the information
available to the Company at the time of disclosure and on certain assumptions deemed to be practicable by
the Company. These statements do not purport that the Company pledges or ensures to achieve suchstatements. Actual business and other results may differ substantially due to various factors. For preconditions
to the assumptions and other important notes concerning the financial forecasts, please refer to “1. Quarterly
Qualitative Information (3) Explanation for the Forecast of Consolidated Financial Results ending March 31,
2021 on page 2 of the attachment.

(Method of Obtaining Supplementary Materials for Quarterly Financial Results)
Supplementary materials for quarterly financial results are available on the Company’s website. (Japaneseversion only)1. Quarterly Qualitative Information(1) Business Results
During the first nine months of the consolidated fiscal year, the Japanese economy and the businessenvironment remained challenging due to the impact of the COVID-19 pandemic. Although there are somesigns of a pickup, we must pay close attention to the situation of the pandemic in and outside Japan as it may
lead to greater downside risks.
In the real estate industry which we belong to, the interest rates on housing loans remain at low levels while theJapanese government’s ongoing measures to support homebuyers, such as mortgage tax breaks, remain on
track, and people have tended to move into the center of cities seeking the convenience of urban living.
Although these and other factors are supporting the demand for condominiums, we should keep watching theimpact of the COVID-19 pandemic.
In these business circumstances, Pressance Corporation Co, Ltd. (the “Company”) has focused on supplying
condominiums in selected places in the central part of major cities in the Kinki, Tokai/Chukyo and Tokyo
metropolitan areas, and other core regions including Okinawa, which are our major sales areas.
Under such business conditions, the Company posted the following consolidated performance for the first ninemonths of the fiscal year ending March 31, 2021. Net sales amounted to 194,378 million yen (up 5.9% year onyear), operating profit amounted to 27,245 million yen (down 14.2% year on year), ordinary profits amounted
to 27,223 million yen (down 13.0% year on year) and profit attributable to owners of parent amounted to
18,829 million yen (down 10.5% year on year).
An overview of operating results by business segment is as follows:

Real Estate Sale BusinessIn the real estate sales business, Pressance Loger Kashihara-Jingumae (114 units), a family-type condominium
in the Pressance Loger series, and Pressance Shin-OSAKA J's (220 units), a Pressance series studiocondominium, have performed favorably. The sales of studio condominiums amounted to 69,109 million yen(3,909 units), sales of family-type condominiums amounted to 86,934 million yen (2,356 units), sales of hotel
properties amounted to 11,620 million yen (439 units), sales of other types of housing amounted to 4,035
million yen (202 units), sales of other real estate amounted to 15,209 million yen, and business accompanying
real estate sales amounted to 1,236 million yen. Total sales of the real estate sales business posted 188,145
million yen (up 5.5% year on year) and operating profit amounted to 26,468 million yen (down 15.7% year onyear).
Starting from the first three months of the fiscal year ending March 31, 2021, “sales of condominium
buildings” is included in “sales of studio condominiums.”
Since sales from the condominium business, our main business, are recorded on a delivery basis that is later
than completion, there may be fluctuation in the quarterly sales results depending on the timing of landacquisition, development plans and/or construction schedules.

Other Business
The rent revenue with a high occupancy rate of the owned real estate for rent has remained high. The sales inother business amounted to 6,233 million yen (up 19.6% year on year) and operating profit came to 1,846
million yen (up 25.4% year on year).
In addition, as we announced in “Notice Regarding Outcome of the Tender Offer for Our Share Certificates byOpen House Co., Ltd. and Changes in Our Parent Company and Other Affiliated Companies” released on
January 15, 2021, and “Notice Regarding Completion of Payment for the Capital Increase through Third-Party
Allotment” released on January 19, 2021, the tender offer for the Company’s common stock conducted byOpen House Co., Ltd. and the issuance of new shares of common stock through the third-party allotment toOpen House have completed. As of January 20, 2021, Open House had acquired 44,011,372 shares of theCompany’s common stock and newly became the Company’s parent company. Going forward, we will deepen
our cooperation with the parent company and strive to create synergy.

1(2) Financial Position
Current Assets
Total current assets as of the end of the first nine months of the fiscal year amounted to 255,009 million yen(down 13.9%), which represents a decrease of 41,057 million yen compared to the end of the previous fiscal
year. This was mainly due to a decrease in inventory of 73,956 million yen, while there was an increase in cash
and deposits of 30,352 million yen.

Fixed Assets
Total fixed assets as of the end of the first nine months of the fiscal year amounted to 12,743 million yen(down 13.4%), which represents a decrease of 1,968 million yen compared to the end of the previous fiscal
year. This was due mainly to a decrease in long-term loans receivable from subsidiaries and associates by
3,183 million yen as they are now due within one year, which offset a 1,262 million yen increase in real estate
for rent following the transfer of real estate for sale to self-owned real estate.

Liabilities
Total liabilities as of the end of the first nine months of the fiscal year amounted to 133,630 million yen (down
31.1%), which represents a decrease of 60,458 million yen compared to the end of the previous fiscal year.
This was mainly due to a 45,388 million yen decrease in loans payable to financial institutions, a 7,690 million
yen decrease in electronically recorded obligations-operating due to the arrival of the payment due date, and a5,151 million yen decrease in advances received due to the delivery of condominiums.

Net Assets
Total net assets as of the end of the first nine months of the fiscal year amounted to 134,123 million yen (up14.9%), which represents an increase of 17,433 million yen compared to the end of the previous fiscal year.
This was principally due to the increase in retained earnings by 17,146 million yen partly because of theposting of profit attributable to owners of parent.

Analysis on Cash Flows
Cash and cash equivalents as of the end of the first nine months of the fiscal year ending March 31, 2021,
totaled 72,036 million yen (up 72.8%), which represents an increase of 30,352 million yen compared to the endof the previous fiscal year.
The status and factors in each cash flow for the first nine months of the fiscal year ending March 31, 2021 are
as follows:

Cash Flows from Operating Activities
Net cash provided by operating activities came to 77,222 million yen (Compared with 10,190 million yen
provided in the first nine months of the previous fiscal year).
This was mainly due to cash inflow resulting from a decrease in inventories by 71,880 million yen following
the delivery of condominiums and the posting of 27,488 million yen in profit before income taxes, while there
were cash outflows as a result of a payment of income tax of 8,858 million yen, a decrease in notes andaccounts payable-trade by 7,858 million yen reflecting an increase in the settlement of electronically recorded
obligations-operating, and decrease in advances received by 5,154 million yen following the delivery ofcondominiums, and other factors.

Cash Flows from Investment Activities
Net cash provided by investment activities came to 91 million yen (Compared with 1,724 million yen used in
the same period of previous fiscal year).
This was principally due to the inflows that resulted from sales of non-current assets of 889 million yen, while
there were cash outflows resulting from loans to subsidiaries and associates of 748 million yen.

Cash Flows from Financing Activities
Net cash used in financing activities came to 46,960 million yen (Compared with 9,243 million yen used in thesame period of the previous fiscal year).
This was due mainly to the net decrease in loans payable to financial institution by 45,388 million yen and thedividend payment of 1,679 million yen, resulting in a decrease in capital.

(3) Explanation for the Forecast of Consolidated Financial Results ending March 31, 2021
Condominium sales, our major business, have a tendency to give an excessive skewness or deformations in a
specific quarter results due to the timing of delivery of condominium, since sale of condominium is to beposted on the basis of delivery of the condominium unit. Our business results in the first nine months of the
fiscal year ending March 31, 2021 have been making sound progress, and there is no change on our forecastsof consolidated financial results in the fiscal year released on November 13, 2020.

2

2. Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets(Millions of yen)
As of March 31, 2020
AssetsCurrent assets
Cash and deposits
Accounts receivable - trade
Real estate for sale
Real estate for sale in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Real estate for rent, net
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assets
Total non-current assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term loans payable
Current portion of long-term loans payable
Income taxes payable
Advances received
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Provision for share-based payment
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Subscription rights to shares
Non-controlling interests
Total net assets
Total liabilities and net assets

3

As of December 31, 2020

44,774142
27,074217,964
293
5,817–
296,066

75,126
147
20,859150,328
187
8,451
(91)
255,009

6,993
647
7,640
254
6,817
14,712
310,779

8,256
573
8,830
178
3,735
12,743
267,753

324
8,923
1,904
71,1807,428
10,788254
6,514
107,318

259
1,232
7,209
69,172
6,716
5,637
136
5,254
95,61985,903196
669
86,770
194,088

37,218209
582
38,010133,630

4,290
5,292
106,609(887)
115,306

4,380
5,382
123,756(883)
132,636

(1)
(50)
(52)
264
1,172
116,690
310,779

(3)
6
2
330
1,154
134,123
267,753

(2) Quarterly Consolidated Statements of Income and Comprehensive Income
Quarterly Consolidated Statements of Income(Millions of yen)First nine months of the fiscal
year ended March 31, 2020
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Purchase discounts
Share of profit of entities accounted for using equity
methodForeign exchange gains
Commission fee
Penalty income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Share of loss of entities accounted for using equity
methodForeign exchange losses
Provision of allowance for doubtful accounts
Commission fee
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of non-current assets
Gain on reversal of share acquisition rights
Total extraordinary income
Profit before income taxes
Income taxes
Net income(Loss) attributable to non-controlling interests
Profit attributable to owners of parent

4

First nine months of the fiscal
year ending March 31, 2021

183,588
136,241
47,346
15,582
31,763

194,378
153,697
40,681
13,43627,245

12
1
0

2
1
2

–

107

13
35
95
83
242

–
45
546
178
884

708

597

18

–

–
–
3
1
731
31,274

80
91
47
89
906
27,223–––31,274
10,25021,024(17)
21,041

20954
264
27,488
8,676
18,811(17)
18,829

Quarterly Consolidated Statements of Comprehensive Income(Millions of yen)First nine months of the fiscal
year ended March 31, 2020
Net income
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

5

First nine months of the fiscal
year ending March 31, 2021

21,024

18,811

9
(49)

(1)
44

23

12

(16)
21,00755
18,86621,024

18,884(17)(17)

(3) Quarterly Consolidated Statements of Cash Flows(Millions of yen)First nine months of the fiscal
year ended March 31, 2020
Cash Flows from Operating Activities
Profit before income taxes
Depreciation
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Interest and dividend income
Interest expenses
Foreign exchange losses (gains)Share of (profit) loss of entities accounted for using
equity method
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable trade
Share-based remuneration expenses
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for directors’
retirement benefits
Increase (decrease) in provision for share-based
payment
Loss (gain) on sales of non-current assets
Gain on reversal of share acquisition rights
Increase (decrease) in advances received
Decrease (increase) in consumption taxes refund
receivable
Increase (decrease) in accrued consumption taxes
Other
SubtotalInterest and dividend income received
Interest expenses paid
Income taxes paid
Cash Flows from Operating Activities
Cash flows from investing activities
Purchase of non-current assets
Proceeds from sales of non-current assets
Purchase of investment securities
Payments of loans receivable from subsidiaries andassociates
Payments into time deposits
Other
Net cash provided by (used in) investing activities
Cash Flows from Financing Activities
Proceeds from long-term loans payable
Repayments of long-term loans payable
Proceeds from issuance of common shares
Cash dividends paid
Net increase (decrease) in short-term loans payable
Repayments to non-controlling shareholders
Other
Cash Flows from Financing Activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

6First nine months of the fiscal
year ending March 31, 2021

31,274
358
75
–
(13)
708
(13)

27,488
218
75
91
(3)
597
80

18

(107)

(4,888)71,880(2,163)(7,858)

142
(82)

182
(118)

(623)

–

29

15

–
–
(4,425)(209)(54)(5,154)

(248)

(15)

153
(16)
20,28413(673)(9,434)
10,1901,669(2,123)86,655
3(578)(8,858)77,222

(121)
–
(1)

(47)
889
(2)

(918)

(748)

(684)
1
(1,724)––91

47,022(45,547)
182(3,056)(7,259)(584)–(9,243)8,235(58,928)116(1,679)5,305–(8)(46,960)

0

(1)

(775)
39,40038,62430,352
41,68472,036

3. Others(1) Actual orders
First nine months of the fiscal year ended March 31, 2020 (from April 1, 2019 to December 31, 2019)
Name ofsegment

CategoryRealestate salebusiness

Studiocondominiums
Family-typecondominiums
Sale of hotel
property
Sale of othertype of housing
Sale of other realestateTotal amount of reportablesegments

Number ofunits

Total amount of contracts
Year onAmountyear(Millions of
(%)
yen)

Year onyear(%)

Outstanding balance of contracts
Year onAmountYear onNumber ofyear(Millions of
year
units
(%)
yen)
(%)

3,335

90.7

63,390

95.5

3,731

101.6

64,134

98.4

1,611

117.6

60,135

121.1

1,827

109.1

66,502

108.8

309

32.2

7,440

31.9

570

70.0

13,856

63.6

203

285.9

4,241

376.9

63

370.6

1,804

401.9

–

–

7,923

147.2

–

–

5,968

135.7

5,458

89.8

143,131

98.1

6,191

100.2

152,265

99.5

First nine months of the fiscal year ending March 31, 2021 (from April 1, 2020 to December 31, 2020)
Name ofsegment

CategoryRealestate salebusiness

Studiocondominiums
Family-typecondominiums
Sale of hotel
property
Sale of othertype of housing
Sale of other realestateTotal amount of reportablesegments

Number ofunits

Total amount of contracts
Year onAmountyear(Millions of
(%)
yen)

Year onyear(%)

Outstanding balance of contracts
Year onAmountYear onNumber ofyear(Millions of
year
units
(%)
yen)
(%)

4,438

133.1

68,345

107.8

4,000

107.2

59,793

93.2

1,245

77.3

49,933

83.0

946

51.8

38,714

58.2

49

15.9

2,154

29.0

180

31.6

4,390

31.7

250

123.2

5,310

125.2

91

144.4

2,505

138.9

–

–

12,373

156.2

–

–

2,136

35.8

5,982

109.6

138,118

96.5

5,217

84.3

107,540

70.6

Notes:
1. In the table above, “total amount of orders” has been replaced with “total amount of contracts.”
2. Consumption taxes are not included in the above amounts.
3. Amounts of additional constructions are included in the above amounts.
4. Number of units in total amount of contracts and the outstanding balance of contracts may fluctuate due tochange of business plan and others.
5. The sale of other type of housing refers to the sale of houses other than newly built condominiums, including
used houses and detached houses.
6. The sale of other real estate refers to the sale of real estate other than housing, including commercial storesand lands for development.
7. Starting from the first three months of the fiscal year ending March 31, 2021, “sale of condominium building”
is included in “studio condominiums.” For ease of comparison, the figures for the first nine months of the
fiscal year ended March 31, 2020, have been recast to conform to the current presentation.
8. Amounts of contracts for sale of other real estate in the first nine months of the fiscal year ended March 31,
2020, refer to land for development (7,282 million yen) and office buildings (641 million yen). The
outstanding balance of contracts refers to lands for development.
Amounts of contracts and the outstanding balance of contracts for sale of other real estate for the first ninemonths of the fiscal year ending March 31, 2021, refer to lands for development.

7

(2) Actual sales

Name ofsegment

Category

Studiocondominiums
Family-typecondominiums
Sale of hotel
propertyRealestate sale Sale of otherbusinesstype of housing
Sale of otherreal estateBusiness
accompanying
real estate sale
Total amount of reportablesegments

First nine months of the fiscal year ended March 31,
2020(from April 1, 2019 to December 31, 2019)Year onAmountYear onNumber ofyear(Millions of
year
units
(%)
yen)
(%)

First nine months of the fiscal year ending March 31,
2021(from April 1, 2020 to December 31, 2020)
Year onAmountYear onNumber ofyear(Millions of
year
units
(%)
yen)
(%)

3,746

141.5

72,827

161.6

3,909

104.4

69,109

94.9

1,907

103.7

71,221

103.3

2,356

123.5

86,934

122.1

793

80.9

19,292

109.5

439

55.4

11,620

60.2

159

256.5

2,895

360.3

202

127.0

4,035

139.4

–

–

11,155

1,131.4––

15,209

136.3

–

–

987

68.4

–

–

1,236

125.2

6,605

119.5

178,378

132.3

6,906

104.6

188,145

105.5

Other

–

–

5,209

126.5

–

–

6,233

119.6

Total

6,605

119.5

183,588

132.1

6,906

104.6

194,378

105.9

Notes:
1. Consumption taxes are not included in the above amounts.
2. Amounts of additional constructions are included in the above amounts.
3. The sale of other type of housing refers to the sale of houses other than newly built condominiums, including
used houses and detached houses.
4. The sale of other real estate refers to the sale of real estate other than housing, including commercial storesand lands for development.
5. Business accompanying real estate sale includes income from post-delivery optional construction work suchas floor coating and income from intermediation fees from real estate sales.
6. Starting from the first three months of the fiscal year ending March 31, 2021, “sale of condominium building”
is included in “studio condominiums.” For ease of comparison, the figures for the first nine months of the
fiscal year ended March 31, 2020, have been recast to conform to the current presentation.
7. Sales of other real estate in the first nine months of the fiscal year ended March 31, 2020, refer to lands fordevelopment (10,513 million yen) and office buildings (641 million yen).
Sales of other real estate in the first nine months of the fiscal year ending March 31, 2021, refer to lands fordevelopment.

8