Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between thistranslated document and the Japanese original, the original shall prevail.

Consolidated Financial Report for Fiscal 2021
(The Fiscal Year Ended March 31, 2022 under Japanese GAAP)May 16, 2022
Asahi Broadcasting Group
Company Name:
Stock Exchange Listing: Tokyo Stock Exchange
Holdings Corporation
Securities Code: 9405
URL https://corp.asahi.co.jp/en/
Representative: Susumu Okinaka, Representative Director and President
Inquiries:
Hirokazu Ueda, Manager, Financial Affairs Division
TEL: +81-6-6458-5321
Scheduled Date of Ordinary General Meeting of Shareholders: June 23, 2022
Scheduled Date of Dividend Payment Commencement: June 24, 2022
Scheduled Date of Securities Report Filing: June 24, 2022
Preparation of Annual Supplementary Explanatory Materials: Yes
Annual Results Briefing Held: Yes (for institutional investors and analysts)(Figures are rounded down to the nearest million yen unless otherwise stated.)
1. Consolidated Financial Results for Fiscal 2021 (April 1, 2021 to March 31, 2022)(1) Consolidated Operating Results(Percentage figures show the year-on-year increase (decrease).)Profit attributable to
Net Sales
Operating Income
Ordinary Income
owners of parent¥ million%¥ million%¥ million%¥ million
%
8.6
56.0
58.0
2,671
Fiscal 2021
85,100
4,203
4,792
—
(5.5)
(930)
Fiscal 2020
78,344
2,694 (20.5)
3,033 (16.5)—
Note: Comprehensive Income
Fiscal 2021: ¥981 million (-11.2%)
Fiscal 2020: ¥1,105 million (35.3%)
Basic Earnings per Diluted Earnings
Share
per Share¥
64.97
Fiscal 2021
(22.69)Fiscal 2020
(Reference) Equity in Earnings of Affiliates

Rate of return on
equityOrdinary
Income/Total
Assets

¥
%
4.0
—
(1.4)
—
Fiscal 2021: ¥— million
Fiscal 2020: ¥— million(2) Consolidated Financial Position
Total Assets
Net Assets
Equity-to-Asset Ratio¥ million¥ million%
March 31, 2022
123,788
70,497
54.1
March 31, 2021
119,079
69,70055.5(Reference) Shareholders’ Equity March 31, 2022: ¥66,975 million
March 31, 2021: ¥66,035 million(3) Consolidated Cash FlowsNet Cash Provided By Net Cash Provided By Net Cash Provided By(Used In) Operating(Used In) Investing(Used In) Financing
Activities
Activities
Activities¥ million¥ million¥ million(4,276)
Fiscal 2021
4,689
543
(10,311)
Fiscal 2020
5,952
4,583

Operating
Income/Net Sales

%
3.9
2.6

%
4.9
3.4

Net Assets per Share¥
1,604.91
1,609.44

Ending Balance ofCash and Cash
Equivalents¥ million
27,695
26,739

2. Dividends
Annual Dividend per Share
1Q-End2Q-End3Q-End Period-End

Total
Dividends

Total

PayoutRatio(Consolidated)

Ratio of
Dividends
to NetAssets(Consolidated)¥

Fiscal 2020
Fiscal 2021
Fiscal 2022
(Forecast)

¥

¥

¥

¥

¥ million

%

%

410
997

―
36.9

0.6
1.5

—
—

5.00
7.00

—
—

5.00
17.00

10.00
24.00

—

10.00

—

10.00

20.00

28.8

3. Consolidated Financial Results Forecasts for Fiscal 2022 (April 1, 2022 to March 31, 2023)(Percentage figures show the year-on-year increase (decrease).)Profit attributable Basic Earnings
Net Sales
Operating Income Ordinary Income
to owners of parent
per Share¥ million% ¥ million% ¥ million% ¥ million%¥
Full Fiscal Year
91,0006.9
4,000 (4.8)
4,500 (6.1)
2,900
8.6
69.49

* Notes(1) Changes in the number of important subsidiaries during the period: None
(2) Changes in accounting policies, accounting estimates and restatements
1) Changes in accounting policies in accordance with changes in accounting standards, etc.: Yes
2) Changes in accounting policies other than 1): None
3) Changes in accounting estimates: Yes
4) Restatements: None
(3) Number of shares issued and outstanding (common shares)
1) Number of shares issued and outstanding as of March 31,
the period-end (including treasury shares)
2022
2) Number of treasury shares as of the period-end March 31,
20223) Average number of shares issued andMarch 31,
outstanding for the period
2022

41,833,000
shares101,261
shares41,115,176
sharesMarch 31,2021
March 31,2021
March 31,2021

41,833,000
shares802,674
shares41,015,725
shares(Reference) Summary of Non-consolidated Financial Results
1. Non-consolidated Financial Results for Fiscal 2021 (April 1, 2021 to March 31, 2022)(1) Non-consolidated Operating Results(Percentage figures show the year-on-year increase (decrease).)Net Sales
Operating Income
Ordinary Income
Profit¥ million%¥ million%¥ million%¥ million%
8.4(6,299)Fiscal 2021
5,917
358 (25.0)
389 (38.5)—(4.5)(2,253)Fiscal 2020
5,457
478 (52.6)
633 (44.4)—
Basic Earnings per Diluted Earnings
Share
per Share
Fiscal 2021
Fiscal 2020¥
(153.22)(54.94)¥——(2) Non-consolidated Financial Position
Total Assets
Net Assets
Equity-to-Asset Ratio¥ million¥ million%
March 31, 2022
56,91043,003
75.6
March 31, 2021
62,54650,851
81.3(Reference) Shareholders’ Equity March 31, 2022: ¥43,003 million
March 31, 2021: ¥50,851 million

Net Assets per Share¥
1,030.49
1,239.36* These consolidated financial results are outside the scope of audit by certified public accountants and audit
corporations* Explanation concerning the appropriate use of forecasts and other special instructions(Caution regarding forward-looking statements, etc.)
Results forecasts and other forward-looking statements contained in this report are based on the assumptions,beliefs, and uncertainties in light of information available to the Company’s management as of the publication dateand do not represent promises by the Company or its management that these performance figures will be attained.
Actual results may differ materially from forecasts due to a variety of factors. Please refer to “1. Overview ofBusiness Results, etc. (4) Future Outlook” on page 4 of the attached supplementary materials for information
regarding the underlying assumptions for financial results forecasts, as well as explanatory and other notes regarding
the use of financial results forecasts.
The Company will hold a briefing for institutional investors and analysts (online), scheduled for Monday, May 23,2022. The document to be used at this briefing shall be published on the Company’s website at 10:00 a.m. on the
day of the event.

Supplementary Materials: Table of Contents
1.

Overview of Business Results, etc.

2(1) Overview of Business Results for the Fiscal Year under Review

2(2) Overview of Financial Position for the Fiscal Year under Review

3(3) Overview of Cash Flows for the Fiscal Year under Review

3(4) Future Outlook

4(5) Significant Events regarding Going Concern Assumptions

4

2.

Rationale behind the Choice of Accounting Standards

4

3.

Consolidated Financial Statements and Primary Notes

5(1) Consolidated Balance Sheet

5(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income

7(3) Consolidated Statement of Changes in Equity

9(4) Consolidated Statement of Cash Flows

11(5) Notes regarding Consolidated Financial Statements

13

4.

(Going Concern Assumptions)13(Changes in Accounting Policies)

13(Changes in Accounting Estimates)

14(Segment Information, etc.)

14(Per Share Information)

18(Significant Events after Reporting Period)

19

Other Information

19(1) Changes to the Officers of the Company

191

1. Overview of Business Results, etc.
(1) Overview of Business Results for the Fiscal Year under Review
In fiscal 2021, which extended from April 1, 2021 to March 31, 2022, the Japanese economy saw a gradualresumption of economic activity with the progress in vaccination, as well as signs of a recovery, despite theremaining influence of COVID-19. On the other hand, the economic outlook is uncertain, with the number of
infected people remaining high due to the spread of a new COVID-19 variant, coupled with Russia’s invasion of
Ukraine.
Under these circumstances, net sales of the broadcasting and content business, where the Asahi Broadcasting Group(the Group) conducts its core business, increased mainly due to an increase in TV spot advertising sales, themainstay of the business. Net sales of the lifestyle business were down due to a rebound from the large real estate
sales in the previous fiscal year. As a result of these factors, the Group’s net sales for the fiscal year ended March
31, 2022 increased ¥6,755 million, or 8.6%, compared to the previous fiscal year and amounted to ¥85,100 million.
From the cost standpoint, cost of sales increased ¥3,188 million (6.1%) compared with the previous fiscal year, to¥55,581 million. Selling, general and administrative expenses increased ¥2,058 million (8.9%) compared with theprevious fiscal year, to ¥25,315 million. As a result of the above, operating income increased ¥1,508 million, or
56.0%, to ¥4,203 million, while ordinary income totaled ¥4,792 million, an increase of ¥1,759 million, or 58.0%.
Additionally, ¥267 million of extraordinary income due to gain on sales of shares was recorded, while ¥491 millionof extraordinary loss due to impairment loss was recorded.
As a result, income before income taxes was ¥4,568 million, an increase of ¥4,312 million, and profit attributable toowners of parent was ¥2,671 million, an increase of ¥3,601 million.
The Company resolved at a meeting of its Board of Directors held on May 12, 2021 to change the classification of
its reportable segments.
From the fiscal 2021, the classification has been changed from the previous segments of the broadcasting business,the housing business and the golf business in the previous fiscal year, to the broadcasting and content business andthe lifestyle business.
Additionally, the Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 31, 2020;
hereinafter, “Revenue Recognition Accounting Standard”), etc. have been applied from the beginning of the fiscal
2021. For details, please refer to “3. Consolidated Financial Statements and Primary Notes (5) Notes regarding
Consolidated Financial Statements (Changes in Accounting Policies) and (Segment Information, etc.).”Results by business segment are as follows:
Broadcasting and Content BusinessNet sales in the broadcasting and content business totaled ¥71,348 million, up ¥9,498 million, or 15.4%, comparedto the previous fiscal year. The principal factor accounting for this increase in revenue was an increase in TV spot
advertising sales, the mainstay of the business, which were largely affected by the spread of COVID-19 in theprevious fiscal year. Additionally, in operating expenses, program expenses and event costs increased on account of
the resumption of sport live broadcasting and events, which were cancelled or postponed in the previous fiscal year,
and the relaxation of constraints on program production. As a result, operating income amounted to ¥3,654 million,
an increase of ¥1,634 million, or 80.9%, from the previous fiscal year.
Lifestyle BusinessIn the lifestyle business, revenue decreased as there were large real estate sales in the previous fiscal year. As aresult, net sales amounted to ¥13,751 million, a decrease of ¥2,743 million, or 16.6%, compared with the previous
fiscal year. Operating income amounted to ¥874 million, a decrease of ¥113 million, or 11.5%, from the previous
fiscal year.

2(2) Overview of Financial Position for the Fiscal Year under Review(Assets)
Total assets as of the end of the fiscal year under review were ¥123,788 million, ¥4,708 million higher than at theend of the previous fiscal year (March 31, 2021). In addition to an increase in notes and accounts receivable - trade,and contract assets, there was an increase in property, plant and equipment, such as machinery equipment andvehicles and land.
(Liabilities)
Total liabilities were ¥53,290 million, ¥3,911 million higher than at the end of the previous fiscal year. This wasprimarily attributable to an increase in accounts payable - other and an increase in accounts payable for equipment,
which is included in other current liabilities.
(Net Assets)
Consolidated total net assets came to ¥70,497 million, ¥796 million higher than at the end of the previous fiscal
year. This was attributable mainly to dividends from surplus and a decrease in valuation difference on available-forsale securities, while profit attributable to owners of parent was recorded.
(3) Overview of Cash Flows for the Fiscal Year under Review
For the fiscal year under review, net cash provided by operating activities totaled ¥4,689 million. Net cash used ininvesting activities was ¥4,276 million, and net cash provided by financing activities came to ¥543 million.
Accounting for each of these activities, the ending balance of cash and cash equivalents stood at ¥27,695 million, an
increase of ¥956 million compared with the end of the previous fiscal year. In specific terms, cash flow activities arepresented as follows.
(Cash Flows from Operating Activities)
Net cash provided by operating activities was ¥4,689 million (an inflow of ¥5,952 million during the previous fiscal
year) due mainly to the recording of depreciation and amortization and an increase in notes and accounts payable trade.
(Cash Flows from Investing Activities)
Net cash used in investing activities was ¥4,276 million (an outflow of ¥10,311 million during the previous fiscal
year) due mainly to purchase of property, plant and equipment.
(Cash Flows from Financing Activities)
Net cash provided by financing activities was ¥543 million (an inflow of ¥4,583 million during the previous fiscal
year) due mainly to long term loans payable.

3(4) Future Outlook
At present, it is extremely difficult to forecast when the spread of COVID-19 will recede, the status of recovery of
economic activity after the virus recedes, etc.
As for the outlook for the Japanese economy in fiscal 2022, we must say that the situation is extremely uncertain.
Amid these circumstances, the Group will strive to improve viewer ratings in the broadcasting business, where we
conduct our core business, while investing in further expansion of content-related business and in digitaltransformation, as well as proactively addressing regional revitalization and the Sustainable Development Goals(SDGs).
For fiscal 2022 on a consolidated basis, we forecast net sales of ¥91,000 million, operating income of ¥4,000
million, ordinary income of ¥4,500 million, and profit attributable to owners of parent of ¥2,900 million.
(5) Significant Events regarding Going Concern Assumptions
Not applicable.
2. Rationale behind the Choice of Accounting Standards
To sustain comparability of consolidated financial statements between periods as well as between companies, theGroup shall, for the time being, prepare consolidated financial statements under Japanese GAAP.

43. Consolidated Financial Statements and Primary Notes(1) Consolidated Balance Sheet(Millions of Yen)
March 31, 2021
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, andcontract assets
Short-term investment securities
Inventories
Income taxes receivable
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery equipment and vehicles
Accumulated depreciation
Machinery equipment and vehicles, net
Tools furniture and fixtures
Accumulated depreciation
Tools furniture and fixtures, net
Land
Lease assets
Accumulated depreciation
Lease assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Software
Software in progress
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Long-term prepaid expenses
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Deferred assets
Bond issuance cost
Total deferred assets
Total assets

5

March 31, 2022

22,362

23,586

13,21915,497

5,621
3,011
173
2,292
(15)
46,664

4,715
3,149
279
2,527
(11)
49,74435,490(16,035)
19,454
21,517(16,503)
5,013
1,902
(1,396)506
12,543
143
(65)
78
2,164
39,76035,616(16,762)
18,85423,536(16,144)
7,392
1,587
(1,077)509
14,252
143
(86)
57
484
41,550

1,145
503
1,203
142
2,995

2,313
60
986
111
3,472

18,606
104
970
7,391
2,575
(33)
29,614
72,37016,900
310
1,561
7,426
2,817
(31)
28,98574,00944
44119,079

34
34
123,788

(Millions of Yen)
March 31, 2021
Liabilities
Current liabilities
Short-term borrowings
Current portion of long term loans payable
Current portion of bonds
Lease obligations
Accounts payable - otherAccrued expenses
Income taxes payable
Provision for directors’ bonuses
Other
Total current liabilities
Non-current liabilities
Long term loans payable
Bonds payable
Lease obligations
Net defined benefit liability
Long-term guarantee deposited
Deferred tax liabilities
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Valuation and translation adjustments
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total valuation and translation adjustments
Subscription rights to shares
Non-controlling interests
Total net assets
Total liabilities and net assets

6

March 31, 2022

－
564
26
20
6,615
1,782
1,060
68
4,974
15,112

50
513
26
21
8,131
2,264
1,277
102
6,134
18,5201,200
10,03960
14,111
6,799
1,131
923
34,26649,3781,852
10,01342
13,203
6,597
1,040
2,020
34,77053,2905,299
5,862
52,910(402)
63,6705,299
5,984
54,923(50)
66,157

3,320

1,826

(129)
(825)
2,365

(126)
(881)
818

－
3,664
69,700119,079

8
3,513
70,497
123,788(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income
Consolidated Statement of Income
Fiscal 2020
(April 1, 2020
to March 31, 2021)
78,34452,39325,951
23,256
2,694

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest and dividends income
Subsidy income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Loss on disposal of non-current assets
Loss on investments in partnership
Loss on investments in silent partnership
Commission expenses
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of investment securities
Gain on reversal of provision for loss on venue
closing
Total extraordinary income
Extraordinary loss
Loss on valuation of investment securities
Loss on valuation of stocks of subsidiaries andaffiliates
Loss on valuation of investments in capital
Impairment loss
Special retirement expenses
Total extraordinary loss
Income before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Profit (loss)
Profit (loss) attributable to non-controlling interests
Profit (loss) attributable to owners of parent

7(Millions of Yen)
Fiscal 2021
(April 1, 2021
to March 31, 2022)
85,10055,581
29,51825,315
4,203

205
154
132
492

187
497
112
797

29
34
60
4
－
23
153
3,033

30
23
67
25
26
33
207
4,792

607

267

61

－

668

267

3,202

121

110

－

49
24
57
3,445
256
1,244
185
1,429
(1,173)
(242)
(930)

－
369
－
491
4,568
1,809
274
2,083
2,485
(185)
2,671

Consolidated Statement of Comprehensive Income
Fiscal 2020
(April 1, 2020
to March 31, 2021)(1,173)

Profit (loss)
Other comprehensive income
Valuation difference on available-for-salesecurities, net of tax
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net oftax
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of
the parent
Comprehensive income attributable to noncontrolling interests

8(Millions of Yen)
Fiscal 2021
(April 1, 2021
to March 31, 2022)
2,485

1,388

(1,449)

(130)

2

1,021

(55)

2,279
1,105

(1,503)
981

1,340

1,123

(234)

(141)

(3) Consolidated Statement of Changes in Equity
Fiscal 2020 (April 1, 2020 to March 31, 2021)(Millions of Yen)

Shareholders’ equity
Capitalstock
Balance at the beginning of period
Cumulative effects of changes inaccounting policies
Restated balance
Changes of items during the period
Dividends from surplus
Profit (loss) attributable to ownersof parent
Purchase of treasury stock
Disposal of treasury stock
Change in treasury shares ofparent arising from transactions
with non-controlling shareholders
Net changes of items other thanshareholders’ equity
Total changes of items during theperiodBalance at the end of period

Balance at the beginning of period
Cumulative effects of changes inaccounting policies
Restated balance
Changes of items during the period
Dividends from surplus
Profit (loss) attributable toowners of parent
Purchase of treasury stock
Disposal of treasury stock
Change in treasury shares ofparent arising from transactions
with non-controlling shareholders
Net changes of items other thanshareholders’ equity
Total changes of items during theperiodBalance at the end of period

Capitalsurplus

5,299

Retainedearnings

5,847

Total
shareholders’equity(426)
65,135

Treasurystock

54,415

－
5,299

5,847

54,415(426)

65,135

(573)

(573)

(930)

(930)
(0)
23

15

(0)
38

0

0
－

－

15

(1,504)23(1,465)

5,299

5,862

52,910(402)

63,670

Valuation and translation adjustments
Valuation
Total
Subscription Nondifference Foreign RemeasureTotal net
ments ofvaluationrights to controlling assetsoncurrency
definedandsharesinterests
available- translationtranslation
for-sale adjustment benefit
plans
adjustments
securities
1,941－(1,846)94
0
3,860
69,091－
1,941－(1,846)

94

－
0

3,860

69,091

－

(573)

－

(930)

－
－

(0)
38

－

0

1,379

(129)

1,021

2,271

(0)

(196)

2,074

1,379

(129)

1,021

2,271

(0)

(196)

609

3,320

(129)

(825)

2,365

－

3,664

69,7009

Fiscal 2021(April 1, 2021 to March 31, 2022)(Millions of Yen)

Shareholders’ equity
CapitalsurplusCapital stock
Balance at the beginning of period
Cumulative effects of changes inaccounting policies
Restated balance
Changes of items during the period
Dividends from surplus
Profit (loss) attributable to ownersof parent
Purchase of treasury stock
Disposal of treasury stock
Change in treasury shares ofparent arising from transactions
with non-controlling shareholders
Net changes of items other thanshareholders’ equity
Total changes of items during theperiodBalance at the end of period

Balance at the beginning of period
Cumulative effects of changes inaccounting policies
Restated balance
Changes of items during the period
Dividends from surplus
Profit (loss) attributable toowners of parent
Purchase of treasury stock
Disposal of treasury stock
Change in treasury shares ofparent arising from transactions
with non-controlling shareholders
Net changes of items other thanshareholders’ equity
Total changes of items during theperiodBalance at the end of period

5,299

5,862

5,299

52,910Total
shareholders’equity(402)
63,670

(165)

(165)

Retainedearnings

5,862

Treasurystock

52,745(402)

63,504

(492)

(492)

2,671

2,671

120

472

352

1

1
-

-

121

2,178

352

2,652

5,299

5,984

54,923(50)

66,157

Valuation and translation adjustments
Valuation
Total
Subscription Nondifference Foreign RemeasureTotal net
ments ofvaluationrights to controlling assetsoncurrency
definedandsharesinterests
available- translationtranslation
for-sale adjustment benefit
plans
adjustments
securities
3,320
(129)
(825)
2,365
3,664
69,700
3,320

(129)

(825)

2,365

-

(1)

(166)

3,663

69,533

-

(492)

-

2,671

-

472

-

1

-

(1,493)2(55)(1,547)8(150)(1,688)(1,493)2(55)(1,547)

8

(150)

963

1,826

(126)

(881)

818

8

3,513

70,49710

(4) Consolidated Statement of Cash Flows(Millions of Yen)
Fiscal 2021
(April 1, 2021
to March 31, 2022)

Fiscal 2020
(April 1, 2020
to March 31, 2021)
Cash flows from operating activities
Income before income taxes
Depreciation and amortization
Impairment loss
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for loss on venue
closing
Increase (decrease) in net defined benefit liability
Interest and dividend income
Interest expenses
Loss on retirement of property, plant and equipment
Loss (gain) on sales of investment securities
Loss (gain) on valuation of investment securities
Loss on valuation of stocks of subsidiaries andaffiliates
Loss on valuation of investments in capital
Loss (gain) on investments in partnership
Loss (gain) on investments in silent partnership
Decrease (increase) in notes and accounts receivable - trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable - trade
Decrease (increase) in investment
Other, net
SubtotalInterest and dividend income received
Interest expenses paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of investment securities
Proceeds from sales of short-term investment
securities
Proceeds from redemption of securities
Purchase of property, plant and equipment
Purchase of intangible assets
Payments for asset retirement obligations
Purchase of investment securities
Proceeds from sales of investment securities
Payments for investments in silent partnership
Proceeds from withdrawal of investments in silent
partnership
Purchase of investments in subsidiaries resulting inchange in scope of consolidation
Payments for transfer of business
Payments of loans receivableCollection of loans receivable
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from short-term borrowings

11

256
3,088
24
52
(1)

4,568
3,246
369
127
(7)

(272)

－

(1,306)
(205)
29
34
(607)
3,202

(1,308)
(187)
30
23
(267)
121

110

－

49
60
4
(384)
1,807
456
(279)
167
6,287
305
(28)
(612)
5,952

－
67
25
(2,275)
(160)
1320
(130)
657
6,223
195
(31)
(1,698)
4,689

(295)
277
(19)

(297)
330
－

5

－

－
(6,116)(373)－(3,748)
640
(100)

1,100
(3,726)
(709)
(9)
(752)
299
(100)

95

－

(276)

－

(277)
(168)
46
(0)
(10,311)

－
(520)
186
(76)
(4,276)－50

Fiscal 2020
(April 1, 2020
to March 31, 2021)
1,000
(813)
4,971
(26)

Proceeds from long-term loans payable
Repayments of long-term loans payable
Proceeds from issuance of bonds
Redemption of bonds
Proceeds from share issuance to non-controllingshareholders
Proceeds from sales of treasury shares
Purchase of treasury stock
Cash dividends paid
Dividends paid to non-controlling interests
Repayments of lease obligations
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents
Beginning balance of cash and cash equivalents
Ending balance of cash and cash equivalents

12(Millions of Yen)
Fiscal 2021
(April 1, 2021
to March 31, 2022)
1,222
(620)
－
(26)

50

4

－
(0)
(573)
(11)
(13)
4,583

435
－
(492)
(11)
(17)
543

(128)

(0)

95
26,643
26,739956
26,73927,695(5) Notes regarding Consolidated Financial Statements(Going Concern Assumptions)Not applicable.
(Changes in Accounting Policies)
The Company has applied the Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 31,
2020; hereinafter “Revenue Recognition Accounting Standard”), etc. from the beginning of the fiscal 2021.
Accordingly, revenue is recognized when the control of promised goods or services is transferred to a customer at an
amount that the Company expects to receive in exchange for transferring the goods or services to the customer.
Major changes due to the application of the Revenue Recognition Accounting Standard, etc. are as follows:(1) Revenue recognition for agent transactions
The Company previously recognized revenue in the gross amount of consideration to be received from customers.
From the fiscal 2021, for transactions in which the Group acts as an agent in the provision of goods or services tocustomers, revenue is recognized in the net amount of consideration to be received from customers, after deducting
the costs payable to third parties.
(2) Revenue recognition for transactions that do not require refunds
The Company previously recognized revenue in a lump sum at the time of receiving payments. From the fiscal
2021, if the Group’s performance obligation is considered to be for the transfer of goods or services in the future,
revenue is recognized at the time of the provision of the goods or services in the future.
(3) Revenue recognition for transactions in which the Company grants licenses
For some transactions in which the Company grants licenses, the Company previously recognized revenue at thetime of receiving payments or at the time of delivery, etc. From fiscal 2021, revenue is recognized (i) when acustomer becomes able to obtain benefit from the license through the use of the license, in cases where aperformance obligation is satisfied at a point in time based on each contract; (ii) over a period of time, such as thecontract period, by following the method to measure the progress towards complete satisfaction of a performanceobligation as determined by each contract, in cases where the performance obligation is satisfied over time; or (iii) at
a time when a customer recognizes sales revenue, etc. or when a performance obligation is satisfied, whichever islater, in cases where the consideration to be received for the grant of licenses is related to sales-based or usage-based
royalties.
The application of the Revenue Recognition Accounting Standard, etc. follows the provisional treatment stipulated
in the proviso of Paragraph 84 of the Revenue Recognition Accounting Standard. The cumulative effect ofretrospectively applying the new accounting policy to the periods prior to the beginning of the fiscal 2021 is added
to or subtracted from retained earnings at the beginning of the fiscal 2021, and the new accounting policy is applied
from the said beginning balance. However, applying the method stipulated in Paragraph 86 of the Revenue
Recognition Accounting Standard, the new accounting policy has not been retrospectively applied to the contracts inwhich almost all revenue was recognized under the previous accounting treatment prior to the beginning of the fiscal
2021. Additionally, applying the method stipulated in item (1) of Paragraph 86 of the Revenue Recognition
Accounting Standard, modifications to the contracts that had been made prior to the beginning of the fiscal 2021
were accounted for based on terms and conditions that reflect all the modifications, and the resulting cumulative
effect is added to or subtracted from retained earnings at the beginning of the fiscal 2021.
As a result, net sales for the fiscal 2021 decreased ¥1,330 million, cost of sales decreased ¥1,065 million, andselling, general and administrative expenses decreased ¥581 million, while operating income, ordinary income and13

income before income taxes each increased ¥316 million. Additionally, the beginning balance of retained earnings
decreased ¥165 million.

The impact on per share information is stated in “3. Consolidated Financial Statements and Primary Notes, (5)Notes regarding Consolidated Financial Statements (Per Share Information).”(Changes in Accounting Estimates)
During the fiscal year under review, the estimated amount for asset retirement obligations of ABC Development
Corporation, a consolidated subsidiary, recorded as restoration obligations under leasing contracts, etc., wasmodified following the acquisition of the actual results of recent restoration costs and other new information.
Asset retirement obligations of ¥756 million arising from the change in the estimate were added to the balance ofasset retirement obligations prior to the change, and an impairment loss of ¥181 million was recorded under
extraordinary loss with respect to a part of property, plant and equipment recorded at the same time.
As a result of this change in the estimate, income before income taxes for the fiscal year under review decreased¥181 million.
(Segment Information, etc.)(Segment Information)
1. Description of Reportable Segments
The reportable segments of the Group are its constituent units for which separate financial information is available
and which are subject to periodic examination in order for the Board of Directors to determine the allocation ofmanagement resources and evaluate financial results.
The Group maintains two reportable segments with business activities undertaken primarily in the broadcasting andcontent as well as lifestyle business fields.
The broadcasting and content business comprises television and radio broadcasting activities as well as activities
related to various content, etc. The lifestyle business is made up of housing exhibition site operating activities, mailorder activities, golf club operating activities, etc.
2. Calculation Method of Measurements of Sales, Profit, Asset, Liability and Other Items for Each Reportable
Segment
The accounting treatment methods for reported business segments are generally the same as those for statements in“Significant Matters for the Preparation of Consolidated Financial Statements.”
Profit in the reportable segments is based on operating income. In addition, intersegment revenues or transfers are
based on prevailing market prices.

143. Explanation of Measurements of Sales, Profit, Asset, Liability and Other Items for Each Reportable Segment
Fiscal 2020 (April 1, 2020 to March 31, 2021)
Reportable Segment
Broadcasting andContent

Lifestyle

Total(Millions of Yen)
Amounts
Recorded on
Quarterly
Adjustments Consolidated(Note 1)
Statement of
Income(Note 2)

Sales
Revenues from externalcustomers
Transactions with othersegments

61,85016,49478,344―78,344

897

473

1,371

(1,371)―

Total

62,747

16,96879,716(1,371)

78,344

Segment profit

2,020

988

3,008

(314)

2,694

Segment assets

67,30826,20793,51525,563

119,079

Other items
Depreciation and
2,467
620
3,088
―
3,088
amortization
Increase in property,
plant and equipment
1,128
3,987
5,116
―
5,116
and intangible assets
Notes:
1. Adjustments are outlined as follows:(1) The adjustment to transactions with other segments of negative ¥1,371 million represents the amount ofintersegment transaction elimination.
(2) The adjustment to segment profit of negative ¥314 million represents the amount of expenses which do notbelong to any reportable segment, mainly regarding development of new business and market.
(3) The adjustment to segment assets of ¥25,563 million represents companywide assets which are notallocated to the reportable segments of ¥26,475 million and negative ¥911 million as the amount ofintersegment receivables and payables elimination.
Companywide assets are primarily cash and deposits and investment securities which do not belong to any
reportable segment.
2. Segment profit refers to operating income recorded on the consolidated statement of income.
3. Amortization and increases of long-term prepaid expenses are included in depreciation and amortization as wellas increase in property, plant and equipment and intangible assets.

15

Fiscal 2021 (April 1, 2021 to March 31, 2022)
Reportable Segment
Broadcasting andContent

Lifestyle

Total(Millions of Yen)
Amounts
Recorded on
Quarterly
Adjustments Consolidated(Note 1)
Statement of
Income(Note 2)

Sales
Revenues from externalcustomers
Transactions with othersegments

71,34813,751

85,100―85,100

416

599

1,016

(1,016)―

Total

71,765

14,35086,116(1,016)

85,100

Segment profit

3,654

874

4,528

(325)

4,203

Segment assets

73,69027,542

101,233

22,554

123,788

Other items
Depreciation and
2,636
609
3,246
―
3,246
amortization
Increase in property,
plant and equipment
7,142
1,325
8,468
―
8,468
and intangible assets
Notes:
1. Adjustments are outlined as follows:(1) The adjustment to transactions with other segments of negative ¥1,016 million represents the amount ofintersegment transaction elimination.
(2) The adjustment to segment profit of negative ¥325 million represents the elimination of intersegment
transactions of ¥8 million and the amount of expenses which do not belong to any reportable segment ofnegative ¥334 million, mainly regarding development of new business and market.
(3) The adjustment to segment assets of ¥22,554 million represents companywide assets which are notallocated to the reportable segments of ¥23,768 million and negative ¥1,214 million as the amount ofintersegment receivables and payables elimination.
Companywide assets are primarily cash and deposits and investment securities which do not belong to any
reportable segment.
2. Segment profit refers to operating income recorded on the consolidated statement of income.
3. Amortization and increases of long-term prepaid expenses are included in depreciation and amortization as wellas increase in property, plant and equipment and intangible assets.

16

[Explanation of Impairment Loss on Non-Current Assets for Each Reportable Segment]
Fiscal 2020 (April 1, 2020 to March 31, 2021)(Millions of Yen)
Broadcasting
and Content
Impairment loss

Lifestyle―Corporate andElimination

Total

24

24

Total

―

24

Fiscal 2021 (April 1, 2021 to March 31, 2022)(Millions of Yen)
Broadcasting
and Content
Impairment loss

Lifestyle88

Corporate andElimination

Total

280

369

―

Total
369

[Explanation of Amortization of Goodwill and Unamortized Balance for Each Reportable Segment]
Fiscal 2020 (April 1, 2020 to March 31, 2021)(Millions of Yen)
Amortization
during the period
Balance at the endof the period

Broadcasting
and Content

Corporate andElimination

Lifestyle

52

―

52

―

52

1,203

―

1,203

―

1,203

Total

Total

Fiscal 2021 (April 1, 2021 to March 31, 2022)(Millions of Yen)
Amortization
during the period
Balance at the endof the period

Broadcasting
and Content

Lifestyle

127

―

127

―

127

986

―

986

―

986

Total

17

Corporate andElimination

Total

4. Matters regarding Changes in Reportable Segments, Etc.
The Company resolved at a meeting of its Board of Directors held on May 12, 2021 to change the classification of
its reportable segments.
As announced in the 2021–2025 Medium-Term Management Strategy NEW HOPE, for the Group to grow as acomprehensive content business group that continues to evolve while adapting to changing social conditions andcontributes to the development of society as a dynamic and creative corporate organization, the Group decided tochange the classification of its reportable segments.
From the fiscal 2021, the classification has been changed from the previous segments of the broadcasting business,the housing business and the golf business in the previous fiscal year, to the broadcasting and content business andthe lifestyle business.
Additionally, as described in “Changes in accounting policies,” the Revenue Recognition Accounting Standard, etc.
have been applied from the beginning of the fiscal 2021, and the accounting treatment for revenue recognition has
been changed. Accordingly, the calculation method of profit or loss for the business segments has been changed in
the same manner.
As a result of this change, for the fiscal 2021, net sales for the broadcasting and content business decreased ¥343
million and segment profit increased ¥344 million, while net sales for the lifestyle business decreased ¥987 million
and segment profit decreased ¥27 million, when compared to the previous method.
(Per Share Information)(Yen)
Fiscal 2020
(April 1, 2020
to March 31, 2021)
Net assets per share
Basic earnings (loss) per share

Fiscal 2021
(April 1, 2021
to March 31, 2022)

1,609.44

1,604.91(22.69)64.97

Notes:
1. Diluted earnings per share information has been omitted as there were no potential shares with a dilutive effect.
2. The basis for calculating basic earnings (loss) per share is presented as follows.

3. As stated in “3. Consolidated Financial Statements and Primary Notes, (5) Notes regarding Consolidated
Financial Statements (Changes in Accounting Policies),” the Company has applied the AccountingStandard for Revenue Recognition, etc. and follows the provisional treatment stipulated in the proviso of
Paragraph 84 of the Accounting Standard for Revenue Recognition. As a result, net assets per share andbasic earnings per share increased ¥1.00 and ¥5.03, respectively, in the fiscal year under review.
Fiscal 2020
(April 1, 2020
to March 31, 2021)

Fiscal 2021
(April 1, 2021
to March 31, 2022)

Basic earnings (loss) per share
Profit (loss) attributable to owners of parent(Millions of Yen)
Amount not attributable to common shareholders(Millions of Yen)
Profit (loss) attributable to owners of parent related tocommon stock (Millions of Yen)
Average number of common stock shares issued andoutstanding during the period (Thousands of Shares)

18

(930)

2,671

—

—

(930)

2,671

41,015

41,115

4.

The basis for calculating net assets per share is presented as follows:
March 31, 2021

March 31, 2022

Total net assets (Millions of Yen)

69,70070,497

Amount excluded from total net assets(Millions of Yen)

3,664

3,522

(Non-controlling interests)(3,664)(3,513)

66,03566,97541,03041,731

Net assets attributable to common stock as of the end of
the period (Millions of Yen)
Number of shares of common stock issued andoutstanding as of the end of the period calculated under
net assets per share (Thousands of Shares)(Significant Events after Reporting Period)
Not applicable.

4. Other Information(1) Changes to the Officers of the Company
Please refer to the “Notice of Changes in Personnel” announced on May 16, 2022. (Available in Japanese only.)

19