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

Consolidated Financial Results for the Nine Months Ended December 31, 2023
(Under Japanese GAAP)
February 8, 2024
Company Name: Nishi-Nippon Railroad Co., Ltd.
Stock exchange listings:
Tokyo and Fukuoka
Securities Code:9031
URL https://www.nishitetsu.co.jp/en/
Representative:
Koichi Hayashida, President and CEO
Contact: Takahide Kurata, Manager, Public Relations Department(TEL) +81-92-734-1217
Scheduled filing date of quarterly securities report: February 8, 2024
Scheduled commencement date of dividend payments: Preparation of supplementary materials for quarterly financial results: Yes
Scheduled quarterly financial results briefing: None(Amounts rounded down to the nearest million yen.)
1. Consolidated Financial Results for the Nine Months Ended December 31, 2023 (from April 1, 2023, toDecember 31, 2023)(1) Consolidated operating results (year to date)(Percentages represent year-on-year changes.)
Operating revenue
Millions of yen

Nine months ended
December 31, 2023
Nine months ended
December 31, 2022
(Notes) Comprehensive income

Operating income

Profit attributable toowners of parent

Ordinary income%

Millions of yen%

Millions of yen%

Millions of yen%

303,749(19.9)

18,320(7.0)

18,623(11.2)

16,64919.9379,115

25.9

19,699202.2

20,962193.9

13,885

172.6

Nine months ended December 31, 2023
Nine months ended December 31, 2022
Net income pershare-basic

Nine months ended
December 31, 2023
Nine months ended
December 31, 2022

26,681 million yen (8.2%)
24,650 million yen (375.2%)

Net income pershare-diluted
Yen

Yen

211.40210.95176.22

175.75(2) Consolidated financial position
Total assets

Net assets

Millions of yen

As of December 31, 2023
As of March 31, 2023
(Reference) Shareholders’ equity

Equity ratio

Millions of yen

710,595
685,795
As of December 31, 2023
As of March 31, 2023%

223,539
201,881
216,658 million yen
194,793 million yen

30.5
28.4

2. Dividends
Annual dividends
End of Q1
Yen

End of Q2
Yen

End of Q3

Year-end

Yen

Fiscal year ended
15.00
March 31, 2023
Fiscal year ending
17.50
March 31, 2024
Fiscal year ending
March 31, 2024 (forecast)(Notes) Revision of the dividend forecast most recently announced : None

Total
Yen

Yen

20.00

35.00

17.50

35.00

3. Consolidated Financial Forecast for the Fiscal Year Ending March 31, 2024 (from April 1, 2023, to March 31, 2024)
Operating revenue
Millions of yen

Operating income%

Millions of yen(Percentages represent year-on-year changes.)
Profit attributable to Net income per
Ordinary income
owners of parent
share-basic% Millions of yen% Millions of yen

Full year
418,300(15.4)
23,000 (12.0)
20,800 (25.5)(Notes) Revision of the consolidated financial forecast most recently released : Yes%

Yen

17,000 (7.4)

215.85

* Notes(1) Changes in important subsidiaries during the period under review (Changes in specified subsidiaries resulting
in changes in scope of consolidation): None(2) Adoption of special accounting treatment used in preparation of the quarterly consolidated financial statements: None(3) Change in accounting policies or estimates and restatements
1) Change in accounting policies due to revisions of accounting
standards and other regulations: None2) Change in accounting policies other than item 1) above: None3) Change in accounting estimates: None4) Restatements: None(4) Number of shares issued (common stock)1) Number of shares issued at the end of the
As of December 31,
As of March 31,
79,360,186 shares
79,360,186 shares
2023
2023
period (including treasury stock)2) Number of treasury stocks at the end of the As of December 31,
As of March 31,
695,389 shares
530,573 shares
2023
2023
period3) Average number of shares outstanding
Nine months ended
Nine months ended
78,758,701 shares
78,792,708 shares
December 31, 2023
December 31, 2022
during the period (year to date)(Notes) The number of treasury stocks includes shares of the Company remaining in the board benefit trust (as of December 31, 2023:
410,569 shares; as of March 31, 2023: 243,225 shares).

**

Quarterly financial results are not subject to quarterly reviews by a certified public accountant or an audit firm.
Explanation of appropriate use of financial forecasts and other special notes
Any statements on the future such as financial outlooks included in this material are based on information the
Company presently has and certain assumptions the Company considers reasonable, and the Company does notintend to be committed to their realization. In addition, actual financial results may differ significantly due tovarious factors. For assumptions for financial forecasts and points to consider in utilizing them, please see “(3)Explanation of future forecast information such as consolidated financial forecasts” in “1. Qualitative
Information on Quarterly Financial Results under Review” on page 7 of the attachments.

○ Table of Contents of Attachments
1.

Qualitative Information on Quarterly Financial Results under Review ............................................................................................ 2(1) Explanation of operating results ....................................................................................................................................................... 2(2) Explanation of financial position ..................................................................................................................................................... 6(3) Explanation of future forecast information such as consolidated financial forecasts ....................................................................... 7

2.

Quarterly Consolidated Financial Statements and Key Notes .......................................................................................................... 8(1) Quarterly consolidated balance sheet ............................................................................................................................................... 8(2) Quarterly consolidated statement of income and quarterly consolidated statement of comprehensive income.............................. 10(3) Notes to quarterly consolidated financial statements ..................................................................................................................... 12(Notes to assumptions on going concern) ........................................................................................................................................ 12(Notes if there is a significant change in the amount of shareholders’ equity) ................................................................................. 12(Segment information) ..................................................................................................................................................................... 13(Material subsequent events) ........................................................................................................................................................... 141

1.

Qualitative Information on Quarterly Financial Results under Review(1) Explanation of operating results(Millions of yen)
Nine months ended
December 31, 2022

Nine months ended
December 31, 2023

Operating revenue

379,115

303,749(75,366)(19.9%)

Operating income

19,69918,320(1,378)(7.0%)

Ordinary income

20,962

18,623(2,339)(11.2%)

Profit attributable toowners of parent

13,885

16,649

2,764

19.9%

ChangePercentage change

Operating revenue for the nine-month period under review was 303,749 million yen, down 19.9% year-on-year. The reasons include
a decrease in the import and export transaction volume owing to sluggish transportation demand in the Global Logistics businessunder the Logistics business. However, there was an increase in revenues due to a recovery in demand in the Transportation businessand Leisure and Service business as social and economic activities have normalized mainly due to the reclassification of COVID-19
as a Class 5 disease. Accordingly, operating income was 18,320 million yen, down 7.0% year-on-year.
Ordinary income was 18,623 million yen (down 11.2% year-on-year) due partly to a decrease in gross profit in foreign exchange
gains.
Profit attributable to owners of parent was 16,649 million yen, up 19.9% year-on-year, mainly due to the recording of gain on saleof fixed assets from the sale of Nishijin Palace, etc.

The Company’s business performance by segment is as follows.
At the beginning of the first quarter of the fiscal year, the reorganization of consolidated subsidiaries accompanying an absorptiontype merger took place; accordingly, changes were made to the segmentation of the relevant consolidated subsidiaries.
The segment information for the nine-month period in the previous fiscal year was prepared in accordance with the segments after
the change.
(Millions of yen)
Operating income (loss)

Operating revenue

Nine months Nine months
ended
ended
December December
31, 2022
31, 2023

ChangePercentagechangeNine months Nine months
ended
ended
December December
31, 2022
31, 2023

ChangePercentagechangeTransportation

53,32957,786

4,457

8.4%

254

2,733

2,478

973.6%

Real Estate

47,80553,561

5,755

12.0%

4,151

6,500

2,349

56.6%

Retail52,49154,089

1,597

3.0%

22

992

969

-

Logistics

194,746

103,449(91,296)(46.9%)

15,445

4,040(11,404)(73.8%)

Leisure and Services

22,82532,88910,063

44.1%

(495)

3,766

4,262

-

Subtotal

371,198

301,776(69,422)(18.7%)

19,37818,033(1,344)(6.9%)

Others21,22020,795(424)(2.0%)

692

952

260

37.7%

Adjustments(13,303)(18,822)(5,518)

-

(370)

(665)

(294)

-

Consolidated

379,115

303,749(75,366)(19.9%)

19,69918,320(1,378)(7.0%)2

1) Transportation
In the Railway and Bus businesses, revenue grew mainly due to an increase in the number of passengers along with a recovery
in demand, and the adoption of the railway station barrier-free fare system in the Railway business. As a result, operating revenue
for the Transportation business was 57,786 million yen (8.4% increase year-on-year), and operating income was 2,733 million yen(up 973.6% year-on-year).
The number of passengers in the Railway and Bus (public buses) businesses increased 7.1% and 5.7% year-on-year, respectively.
2) Real Estate
In the Leasing business, revenue grew mainly due to an increase in inter-group lease revenue (intersegment transactions) due tochanges in the management structure of the Hotel business and a recovery in lease revenue from commercial facilities. In the
Housing business, sales increased due to sales of condominiums such as Mark Next Torikai. As a result, operating revenue for theReal Estate business was 53,561 million yen (12.0% increase year-on-year), and operating income posted 6,500 million yen (56.6%
increase year-on-year).
The number of units sold was 393 (down 58 units year-on-year).
3) RetailIn the Supermarkets/Liquor Stores business, sales increased mainly due to the contribution of new stores opened in the previous
fiscal year and a reflection of an increase in wholesale prices in sales prices. As a result, operating revenue for the Retail business
was 54,089 million yen (3.0% increase year-on-year), and operating income came to 992 million yen (operating income of 22
million yen for the same period of the previous fiscal year).
4) Logistics
In the Global Logistics business, the import and export transaction volume decreased due to weak transportation demand,
resulting in a decrease in revenues. As a result, operating revenue for the Logistics business was 103,449 million yen (46.9%
decrease year-on-year), and operating income came to 4,040 million yen (73.8% decrease year-on-year).
International cargo volume decreased 29.0% year-on-year in Air exports, 16.2% year-on-year in Air imports, 6.9% year-on-yearin Ocean exports, and 8.1% year-on-year in Ocean imports.
5) Leisure and Services
In the Hotel business, revenue grew due to an increase in the occupancy rate and average daily rate, reflecting a recovery indemand, as well as the opening of Nishitetsu Hotel Croom Hakata Gion Kushida Jinja-mae in April 2023. As a result, operating
revenue for the Leisure and Services business was 32,889 million yen (44.1% increase year-on-year), and operating income
amounted to 3,766 million yen (operating loss of 495 million yen for the same period of the previous fiscal year).
6) Others
Other operating revenue was 20,795 million yen (2.0% decrease year-on-year) mainly due to a drop in net sales of completed
construction contracts in the Construction related business while operating income was 952 million yen (37.7% increase year-onyear) due mainly to an increase in orders received in the Vehicle Maintenance related business.

3

(Statement of Income by Segment)(Millions of yen)
Operating revenue
Nine months
Nine months
ended December ended December
31, 2022
31, 2023

Operating income (loss)
Percentagechange (%)

ChangeNine months
Nine months
ended December ended December
31, 2022
31, 2023

Percentagechange (%)

ChangeTransportation

53,32957,786

4,457

8.4

254

2,733

2,478

973.6

Railway

14,42816,231

1,803

12.5

950

2,103

1,153

121.4

36,477

39,241

2,763

7.6

(719)

766

1,486

[33,856][36,724][2,868]

[8.5]

-

-

-

-

Other

8,419

8,719

300

3.6

(29)

(77)

(48)

-

Adjustments(5,996)(6,406)

(410)

53

(59)

(113)

-

Real Estate

47,80553,561

5,755

12.0

4,151

6,500

2,349

56.6

Leasing

18,69523,522

4,826

25.8

3,587

5,448

1,861

51.9

Housing

23,01823,440

421

1.8

343

963

619

180.3

Other

9,376

9,711

335

3.6

258

247

(10)

(3.9)

Adjustments(3,284)(3,113)

171

(37)

(159)

(121)

-

52,49154,089

1,597

3.0

22

992

969

-

Supermarkets/liquor stores

48,68750,010

1,322

2.7

122

880

757

616.9

Sales of miscellaneous everyday items

3,805

4,079

273

7.2

64

175

110

172.1

(1)

(0)

1

-

(164)

(63)

101

-

194,746

103,449(91,296)(46.9)

15,445

4,040(11,404)(73.8)

Global logistics

208,212

108,079(100,132)(48.1)

15,494

4,125(11,369)(73.4)

Domestic logistics

7,813

7,969

156

2.0

91

123

31

35.0

(21,279)(12,599)

8,679

(140)

(207)

(67)

-

22,82532,88910,063

44.1

(495)

3,766

4,262

-

19,057

19,14587

0.5(1,627)

1,863

3,491

-

[11,258][19,128][7,870][69.9]-

Travel

1,839

2,299

460

25.0

140

492

351

250.1

Facility outline

3,188

3,665

476

15.0

727

938

211

29.1

Other

7,380

8,681

1,300

17.6

222

532

310

139.6

Adjustments(8,641)

(902)

7,738

-

41

(61)

(103)

-

Subtotal

371,198

301,776(69,422)(18.7)

19,37818,033(1,344)(6.9)

Others21,22020,795

(424)

(2.0)

692

952

260

37.7

Adjustments(13,303)(18,822)(5,518)

-

(370)

(665)

(294)

-

Consolidated

379,115

303,749(75,366)(19.9)

19,69918,320(1,378)(7.0)

Bus(Bus, net)

*1

RetailAdjustments
Logistics

Adjustments
Leisure and Services
Hotel(Hotel, net)

*2

-

-

-

*1 Operating revenues for the Bus business, excluding intercompany transactions, increased 8.5%.
*2 Operating revenues for the Hotel business, excluding intercompany transactions, increased 69.9%.

4

-

-

-

-

(Transaction volume)1) Number of railway passengers / passenger revenue (Transportation)
Unit

Nine months ended
December 31, 2022

Nine months ended
December 31, 2023

Percentage change(%)

ChangeNumber of passengers passengers

Thousand

72,636

77,8175,181

7.1

Thousandpassengers
Thousandpassengers
Millions ofyenMillions ofyenMillions ofyen

29,58232,933

3,351

11.3

43,05444,884

1,830

4.3

13,732

15,478

1,745

12.7

8,011

9,379

1,368

17.1

5,721

6,098

377

6.6

Non-commuter
Commuter
Passenger revenue
Non-commuter
Commuter2) Number of public bus passengers / passenger revenue (Transportation)
Unit

Nine months ended
December 31, 2022

Nine months ended
December 31, 2023

Percentage change(%)

ChangeNumber of passengers passengers

Thousand

158,685

167,703

9,018

5.7

Thousandpassengers
Thousandpassengers
Millions ofyenMillions ofyenMillions ofyen

89,80899,021

9,213

10.3

68,877

68,682

(195)

(0.3)

29,82932,2772,447

8.2

21,72524,240

2,515

11.6

8,104

8,036

(68)

(0.8)

Non-commuter
Commuter
Passenger revenue
Non-commuter
Commuter3) Number of units sold (Real Estate)
Unit

Nine months ended
December 31, 2022

Nine months ended
December 31, 2023

Percentage change(%)

ChangeNumber of units sold

Unit

451

393

(58)

(12.9)

Condominium

Dwelling
unit

343

301

(42)

(12.2)

Detached house

Unit

97

86

(11)

(11.3)

Dwelling
unit

11

6

(5)

(45.5)

Renovation

4) Transaction volume of international cargo (Logistics)
Unit

Air Export
Air Import
Ocean Export
Ocean Import

Nine months ended
December 31, 2022

Thousandtons
Thousandcases
Thousand
TEU
Thousand
TEU

Nine months ended
December 31, 2023

Percentage change(%)

Change

99

70

(28)

(29.0)

284

238

(46)

(16.2)

79

73

(5)

(6.9)

106

98

(8)

(8.1)

5) Average daily rate (ADR) of hotels targeting mainly domestic customers, occupancy rate (OCC) and revenue peravailable room (Rev PAR) (Leisure and Services)
Unit

Nine months ended
December 31, 2022

Nine months ended
December 31, 2023

ADR

Yen

8,333

[8,333]

11,423 [11,414]

OCC

%

69.0

[69.0]

78.6

Rev PAR

Yen

5,753

[5,753]

8,980

Percentage change(%)

Change3,090[3,081]

37.1[77.9]

9.6P[8.9P]-[8,886]3,227[3,133]56.1[37.0][54.5]

Note: Figures in brackets are for existing hotels. Hotels operating in both previous and current fiscal years are in the scope.

5(2) Explanation of financial position(Millions of yen)
As of March 31, 2023

As of December 31, 2023

ChangeTotal Assets

685,795

710,595

24,800Total Liabilities

483,913

487,056

3,142

Total Net Assets

201,881

223,539

21,657

Interest-bearing debt

334,875

324,042(10,832)(Notes) Interest-bearing debt is the sum of borrowings and bonds payable.
Assets rose 24,800 million yen from the end of the previous fiscal year to 710,595 million yen mainly due to an increase inproperty, plant and equipment while notes and accounts receivable - trade, and contract assets, and cash and deposits decreased.
Liabilities rose 3,142 million yen from the end of the previous fiscal year to 487,056 million yen mainly due to an increase innotes and accounts payable - trade while interest-bearing debt decreased.
Net assets rose 21,657 million yen from the end of the previous fiscal year to 223,539 million yen mainly due to an increase inretained earnings chiefly owing to the posting of profit attributable to owners of parent and an increase in foreign currencytranslation adjustment.

6

(3) Explanation of future forecast information such as consolidated financial forecasts
The consolidated financial forecasts for the fiscal year ending March 31, 2024 have been changed from those announced on
November 10, 2023, based on the business results of the nine-month period under review and the future outlook for each businesssegment.
Operating revenue is expected to be lower than previously forecast due to a decrease in the import and export transaction
volume in the Global Logistics business in Logistics.
Operating revenue expected to be higher than previously forecast due to an increase in demand in the Transportation andLeisure and Services businesses and an increase in sales of high-gross profit margin properties in Housing business in Real
Estate.
Ordinary income and profit attributable to owners of parent are expected to exceed the previous forecast due to improvements
in share of loss (profit) of entities accounted for using equity method.
(Millions of yen)

Forecast for fiscal
year ending March
31, 2024(Previous forecast)

Forecast for fiscal
year ending March
31, 2024

Operating revenue

425,300

418,300(7,000)(1.6%)

Operating income

20,40023,000

2,600

12.7%

Ordinary income

16,90020,800

3,900

23.1%

Profit attributable toowners of parent

13,80017,000

3,200

23.2%

ChangePercentage change(Millions of yen)
Operating revenue
Forecast for fiscal
Forecast for fiscal
year ending Marchyear ending
31, 2024
March 31, 2024
(Previous forecast)

Operating income
Forecast for fiscal
Forecast for
Percentage year ending Marchfiscal year ending
change31, 2024
March 31, 2024
(Previous forecast)

ChangeChangePercentagechangeTransportation

76,90077,600

700

0.9%

2,600

3,300

700

26.9%

Real Estate

85,80085,400(400)(0.5%)

9,000

10,000

1,000

11.1%

Retail

70,90070,900

-

-

600

900

300

50.0%

Logistics

142,500

134,600(7,900) (5.5%)

5,300

4,400

(900) (17.0%)

Leisure and Services

42,60043,800

1,200

2.8%

2,900

4,000

1,100

37.9%

Subtotal

418,700

412,300(6,400) (1.5%)

20,40022,600

2,200

10.8%

Others30,50030,100(400)(1.3%)

1,000

1,300

300

30.0%

Adjustments(23,900)(24,100)(200)-(1,000)

(900)

100

-

Consolidated

425,300

418,300(7,000) (1.6%)

20,40023,000

2,600

12.7%

7

2.

Quarterly Consolidated Financial Statements and Key Notes(1) Quarterly consolidated balance sheet(Millions of yen)
As of March 31, 2023

As of December 31, 2023

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, and contract
assetsLand and buildings for sale
Merchandise and finished goods
Work in process
Raw materials and supplies
OthersAllowance for doubtful accounts

72,796

63,21159,54644,83063,898
3,971
237
2,176
17,383(268)

72,116
4,603
701
2,310
16,764(266)

219,742204,271

Buildings and structures, net
Machinery, equipment and vehicles, net
LandConstruction in progress
Other, net

190,327
12,616130,871
29,080
10,312

190,269
13,422
137,81454,682
11,037

Total property, plant and equipment

373,207407,227

321
3,523

332
3,478

Total intangible assets

3,844

3,811

Investments and other assets
Investment securities
Retirement benefit assets
Deferred tax assets
Others56,163
3,787
8,159
21,20764,597
3,872
3,239
23,886

(317)

(310)

Total current assets
Fixed assets
Property, plant and equipment

Intangible assets
Goodwill
OthersAllowance for doubtful accounts
Total investments and other assets
Total fixed assets
Total Assets

8

89,00095,285466,053

506,323

685,795

710,595

(Millions of yen)
As of March 31, 2023

As of December 31, 2023

Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings

43,561
49,16350,82749,566

Current portion of bonds payable
Consumption taxes payable
Income taxes payable
Advances received
Provision for bonuses
Other provisions
Others

7,000
1,132
2,850
5,739
6,355
340
28,282

10,000
4,785
2,455
8,844
2,793
271
30,761

Total current liabilities

144,426

160,305

Bonds payable
Long-term borrowings
Deferred tax liabilities
Other provisions
Retirement benefit liability
Long-term guarantee deposits
Others145,000
133,711109
569
21,96730,2187,910

145,000
119,476
984
623
20,79731,343
8,525

Total long-term liabilities

339,486

326,750

Total Liabilities

483,913

487,056

Net assets
Shareholders’ equity
Common stock
Capital surplus
Retained earnings
Treasury stock

26,157
12,608143,194(1,166)26,157
12,137
156,877(1,615)

180,794

193,556

8,182

11,239Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans

(195)
5,293
718

55
11,062
743

Total accumulated other comprehensive income

13,99923,101Long-term liabilities

Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities

Subscription rights to shares

324

296

Non-controlling interests

6,763

6,585

201,881

223,539685,795

710,595

Total Net Assets
Total liabilities and net assets

9(2) Quarterly consolidated statement of income and quarterly consolidated statement of comprehensive income
Quarterly consolidated statement of income(Nine-month period)(Millions of yen)
Nine months ended
December 31, 2022
Operating revenue
Operating expenses
Operating expenses and cost of sales of transportation
Selling, general and administrative expenses
Total operating expenses

Nine months ended
December 31, 2023

379,115

303,749

337,150
22,266

263,168
22,260359,416

285,428

Operating income

19,69918,320Non-operating income
Interest income
Dividend income

167
1,093

387
1,067

Miscellaneous income

2,403

1,448

Total non-operating income

3,663

2,903

1,654

1,701

551

689

Non-operating expenses
Interest expenses
Share of loss of entities accounted for using equity
methodMiscellaneous expenses

194

210

2,400

2,600

20,962

18,623Gain on sales of fixed assets
Advances received on construction contracts
Contribution for construction
Others

114
74,926
472
1,411

6,627
3
103
1,023

Total extraordinary income

76,925

7,757

73,648

104

2,959
5

44

Total non-operating expenses
Ordinary income
Extraordinary gains

Extraordinary losses
Loss on reduction of non-current assets for tax
purposes
Loss on retirement of non-current assets
Impairment losses
Others-2

Total extraordinary losses

76,613

152

Income before income taxes

21,274

26,228

Income taxes - current
Income taxes - deferred

4,951
1,286

4,383
4,462

Total income taxes

6,238

8,845

Profit15,035

17,383

Profit attributable to non-controlling interests

1,150

733

Profit attributable to owners of parent

13,885

16,64910

Quarterly consolidated statement of comprehensive income(Nine-month period)(Millions of yen)
Nine months ended
December 31, 2022
ProfitNine months ended
December 31, 2023

15,035

17,383

1,572
(14)
4,580
(55)

3,050
(3)
3,497
25

3,532

2,728

9,614

9,298

Comprehensive income

24,65026,681(Components)
Comprehensive income attributable to owners ofparentComprehensive income attributable to non-controllinginterests

23,27425,751

1,376

930

Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income11(3) Notes to quarterly consolidated financial statements(Notes to assumptions on going concern)
Not applicable.
(Notes if there is a significant change in the amount of shareholders’ equity)
Not applicable.

12(Segment information)
Nine-month period in the previous fiscal year (from April 1, 2022, to December 31, 2022)
1. Information on operating revenue, income or loss by reporting segment(Millions of yen)Amount posted
to the quarterly

Reporting segment
TransporReal EstatetationOperating revenue

53,32947,805RetailLogistics

52,491

194,746

Leisure andServices

Total

22,825371,198

Others Adjustments consolidated(Note) 1(Note) 2
statement ofincome21,220(13,303)379,115

Segment income
4,151
22
15,445(495)
19,378692(370)
19,699254(loss)(Notes) 1. “Other” consists of business segments that are not included in any of the reporting segments and includes the IC cardbusiness, the Vehicle Maintenance related business, the Construction related business, and the Metal Recycling business.
2. An adjustment of (370) million yen in segment income (loss) is the net of (597) million yen of administrative expensesof parent company that are not attributable to the reporting segments and 226 million yen of intersegment eliminations.
3. The segment information above was prepared and shown according to the changed classification of reporting segments
following the reorganization of consolidated subsidiaries.
Nine-month period under review (from April 1, 2023, to December 31, 2023)
1. Information on operating revenue, income or loss by reporting segment(Millions of yen)
Reporting segment
TransporReal EstatetationRetailLogistics

Leisure andServices

Total

Others(Note) 1

Amount posted
to the quarterly
Adjustments consolidated
2(Note)
statement ofincomeOperating revenue

57,78653,56154,089103,449

32,889301,776

20,795(18,822)

303,749

Segment income

2,733

6,500

992

4,040

3,766

18,033952(665)

18,320(Notes) 1. “Other” consists of business segments that are not included in any of the reporting segments and includes the IC cardbusiness, the Vehicle Maintenance related business, the Construction related business, and the Metal Recycling business.
2. An adjustment of (665) million yen in segment income is the net of (832) million yen of administrative expenses ofparent company that are not attributable to the reporting segments and 166 million yen of elimination of intersegment
transactions.
2. Matters related to changes to reporting segments, etc.
At the beginning of the first quarter of the fiscal year, Nishitetsu Building Management Co., Ltd. in “Real Estate” merged with
Nishitetsu Densetsu Kogyo Co., Ltd. in “Others” with the aim of further improving the efficiency of group management. As a resultof this reorganization, the business of Nishitetsu Densetsu Kogyo Co., Ltd. was changed from “Others” to “Real Estate.”
The segment information for the nine-month period in the previous fiscal year was prepared in accordance with the segments
after the change.

13

(Material subsequent events)
On January 15, 2024, the Company originated a loan of 2,445 million yen to NNR MC Airport Operations Co., Ltd. (hereafter, “theJV company”), an affiliate of the Company, under a loan commitment agreement.
The Company applies the equity method to Fukuoka International Airport Co., Ltd. (hereafter, “FIAC”), whose shares are indirectly
held by the Company through the JV company, and recognizes the portion of net loss recorded by FIAC attributable to the Company
as “share of loss of entities accounted for using equity method” by reducing the amount of investment to the point where the equity
method investment value of the JV company becomes zero.
Because the loans receivable under the loan commitment agreement have substantially the same nature as investments, theCompany will recognize the amount of the net loss recorded by FIAC that the Company will bear in addition to the loan amountwithin the range of the loans receivable at the time of loan origination, and plans to record a share of loss of entities accounted forusing equity method of 2,445 million yen in non-operating expenses in the 12-month period ending March 31, 2024.
The amount may change depending on the operating results or other factors of the JV company and FIAC.
The effects of this transaction have been factored into the full-year consolidated financial forecast for the fiscal year ending March
31, 2024.

14