First Quarter Consolidated Financial Reportfor the Three Months Ended June 30, 2023 (Japan GAAP)
July 31, 2023
Listed company name

MIRARTH HOLDINGS, Inc.

Stock Exchange Listings Prime market of the Tokyo Stock Exchange

Security code

8897

Representative

Kazuichi Shimada, Representative Director,

Contact person

Masashi Yamamoto, Director Managing Executive Officer

URL https://mirarth.co.jp

TEL +81-3-6551-2133

Scheduled date for release of Annual Securities ReportAugust 10, 2023

Scheduled date for commencement of dividend payments-Quarterly Financial Results: Preparation of Supplementary Explanations materials:

No

Holding of quarterly financial results meeting:No(Amounts are rounded down to the nearest million yen)

1. Consolidated Financial Results of Year ending March 31, 2024 1st quarter (April 1, 2023-June 30, 2023)(1)Consolidated Operating Results (Cumulative)(Percentages indicate year-on-year changes)

Net sales

Operating income

Net income attributable toowners of parent

Ordinary income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%Three months ended June 30, 2023

28,137△0.76214.1245△38.5△218-Three months ended June 30, 2022

28,32554.5597-398-

206-

Millions
134of yen(-%)

(NOTE)Comprehensive
Three months ended June 30, 2023
incomeMillions△50of yen(-%)

Three months ended June 30, 2022

Quarterly net income per share

Quarterly diluted net income pershare

Yen

Yen

Three months ended June 30, 2023

△1.99-

Three months ended June 30, 2022

1.89

1.88

(2)Consolidated Financial Position
Total assets

Net assets

Equity ratio

Millions of yen

Millions of yen%

As of June 30, 2023

349,262

59,82416.9

As of March 31, 2023

341,669

65,14218.0

Year ending March 31, 2024 1stReference: Shareholders' equity

Millions

Year ended March 31,of yen

2023

Millions

59,133quarter

61,377of yen

2. Dividends
Annual Cash Dividends per Share
End of first quarterEnd of second quarterEnd of third quarter

Term end

Total

Yen

Yen

Yen

Yen

Yen

Year ended March 31, 2023

-

4.00

-

18.00

22.00

Year ending March 31, 2024

6.00

-

18.00

24.00

Year ending March 31, 2024
(Forecast)(NOTE)Revisions to the most recently announced dividend forecasts: No

3. Forecast of Consolidated Financial Results of Year ending March 31, 2024 (April 1, 2023 to March 31, 2024)(Percentages indicate year-on-year changes.)
Net sales
Millions ofyen
Full year

188,710

Operating income%
23.0

Millions ofyen
13,700(NOTE)Revisions to the most recently announced earnings forecasts: No

Net income attributable toowners of parent

Ordinary income%
94.9

Millions ofyen
12,700%152.3

Millions ofyen
8,500

Net income per share%

Yen

85.4

77.41

※ Notes(1)(Changes in specified subsidiaries accompanied by changes in the scope of consolidation): No on Changes in Significant Subsidiaries in the Current Quarterly
Consolidated Cumulative period
New: -(Company name:-) Excluded: -(Company name:-)(2)Application of special accounting methods for preparing quarterly consolidated financial statements: No(3)Changes in Accounting Policy, Changes in Accounting Estimates, and Restatements① Changes in accounting Policy due to revision of accounting standards: No② ① Changes in Policy other than accounting: No③ Changes in accounting estimates: No④ Restatement of revisions: No(4)Issued shares count (Common stock)①Term end Issued shares counts (including Treasury stock)

Year ending March 31,

Year ended March 31,

121,000,000Shares2024 First Quarter② Number of Term end Treasury stockYear ending March 31,

Year ended March 31,

11,192,607Shares2024 First Quarter③Average number of shares during the period (quarterly

121,000,000Shares
2023

11,192,607Shares
2023

Year ending March 31,

Year ended March 31,

109,051,193Shares

109,807,393Sharesconsolidated cumulative period)

2024 First Quarter

2023 First Quarter※ Quarterly financial results are not subject to quarterly reviews by Certified Public Accountant or Audit companies.
※ Explanation of the proper use of financial results forecasts and Other special notes
The earnings forecasts and other forward-looking statements herein are based on information currently available to the Company and on certain assumptions
deemed to be reasonable, and do not constitute guarantees by the Company of future performance. Actual results may differ materially from the forecast depending ona range of factors.

MIRARTH HOLDINGS, Inc. (8897) Consolidated Financial Report for the Three Months Ended June 30, 2023

○Attachments Table of Contents

1. Qualitative Information on Quarterly Financial Results for the Period under Review

2(1)Explanation of Results of Operations

2(2)Explanation of Financial Position

3(3)Explanation of Consolidated Earnings Forecasts and Other Forward-Looking Statements

3

2. Quarterly Consolidated Financial Statements and Major Notes

4(1)Quarterly Consolidated Balance Sheets

4(2)Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income

6

Quarterly Consolidated Statements of Income
First Quarter Consolidated Cumulative period

6

Quarterly Consolidated Statements of Comprehensive Income
First Quarter Consolidated Cumulative period

7(3)Notes Items Related to the Quarterly Consolidated Financial Statements

8(Notes on Going Concern)

8(Notes on Significant Changes in the Amount of Shareholders' Equity)

8-1-MIRARTH HOLDINGS, Inc. (8897) Consolidated Financial Report for the Three Months Ended June 30, 2023

1. Qualitative Information on Quarterly Financial Results for the Period under Review(1)Explanation of Results of Operations① Results of Operations by Segment
In Real Estate Business, Net sales for this segment was 23,908 Millions of yen (down 3.7% from the same quarter of the previous fiscal year) due to factorssuch as new condominiums, liquidation, new detached house, renewal and resale, real estate rental, real estate management, and real estate Other.
In Energy Business, Net sales of this business was 2,798 Millions of yen (up 5.9% from the same quarter of the previous fiscal year) due to the revenue fromelectricity sale of power generation facilities.
In Asset Management Business, Net sales was 79 Millions of yen (68.5% decrease from the same quarter of the previous fiscal year) due to management feesand other factors.
In Other Businesses, Net sales of this business was 1,351 Millions of yen (up 126.9% from the same quarter of the previous fiscal year) due to construction
contracting and other factors.
Consequently, 1st quarter of fiscal year under review's results of operations are as follows : Net sales 28,137 Millions of yen (down 0.7% from the samequarter of the previous fiscal year), Operating income 621 Millions of yen (up 4.1% from the same quarter of the previous fiscal year), Ordinary income 245
Millions of yen (down 38.5% from the same quarter of the previous fiscal year), and net loss attributable to owners of the parent of 218 Millions of yen(compared to Net income attributable to owners of parent of 206 Millions of yen in the same quarter of the previous fiscal year).
② Progress of contract execution
Regarding 1st quarter of fiscal year under review sales Actual, 1,788 units were contracted for Units 2,200 units scheduled to be delivered to Full year, and theprogress rate is 81.3%.

(Contract status for new built-for-sale condominiums)
Number of contracted units
Units scheduled for delivery

Units under contract
Contract progress ratio (%)

scheduled for delivery

From April to June

Previous period1,7801,433

80.5

635

Current period

2,200

1,788

81.3

535-2-MIRARTH HOLDINGS, Inc. (8897) Consolidated Financial Report for the Three Months Ended June 30, 2023

(2)Explanation of Financial Position
Assets, Liabilities and Net Assets
At the end of our End of 1st quarter of the fiscal year under review, Assets, Liabilities and Net Assets of Total assets increased by 7,593 Millions of yen from349,262 Millions of yen to End of Previous Consolidated Accounting Period as a result of steady purchases of Assets for business use and other factors.

(Current Assets)
Thanks to steady purchases of business Assets and other factors, Current assets increased by 12,975 Millions of yen to 201,704 Millions of yen compared toEnd of Previous Consolidated Accounting Period.

(Fixed Assets)
Despite the steady purchase of Assets for business use, Fixed assets decreased by 5,377 Millions of yen compared to 147,507 Millions of yen and End ofPrevious Consolidated Accounting Period mainly due to the transfer to Real estate for sale.

(Current Liabilities)
Due to the increase in Short-term borrowings and the transfer of short-and long-term Category, Current liabilities increased by 11,304 Millions of yen
compared to 173,462 Millions of yen and End of Previous Consolidated Accounting Period.

(Fixed Liabilities)
Due to an increase in borrowings associated with new purchases and other factors, Fixed liabilities increased by 1,606 Millions of yen compared to 115,975
Millions of yen and End of Previous Consolidated Accounting Period.
(Net Assets)
Due to the recording of quarterly net loss attributable to owners of the parent and Dividend of surplus, Total of Net assets decreased by 5,317 Millions of yen
compared to 59,824 Millions of yen and End of Previous Consolidated Accounting Period.

(3)Explanation of Consolidated Earnings Forecasts and Other Forward-looking Statements
There is no change in the consolidated earnings forecast from Full year forecast announced on May 15, 2023.

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MIRARTH HOLDINGS, Inc. (8897) Consolidated Financial Report for the Three Months Ended June 30, 2023

2. Quarterly Consolidated Financial Statements and Major Notes(1)Quarterly Consolidated Balance Sheets(Millions of yen)
End of Previous Consolidated AccountingPeriod(As of March 31,2023)

End of 1st quarter of the fiscal year underreview(As of June 30, 2023)

Cash and deposits

47,87247,044

Notes, accounts receivable-trade and contract assets

3,477

3,458

Real estate for sale

34,14735,165

AssetsCurrent assets

Power generation facilities for sale

3,375

3,039

Real estate for sale in progress

82,713

93,982

Costs incurred on uncompleted contracts
Other

010

17,415

19,277△275△275

188,728

201,704

Buildings and structures (net)28,87926,613

Machinery, equipment and vehicles, net

48,70549,915

Land

41,39437,155

Other (net)

6,382

6,114

125,362

119,799

Goodwill

3,918

3,790

Other

4,457

5,632

Total intangible assets

8,376

9,422

19,14818,287

Allowance for doubtful accounts
Total current assets
Fixed assets
Property, plant and equipment

Total property, plant and equipment
Intangible assets

Investments and other assets
Other
Allowance for doubtful accounts△2△2Total investments and other assets

19,14518,285

152,884

147,507

Total fixed assets
Deferred assets

56

51

341,669

349,262

Notes and accounts payable-trade

16,342

12,391

Short-term borrowings

92,06999,802

Total assets
Liabilities
Current liabilities

Current portion of bonds payable

190

190

Current portion of long-term loans payable

25,99732,089

Income taxes payable

4,318

2,867

Allowance

1,250

976

Other

21,98725,146

Total current liabilities

162,157

173,462

104,828

106,699

4,015

4,005

Fixed liabilities
Long-term loans payable
Bonds payable
Allowance

135

80

Liabilities related to retirement benefits

1,100

1,130

Other

4,290

4,060

Total Fixed liabilities
Total liabilities-4-114,369

115,975

276,527

289,438

MIRARTH HOLDINGS, Inc. (8897) Consolidated Financial Report for the Three Months Ended June 30, 2023

(Millions of yen)
End of Previous Consolidated Accounting
Period(As of March 31,2023)

End of 1st quarter of the fiscal year underreview(As of June 30, 2023)

Capital stock

4,819

4,819

Capital surplus

4,820

4,677

Retained earnings

55,971

53,776

Treasury stock△4,174△4,174

Total shareholders' equity

61,43659,099Net assets
Shareholders' equity

Accumulated other comprehensive income△7123

Foreign currency translation adjustments

31Remeasurements of defined benefit plans

88△5933220220

Net unrealized gains on available-for-sale securities

Total accumulated other comprehensive income
Subscription rights to shares
Non-controlling interest

3,544

470

Total net assets

65,142

59,824

341,669

349,262

Total liabilities and net assets-5-MIRARTH HOLDINGS, Inc. (8897) Consolidated Financial Report for the Three Months Ended June 30, 2023

(2)Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income(Quarterly Consolidated Statements of Income)(First Quarter Consolidated Cumulative period)(Millions of yen)
1st quarter of previous fiscal year
(From April 1, 2022 to June 30, 2022)

1st quarter of fiscal year under review(From April 1, 2023 to June 30, 2023)

Net sales

28,32528,137

Cost of sales

22,48521,941Gross profit

5,839

6,195

Selling, general and administrative expenses

5,242

5,574

597

621

Operating income
Non-operating income
Interest income

511

Dividend income

71

47

Commission received

1918

Gain from equity method investment

67

161

Miscellaneous income

52

150

Total non-operating income

216

389

Interest expenses

360

698

Miscellaneous expenses

5366

Total non-operating expenses

414

765

398

245

398

245-146

398

98

Non-operating expenses

Ordinary income
Current net income for the quarter before income taxes and minority
interests prior to distribution of gain/loss on silent partnership
Distribution of loss in partnership
Current net income for the quarter before income taxes and minority
interests
Income taxes, inhabitant taxes and business taxes

14352

Income tax adjustments

40

188

Total income and other taxes

184

241

Quarterly net income (loss) (△)

214

△143

875

206

△218

Quarterly net income attributable to non-controlling interests
Quarterly net income attributable to owners of the parent or quarterly netloss attributable to owners of the parent (△)-6-

MIRARTH HOLDINGS, Inc. (8897) Consolidated Financial Report for the Three Months Ended June 30, 2023

(Quarterly Consolidated Statements of Comprehensive Income)(First Quarter Consolidated Cumulative period)(Millions of yen)
1st quarter of previous fiscal year
(From April 1, 2022 to June 30, 2022)
Quarterly net income (loss) (△)

1st quarter of fiscal year under review(From April 1, 2023 to June 30, 2023)

214

△143

Other comprehensive income△8495

Foreign currency translation adjustments

3△2Remeasurements of defined benefit plans

10Net unrealized gains on available-for-sale securities

Total other comprehensive income
Quarterly comprehensive income△8092134△50125△125875(Comprising)
Quarterly comprehensive income attributable to owners of the parent
Quarterly comprehensive income attributable to non-controllinginterests-7-MIRARTH HOLDINGS, Inc. (8897) Consolidated Financial Report for the Three Months Ended June 30, 2023

(3)Notes Items Related to the Quarterly Consolidated Financial Statements(Notes on Going Concern)
Not applicable.
(Notes on Significant Changes in the Amount of Shareholders' Equity)
Not applicable.

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