English translation
February 9, 2021

Consolidated Financial Results for the Nine Months Ended December 31, 2020
Company name:

Sun Frontier Fudousan Co., Ltd.

Stock listing:Tokyo Stock Exchange 1st Section

Code number:

8934

URL:

https://www.sunfrt.co.jp

Address:

14F, Toho Hibiya Building, 2-2, Yurakucho 1-chome, Chiyoda-ku, Tokyo 100-0006

Representative:

Seiichi Saito, President

Inquiries:

Takeshi Hirahara, Executive Officer, General Manager, Corporate Planning Department(Phone: +81-3-5521-1301)

Scheduled date of quarterly securities report:
Scheduled date of dividend payable:
Supplemental materials for quarterly results:
Presentation on quarterly results to be held:

February 10, 2021
Yes
None
*Amounts are rounded down to million yen.

1. Consolidated Performance for the Nine Months Ended December 31, 2020
(1) Consolidated Operating Results*Percentage figures shown under net sales, operating profit, ordinary profit, and profit attributable to owners of parent columns
indicate year-on-year changes for those items.
(“¥” indicates millions of yen, except for per share figures.)

Net Sales
For the nine months ended

Operating Profit

Ordinary Profit¥46,442(15.0)%¥7,032(48.1)%¥6,562(50.6)%¥54,631

20.9 %¥13,560

11.5 %¥13,29713.2 %

December 31, 2020
For the nine months ended
December 31, 2019
(Note) Comprehensive income: For the nine months ended December 31, 2020: ¥3,890 million (down 56.4 %)For the nine months ended December 31, 2019: ¥8,932 million (up 14.4 %)For the nine months ended

Profit Attributable toEarnings per ShareOwners of Parent(yen)

Fully Diluted
Earnings per Share(yen)¥4,059(54.8 %)

¥83.35¥83.31¥8,97612.7 %¥184.32¥184.27

December 31, 2020
For the nine months ended
December 31, 20191

(2) Consolidated Financial Position(“¥” indicates millions of yen)

Total Assets

Net Assets

Equity Ratio (%)

As of December 31, 2020

¥124,952¥69,656

53.2%

As of March 31, 2020

¥130,293¥64,809

49.6%(Reference)Total Equity:

As of December 31, 2020: ¥ 66,501 million
As of March 31, 2020: ¥ 64,620 million

2. Cash Dividends
Cash Dividends per Share (Yen)
1st Quarter

2nd Quarter

3rd Quarter

FY Ended March 31, 2020

-

0.00

-

FY Ending March 31, 2021

-

0.00

-

Year-end

FY Ending March 31, 2021 (Forecast)

Annual Total

42.00

42.00

42.00

42.00

(Note) Changes from the latest released dividend forecasts: None3.

Forecast for Consolidated Financial Results for the Fiscal Year Ending March 31, 2021
(From April 1, 2020 to March 31, 2021)*Percentage figures indicate year-on year changes for those items.
(“¥” indicates millions of yen, except for per share figures.)

Net Sales

Operating Profit

Ordinary Profit

Profit Attributable

Earnings per

to

Share

Ownersof

ParentFY Ending¥70,000(4.4) %

¥6,930 (58.2) %¥6,500 (59.7) %¥4,100 (61.6) %¥84.19March 31, 2021
(Note) Changes from the latest released performance: None

4.

Notes

(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in changes
in scope of consolidation): None
New companies: Excluded companies: (2) Adoption of special accounting practices in the preparation of quarterly consolidated financial statements:
None(3) Changes in accounting principles, procedures and presentation methods
1) Changes caused by revision of accounting standards:
None2) Changes of accounting standards other than 1) above: None
3) Changes in accounting estimates:
None4) Restatement of corrections:None2(4) Number of outstanding shares (common stock)1) Number of outstanding shares at the end of the period (including treasury stock):
As of December 31, 2020:
48,755,500 shares
As of March 31, 2020:
48,755,500 shares
2) Number of shares of treasury stock at the end of the period:
As of December 31, 2020:
56,644 shares
As of March 31, 2020:
56,644 shares
3) Average number of shares for the period:
For the nine months ended December 31, 2020:
48,698,856 shares
For the nine months ended December 31, 2019:
48,698,856 shares*This Summary of Consolidated Financial Results is not subject to review processes under the Financial
Instruments and Exchange Act.
*Explanation for appropriate use of forecast and other notes
Forward-looking statements, such as forecast of consolidated financial performance, stated in this document
are based on information currently possessed by us or certain assumptions that we have deemed as rational. We
cannot make any assurances that the contents mentioned in these forward-looking statements will evermaterialize. Actual financial performance could be significantly different from our expectations as a result ofvarious factors. For the assumptions used and other notes, please refer to “1. (3) Explanation regarding forwardlooking statements such as consolidated earnings forecasts” on page 6.
(About changing the presentation unit of the amount)
The number of accounts and the others listed in the attached quarterly consolidated financial statements andkey notes was previously stated in thousand yen unit but it is listed in million yen unit from the first quarter
consolidated accounting period and the first quarter consolidated the cumulative period. Further, in the previous
consolidated fiscal year and the previous third quarter consolidated cumulative period it is also changed tomillion-yen unit and stated.
In this document, the terms “we”, “us”, “our” and “Sun Frontier” refer to Sun Frontier Fudousan Co., Ltd. andconsolidated subsidiaries or, as the context may require, Sun Frontier Fudousan Co., Ltd. on a non-consolidated
basis.

3

Accompanying Materials
Contents
1. Qualitative information regarding consolidated performance for the first nine months …..……………… 2(1) Explanation regarding operating results ……………………………………………………………..... 2(2) Explanation regarding financial position ……………………………………………………………… 6(3) Explanation regarding forward-looking statements such as consolidated earnings forecasts ………… 6
2. Quarterly Consolidated Financial Statements and Key Notes …………………………………………..... 7(1) Consolidated Balance Sheet …………………………………………………………………………... 7(2) Consolidated Statements of Income and Comprehensive Income ……………………………..……... 9(3) Notes to Consolidated Financial Statements …………………………………………………………. 11(Notes to Assumption of Going Concerns) ……………………………………………………………. 11(Notes on Significant Changes in the Amount of Shareholders’ Equity) ……………………………..... 11(Additional information) ……………………………………………………………………………..... 11(Segment Information, etc.) ………………………………………………………..………………...... 124

1. Qualitative information regarding consolidated performance for the first nine months(1) Explanation regarding operating results
Matters concerning the future in this document are those judged by Sun Frontier as of the of submission dateof this consolidated performance for the first nine months.
During the nine months ended December 31, 2020, the Japanese economy has been stagnant for a long time
due to the impact of COVID-19 infections and it is necessary to continue to monitor future trends. With
regard to the global economy, the outlook for the future is extremely difficult due to the expansion of COVID19 infection and the continued intensification of conflicts between the United States and China.
However, in addition to the continuation of large-scale financial support and monetary easing in each country,
vaccination is gradually starting and future recovery is expected.
In the real estate market in Japan, the average rent in the office building market in central Tokyo (5 Wards of
the Central Tokyo: Chiyoda, Chuo, Minato, Shinjuku, and Shibuya Ward) as of December was 21,999 yen(unit price per tsubo), a decline for the fifth consecutive month (1,015 yen.) The average vacancy rate was
4.49%, worsening for the tenth consecutive month (increased 3.00% points according to a survey by a private
research institution) and market conditions are becoming increasingly severe. Demand for small andmedium-sized offices has been steady, as seen in the expansion of floor space at high-performing companies
and the movement to disperse offices where employees are concentrated in one location. However, against
the backdrop of the recent damage caused by the outbreak of COVID-19, some companies are reducing theiroffices by promoting remote work.
Moreover, in the real estate investment market, although domestic institutional investors and J-REITs are
eager to invest due to the expectation of a prolonged low interest rate environment, they are cautious due touncertainty about the future, and market sentiment is mixed.
Against this backdrop, we are able to quickly grasp market trends and changes from the field, improve ourability to solve problems from the clients' point of view, and develop our business by flexibly changing
ourselves.
For the time being, the Company's management policies are to "thoroughly prevent the spread of the COVID19 infection and continue business," "maintain financial stability," and "concentrate resources on our corebusiness the ‘revitalization and utilization of real estate.’"As a result, net sales decreased 15.0% to 46,442 million yen from the same period of the previous fiscal year,
operating profit decreased 48.1% to 7,032 million yen from the same period of the previous fiscal year,
ordinary profit decreased 50.6% to 6,562 million yen from the same period of the previous fiscal year, andprofit attributable to owners of parent decreased 54.8% to 4,059 million yen from the same period of theprevious fiscal year.
The results of each segment are as follows.
(Real Estate Revitalization Business)
In the Real Estate Revitalization Business, we are engaged in (1) Replanning Business, (2) Rental Building
Business, and (3) Hotel Development Business.
(1) In the Replanning Business, all processes from purchase of buildings to planning and development, tenant
occupancy, sales, and subsequent support are manufactured in-house. Each division, such as the building
management, leasing, and brokerage divisions in the real estate service division and the construction divisionbrings together the knowledge and know-how they have accumulated in their respective fields. They thenmake improvements and reform based on detailed understanding of clients' intentions, creating products withhigh added value and providing various services for building management. The ability to create added value
in the clients' point of view is our strength. In purchasing, we carefully select properties while looking at thedirection of the market. In commercialization, we aim to create an office that can be chosen in this “new5

normal”, based on new values, by enhancing sensitivity to market movements such as the voices of tenants
that are heard every day and by firmly grasping changes in offices, towns and working styles.
As an example of this, in July, we began offering a new service “WEEK”, which allows clients to lease our
set-up office on a certain day of the week. We have been opening new set-up offices such as in November,
we opened our first Creative Art Office "A Yotsuya", an office with Brooklyn-themed wall paintings, and in
December “GINZA-QUINT”, an anti-virus office designed for social distance equipped with the newest antivirus machines.
From the perspective of ESG, we are accelerating new initiatives to realize a decarbonized society, such as
switching our replanning properties to “RE100,” a renewable energy source, and introducing "Mori no
Denki," a forest-based environmental credit, which is 100% carbon neutral.
Furthermore, in the area of sales, we expand the value of buildings by maintaining stable real estate revenues
in close coordination with leasing and property management divisions and respond to the needs of a wide
range of clients in Japan and overseas. With investment product in sub-divided real estate, which is based in
Act on Specified Joint Real Estate Ventures, we expanded our clients base through the formation of thesecond project (1,150 million yen), which was sold out in the previous fiscal year. As a result, the number ofbuildings sold in Replanning Business was 18 which is 25.2% in segment profit margin, even in the midstof the damage caused by the outbreak of COVID-19. However, both the net sales and profits declined
significantly compared to the 33 buildings sold, including large-scale projects, a 33.2% in segment profit
margin from the same period of the previous fiscal year.
(2) In Rental Building Business, with the aim of building a stable revenue base as a stock business, we areworking to increase rent income in the medium to long term by expanding the number of rental buildings
properties in Replanning Business while utilizing the operational capabilities cultivated in the real estateservice division. Both net sales and income decreased compared with the same period of the previous fiscal
year due to decrease in rent income from Hotel Business and advanced rent payment associated with the
expansion of sub-leases business.
(3) In the Hotel Development Business, the development of HIYORI OCEAN RESORT OKINAWA (204plots), our first condominium hotel in Onna Village, Okinawa Prefecture, has made steady progress. A totalof 126 plots has been completed transfer and resulted in a significant increase both in sales and profits.
As of January, we have sold 14 plots and completed the delivery of a total of 140 plots. As for hotels underconstruction, we are preparing to open, paying full attention to measures against COVID-19.
As a result, net sales decreased 15.9% to 37,957 million yen from the same period of the previous fiscal year
and segment profit decreased 38.4% to 9,271 million yen from the same period of the previous fiscal year
for the Real Estate Revitalization Business as a whole.
(Real Estate Service Business)
In the Real Estate Service Business, we are engaged in (1) Property Management Business, (2) Building
Maintenance Business, (3) Brokerage Business, and (4) Leasing Business. By bringing together the expertisethat each of these business divisions has cultivated in the field, they cooperate with each other, and by
applying their originality and ingenuity, they create a chain of added value which also serves as the basis forcreating high profitability in the Replanning Business.
(1) In Property Management Business, we have improved the satisfaction of tenants through meticulous
property management and maintenance. At the same time, we have implemented highly profitable and highly
operational building management through efforts such as attracting tenants by taking advantage of its
community-based strengths and improving profits by revising conditions for appropriate rent and reviewing
power supply and demand contracts. We provide accurate and prompt information to tenants who are affectedby the COVID-19 outbreak and building owners who are concerned and utilizes its accumulated experience6and organizational power to resolve any new requests or problems arising from the spread of COVID-19
infections. As a result of our continued provision of high-quality added value services done in the clients'
point of view, the number of entrusted buildings exceeded 400, while maintaining a high occupancy ratelevel even in the event during the outbreak of COVID-19. Both net sales and profits increased comparedwith the same period last fiscal year.
End of December
2018

End of December
2019

End of December
2020

Number ofManaging Buildings

377 buildings

391 buildings

404 buildings

Occupancy Rate

97.8%

98.4%

95.7%

(2) In the Building Maintenance Business, we are promoting cooperation with the property management
division, taking advantage of our strengths in cleaning high places, waterproofing work, and exterior wall
repair work using swings for exterior windows and exterior walls. Although demand for COVID-19
decontamination and disinfection work was newly captured, orders from clients declined since they wereforced to close due to the declaration of an emergency situation. As a result, both net sales and profits
decreased slightly compared to the same period last fiscal year.
(3) In the Brokerage Business, as part of its real estate consulting, we are responding swiftly to inquiries
from other divisions, including Property Management Business and Leasing Businesses. At the same time,
we contribute to our business promotion as a whole by purchasing and selling Replanning properties. Bothnet sales and profits increased compared with the same period of the previous fiscal year.
(4) In the Leasing Business, we provide a service network based in 12 sites, mainly in the 5 wards of central
Tokyo. It functions as a window for consultation close to the local building owners. We don’t consult only
one aspect of problems for building owners like vacancy, but also a variety of fundamental problems related
to real estate, such as management, inheritance, and deterioration of buildings that are difficult to deal with
due to the aging. By working to solve these problems from a multi-faceted and long-term perspective, ourCompany’s business as a whole has been strengthened and enriched by creating opportunities for Replanning
Business purchase, sales, construction orders, and brokerage. In addition, we understand the needs of tenants
in detail at the site of tenant leasing by thinking together, researching, and making proposals to them. In thisway, we anticipate changes quickly and find out needs from the user-in perspective of the small and mediumsized building market. As a result of the damage caused by the outbreak of COVID-19, both net sales andprofits decreased compared with the same period of the previous fiscal year.
As a result, net sales in Real Estate Service Business as a whole decreased 0.2% to 2,562 million yen fromthe same period of the previous fiscal year and segment profit increased 1.1% to 1,664 million yen from thesame period of the previous fiscal year.
(Operation Business)
In the Operation Business, we are engaged in (1) Hotel Operation Business and (2) Conference Room Rental
Business.
(1) In the Hotel Operation Business, we have 15 (2,092 rooms) operating hotels. Due to the outbreak of
COVID-19 there was a sharp decline in the number of inbound tourists, closure of tourist facilities and events,
the government’s request to refrain not only from traveling on vacation, but also from business trips resulted
in a significant decrease in occupancy rate. As a result, despite efforts to reduce expenses, we recorded a loss
due to a large decrease in net sales compared with the same period of the previous fiscal year.
7(2) In the Conference Room Rental Business, we continue to refine our service quality through clients' pointof view, work on increasing number of repeat clients and clients through referrals, taking measures against
infectious diseases, the deployment of online facilities, custom-made offices, the launch of new services forflat-rate meeting rooms, responded quickly to new clients’ needs, and seriously implemented cost-cutting
measures. Due to the influence of the outbreak of the COVID-19 both net sales and profits declined comparedwith the previous fiscal year.
As a result, net sales in Operation Business as a whole decreased 45.0% to 2,383 million yen from the same
period of the previous fiscal year and segment loss was 797 million yen compared with 178 million yen insegment profit from the same period of the previous fiscal year.
(Other Business)
In Other Business, we are engaged in (1) Rent Guarantee Business, (2) Overseas Business, and (3)Construction Business.
(1) In Rent Guarantee Business, when contract of guarantee is implemented, we conduct fact-finding surveys
thoroughly and rigorously in tenant guarantee examinations. When rent arrears occur, we provide services
tailored to building owners not only rent guarantee but also sincere support until the lease is surrendered. By
COVID-19, consultations from building owners increased due to the increasing of vacant rooms, theconcerning of tenant credit and the switching from personal guarantee. Against this background, the numberof new and renewed guarantees handled remained steady and both net sales and profits increased comparedwith the same period of the previous fiscal year.
(2) In Overseas Business, we have expanded into Southeast Asian countries where growth is expected andhas developed real estate mainly for condominiums and houses using Japanese advanced construction
technology. We are developing its business with a focus on providing Asian people with experience ofJapanese quality. The HIYORI Garden Tower (306 units), a high-rise condominium in Da Nang, Viet Nam,was completed in December 2019 and delivered until September 2020. Both net sales and profits increased
significantly compared with the same period of the previous fiscal year because the portion delivered fromJanuary to September 2020 was recorded during the nine months ended December 31, 2020.
(3) In the Construction Business, renewal planning, repair and reform of commercial buildings, interior
finishing work, and others are carried out. Both net sales and profits declined due to a reactionary decline
following the delivery of large-scale construction work from the same period of the previous fiscal year.
As a result, net sales of Other Business as a whole increased 17.7% to 4,208 million yen from the same
period of the previous fiscal year and segment profit increased 44.2% to 1,272 million yen from the same
period of the previous fiscal year.
(2) Explanation regarding financial position
Total assets decreased 4.1% to 124,952 million yen as of December 31,2020 compared to September 30,
2020. Liability decreased 15.6% to 55,295 million yen as of December 31,2020 compared to September 30,
2020 and net assets increased to 7.5% to 69,656 million yen as of December 31,2020 compared to September
30, 2020.
The main factors behind the decrease in total assets were a decrease of 12,305 million yen in real estate forsale in process and a decrease of 719 million yen in accrued consumption taxes and advance payments
included in other current assets, while there was an increase of 1,232 million yen in cash and deposits andan increase of 6,291 million yen in real estate for sale.
The main reason for the decrease in liabilities was a decrease of 727 million yen in accounts payable, adecrease of 2,954 million yen in income taxes payable, a decrease of 1,689 yen in advances received included8

in other current liabilities, and a decrease of 6,245 million yen in long-term borrowings, despite an increaseof 1,303 million yen in long-term borrowings scheduled to be repaid within one year.
The main factor behind the increase in net assets was the payment of year-end dividends of 2,047 million
yen, despite the recording of 4,059 million yen in profit attributable to owners of parent and an increase of
3,000 million yen in non-controlling interests. The increase in non-controlling interests was due to theissuance of preferred shares by subsidiaries.
As a result, sales in equity ratio increased 3.6 percentage points to 53.2% as of December 31,2020 compared
to September 30, 2020.
(3) Explanation regarding forward-looking statements such as consolidated earnings forecasts
During the nine months ended December 31, 2020, both operating profit as well as ordinary profit exceeded
the consolidated earnings forecasts and profit attributable to owners of parent has been performing well also.
Currently there are no changes to the forecast figures announced on August 6, 2020, but we will swiftly
announce when we decide revision is necessary depending on future progress.

92． Quarterly Consolidated Financial Statements and Key Notes(1) Consolidated Balance Sheet(Unit: million yen)
As of March 31, 2020

As of December 31, 2020

18,627891
9,426
81,703

19,8601,234
15,71869,398

602

635

33
2,575
(18)
113,842

23
1,660
(37)
108,495

1,900
6,821
1,692
10,413

1,993
6,821
1,651
10,465

524
188
712

444
155
599

3,856
1,041
426
(1)
5,324
16,450130,293

3,946
983
467
(4)
5,392
16,457
124,952

AssetsCurrent assets
Cash and time deposits
Notes and accounts receivable – trade
Real estate for sale
Real estate for sale in process
Costs of uncompleted construction
contracts
Supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings (net amount)
Land
Other (net amount)
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Guarantee deposits
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

10

(Unit: million yen)
As of March 31, 2020

As of December 31, 2020

3,132
478
3,985
3,566
215

2,405
80
5,288
611
107

80

41

2
50
6,540
18,052

0
74
5,938
14,54644,90611
40
2,473
47,431
65,48338,66011
52
2,024
40,74855,295

11,965
6,445
46,347(67)
64,69011,965
6,445
48,358(67)
66,701

3

2

(73)

(202)

(69)

(199)

11
177
64,809130,293

16
3,139
69,656
124,952

Liabilities
Current liabilities
Accounts payable - trade
Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (andother officers)
Construction warrantee reserve
Provision for fulfillment of guarantees
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Retirement benefit liability
Provision for share-based remuneration
Other
Total non-current liabilities
Total liabilities
Net Assets
Shareholders' equity
Share capital
Capital surplus
Retained Earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Total accumulated other comprehensive
incomeShare acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

11(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statement of Income(Unit: million yen)
For the nine months
For the nine months
ended December 31, 2019 ended December 31, 2020
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Subsidy income
Penalty income
Other
Total non-operating income
Non-operating Expenses
Interest expenses
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of non-current assets
Total extraordinary income
Extraordinary loss
Loss on sales of non-current assets
Loss on retirement of non-current assets
Loss on devaluation of memberships
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitLoss attributable to non-controlling interests
Profit attributable to owners of parent

1254,63135,498
19,132
5,572
13,56046,442
34,021
12,421
5,389
7,032

34
1
159
36
231

34
70
－
21
126

337
157
494
13,297

371
224
596
6,562

3
3

0
0

13,301
4,304
25
4,329
8,971
4
8,976

0
2
6
9
6,553
2,570
(44)
2,526
4,027
31
4,059

Consolidated Statement of Comprehensive Income(Unit: million yen)
For the nine months
For the nine months
ended December 31, 2019 ended December 31, 2020
ProfitOther comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to
Owners of parent
Non-controlling interests

13

8,971

4,027

0

(1)

(39)
(39)
8,932

(136)
(137)
3,890

8,946
(13)

3,929
(38)

(3) Notes to Consolidated Financial Statements(Notes to Assumption of Going Concerns))
Not applicable.
(Notes on Significant Changes in the Amount of Shareholders’ Equity)
Not applicable.
(Additional information)
1. Accounting estimates for the impact of the spread of COVID-19 infections
There have been no material changes to assumptions regarding the impact of the spread of COVID-19
infections described in the additional information in the consolidated financial statements for the previous
fiscal year.
2. Treatment of application of tax effect accounting for transition from consolidated tax payment system to
new tax group relief system
Sun Frontier and certain domestic consolidated subsidiaries have adopted the "Guidance on Application of
Accounting Standards for Tax Effect Accounting" (ASBJ Guidance No. 28, February 16, 2018) inaccordance with Paragraph 3 of the "Treatment of Application of Tax Effect Accounting for the Transition
from the Consolidated Tax Payment System to the Group Accumulation System" (ASBJ Guidance No. 39,
March 31, 2020) for items for which the non-consolidated tax payment system was reviewed in accordancewith the transition to the Tax Group Relief System established under the "Act for Partial Revision of the
Income Tax Act, etc. (Act No. 8, 2020). The provisions of Paragraph 44 do not apply, and the amount ofdeferred tax assets and deferred tax liabilities is based on the provisions of the tax laws prior to the revision.

14

(Segment Information, etc.)[Segment Information]
I For the nine months ended December 31, 2019
1． Information on net sales and profit for each reportable segment(Unit: million yen)Amount on
Reportable segment
Quarterly
Adjustment
Consolidated
Otheramount Statement ofReal Estate Real Estate Operation(Note 1) Total (Note2) Income (Note
Revitalization Service
Subtotal
3)
Business
Business Business

Net Sales

45,131

2,566

4,335

52,034

3,574 55,608(976)

54,631

Segment
15,061
1,646
178 16,885
882 17,767(4,470)13,297
profitNote 1. The "Other" segment is a business segment that is not included in the reportable segment and includes
the rent guarantee business, overseas business, construction solutions business, etc.
Note 2. Adjustments to segment profit include elimination of intersegment transactions of 117 million yen anddeduction of 4,352 million yen for corporate expenses not allocated to each reportable segment.
Corporate expenses are primarily selling, general and administrative expenses not attributable to any
reportable segment.
Note 3. Segment profit is reconciled to ordinary profit in the consolidated statement of income.
2． Information on impairment loss or goodwill of fixed assets for each reportable segment
Not applicable.
II

For the nine months ended December 31, 2020
1． Information on net sales and profit(loss) for each reportable segment(Unit: million yen)

Reportable segment

Amount on
Consolidated
Other
Adjustment Statement of(Note 1) TotalamountReal Estate Real Estate Operation(Note(Note 2) Income
Revitalization Service
Subtotal
3)
Business
Business
Business
Net Sales

37,957

2,562

2,383

42,9034,208 47,112(669)

46,442

Segment
9,271
1,664(797) 10,138 1,272 11,410(4,847)
6,562
profit(loss)
Note 1. The "Other" segment is a business segment that is not included in the reportable segment and includes
the rent guarantee business, overseas business, construction solutions business, etc.
Note 2. Adjustments to segment profit(loss) include elimination of intersegment transactions of 171 million
yen and deduction of 4,676 million yen for corporate expenses not allocated to each reportablesegment. Corporate expenses are primarily selling, general and administrative expenses not
attributable to any reportable segment.
Note 3. Segment profit(loss) is reconciled to ordinary profit in the consolidated statement of income.
2． Information on impairment loss or goodwill of fixed assets for each reportable segment
Not applicable.

15