FINANCIAL STATEMENTS
BALANCE SHEETS
Thousands of yen
As of September 30, 2021
AssetsCurrent assets
Cash and deposits

As of March 31, 2022

18,883,962

14,680,828

2,979,150

3,197,268

Operating accounts receivable
Accounts receivable - other45,14041,862395

1,334

Prepaid expenses

54,83147,914

Other

9,290

9,296

21,972,770

17,978,504

Cash and deposits in trust

Total current assets
Non-current assets
Property, plant and equipment
Buildings
Accumulated depreciation

37,804,123

34,980,281(18,705,404)(17,770,794)

Buildings, net

19,098,719

17,209,486

Structures
Accumulated depreciation

507,685443,976(472,793)(412,958)

34,89231,017Structures, net
Machinery and equipment
Accumulated depreciation

153,655

153,655(122,606)(125,012)

Machinery and equipment, net

31,04828,642Tools, furniture and fixtures
Accumulated depreciation

109,079

109,138(82,993)(85,331)

Tools, furniture and fixtures, net

26,08623,807

Land

125,628,932

114,585,335

Buildings in trust
Accumulated depreciation

31,121,100(12,126,841)

33,902,566(12,761,396)

Buildings in trust, net

18,994,259

21,141,169

Structures in trust
Accumulated depreciation

156,605

187,292(107,008)(111,516)

Structures in trust, net

49,59775,775

Machinery and equipment in trust
Accumulated depreciation

34,117(4,195)61,690(6,234)

Machinery and equipment in trust, net

29,92255,456

Tools, furniture and fixtures in trust
Accumulated depreciation

98,318(61,410)

102,316(65,339)

Tools, furniture and fixtures in trust, net

36,90736,976

Land in trust

142,307,259

153,797,970

Total property, plant and equipment

306,237,624

306,985,638

240

240

Intangible assets
Other

1

Thousands of yen
As of September 30, 2021
Total intangible assets
Investments and other assets
Guarantee deposits
Long-term prepaid expenses
Other
Total investments and other assets

As of March 31, 2022

240

240

10,00016,0043,208

10,00038,9682,815

29,212

51,783306,267,077

307,037,662

Deferred assets
Investment corporation bond issuance costs

48,77755,401

Total deferred assets

48,77755,401

328,288,624

325,071,568

Total non-current assets

Total assets
Liabilities
Current liabilities
Operating accounts payable

340,740

242,061

Short-term loans payable

6,000,000

6,000,000

Current portion of investment corporation bonds
Current portion of long-term loans payable

3,000,000

4,000,000

31,500,000

25,500,000

Accrued expenses

95,457518,246

110,421429,156

Dividends payable

8,289

7,185

Income taxes payable
Accrued consumption taxes

606

879

9,626

108,676

999,415322

913,270916

42,472,704

37,312,567

Accounts payable – other

Advances received
Deposits received
Total current liabilities
Non-current liabilities
Investment corporation bonds

11,000,000

9,000,000

Long-term loans payable

103,500,000

109,500,000

9,618,022

7,565,023

934,875

932,717

Tenant leasehold and security deposits
Tenant leasehold and security deposits in trust
Deferred tax liabilities

656,564

803,422

Total non-current liabilities

125,709,462

127,801,163

Total liabilities

168,182,166

165,113,730

153,990,040

153,990,040

Voluntary retained earnings
Reserve for reduction entry

1,074,447

1,430,418

Total voluntary retained earnings

1,074,447

1,430,418

5,041,970

4,537,379

Net assets
Unitholders' equity
Unitholders' capital
Surplus

Unappropriated retained earnings

2

Thousands of yen
As of September 30, 2021
Total surplus
Total unitholders' equity
Total net assets
Total liabilities and net assets


The accompanying notes form an integral part of these financial statements.

3

As of March 31, 2022

6,116,418

5,967,798

160,106,458

159,957,838

160,106,458

159,957,838

328,288,624

325,071,568

STATEMENTS OF INCOME AND RETAINED EARNINGSFor the six-month period ended October 1, 2021 and March 31, 2022
Thousands of yen
For the period
from October 1, 2021
to March 31, 2022

For the period
from April 1, 2021
to September 30, 2021
Operating revenue
Lease business revenue

7,485,180

6,739,063

283,283

337,252

1,433,905

1,452,077

9,202,368

8,528,392

3,152,474

3,025,005

Asset custody fee

335,797
12,893

329,091
13,102Administrative service fees

58,35845,869Directors' compensations
Other operating expenses

3,600

3,600

75,764

69,376

Total operating expenses

3,638,888

3,486,044

5,563,480

5,042,348

Other lease business revenue
Gain on sale of investment property
Total operating revenue
Operating expenses
Expenses related to rent business
Asset management fee

Operating income
Non-operating income
Interest income
Reversal of dividends payable
Interest on refund
Total non-operating income
Non-operating expenses
Interest expenses
Interest expenses on investment corporation bonds
Amortization of investment corporation bondissuance costs
other

107

104

782

753

-

110

890

969

325,876

325,041

22,802

22,833

9,146

8,933

1,071

1,374

358,895

358,184

Ordinary income

5,205,474

4,685,132

Profit before income taxes

5,205,474

4,685,132

Income taxes - current

623

895

Income taxes - deferred

163,408

146,858

Total income taxes

164,031

147,753

5,041,443

4,537,379

Total non-operating expenses

ProfitRetained earnings at beginning of period
Unappropriated retained earnings
The accompanying notes form an integral part of these financial statements.

4

527

-

5,041,970

4,537,379

STATEMENTS OF CHANGES IN NET ASSETSFor the six-month period from April 1, 2021 to September 30, 2021
Thousands of yen
Unitholders' equity
Surplus
Unitholders'
capitalBalance at beginning ofcurrent period
Changes of items during
periodTotal unitholders' Total net assets
equityVoluntary retained earnings

UnappropriatedReserve for
Total voluntary retained earnings
reduction entry retained earnings (undisposed loss)
5,115,527

6,189,975

160,180,015

160,180,015

Dividends of surplus(5,115,000)(5,115,000)(5,115,000)(5,115,000)

Profit

5,041,443

5,041,443

5,041,443

5,041,443

Total changes of items
during period
Balance at end of current
period153,990,040

1,074,447

1,074,447

Total surplus

-

-

-

(73,556)(73,556)(73,556)(73,556)

153,990,040

1,074,447

1,074,447

5,041,970

6,116,418

160,106,458

160,106,458

The accompanying notes form an integral part of these financial statements.
For the six-month period ended October 1, 2021 and March 31, 2022
Thousands of yen
Unitholders' equity
Surplus
Unitholders'
capitalBalance at beginning ofcurrent period
Changes of items during
periodProvision of reserve for
reduction entry
Reversal of reserve for
reduction entry

Total unitholders' Total net assets
equityVoluntary retained earnings

UnappropriatedReserve for
Total voluntary retained earnings
reduction entry retained earnings (undisposed loss)
1,074,447

1,074,447

5,041,970

6,116,418

160,106,458

160,106,458

490,085

490,085(490,085)---(134,114)(134,114)

134,114---

Dividends of surplus(4,686,000)(4,686,000)(4,686,000)(4,686,000)

Profit

4,537,379

4,537,379

4,537,379

4,537,379

Total changes of items
during period
Balance at end of current
period153,990,040

Total surplus-

355,970

355,970(504,591)(148,620)(148,620)(148,620)

153,990,040

1,430,418

1,430,418

4,537,379

5,967,798

159,957,838

159,957,838

The accompanying notes form an integral part of these financial statements.

5

STATEMENTS OF CASH DISTRIBUTIONS
For the six-month period ended October 1, 2021 and March 31, 2022
                                                Unit: yen
The Fiscal Period ended
The Fiscal Period ended
September 30, 2021
March 31, 2022
(April 1, 2021 to September 30, 2021)(October 1, 2021 to March 31, 2022)
I. Unappropriated retained earnings
ჟ.

Reversalofvoluntary

5,041,970,716

4,537,379,582

134,114,736

134,114,736

4,686,000,000(3,550)4,217,400,000(3,195)490,085,452

454,094,318

retainedearnings
 Reversal of reserve for reduction
entry
რ. Distribution amount(Distribution amount per unit)
ს. Voluntary retained earnings
Provision of reserve for reduction
entry
ტ. Retained earnings carried forward
Calculation
amountmethodofdistribution--

In accordance with Paragraph 1,

In accordance with Paragraph 1,

Article 29 of the Investment

Article 29 of the Investment

Corporation’s Articles of Incorporation,
MTR decided to distribute the total

Corporation’s Articles of Incorporation,
MTR decided to distribute the totalbalance of unappropriated retainedbalance of unappropriated retained

earnings after adding the reversal of theearnings after adding the reversal of thereserve for reduction entry under Article

reserve for reduction entry under Article66-2 of the Act on Special Measures
Concerning Taxation and deducting

66-2 of the Act on Special Measures
Concerning Taxation and deducting

provision of the reserve for reduction

provision of the reserve for reduction

entry under Article 65-7 of the Act on

entry under Article 65-7 of the Act on

Special Measures Concerning Taxation,

Special Measures Concerning Taxation,

the amount of which is 4,686,000,000

the amount of which is 4,217,400,000

yen.
In addition, MTR does not distributeyen.
In addition, MTR does not distributedividends in excess of accounting profit

dividends in excess of accounting profit

as set forth in Paragraph 2, Article 29 ofas set forth in Paragraph 2, Article 29 of

the Investment Corporation’s Articles of

the Investment Corporation’s Articles ofIncorporation.

Incorporation.

6

STATEMENTS OF CASH FLOWSFor the six-month period ended October 1, 2021 and March 31, 2022
Thousands of yen
For the period
from October 1, 2021
to March 31, 2022

For the period
from April 1, 2021
to September 30, 2021
Cash flows from operating activities
Profit before income taxes
Depreciation
Amortization of investment corporation bond issuance
costs
Interest income

5,205,474
1,113,968

4,685,132
1,125,735

9,146

8,933

(107)

(104)

Interest expenses

348,678

Decrease (Increase) in operating accounts receivableሺ1,727)
69,932

347,875(522)

Increase (Decrease) in operating accounts payable(80,181)

Increase (Decrease) in accrued consumption taxes
Increase (Decrease) in advances received(187,887)

99,050(10,782)(86,145)

Decrease due to sale of investment property
Other, net

12,538,270
53,59812,520,098(106,676)

Subtotal

19,138,564

18,513,195

Interest income received

107(353,821)

104(346,685)

Interest expenses paid
Income taxes paid
Net cash provided by operating activities
Cash flows from investing activities
Purchase of property, plant and equipment

(972)

(622)

18,783,877

18,165,991(263,209)(34,126)

Purchase of property, plant and equipment in trust
Repayments of tenant leasehold and security deposits(14,180,295)(14,344,757)(195,043)(2,385,217)

Proceeds from tenant leasehold and security deposits

250,001

326,611(55,395)(16,369)

57,831

5,120

393

393

(14,385,718)(16,448,345)

Net increase (decrease) in short-term loans payable
Proceeds from long-term loans payable(4,000,000)-

14,000,000

14,500,000

Repayments of long-term loans payable
Proceeds from issuance of investment corporation bonds(12,000,000)(14,500,000)-

2,000,000

Repayments of tenant leasehold and security deposits intrust
Proceeds from tenant leasehold and security deposits in
trust
Other
Net cash used in investing activities
Cash flows from financing activities

Redemption of investment corporation bonds-(3,000,000)(5,114,632)(15,558)(4,687,104)

Net cash used in financing activities(7,114,632)(5,702,662)

Net increase (decrease) in cash and cash equivalents(2,716,473)(3,985,015)

Cash and cash equivalents at beginning of period

24,579,586

21,863,112

Cash and cash equivalents at end of period

21,863,112

17,878,096

Payments for investment corporation bond issuance costs
Dividends paid

7

The accompanying notes form an integral part of these financial statements.

8

NOTES TO FINANCIAL STATEMENTS
For the six-month period from October 1, 2021 to March 31, 2022

1. ORGANIZATION AND BASIS OF PRESENTATION OF FINANCIAL STATEMENTS
Organization
MORI TRUST Sogo Reit, Inc. (“MTR”), a Japanese real estate investment corporation, was incorporated on October 2, 2001
under the Law Concerning Investment Trusts and Investment Corporations of Japan, or the Investment Trust Law. MTR was
originally formed by Mori Trust Co., Ltd., and commenced operations on March 28, 2002 by acquiring a property. MTR isprovided professional asset management services of properties of various types by a licensed asset management company, MORI
TRUST Asset Management Co., Ltd. (“MTAM”). MTAM is currently owned 95% by MORI TRUST Co., Ltd., and 5% by Mori
Trust Hotels & Resorts Co., Ltd. On February 13, 2004, MTR was listed on the J-REIT section of the Tokyo Stock Exchange(securities code: 8961). As of March 31, 2022, MTR owned a portfolio of 16 properties with a total rentable area of 417,675.34
sq. meters occupied by 103 tenants. The occupancy rate was 96.0%.

Basis of presentation of financial statements
MTR maintains its accounting records and prepares its financial statements in accordance with accounting principles generally
accepted in Japan (“Japanese GAAP”), including provisions set forth in the Investment Trust Law, the Financial Instruments andExchange Law of Japan and the related regulations, which are different in certain respects as to the application and disclosure
requirements of International Financial Reporting Standards. The accompanying financial statements are a translation of thefinancial statements of MTR, which were prepared in accordance with Japanese GAAP and were presented in the Securities
Report of MTR filed with the Kanto Local Finance Bureau. In preparing the accompanying financial statements, certain
reclassifications have been made to the financial statements issued domestically in order to present them in a format which ismore familiar to readers outside Japan. In addition, the notes to financial statements include information which might not be
required under Japanese GAAP but is presented herein as additional information. As permitted under the Japanese Financial
Instruments and Exchange Law, amounts of less than one million yen have been omitted. As a result, the totals shown in theaccompanying financial statements do not necessarily agree with the sum of the individual amounts.MTR does not prepare
consolidated financial statements as it has no subsidiaries.

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESProperty and equipment
Property and equipment is stated at cost less accumulated depreciation. The costs of land, buildings and building improvements
include the purchase prices of properties, legal fees and acquisition costs. Depreciation of property and equipment is calculated
on a straight-line basis over the estimated useful lives of the respective assets ranging as follows:
Buildings including trust accounts.................................................. 3 - 81 years
Structures including trust accounts..................................................2 - 45 years
Machinery and equipment including trust accounts........................ 2 - 17 years
Tools, furniture and fixtures including trust accounts..................... 2 - 18 years
Expenditures for repairs and maintenance are charged to income as incurred. Significant renewals and betterments arecapitalized.

Intangible assets
Intangible assets are amortized on a straight-line basis.

Deferred assets
Deferred investment corporation bond issuance costs are amortized using the straight-line method over the respective terms of thebonds.

Taxes on property and equipment
Property and equipment is subject to property taxes and city planning taxes on a calendar year basis. These taxes are generally
expensed during the period. The sellers of the properties were liable for property taxes for the calendar year including the period
from the date of purchase by MTR through the end of the year since the taxes were imposed on the registered owners as ofJanuary 1, based on assessments made by local governments.

Revenue recognition
The main performance obligations related to revenue arising from contracts with customers of the 075 and the normal time forsatisfying such performance obligations (the normal time for recognizing revenue) are as follows
 (1) Sales of real estate and other assets

9MTR recognizes revenue from the sale of real estate and other assets when the buyer, as the customer, obtains control of the realestate and other assets by fulfilling the delivery obligations stipulated in the contract for the sale of real estate and other assets.
 (2) Utility revenues
Utility revenues are recognized based on the supply of electricity, water, etc. to the lessee, the customer, in accordance with theterms of the real estate lease contract and related agreements.
With regard to utility charge reimbursements which MTR deems to fall under that for an agent, the net amount sought by
subtracting the amount paid to another party from the amount that is received as charge for electric power, gas, etc. which issupplied by another concerned party is recognized as revenue.

Accounting treatment of beneficiary interests in trust assets including real estate
For trust beneficiary interests in real estate, all accounts of assets and liabilities within assets in trust as well as all income
generated and expenses incurred from assets in trust are recorded in the relevant balance sheets and statements of income andretained earnings accounts.

Cash and cash equivalents
Cash and cash equivalents consist of cash on hand, deposits with banks and short-term investments which are highly liquid,readily convertible to cash and with an insignificant risk of price fluctuation, and with an original maturity of three months or
less.

10

3. PROPERTY AND EQUIPMENT
Property and equipment at September 30, 2021 and March 31, 2022 consisted of the following:

Land
Buildings and structures
Accumulated depreciation
Machinery and equipment
Accumulated depreciation
Tools, furniture and fixtures
Accumulated depreciation
Land in trust
Buildings and structures in trust
Accumulated depreciation
Machinery and equipment in trust
Accumulated depreciation
Tools, furniture and fixtures in trust
Accumulated depreciation
Total

Thousands of yen
As of September 30, 2021
As of March 31, 2022
Acquisition Cost
Book Value
Acquisition Cost
Book Value
125,628,932
125,628,932
114,585,335
114,585,335
38,311,809
35,424,257(19,178,197)
19,133,611(18,183,753)
17,340,504
153,655
153,655(122,606)
31,048(125,012)
28,642109,079
109,138(82,993)
26,086(85,331)23,807
142,307,259
142,307,259
153,797,970
153,797,970
31,277,705
34,089,858(12,233,849)
19,043,856(12,872,913)
21,216,945
34,117
61,690(4,195)29,922(6,234)55,45698,318
10,316(61,410)36,907(65,339)
36,976306,237,624
306,985,638

The compressed amount of tangible assets with government grants under the Corporation Tax Law of Japan was ¥38,340
thousand at September 30, 2021 and ¥38,340 thousand at March 31, 2022.

11

4. INVESTMENT CORPORATION BONDS
Investment corporation bonds at September 30, 2021 and March 31, 2022 consisted of the following:Thousands of yen
As of
As of
March 31,
September 30,
2021
2022
3,000,000
3,000,000
4,000,000
4,000,000
3,000,000
3,000,000
1,000,000
㸫
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
㸫
1,000,000
1,000,000
14,000,000
14,000,000

Unsecured bonds due on February 22, 2019
Unsecured bonds due on February 20, 2020
Unsecured bonds due on February 25, 2021
Unsecured bonds due on February 21, 2022
Unsecured bonds due on February 26, 2015
Unsecured bonds due on February 25, 2021
Unsecured bonds due on February 21, 2022
Unsecured bonds due on February 25, 2021
Unsecured bonds due on February 23, 2017
Total

Averageinterest rate
(%)
0.07
0.10
0.17
1.07
0.50
0.75
1.08

February 22, 2022
February 20, 2023
February 22, 2024
February 26, 2027
February 25, 2031
February 25, 2036
February 23, 2037㸫㸫

Due onUse of
funds

Note

(1)

(2)

ʷ

ʷ

(1) Use of the above funds includes acquisition of real estate or beneficiary interests.
(2) The above loans are unsecured and non-guaranteed with floating rates.
(3) Investment corporation bonds repayable expected to be repaid during each of the 5 years subsequent tothe current balance sheet date are summarized as follows (except for investment corporation bonds due within one year):
1 to 2 years

2 to 3 years

3 to 4 years

4 to 5 years

3,000,000

1,000,000ʷ

1,000,000

Investment corporation bonds(Thousands of yen)

5. SHORT-TERM LOANS PAYABLE
Short-term loans payable at September 30, 2021 and March 31, 2022 consisted of the following:

LenderSumitomo Mitsui Banking Corporation
Resona Bank, Limited.
Mizuho Bank, Ltd.
Resona Bank, Limited
Sumitomo Mitsui Banking Corporation
Resona Bank, Limited
Total short-term loans

Thousands of yen
As of
As of
March 31,
September 30,
2021
2022
2,500,000
㸫
500,000㸫
2,000,000
2,000,000
1,000,000
1,000,000
㸫
2,500,000
㸫
500,000
6,000,000
6,000,000

Averageinterest rate(%) (1)
㸫
㸫
0.20
0.22
0.22
0.22
㸫

Due on㸫㸫April 8, 2022
August 31, 2022
October 7, 2022
October 14, 2022
㸫

Use of
funds

Note

㸫

㸫

(2)

(3)

㸫

㸫

(1) Average interest rate for each loan has been rounded to the second decimal place.
(2) Use of the above funds includes acquisition of real estate or beneficiary interests.
(3) The above loans are unsecured and non-guaranteed with floating rates.
MTR has entered into line of credit loan agreements totaling ¥20,000 million with banks to reduce refinancing risk. The unused
amount of such credit lines was ¥20,000 million at March 31, 2022.

6. LONG-TERM LOANS PAYABLE
Long-term loans payable at September 30, 2021 and March 31, 2022 consisted of the following:

Lender
MUFG Bank, Ltd.
Sumitomo Mitsui Banking Corporation.
Sumitomo Mitsui Trust Bank, Ltd.
Aozora Bank, Ltd.
Sumitomo Mitsui Banking Corporation.
Mizuho Bank, Ltd

Thousands of yen
As of
As of
September 30,
March 31,2021
2022
1,500,000
㸫
1,000,000
㸫
1,000,000
㸫
500,000㸫
2,500,000
㸫
500,000
㸫

12

Averageinterest rate(%) (1)
㸫
㸫
㸫
㸫
㸫
㸫

Due onUse of
funds

Note

㸫
㸫
㸫
㸫
㸫
㸫

㸫

㸫

The Bank of Fukuoka, Ltd.
Development Bank of Japan Inc.
Sumitomo Mitsui Banking Corporation.
MUFG Bank, Ltd.
The Dai-ichi Life Insurance Company, Limited
Mizuho Bank, Ltd
Aozora Bank, Ltd.
MUFG Bank, Ltd.
The Ashikaga Bank, Ltd.
Sumitomo Mitsui Banking Corporation.
Sumitomo Mitsui Trust Bank, Ltd.
Sumitomo Mitsui Trust Bank, Ltd.
Sumitomo Mitsui Trust Bank, Ltd.
Sumitomo Mitsui Trust Bank, Ltd.
Sumitomo Mitsui Trust Bank, Ltd.
Mizuho Bank, Ltd
MUFG Bank, Ltd.
Mizuho Bank, Ltd
Sumitomo Mitsui Trust Bank, Ltd.
Mizuho Trust & Banking Co., Ltd.
Mizuho Bank, Ltd
The Bank of Fukuoka, Ltd.
The Nishi-Nippon City Bank, Ltd.
Mizuho Bank, Ltd
Development Bank of Japan Inc.
Resona Bank, Limited.
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Resona Bank, Limited.
Mizuho Bank, Ltd
The Bank of Fukuoka, Ltd.
Aozora Bank, Ltd.
Shinkin Central Bank
Sumitomo Mitsui Banking Corporation
Development Bank of Japan Inc.
Mizuho Bank, Ltd
Mizuho Bank, Ltd
The Bank of Fukuoka, Ltd.
Sumitomo Mitsui Banking Corporation.
Sumitomo Mitsui Banking Corporation.
The Nishi-Nippon City Bank, Ltd.
Mizuho Bank, Ltd
MUFG Bank, Ltd.
Sumitomo Mitsui Trust Bank, Ltd.
Mizuho Bank, Ltd
Sumitomo Mitsui Banking Corporation.
The 82 Bank, Ltd.
MUFG Bank, Ltd.
Development Bank of Japan Inc.
Sumitomo Mitsui Banking Corporation.
Sumitomo Mitsui Trust Bank, Ltd.
MUFG Bank, Ltd.
Sumitomo Mitsui Banking Corporation.
MUFG Bank, Ltd.
Sumitomo Mitsui Banking Corporation.
The Bank of Fukuoka, Ltd.
Sumitomo Mitsui Banking Corporation
Sumitomo Mitsui Trust Bank, Ltd.
Sumitomo Mitsui Banking Corporation.

2,000,000
3,000,000
1,500,000
500,000
500,000
4,000,000
1,000,000
2,000,000
1,000,000
2,000,000
500,000
3,500,000
2,000,000
1,000,000
1,500,000
500,000
2,500,000
2,000,000
1,000,000
1,000,000
3,500,000
1,000,000
500,000
1,500,000
1,000,000
1,000,000
500,000
500,000
1,000,000
3,000,000
1,500,000
2,000,000
2,000,000
3,000,000
2,000,000
1,000,000
3,000,000
1,000,000
3,000,000
1,000,000
500,000
1,500,000
500,000
3,000,000
1,000,000
1,000,000
1,000,000
500,000
1,000,000
2,500,000
4,000,000
1,000,000
3,000,000
3,000,000
㸫
1,000,000
㸫
1,500,000
1,000,000

㸫
㸫
㸫
㸫
㸫
4,000,000
1,000,000
2,000,000
1,000,000
2,000,000
500,000
3,500,000
2,000,000
1,000,000
1,500,000
500,000
2,500,000
2,000,000
1,000,000
1,000,000
3,500,000
1,000,000
500,000
1,500,000
1,000,000
1,000,000
500,000
500,000
1,000,000
3,000,000
1,500,000
2,000,000
2,000,000
3,000,000
2,000,000
1,000,000
3,000,000
1,000,000
3,000,000
1,000,000
500,000
1,500,000
500,000
3,000,000
1,000,000
1,000,000
1,000,000
500,000
1,000,000
2,500,000
4,000,000
1,000,000
3,000,000
3,000,000
1,000,000
1,000,000
1,500,000
1,500,000
1,000,000

13

㸫
㸫
㸫
㸫
㸫
0.47
0.47
0.41
0.44
0.80
0.43
0.44
0.40
0.47
0.44
0.44
0.49
0.49
0.45
0.45
0.47
0.43
0.49
0.54
0.46
0.17
0.64
0.54
0.57
0.27
0.36
0.36
0.56
0.56
0.29
0.30
0.43
0.54
0.46
0.17
0.64
0.56
0.56
0.32
0.65
0.65
0.34
0.65
0.64
0.33
0.37
0.32
0.46
0.68
0.43
0.42
0.47
0.41
0.52

㸫
㸫
㸫
㸫
㸫
April 11, 2022
April 11, 2022
April 13, 2022
April 22, 2022
April 28, 2022
August 30, 2022
August 31, 2022
August 31, 2022
September 30, 2022
January 19, 2023
January 19, 2023
February 28, 2023
February 28, 2023
February 28, 2023
February 28, 2023
April 12, 2023
April 21, 2023
April 24, 2023
August 31, 2023
August 31, 2023
August 31, 2023
August 31, 2023
September 29, 2023
October 18, 2023
February 29, 2024
February 29, 2024
March 11, 2024
March 19, 2024
April 9, 2024
April 11, 2024
April 11, 2024
April 24, 2024
May 31, 2024
October 9, 2024
October 9, 2024
December 26, 2024
January 17, 2025
January 17, 2025
February 28, 2025
February 28, 2025
February 28, 2025
February 28, 2025
February 28, 2025
March 19, 2025
April 9, 2025
April 11, 2025
April 11, 2025
April 24, 2025
August 29, 2025
January 19, 2026
January 30, 2026
February 27, 2026
February 27, 2026
February 27, 2026

(2)

(3)

Development Bank of Japan Inc.
Nippon Life Insurance Company
Resona Bank, Limited.
Aozora Bank, Ltd.
Resona Bank, Limited.
Development Bank of Japan Inc.
The Nishi-Nippon City Bank, Ltd.
The 77 Bank, Ltd.
Nippon Life Insurance Company
Mitsui Sumitomo Insurance Company, Limited
Sumitomo Mitsui Trust Bank, Ltd.
MUFG Bank, Ltd.
Resona Bank, Limited.
The Bank of Fukuoka, Ltd.
Mizuho Bank, Ltd
The Bank of Fukuoka, Ltd.
The Norinchukin Bank
Aozora Bank, Ltd.
SUMITOMO LIFE INSURANCE COMPANY
The Bank of Fukuoka, Ltd.
The Norinchukin Bank
The Nishi-Nippon City Bank, Ltd.
Resona Bank, Limited.
SUMITOMO LIFE INSURANCE COMPANY
The Dai-ichi Life Insurance Company, Limited
Development Bank of Japan Inc.
MUFG Bank, Ltd.
Mizuho Bank, Ltd
Mizuho Bank, Ltd
Mizuho Bank, Ltd
Development Bank of Japan Inc.
MUFG Bank, Ltd.
Sumitomo Mitsui Banking Corporation.
Sumitomo Mitsui Banking Corporation.
Mizuho Bank, Ltd
The 77 Bank, Ltd.
Shinsei Bank Limited
Mitsui Sumitomo Insurance Company, Limited
Development Bank of Japan Inc.
Aozora Bank, Ltd.
MUFG Bank, Ltd.
Sumitomo Mitsui Banking Corporation.
Sumitomo Mitsui Banking Corporation.
Mizuho Bank, Ltd
Mizuho Bank, Ltd
Mizuho Bank, Ltd
Total long-term loans

1,000,000
500,000
1,000,000
500,000
500,000
1,000,000
1,000,000
500,000
500,000
500,000㸫
1,000,000
500,000
500,000㸫㸫
3,000,000
㸫
500,000㸫
1,500,000
1,500,000
500,000
500,000㸫
1,000,000
1,500,000
1,000,000
1,000,000
1,000,000
500,000
1,500,000
1,500,000
1,500,000
1,500,000
1,000,000
1,000,000
㸫㸫
1,500,000
㸫㸫㸫
1,000,000
500,000
1,500,000
135,000,000

1,000,000
500,000
1,000,000
500,000
500,000
1,500,000
1,000,000
500,000
500,000
500,000
1,000,000
1,000,000
500,000
500,000
500,000
1,000,000
3,000,000
500,000
500,000
1,000,000
1,500,000
1,500,000
500,000
500,000
500,000
1,000,000
1,500,000
1,000,000
1,000,000
1,000,000
500,000
1,500,000
1,500,000
1,500,000
1,500,000
1,000,000
1,000,000
1,500,000
3,000,000
1,500,000
500,000
1,000,000
1,500,000
1,000,000
500,000
1,500,000
135,000,000

0.41
0.36
0.39
0.72
0.39
0.33
0.41
0.31
0.40
0.39
0.42
0.40
0.56
0.56
0.50
0.51
0.38
0.45
0.59
0.55
0.38
0.48
0.48
0.38
0.56
0.43
0.50
0.63
0.47
0.55
0.47
0.53
0.54
0.51
0.51
0.54
0.53
0.79
0.71
0.59
0.79
0.65
0.76
0.62
0.63
0.66
㸫

March 12, 2026
March 31, 2026
April 22, 2026
April 24, 2026
May 29, 2026
August 31, 2026
August 31, 2026
August 31, 2026
September 18, 2026
September 30, 2026
December 24, 2026
December 25, 2026
December 25, 2026
December 25, 2026
January 19, 2027
January 29, 2027
February 26, 2027
June 24, 2027
June 25, 2027
July 30, 2027
August 31, 2027
August 31, 2027
August 31, 2027
August 31, 2027
August 31, 2027
September 10, 2027
October 13, 2027
December 24, 2027
January 19, 2028
January 19, 2028
January 19, 2028
March 31, 2028
April 7, 2028
April 11, 2028
April 17, 2028
August 31, 2028
August 31, 2028
October 31, 2028
February 28, 2029
April 23, 2029
February 28, 2030
June 24, 2030
July 19, 2030
August 31, 2030
August 31, 2030
February 28, 2031
㸫

㸫

㸫

(1) Average interest rate for each loan has been rounded to the second decimal place.
(2) Use of the above funds includes acquisition of real estate or beneficiary interests.
(3) The above loans are unsecured and non-guaranteed with fixed interest rates.
(4) The total amounts of long-term loans repayable expected to be repaid during each of the 5 years subsequent to the current
balance sheet date are summarized as follows (except for long-term loans payable due within one year):
1 to 2 years
2 to 3 years
3 to 4 years
4 to 5 years
Amount of loans
19,000,000
24,000,000
21,000,000
13,000,000(Thousands of yen)

7. NET ASSETS
MTR is required to maintain net assets of at least ¥50 million as required pursuant to the Investment Trust Law.

14

8. INCOME TAXESAt September 30, 2021 and March 31, 2022 MTR’s deferred tax assets consisted mainly of enterprise tax payable, which is notdeductible for tax purposes.
The significant components of deferred tax assets and liabilities as of September 30, 2021 and March 31, 2022 were as follows:
As of September 30, 2021
As of March 31, 2022
Thousands of yen

Deferred tax assets:
Accrued enterprise tax
Total deferred tax assets
Deferred tax liabilities:
Reserve for advanced depreciation of non-current assets
Total deferred tax liabilities
Net deferred tax assets (liabilities)

0
0

13
13

656,582
656,582(656,581)

803,436
803,436(803,422)

A reconciliation of the tax rate differences between the adjusted statutory tax rate and the effective tax rates for the six months
ended September 30, 2021 and March 31, 2022 was as follows:
April 1, 2021 toOctober 1, 2021 toSeptember 30, 2021
March 31, 2022
Statutory tax rate
31.46%
31.46%
Deductible dividend distribution(28.32%)(28.32%)Others0.01%
0.01%
Effective tax rates
3.15%
3.15%
MTR is subject to Japanese corporate income taxes on all of its taxable income. However, under the Special Taxation Measures
Law (STML) of Japan, an investment corporation is allowed to deduct dividends of accounting profits, or dividend distributions,paid to investors from its taxable income if certain tax requirements are satisfied. Such tax requirements include dividend
distributions in excess of 90% of the investment corporation’s distributable profit for the accounting period as stipulated in
Article 67-15 of the STML. Based on the distribution policy provided by its Articles of Incorporation, MTR made a dividend
distribution of approximately 100% of retained earnings in the amount of ¥4,217,400 thousand at March 31, 2022 and treated it
as a tax-deductible distribution. MTR does not distribute dividends in excess of accounting profit in accordance with its Articles
of Incorporation.

9. PER SHARE INFORMATION
The following table summarizes information about net assets per share and net income per share at September 30, 202 andMarch 31, 2022 and for the six-month period then ended:Yen
Net assets per share at period end
Net income per share
Weighted-average number of shares

April 1, 2021 toSeptember 30, 2021
121,292
3,819
1,320,000 shares

October 1, 2021 toMarch 31, 2022
121,190
3,437
1,320,000 shares

In calculating net assets per share, the amount of the net assets has been adjusted for the cash distribution declared in thesubsequent period. Net income per share is computed by dividing net income by the weighted-average number of shares
outstanding during each period. Diluted net income per share has not been presented since no warrants or convertible bonds were
outstanding during the period.

1510. RELATED PARTY TRANSACTIONSMTR entered into the following related party transactions:(1) Parent company and major corporate shareholders: None applicable(2) Subsidiaries: None applicable(3) Sister companies:(For the six months ended September 30, 2021)
Party type
Party name
Address
CapitalBusiness
Percentage of voting rights held
Concurrent board appointment
Business relationship
Details of transactions
Transaction amountAccount name and balance atperiod end

Subsidiary of other related company*
Mori Trust Co., Ltd.
Minato-ku Tokyo, Japan¥30,000,000 thousand
Urban development; hotel management andinvestment businessLeasing
Buying property¥13,980,000 thousand
Sale of property¥13,980,000 thousand
Rental revenues¥2,243,104 thousand
Property management revenues¥275,732 thousand
Rental and other receivables¥4,340 thousand
Rents received in advance¥24,761 thousand
Leasehold and security deposits including trust
accounts¥876,412 thousand
Trade accounts payable¥46,502 thousand
Accrued expenses¥264 thousand* MTR deemed Mori Trust Co., Ltd. to be a “Subsidiary of other related company” under Article 8 of Regulations Concerning
Financial Statements.

(For the six months ended March 31, 2022)
Party type
Party name
Address
CapitalBusiness
Percentage of voting rights held
Concurrent board appointment
Business relationship
Details of transactions
Transaction amount

Subsidiary of other related company*
Mori Trust Co., Ltd.
Minato-ku Tokyo, Japan¥30,000,000 thousand
Urban development; hotel management andinvestment businessLeasing
Buying property¥13,980,000 thousand
Sale of property¥13,980,000 thousand16

Account name and balance atperiod end

Rental revenues¥1,752,122 thousand
Property management revenues¥221,573 thousand
Rental and other receivables¥4,464 thousand
Rents received in advance¥24,761 thousand
Leasehold and security deposits including trust
accounts¥964,671 thousand
Trade accounts payable¥65,958 thousand
Accrued expenses¥1,073 thousand* MTR deemed Mori Trust Co., Ltd. to be a “Subsidiary of other related company” under Article 8 of Regulations Concerning
Financial Statements.

(4) Directors and major individual shareholders: None applicable1711. BREAKDOWN OF PROPERTY-RELATED REVENUES AND EXPENSES
A breakdown of property-related revenues and expenses for the six-month period ended September 30, 2021 and March 31, 2022
is summarized as follows:(1) Rental revenues and property-related expenses

Property-Related Revenues:
Property rental revenues
Common charges
Land rental revenues
Other rental revenues
Parking revenues
Utilities revenues
Penalty revenues
Other revenues
Property-Related Expenses:
Property management fees
Utilities expenses
Property and other taxes
Casualty insurance
Repairs and maintenance
Depreciation
Other rental expenses
ProfitThousands of yen
October 1, 2021 toApril 1, 2021 toMarch 31, 2022
September 30, 2021
7,485,180
6,739,063
7,122,682
6,378,952
238,888236,502123,609
123,609283,283
337,252
87,707
91,666
129,877
133,470
㸫
31,73033,967112,114
3,152,474
3,025,005
721,885
694,543
186,415
212,236
958,141
872,062
17,371
18,494
126,339
72,707
1,113,968
1,125,735
28,35329,225
4,615,989
4,051,310(2) Gain on sale of real estate

Income from sale of real estate
Cost of real estate sales
Other expenses on sale
Gain on sale of real estate

Thousands of yen
April 1, 2021 toOctober 1, 2021 toSeptember 30, 2021
March 31, 2022
Tokyo Shiodome Building
Tokyo Shiodome Building
13,980,000
13,980,000
12,538,270
12,520,098
7,824
7,824
1,433,905
1,452,077

18

12. FINANCIAL INSTRUMENTS
Overview(1) Policy for financial instruments
For efficient and stable management operations, MTR raises funds required for acquisition and renovation of assets, payment ofdividends and debt and regular operations mainly through bank borrowings, issuance of investment corporation bonds andissuance of new investment shares. MTR manages cash surpluses carefully in consideration of safety, liquidity, interest rateenvironment and cash flow plans.
(2) Types of financial instruments, related risk and risk management for financial instruments
Loans, issuance of investment corporation bonds and issuance of new investment shares are undertaken for acquisition of realestate or real estate trust beneficiary rights.
Loans and security deposits are exposed to liquidity risk. MTR prepares and updates its cash flow plans based on reports fromeach division and maintains the ready liquidity to manage liquidity risk.
In addition, MTR has established commitment lines of credit to ensure flexible fund procurement.
(3) Supplementary explanation of the estimated fair value of financial instruments
The fair value of financial instruments is based on their quoted market price, if available. When there is no quoted market priceavailable, fair value is reasonably estimated. Since various assumptions and factors are reflected in estimating the fair value,
different assumptions and factors could result in different fair values.

Estimated Fair Value of Financial Instruments
The carrying value of financial instruments on the balance sheet as of September 30, 2021 and estimated fair value are shown in
the following table. Notes to "Cash and deposits," "Cash and deposits in trust," and "Short-term loans payable" are omitted
because their fair value approximates their book value due to cash and short term settlements.
Thousands of yen
Carrying
Value

Estimated
Fair Value (1)Difference1) Current portion of
investment corporation bonds2) Current portion of long-termloans payable3) Investment corporation bonds

3,000,000

2,994,430(5,569)31,500,000

31,508,621

8,621

11,000,000

11,034,172

34,1724) Long-term loans payable

103,500,000

103,083,644(416,355)

9,618,022

9,374,160(243,861)

934,875

893,740(41,134)

159,552,897

158,888,767(664,126)

5)Tenant leasehold and security deposits
6)Tenant leasehold and security deposits
in trust
Total Liabilities

19

The carrying value of financial instruments on the balance sheet as of March 31, 2022 and estimated fair value are shown in thefollowing table. Notes to "Cash and deposits," "Cash and deposits in trust," and "Short-term loans payable" are omitted because
their fair value approximates their book value due to cash and short term settlements.
Thousands of yen
Carrying
Value

Liabilities
1) Current portion of
investment corporation bonds2) Current portion of long-termloans payable3) Investment corporation bonds4) Long-term loans payable5)Tenant leasehold and security deposits
6)Tenant leasehold and security deposits
in trust
Total Liabilities

Estimated
Fair Value (1)Difference

,000,000

3,973,298(26,701)

25,500,000

25,458,335(41,664)

9,000,000

8,774,831(225,168)

109,500,000

107,550,641(1,949,358)

7,565,023

7,114,959(450,063)

932,717860,922(71,794)

156,497,740

153,732,989(2,764,751)(1) Methods to determine the estimated fair value of financial instruments
Current portion of investment corporation bonds and investment corporation bonds
The fair value of investment corporation bonds is calculated based on the present value of the total of principal and interest
discounted at the current interest rate estimated by taking into consideration the remaining term of the investment
corporation bonds and their credit risk.
Current portion of long-term loans payable and long-term loans payable
The fair value of long-term loans is based on the present value of the total of principal and interest discounted by the interest
rate to be applied if similar new borrowings were entered into.
Tenant leasehold and security deposits and Tenant leasehold and security deposits in trust
The fair value of tenant leasehold and security deposits including trust accounts is based on the present value of the total of
cash flow discounted by an interest rate determined taking into account the remaining period of each item and current creditrisk.
(2) The redemption schedule for loans(As of September 30, 2021)
Due in1 year or lessCurrent portion of investment
corporation bonds
Current portion of long-term loans
payableInvestment corporation bonds

3,000,000-

31,500,000

Long-term loans payable

Thousands of yen
Due inDue in2 to 3 years
3 to 4 years

Due in1 to 2 years-

Due in4 to 5 years

Due after
5 years

-

-

-

-

-

-

-

-

-

-

4,000,000

3,000,000

4,000,000-

18,000,000

19,500,000

27,500,000

10,500,000

28,000,000

Due in1 to 2 years

Thousands of yen
Due inDue in2 to 3 years
3 to 4 years

Due in4 to 5 years

Due after
5 years(As of March 31, 2022)
Due in1 year or lessCurrent portion of investment
corporation bonds

4,000,000

-

-

-

-

-

Current portion of long-term loans

25,500,000

-

-

-

-

-

20

payable
Investment corporation bonds
Long-term loans payable-

3,000,000

1,000,000-

19,000,000

24,000,000

21

21,000,000

1,000,000
13,000,000

4,000,000
32,500,000

13. CASH AND CASH EQUIVALENTS
Cash and cash equivalents as of September 30, 2021 and March 31, 2022 were as follows:
Thousands of yen
As of March 31, 2022
As of September 30, 2021
18,883,962
14,680,828
2,979,150
3,197,268
21,863,112
17,878,096

Cash and deposits
Cash and deposits in trust
Cash and cash equivalents

14. LEASESMTR leases properties and earns rental revenues. Future lease revenues subsequent to September 30, 2021 and March 31, 2022
under non-cancelable operating leases were as follows:

Due within one year
Due after one year
Total

Thousands of yen
As of March 31, 2022
As of September 30, 2021
6,255,716
6,741,780
11,055,305
14,810,423
17,311,021
21,552,203

15. REVENUE RECOGNITION
1.Breakdown of revenue from contracts with customers
For the period from April 1, 2021 to September 30, 2021

Sales of real estate properties *2
Utilities income
Others
Total

Thousands of yen
Revenue from contracts with customers *1
Revenue from external customers
13,980,000
1,433,905
130,040
130,040
7,638,423
14,110,040
9,202,368

For the period from October 1, 2021 to March 31, 2022

Sales of real estate properties *2
Utilities income
Others
Total

Thousands of yen
Revenue from contracts with customers *1
Revenue from external customers
13,980,000
1,452,077
133,639
133,639
6,942,676
14,113,639
8,528,392*1 Rent revenues subject to Accounting Standard for Lease Transactions (ASBJ Statement No. 13) are excluded from “Revenue
from contracts with customers” as such revenues are not subject to Accounting Standard for Revenue Recognition. Revenue
from contracts with customers mainly represents revenues from the sale of real estate and utilities.
*2 Sales of real estate properties are recorded as gains or losses on sales of real estate properties in the statements of income areretained earnings in accordance with Article 48-2 of the Regulations on Accounting of Investment Corporation (Cabinet
Office Ordinance No. 47 of 2006), and therefore the amount represents the proceeds from sales of real estate properties, lessthe cost of real estate properties sold and other sales expenses.
2. Information that provides a basis for understanding revenue from contracts with customers
For the period from $SULO 1, 2021 to September 30, 2021
As described in the Summary of Significant Accounting Policies.
For the period from 2FWREHU 1, 2021 to March 31, 2022
As described in the Summary of Significant Accounting Policies.

223. Information about the relationship between the fulfillment of performance obligations under contracts with customers and cash
flows arising from those contracts, and the amount and timing of revenue expected to be recognized in subsequent periods fromcontracts with customers that existed at the end of the current period
For the period from April 1, 2021 to September 30, 2021
(1) Balance of contract assets and contract liabilities

Claims arising from contracts with customers (At beginning of period)
Claims arising from contracts with customers (At end of period)
Contract assets (At beginning of period)
Contract assets (At end of period)
Contract liabilities (At beginning of period)
Contract liabilities (At end of period)

Thousands of yen
April 1, 2021 toSeptember 30, 2021
21,69826,233-(2) Transaction price allocated to remaining performance obligations  As of September 30, 2021, the total transaction price allocated to the remaining performance obligations for the sale of realestate is 13,980,000 thousand yen for the real estate for which a sale contract was executed on March 25, 2021.
  MTR expects to recognize revenue for such remaining performance obligations upon delivery of such real estate properties,
which is expected to occur on October 1, 2021.
  In accordance with Paragraph 19 of the Guidance on Accounting Standard for Revenue Recognition, MTR recognizes utility
revenues at the amount it has the right to charge, because MTR has the right to receive from the customer the amount ofconsideration that directly corresponds to the value to the customer, the lessee, of the portion of the performance completed
by the end of the fiscal year. Accordingly, MTR has applied the provisions of paragraph 80-22(2) of the AccountingStandard for Revenue Recognition and has not included in the notes the transaction price allocated to the remaining
performance obligations.
For the period from October 1, 2021 to March 31, 2022
(1) Balance of contract assets and contract liabilities

Claims arising from contracts with customers (At beginning of period)
Claims arising from contracts with customers (At end of period)
Contract assets (At beginning of period)
Contract assets (At end of period)
Contract liabilities (At beginning of period)
Contract liabilities (At end of period)

Thousands of yen
October 1, 2021 toMarch 31, 2022
26,23324,828-(2) Transaction price allocated to remaining performance obligations

  In accordance with Paragraph 19 of the Guidance on Accounting Standard for Revenue Recognition, MTR recognizes
utility revenues at the amount it has the right to charge, because MTR has the right to receive from the customer the amountof consideration that directly corresponds to the value to the customer, the lessee, of the portion of the performancecompleted by the end of the fiscal year. Accordingly, MTR has applied the provisions of paragraph 80-22(2) of the
Accounting Standard for Revenue Recognition and has not included in the notes the transaction price allocated to theremaining performance obligations.

23

16. INVESTMENT AND RENTAL PROPERTIESMTR owns office buildings and retail facilities for lease mainly in Tokyo and other areas. The carrying value in the balance
sheet and corresponding fair value of those properties are as follows:
Thousands of yen
Fair Value(3)

Carrying Value(1)

Use
Officebuildings
Retailfacilities
Others
Total

Carrying Value
(1)

As of
September
30, 2021

As of
September
30, 2021

Net Changes

(2)

As of
September
30, 2021

217,600,132

952,841

218,552,974

235,040,000

68,909,759(94,357)

68,815,401

19,034,596(165,348)

305,544,488

693,135

As of
March
31, 2021

Net Changes

Fair Value
(3)

(2)

As of
March
31, 2022

As of
March
31, 2022

218,552,974

1,070,360

219,623,334

239,390,000

85,310,000

68,815,401(127,710)

68,687,691

85,310,000

18,869,248

20,980,000

18,869,248(194,635)

18,674,613

21,110,000

306,237,624

341,330,000

306,237,624

748,014306,985,638

345,810,000(1)The carrying value represents the acquisition cost less accumulated depreciation.
(2) In the previous and current period, the main reason for the increase was the acquisition of Kamiyacho Trust Tower, and thereason for the decrease was the transfer of Tokyo Shiodome Building and depreciation.
(3)The fair value is an appraisal value or a price estimated by real estate appraisers outside MTR.
The profit and loss for the six-month period ended September 30, 2021 and March 31, 2022 concerning rental properties is asfollows:
Thousands of yen

April 1, 2021 toSeptember 30, 2021
Use

Officebuildings
Retailfacilities
Others
Total

RentalRevenues(1)

PropertyrelatedExpenses(1)

5,099,521

2,437,616

1,938,164

381,460

October 1, 2021 toMarch 31, 2022
Gain onSale ofInvestment
Property(2)

RentalRevenues(1)

PropertyrelatedExpenses(1)

Net Income

Gain onSale ofInvestment
Property(2)

2,661,904

1,433,905

4,551,268

2,372,315

2,178,953

1,452,077

1,556,704-

1,797,177

322,948

1,474,229-

Net Income

730,777

333,397

397,380-

727,869

329,741

398,127-

7,768,463

3,152,474

4,615,989

1,433,905

7,076,315

3,025,005

4,051,310

1,452,077(1)“Rental revenues” and “Property-related expenses”, which are rental revenues and related expenses (depreciation, repairs andmaintenance, casualty insurance, property and other taxes etc.), are presented in the statements of income and retained earnings
as “Operating revenue” and “Operating expenses”.
(2)“Gain on sale of investment property” is presented in the statements of income and retained earnings under “Operating
revenue”.

17. SEGMENT AND RELATED INFORMATION
Segment Information
Since the business of MTR consists of only the “real estate leasing business”, there are no reporting segments. Therefore,
segment disclosures have been omitted.
(For the six months ended September 30, 2021)

Related Information(1)Information about products and services
Since the proportion of operating revenues from external customers for each product and service exceeds 90% of operating
revenues, product and service disclosures have been omitted.

24

(2)Information about geographical areas
ձOperating revenues
Since the proportion of operating revenues from external customers in Japan exceeds 90% of operating revenues,
geographic area disclosures have been omitted.
ղProperty and equipment
Since the proportion of property and equipment located in Japan exceeds 90% of property and equipment located in all
countries, property and equipment disclosures have been omitted.
(3)Information about major customers
Thousands of yen

Name of major customers
Mori Trust Co., Ltd.

Operating Revenues
3,677,009

Related Segment
Leasing Business(For the six months ended March 31, 2022)

Related Information(1)Information about products and services
Since the proportion of operating revenues from external customers for each product and service exceeds 90% of operating
revenues, product and service disclosures have been omitted.
(2)Information about geographical areas
ձOperating revenues
Since the proportion of operating revenues from external customers in Japan exceeds 90% of operating revenues,
geographic area disclosures have been omitted.
ղProperty and equipment
Since the proportion of property and equipment located in Japan exceeds 90% of property and equipment located in all
countries, property and equipment disclosures have been omitted.
(3)Information about major customers
Thousands of yen

Name of major customers
Mori Trust Co., Ltd.

Operating Revenues
3,204,199

18. SUBSEQUENT EVENTS
None applicable.

25

Related Segment
Leasing Business