July 28, 2022

Financial Results for the First Quarter of the Year Ending March 31, 2023 [J-GAAP](Consolidated)
Company Name:AIRPORT FACILITIES CO., LTD. (AFC)Stock Exchange Listed on:
Tokyo Stock Exchange (Prime Market)
Company Code:8864
URL: https://www.afc.jp/english/
Representative: Toshiaki Norita, President & CEO
Inquiries: Takahiro Hama, Executive Officer, General Manager of Accounting Dept. TEL: +81-3-3747-0251
The Date of Filing the Quarterly Securities Report:
August 1, 2022
The Date of the Dividend Payment Start:－
Preparation of Quarterly Earnings Presentation Material:
No
Holding of Quarterly Earnings Announcement:
No(Figures are rounded off to the nearest million yen.)

1. Consolidated Financial Results for the First Quarter of the Fiscal Year Ending March 2023 (April 1, 2022 - June 30, 2022)(1) Consolidated Business Results(Percentages are changes from the same period of the previous year.)
Profit attributable to
Net sales
Operating income
Ordinary income
owners of parent
First three months ended

Millions of yen% Millions of yen

6,190
5,792

June 30, 2022
June 30, 2021

6.8
(2.3)

(Note) Comprehensive income:% Millions of yen

1,003
1,048

(4.2)
(11.5)% Millions of yen

946
1,014

(6.6)
(14.1)First three months ended June 30, 2022: 1,191 million yen
First three months ended June 30, 2021:
848 million yen

Basic earnings per
shareFirst three months ended

June 30, 2022
June 30, 2021

%

777
641

21.1
(9.2)

40.4%
30.9%

Diluted earnings
per share

Yen

Yen

15.55
12.85

15.50
12.80

(2) Consolidated Financial Position
Total assets

Net assets

Equity ratio

Net assets per share

Millions of yen

Millions of yen%

Yen

As of June 30, 2022
As of March 31, 2022

105,027
102,468

56,10955,30650.9
51.4

1,070.99
1,055.28(Reference) Equity capital:

As of June 30, 2022: 53,486 million yen

As of March 31, 2022: 52,701 million yen

2. Dividends
Dividends per share

Q1

Q2

Q3

Q4

Annual

Yen

Yen

Yen

Yen

Yen

－
－

7.00

－

7.00

14.00

7.00

－

7.00

14.00

FY ended March 31, 2022
FY ending March 31, 2023
FY ending March 31, 2023 (Forecasts)(Note) Changes in the latest forecasts released: No

3. Forecast of Consolidated Earnings for the Year Ending March 2023 (April 1, 2022 - March 31, 2023)(Percentages are changes from the same period of the previous year.)Net salesFirst half
Full fiscal year

Operating income

Profit attributable toowners of parent

Ordinary income

Basic earnings
per share

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

12,29824,443

3.2
2.8

1,317
2,083

(36.4)(36.4)

1,174
1,597

(40.3)(46.0)

934
1,310(28.5)
59.5

18.70
26.23

(Note) Changes in the latest forecasts released: No- 1 -＊ Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting from changes in scope of
consolidation): No(2) Application of specific accounting treatments in preparing the quarterly consolidated financial statements: Yes
Note: For details, please refer to “2. Quarterly Consolidated Financial Statements and Major Notes (3) Notes on Quarterly Consolidated
Financial Statements (Application of Specific Accounting Treatments in Preparing the Quarterly Consolidated Financial Statements)” on
page 9.

(3) Changes in accounting policies, changes in accounting estimates, and restatement of revisions
1) Changes in accounting policies with revision of accounting standards, etc.: Yes
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: Yes
4) Restatement of revisions: No
Note: For details, please refer to “2. Quarterly Consolidated Financial Statements and Major Notes (3) Notes on Quarterly
Consolidated Financial Statements (Changes in Accounting Policies) and (Changes in accounting estimates)” on page 9.
(4) Number of issued shares (common shares)
1) Number of issued shares
As of June 30, 2022:(including treasury stock)2) Number of treasury stock
As of June 30, 2022:
3) Average number of shares during First three months ended
the period
June 30, 2022:

52,979,350 shares As of March 31, 2022:

52,979,350 shares

3,038,603 shares As of March 31, 2022:

3,038,541 shares

49,940,747 shares First three months ended
June 30, 2021:

49,911,003 shares* Financial Results report is outside the scope of a quarterly review by certified public accountants or an audit corporation.
* Explanation of the proper use of earnings forecasts and other special notes
The statements about future described on this report such as earnings forecasts have been made based on information currently available and someconditions that we judge rational, and therefore they do not constitute a guarantee that they will be realized. Actual earnings may differ greatly fromthe above forecasts for various reasons. For the assumptions for earnings forecasts and cautions regarding the use of the earnings forecasts, pleaserefer to page 4 “1. Qualitative Information on Consolidated Financial Results for the Quarter Ended June 30, 2022 (3) Qualitative Information on
Consolidated Earnings Forecast”.

- 2 -1. Qualitative Information on Consolidated Financial Results for the Quarter Ended June 30, 2022
(1) Explanation about Business Results
During the three months ended June 30, 2022, Japanese economy continued to be on a recovery trend as dining out andtravel-related consumption started to show signs of recovery after the COVID-19 quasi-state of emergency were fully liftedin late March 2022. Meanwhile, there are also concerns over the impact of the prolonged Ukraine crisis and the restraint on
economic activities in China as well as rising raw material prices and rapid yen weakening, requiring close monitoring ofdownside risks for the economy.
In an aviation industry, passenger demand for domestic flights during the Golden Week holiday, without pandemic-related
restrictions for the first time in three years, increased year on year, and demand for international flights also increased
following the easing of border control by the government in April. Although the number of new COVID-19 infections issurging again subsequently, passenger demand is expected to recover with the progress in the government’s efforts to bothprevent the spread of infections and maintain socioeconomic activities taking into account the situation of infection.
Under such economic conditions, the Group (the Company and its consolidated subsidiaries) recorded net sales of ¥6,190
million (up 6.8% from the same period of the previous fiscal year) mainly because there was no debt forgiveness of rent
receivables from airline companies which was recorded as part of the measures under the COVID-19 crisis in the fiscal year
ended March 31, 2022. Meanwhile, operating income was ¥1,003 million (down 4.2%) and ordinary income was ¥946
million (down 6.6%) mainly due to an increase in amortization related to asset retirement obligations associated with thestart of the Haneda Airport 1-Chome project. Profit attributable to owners of parent was ¥777 million (up 21.1%) mainly
due to extraordinary income recorded in relation to amended tax returns of corporate tax and consumption taxes for the year
ended March 31, 2021.
In terms of our efforts toward the realization of the Medium- to Long-Term Management Plan, we established “AFCAsset Management Co., LTD.,” a subsidiary to pursue one of the priority measures to expand non-asset businesses andstarted operation in June 2022. Also, as an effort to expand into new business domains, we signed an investment agreementwith an aviation fund in early July 2022.
Regarding sustainability promotion, we are working aggressively on initiatives to reduce environmental burden and helda test-ride event for hydrogen fuel cell forklifts at the Domestic Cargo Terminal Area in Tokyo International Airport as partof such effort.
Performance by business segment is as follows:(i) Real Estate Business
Real Estate Business recorded net sales of ¥4,859 million (up 3.9% from the same period of the previous fiscal year)
mainly because there was no debt forgiveness of rent receivables as part of the measures under the COVID-19 crisis, but
operating income was ¥732 million (down 15.7%) due to an increase in amortization related to asset retirement
obligations.
(ii) Area Heating & Cooling Business
Area Heating & Cooling Business operated by our consolidated subsidiary Tokyo Airport Heating & Cooling Co., Ltd.
recorded net sales of ¥789 million (up 20.2% from the same period of the previous fiscal year) and operating income of¥242 million (up 29.2%) mainly because there was no debt forgiveness of rent receivables as part of the measures under
the COVID-19 crisis and sales volume increased despite an increase in raw material costs due to a rise in the unit priceof electricity and gas.
(iii) Water Supply & Drainage Service and Other Business
Water Supply & Drainage Service and Other Business recorded net sales of ¥541 million (up 17.4% from the same
period of the previous fiscal year) and operating income of ¥27 million (operating loss of ¥9 million in the same periodof the previous fiscal year) due mainly to an increase in water supply and drainage usage compared to a year earlier
when COVIC-19 movement restrictions were in place.
(2) Qualitative Information on Consolidated Financial Position(Assets)
Total assets as of June 30, 2022 amounted to ¥105,027 million, an increase by ¥2,559 million compared to March 31,
2022, mainly due to recording of prepaid expenses for annual usage fee of national property.

- 3 -(Liabilities)
Liabilities as of June 30, 2022 amounted to ¥48,917million, an increase by ¥1,756 million from March 31, 2022,
mainly due to recording of accrued expenses for annual usage fee of national property.

(Net assets)
Net assets as of June 30, 2022 increased by ¥803 million compared to March 31, 2022 to ¥56,109 million mainly due toan increase in retained earnings.
As a result, equity ratio as of June 30, 2022 decreased by 0.5 points to 50.9% compared to March 31, 2022.
(3) Qualitative Information on Consolidated Earnings Forecast
There is no change in the Consolidated Earnings Forecast for the Year Ending March 31, 2023 which was announced in“Announcement of Recording of Extraordinary Income and Revisions to Interim and Full-Year Earnings Forecast”(Japanese version only) dated June 9, 2022.

- 4 -2. Quarterly Consolidated Financial Statements and Major Notes(1) Quarterly Consolidated Balance Sheets(Thousands of yen)
FY3/22(As of March 31, 2022)

First quarter of FY3/23(As of June 30, 2022)

AssetsCurrent assets
Cash and deposits

9,612,726

7,099,595

Accounts receivable - trade

1,303,500

1,845,494

Lease receivables and investment assets

10,548,425

11,063,415

Operating loans

2,999,771

4,158,101

Raw materials and supplies

15,817

17,076

Others103,617

3,923,413

24,583,859

28,107,096

Buildings and structures, net

47,660,935

46,718,708

Machinery, equipment and vehicles, net

5,853,495

5,697,777

260,775

239,004Land

13,386,664

13,386,664

Construction in progress

1,523,927

1,680,527

Total property, plant and equipment

68,685,798

67,722,682

Software544,968

515,833

Others19,31019,185

Total intangible assets

564,279

535,018

6,555,547

6,587,554

531

431

Total current assets
Non-current assets
Property, plant and equipment

Tools, furniture and fixtures, net

Intangible assets

Investments and other assets
Investment securities
Long-term loans receivable

1,240,345

1,247,404

Net defined benefit asset

232,963

222,079

Others614,955

615,635

Allowance for doubtful accounts(10,267)(10,267)

Total investments and other assets

8,634,077

8,662,838

77,884,155

76,920,540

102,468,014

105,027,636

Deferred tax assets

Total non-current assets
Total assets- 5 -(Thousands of yen)
FY3/22(As of March 31, 2022)

First quarter of FY3/23(As of June 30, 2022)

Liabilities
Current liabilities
Notes and accounts payable-trade

1,778,043

661,840

Short-term loans payable

5,131,648

5,740,402

Accounts payable

1,705,873

856,554

813,465

365,592

Accrued expenses

106,714

4,953,298

Unearned revenue

1,095,026

1,190,705

Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Provision for removal cost of property, plant and equipment

144,825

70,07451,880

7,850

7,605

149,896

Others216,114332,292

11,051,197

14,328,504

Bonds payable

6,100,000

6,100,000

Long-term loans payable

19,524,613

18,134,527

Long-term guarantee deposited

6,127,603

6,162,946

Long-term accounts payable-other

256,789

184,349

Deferred tax liabilities

31,96834,759Provision for removal cost of property, plant and equipment

183,851

87,147

Asset retirement obligations

3,885,762

3,885,762

Total non-current liabilities

36,110,587

34,589,491

47,161,785

48,917,996

Capital stock

6,826,100

6,826,100

Capital surplus

6,982,890

6,982,890

Retained earnings

38,799,813

39,227,230

Treasury stock(1,683,721)(1,683,754)

Total shareholders’ equity

50,925,081

51,352,466

1,714,018

1,698,023

Income taxes payable

Total current liabilities
Non-current liabilities

Total liabilities
Net assets
Shareholders’ equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

62,452435,775

1,776,471

2,133,799

Subscription rights to shares

76,17876,178Non-controlling interests

2,528,497

2,547,196

Total net assets

55,306,229

56,109,640

102,468,014

105,027,636

Foreign currency translation adjustment
Total accumulated other comprehensive income

Total liabilities and net assets- 6 -(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income(Quarterly Consolidated Statements of Income)(Thousands of yen)First three months of FY3/22(April 1, 2021 – June 30, 2021)

First three months of FY3/23(April 1, 2022 – June 30, 2022)

Net sales

5,792,661

6,190,393

Cost of sales

4,185,308

4,633,595

Gross profit

1,607,353

1,556,798

Directors’ compensations

63,18065,271

Salaries and bonuses

136,137

139,365

Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Transportation and communication expenses

50,74844,256

14,4407,850

15,582

16,994

Depreciation

7,944

25,591

Selling, general, and administrative expenses

Taxes and dues

50,33654,793

Others220,837

199,576559,205

553,698

1,048,147

1,003,099

Dividends income

34,47253,903

Commission fee

2,068

4,093

Foreign exchange gains

1,612

347

Others

14,09817,827

Total non-operating income

52,252

76,172

Interest expenses

83,26771,440

Removal cost of property, plant and equipment

2,616

6,955

Provision for removal cost－

53,192Others10986

Total selling, general, and administrative expenses
Operating income
Non-operating income

Non-operating expenses

85,894

132,574

1,014,505

946,698

Consumption taxes refund－

315,363

Others－

1,833

Total extraordinary income－

317,197

Loss on retirement of non-current assets

1,785

1,167

Total extraordinary loss

1,785

1,167

Income before income taxes

1,012,720

1,262,727

328,124

328,522－

100,174

Total income taxes

328,124428,697

Profit684,595

834,030

Total non-operating expenses
Ordinary income
Extraordinary income

Extraordinary loss

Income taxes
Income taxes for prior periods

Profit attributable to non-controlling interests

43,12357,027

Profit attributable to owners of parent

641,471

777,002- 7 -(Quarterly Consolidated Statements of Comprehensive Income)(Thousands of yen)First three months of FY3/22(April 1, 2021 – June 30, 2021)

First three months of FY3/23(April 1, 2022 – June 30, 2022)

684,595

834,030

Valuation difference on available-for-sale securities(166,104)(15,994)

Foreign currency translation adjustment

330,045

373,322

Total other comprehensive income

163,940

357,327

848,536

1,191,358

Comprehensive income attributable to owners of parent

805,4121,134,330

Comprehensive income attributable to non-controlling interests

43,12357,027

ProfitOther comprehensive income

Comprehensive income
Comprehensive income attributable to- 8 -(3) Notes on Quarterly Consolidated Financial Statements(Notes on Premise of Going Concern)
Not applicable.
(Notes on Significant Changes in Shareholders’ Equity)
Not applicable.
(Changes in Accounting Policies)(Application of the accounting standard for revenue recognition)
On April 1, 2022, the Company applied the “Implementation Guidance on Accounting Standard for Fair Value
Measurement” (ASBJ Guidance No.31, June 17, 2021, “Implementation Guidance on Accounting Standard for Fair
Value Measurement”), and the new accounting policies stipulated in the Implementation Guidance on AccountingStandard for Fair Value Measurement, etc. are applied prospectively pursuant to the transitional treatment stipulated by
Paragraph 27-2 of the Implementation Guidance on Accounting Standard for Fair Value Measurement. The impact of
this application on the quarterly consolidated financial statements is insignificant.
(Changes in accounting estimates)(Change in useful life)
As it was decided that the disaster risk management measures in the 1-chome District of Tokyo International Airport
will progress based on the Fundamental Plan for National Resilience under the Basic Act for National Resilience
Contributing to Preventing and Mitigating Disasters for Developing Resilience in the Lives of the Citizenry, the useful
lives of the Company’s buildings, machinery and equipment on the area were shortened effective April 1, 2022 tocomplete depreciation of these assets within the estimated remaining useful lives.
As a result of this change, operating income, ordinary income, and income before income taxes for the three months
ended June 30, 2022 decreased by ¥46 million compared to those that would have been recorded under the previous
method.
(Application of Specific Accounting Treatments in Preparing the Quarterly Consolidated Financial Statements)
Tax expenses are calculated as income before income taxes for the period multiplied by the estimated effective tax rate.
The effective tax rate is reasonably estimated taking into consideration deferred tax accounting as the rate applicable toincome before income taxes for the consolidated fiscal year including the period ended June 30, 2022.
(Additional information)(Impacts of COVID-19 on the accounting estimates)
During the three months ended June 30, 2022, there was no material change in the impact of COVID-19 on theaccounting estimates described in the Annual Securities Report for the year ended March 31, 2022.

- 9 -