Financial Results for Third Quarter of Fiscal Year Ending
March 31, 2014
(Based on Japanese GAAP)(Translation of Japanese Flash Report, Released on February 5, 2013)
Company name: Sun Frontier Fudousan Co., Ltd.
Stock listing: Tokyo Stock Exchange 1st Section
Code number: 8934
URL: http://www.sunfrt.co.jp
Address: 14F, Toho Hibiya Building, 2-2, Yurakucho 1-chome, Chiyoda-ku, Tokyo 100-0006
Representative: Tomoaki Horiguchi, President
Inquiry: Seiichi Saito, Executive Vice-president(Phone: +81-3-5521-1301)*Amounts under one million yen have been rounded down.

1. Consolidated Performance in Third Quarter of Fiscal Year Ending March 31, 2014
(1) Operating results*Percentage figures shown under sales, operating income, ordinary income, and net income columns indicate year-on-year changes for those
items.
(Millions of yen, except for per share figures)

Net Sales

Operating Income

Ordinary Income

3rd Quarter of FY ending March 31, 2014

¥10,492 (73.6%)¥2,738 (96.9%)¥2,643(98.1%)

3rd Quarter of FY ended March 31, 2013

¥6,045 (27.4%)¥1,391 (197.9%)¥1,334(217.8%)(Note) Comprehensive income, 3rd quarter of FY ending March 2014: ¥2,524 million (60.0%), 3rd quarter of FY ended March 2013:¥1,578 million (309.5%)

Net Income

Net Income per Share(Yen)

Fully Diluted
Net Income per
Share(Yen)

3rd Quarter of FY ending March 31, 2014

¥2,521 (59.8%)¥58.97－

3rd Quater of FY ended March 31, 2013

¥1,577 (308.7%)¥42.46¥42.46(Note) On October 1, 2013, the Company split each common share into 100 shares. Net Income per Share and Fully Diluted Net Income
per Share are calculated assuming the share split coming into effect at the beginning of the previous consolidated fiscal year.

(2) Financial Position (at end of the term)(Millions of yen, except for per share figures)

Total Assets

Net Assets

Equity Ratio(%)

3rd Quarter of FY ending March 31, 2014

¥28,609¥16,72258.5%

FY ended March 31, 2013

¥21,265¥14,56168.5%(Note) Equity at term-end: 3rd Quarter of FY ending March 31, 2014 (as of December 31, 2013): ¥16,722 million
FY ended March 31, 2013 (as of March 31, 2013): ¥14,561 million

2. Cash Dividends(Yen)
Cash Dividends per Share
1st quarter period

2nd quarter period

3rd quarter period

FY ended March 31, 2013

-

¥0.00

-

FY ending March 31, 2014-

Year end¥850.00

Annual total¥850.00

FY ending March 31, 2014
¥0.00
¥11.50¥11.50(Projections)(Note) Changes from the latest released dividend forecasts:Yes
On October 1, 2013, the Company split each common share into 100 shares. Dividends for the FY ending March 2014 (projected) willtake this share splitting into consideration.

3. Projections for Consolidated Performance in the Fiscal Year Ending March 31, 2014
(From April 1, 2013 to March 31, 2014) *Percentage figures are indicated year-on year changes for those items.

Net Sales
FY ending March 31, 2014

¥16,000 (51.2%)

Operating Income(Loss)

Ordinary Income(Loss)¥3,900 (80.8%)¥3,700 (81.4%)(Millions of yen, except for per share figures)
Net Income (Loss) per
Net Income
Share (Yen)(Loss)(Yen)¥3,500 (3,500%)¥81.86(Note) Changes from the latest released performance:Yes
On October 1, 2013, the Company split each common share into 100 shares. Net income per share for projected consolidated
performance for the FY ending March 2014 takes this share splitting into consideration.

Reference: Overview of Non-consolidated Performance(1) Significant changes in scope of consolidation during the period (change of specified subsidiaries that lead to a change inthe scope of consolidation): None
New Companies: -- Company (Company Name)
Excluded Companies: -- Company (Company Name)(2) Application of accounting methods which are exceptional for quarterly consolidated financial statement: None
(3) Changes in accounting policies, accounting estimates and restatement of corrections
1) Changes caused by revision of accounting standards: None
2) Changes other than those included in 1): None
3) Changes in accounting estimates: None
4) Restatement of corrections: None
(4) Number of shares issued and outstanding (common shares)
1) Number of shares issued and outstanding at the end of the period (including treasury stock):
September 2013: 42,755,500 shares
March 2013: 42,755,500 shares
2) Number of treasury stock at the end of period:
September 2013: － shares
March 2013: － shares3) Weighted average number of shares for the second quarter period (July 1 – September 30):
September 2013: 42,755,500 shares September 2012: 37,153,470 shares※Disclosure concerning status of implementation of quarterly review procedure
This quarterly financial results report is exempt from the quarterly review procedure based on the Financial Instruments andExchange Law. At the time of disclosure of this quarterly financial results report, such review procedure for quarterly reports
based on the Financial Instruments and Exchange Law had been under development.

※Appropriate use of projections for performance, other notes
1.The projections for performance in this report contain forward-looking statements based on information available to the Company
at the date of publication, and on certain set assumptions that have been deemed reasonable. Actual earnings may vary greatly inaccordance with a wide range of factors. Refer to Item 3, “Qualitative information on consolidated earnings forecasts” on page 3.
2. On October 1, 2013, the Company split each common share into 100 shares. The status of dividends for FY ending March 2014
(projected) and Net Income per Share for the projected consolidated performance for the FY ending March 2014 both take thisshare splitting into consideration.

Table of Contents of Appendix
1. Qualitative Information Concerning Consolidated Business Performance for the Quarter Under Review ............... 2(1) Qualitative information on consolidated operating results ..................................................................................... 2(2) Qualitative information on consolidated financial position .................................................................................... 3(3) Qualitative information on consolidated earnings forecasts ................................................................................... 3
2. Summary Information (Notes) ................................................................................................................................... 4(1) Significant changes in scope of consolidation during the period............................................................................ 4(2) Application of accounting methods which are exceptional for quarterly consolidated financial statements ......... 4(3) Changes to accounting policies/ changes to accounting estimates/ restatements ................................................... 4
3. Consolidated Financial Statements............................................................................................................................. 5(1) Quarterly consolidated balance sheets .................................................................................................................... 5(2) Quarterly consolidated statements of income and quarterly consolidated statements ofcomprehensive income ......................................................................................................................................... 7(3) Notes to quarterly financial statements ................................................................................................................... 9(Notes regarding the conditions of going business) ............................................................................................... 9(Notes in the case of major changes in shareholders’ equity) ................................................................................ 9(Segment information, etc.) .................................................................................................................................... 9(Important Subsequent Events) ............................................................................................................................ 10

1

1. Qualitative Information Concerning Consolidated Business Performance for the Quarter Under Review(1) Qualitative information on consolidated operating results
In this consolidated third quarter period (April 1, 2013 to December 31, 2013),, the Japanese economy
showed improvements in personal consumption and corporate profits due to economic measures anddrastic monetary easing by the Japanese government and the Bank of Japan, and signs of economic recovery
are becoming more evident.
In the real estate industry, the supply of large office buildings that peaked in 2012 has settled down, gradually putting a
brake on vacancy rates and rents are also showing signs of recovery. for the office building market in Tokyo.
In the real estate investment market, there has been clear signs of recovery for the market with J-REIT actively
acquiring properties, and a background of eased monetary policy leading to an influx of capital into real estate.
In these circumstances, the Group continued to seek solutions to the real estate issues that building owners face withproperty in central Tokyo, providing a one-stop service from negotiations to management, construction, rental andpurchases and sales. Through dealing with customers closely on an individual basis, we have been able to develop
multi-faceted revenue-generating opportunities. For example, by promptly introducing tenants to property owners withempty rooms on their hands, we have won client confidence, ensuring that these owners later turn to us for building
management and construction services. We have also maintained our relationship with purchasers of replanning properties
by taking care of their property management, with the result that the purchaser later uses our brokerage service when thetime comes to sell the property.
Further, by mobilizing the set of expertise associated with each of our services, by putting ourselves in our customer’s
shoes to brainstorm new ideas, and by bringing our creativity into play to approach our projects in a multi-dimensionalway, we have pursued the real-estate revitalization with value-added chain. We have achieved revitalization with prompt
high occupancy rate by coordinating a strong interrelationship between all departments, such as exploiting our local
expertise as a rental agency to strategically plan renovation projects, ensuring a high contract renewal rate by taking greatcare to serve individual tenants in our capacity as property managers.
As a result, our operating results for the third quarter of fiscal year ending March 2014 were as follows:
Sales of ¥10,492 million (up by 73.6% from the same period of the previous fiscal year), operating income of ¥2,738
million (up by 96.9%), and ordinary income of ¥2,643 million (up by 98.1%). Net income was ¥2,521 million (up by
59.8%).
The performance of each segment is as follows. The business segment titled “Construction Planning Business” in the
category of “Others” was renamed “Construction Solution Business” in the first quarter of this consolidated fiscal year in
response to the change of the name for internal administration. We changed the name only, and segment categories, etc.
were not changed.

Real Estate Revitalization
As for the replanning business, we sold 11 buildings, working on maximizing property value by
attracting tenants and revising commercialization processes, including renovation. As a result, sales andincome both increased significantly compared to the same period of the previous year. In addition, in view ofthe further market recovery that is forecast, we have also focused our efforts on the purchase and commercialization ofproperties to be sold in the fourth quarter of this consolidated fiscal year.
As for the rental building business, we sold one building for rent in September of the previous consolidated fiscal year,
but the income from rents of replanning real estate increased. Consequently, sales and income increased from the same
period of the previous fiscal year.
As a result of the above activities, sales were ¥7,729 million (up by 116.2% from the same period of the previous fiscal
year) and segment income was ¥2,725 million (up by 110.1%).

Real Estate Brokerage
In our sales brokerage business, we strengthened our efforts to take on property introductions frominternal departments and financial institutions, etc. In view of the recovery of the real estate investment
market, etc., we have secured more contracts, and sales and profits increased from the same period of the previous year.
In the rental brokerage business, we continued to focus our efforts on building owners. Although both sales and income
decreased from the same period of the previous fiscal year, we put our efforts into resolving the various concerns held byowners regarding building management by cooperating with internal departments. In addition, we introduced our own
properties and replanning properties that are undergoing commercialization for tenants. These efforts contributed to the
profitability of the group as a whole.
As a result of the above activities, sales were ¥1,300 million (up by18.1% from the same period of the previous fiscal
year) and segment income was ¥1,009 million (up by 3.5%).
2

Property Management
In the property management business, we aimed to create business opportunities from taking on thesales, construction, and revitalization needs arising from administrative tasks, and put our efforts inincreasing the number of rental properties. In order to build longer and stronger relationships with our clients, wehave worked in collaboration with other departments to provide purchasers with ongoing service such as securing property
management contracts with customers who have purchased properties with our brokerage or replanning.As a result, bothsales and income increased from the same period of the previous fiscal year.
As for the building maintenance business, we worked on increasing the number of properties handled in cooperation
with existing sections, particularly the property management business section, but due in significant part to the loss of amajor existing contract, sales and income declined from the same period of the previous fiscal year.
As a result of the above activities, sales were ¥814 million (down by 4.5% from the same period of the previous fiscal
year) and segment income was ¥353 million (up by 3.5%).

Other Businesses
As for the construction solution business, due to an increase in the number of construction requests from managed
properties, both sales and income increased compared to the same period of the previous fiscal year.
In the delinquent rent guarantee business, adding to the existing service menu, transaction volume of new productplans steadily increased. As a result, both sales and income increased from the same period of the previous fiscal year.
As a result of the above activities, sales were ¥648 million (up by 25.80% from the same period of the previous fiscal
year) and segment income was ¥252 million (up by 15.9%).
(2) Qualitative information on consolidated financial position
At the end of the third quarter of this consolidated fiscal year, total assets were 28,609 million yen (34.5% increase
compared with the end of the previous consolidated fiscal year), and liabilities were 11,887 million yen (77.3% increase).
The main reason for the increase in total assets was that there was a 8,386 million yen increase in inventory assets, despitea 804 million yen decrease in cash and deposits, and a 293 million yen decrease in advance payments, which is included in
the “others” section of current assets, etc. The main reason for the increase in liabilities was the ¥4,833 million increasein loans payable to finance increased property acquisition, as well as the ¥281 million increase in long-term guarantee
deposits that is included under “Noncurrent Liabilities” in the “Other” section.
Net assets were 16,722 million yen (14.8% increase). The main reason for the increase in net assets was posting 2,521
million yen in quarterly net income, despite 363 million yen being paid out for year-end dividends.
(3) Qualitative information on consolidated earnings forecasts
We are revising the values announced on May 10, 2013 with regard to performance for the fiscal year ending March
2014. For details of these revisions, please refer to the report that we are presenting today, “Notice of Revisions to theProjected Consolidated Performance for the Fiscal Year Ending March 2014, and Revision of Dividend Forecasts”.

32. Summary Information (Notes)(1) Significant changes in scope of consolidation during the period
Not applicable.
(2) Application of accounting methods which are exceptional for quarterly consolidated financial statements
Not applicable.
(3) Changes to accounting policies/ changes to accounting estimates/ restatements
Not applicable.

43. Consolidated Financial Statements*Amounts under one thousand yen have been rounded down.

(1) Quarterly Consolidated Balance Sheets

FY ended March 31, 2013(as of March 31, 2013)ASSETS
Current assets
Cash and deposits
Accounts receivable-trade
Real estate for sale
Real estate for sale in process
Trust beneficiary right of real estate for sale in process
Supplies
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings, net
Land
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets

11,008,528
324,426
589,712
5,834,510

5(Thousands of yen）
End of 3Q of FY ending
March 31, 2014(as of December 31, 2013)

916
481,722
640,490△6,347
18,873,960

10,203,996
275,465
3,661,094
9,669,933
1,479,766
828
112,814459,730△11,036
25,852,593

447,273
1,167,307
13,038
1,627,618

471,823
1,167,307
13,066
1,652,196

396,068
2,993
399,062

358,8442,524
361,369

371,415△6,417364,997
2,391,678
21,265,638

457,736
291,446△5,670743,5132,757,079
28,609,673

FY ended March 31, 2013(as of March 31, 2013)
LIABILITIESCurrent liabilities
Accounts payable-trade
Short-term loans payable
Current portion of long-term loans payable
Income taxes payable
Provision for bonuses
Provision for directors' bonuses
Construction warranty reserve
Provision for loss on guarantees for rent
Provison for office transfer expenses
Other
Total current liabilities
Noncurrent liabilities
Long-term loans payable
Deferred tax liabilities
Other
Total noncurrent liabilities
Total liabilities
NET ASSETS
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

380,782
130,000
274,320
114,639
90,55515,00026,9552,700
3,140
808,943
1,847,036

234,559
349,000
1,104,400
213,60946,74911,25022,294
7,699

4,246,860
30,646579,691
4,857,197
6,704,234

8,031,180

8,387,211
2,871,767
3,301,465

6(Thousands of yen）
End of 3Q of FY ending
March 31, 2014(as of December 31, 2013)

1,005,097
2,994,660

861,277
8,892,457
11,887,118

14,560,445

8,387,211
2,871,767
5,459,588△121
16,718,446

2,606△1,647959
14,561,404
21,265,638

2,313
1,795
4,108
16,722,555
28,609,673

(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of comprehensive income
Quarterly Consolidated Statements of Income

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Subsidy income
Interest on refund
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of noncurrent assets
Other
Total extraordinary income
Extraordinary loss
Office transfer expenses
Lump-sum paymants due to withdrawal from employees' pension fund
Other
Total extraordinary losses
Income before income taxes and minority interests
Income taxes-current
Income taxes-deferred
Total income taxes
Income before minority interests
Net income

3Q of FY ended
March 31, 2013
(April 1-December 31, 2013)
6,045,246
3,049,163
2,996,083
1,604,788
1,391,294(Thousands of yen）
3Q of FY ending
March 31, 2014
(April 1-December 31, 2013)
10,492,890
5,894,088
4,598,802
1,859,965
2,738,837

854
336
845
66
1,922
4,024

2,674
367
2,800
1,977
3,265
11,083

52,6908,175
60,866
1,334,453

94,513
11,694106,208
2,643,713

298,240
2,800
301,040

79
79
1,796

20,787975
21,762
1,613,731
38,345△2,33136,014
1,577,716
1,577,716

7

105
1,901
2,641,891
239,660△119,313
120,346
2,521,544
2,521,544

Quarterly Consolidated Statements of comprehensive income

3Q of FY ended
March 31, 2013
(April 1-December 31, 2012)(Thousands of yen）
3Q of FY ending
March 31, 2014
(April 1-December 31, 2013)

1,577,716

2,521,544

412
412
1,578,129

△293
3,442
3,149
2,524,693

1,578,129

2,524,693

Consolidated quarterly statements of comprehensive income
Income before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of the parent

8

(3) Notes to quarterly financial statements(Notes regarding the conditions of going business)
Not applicable.
(Notes in the case of major changes in shareholders’ equity)
Not applicable.
(Segment information, etc.)
I Third Quarter of Fiscal Year Ended March 31, 2014 (April 1, 2013 – December 31, 2013)
1. Information concerning sales and income or loss amount by reporting segment(Thousands of yen)
Quarterly
consolidated
Adjustment
Other
inocme/loss
Totalamountsbusiness
Real Estate Real Estate Property
statement
Total(Note 2)
(Note 1)
Revitalization Brokerage Management
amount(Note 3)
3,575,706 1,101,465
852,179 5,529,352 515,894 6,045,246
6045,246－
Reporting segment

Sales
Segment
341,868 2614,295 217,640 2,831,936 △1,440,,641
1,391,294
1,297,083
975,344
income(loss)
Notes: 1. The classification “other business” refers to business segments that are not included in reporting segments, andincludes construction solution business and delinquent rent guarantee business, etc.
2. The segment income adjustments amount, △1,440,641 thousand yen, includes △1,493,053 thousand yen incompany-wide expenses that are not allocated to reporting segments and 52,412 thousand yen in adjustment
amounts for interest expense. The company-wide expenses are mainly selling, general and administrative
expenses that are not allocated to reporting segments.
3. Segment income (loss) is adjusted with operating incomes calculated in consolidated quarterly statements ofincome.
2. Information on impairment of non-current assets and goodwill etc. for each reporting segment
Not applicable.
II Third Quarter of Fiscal Year Ending March 31, 2014 (April 1, 2013 – December 31, 2013)
1. Information concerning sales and income or loss amount by reporting segment(Thousands of yen)
Quarterly
consolidated
Other
Adjustment
inocme/loss
businessTotalamounts
Real Estate Real Estate Property
statement
Total(Note 2)
(Note 1)
Revitalization Brokerage Management
amount(Note 3)7,729,018 1,300,890
814,025 9,843,934 648,955 10,492,890
10,492890－
Reporting segment

Sales
Segment
2,725,718 1,009,297
353,919 4,088,935 252,171 4,341,106 △1,602,269
2,738,837
income(loss)
Notes: 1. The classification “other business” refers to business segments that are not included in reporting segments, andincludes construction solution business and delinquent rent guarantee business, etc. The former “construction
planning business” has been renamed as “construction solution business” from the first quarter of this fiscal year
in response to the change of the name for internal administration. This change has no influence on the segment
information.
2. The segment income adjustments amount, △1,602,269 thousand yen, includes △1,696,783 thousand yen incompany-wide expenses that are not allocated to reporting segments and 94,513 thousand yen in adjustment
amounts for interest expense. The company-wide expenses are mainly selling, general and administrative
expenses that are not allocated to reporting segments.
3. Segment income (loss) is adjusted with operating incomes calculated in consolidated quarterly statements ofincome.
2. Information on impairment of non-current assets and goodwill etc. for each reporting segment
Not applicable.
9(Important Subsequent Events)
Not applicable10