Kyoritsu Maintenance Co., Ltd.
(Securities Code: 9616)

Summary of Financial Statement
for the Six Month Period Ended September 30, 2019
［JGAAP］ (Consolidated)
November 20191

Summary of Financial Statements for the Six Month Period
Ended September 30, 2019［JGAAP］(Consolidated)
November 8, 2019

Company Name: Kyoritsu Maintenance Co., Ltd.
Stock Exchange listing: Tokyo
Stock Code: 9616, URL: https://www.kyoritsugroup.co.jp/
Representative: Takumi Ueda, President
Contact: Koji Nakamura, Executive Managing Director; Tel: +81-3-5295-7778
Scheduled date of quarterly securities report submission (Projected): November 11, 2019
Scheduled date of dividend payment commencement (Projected): December 5, 2019
Supplementary materials for the first half financial statements: Yes
Presentation to explain for the first half financial statements: Yes (for institutional investors and analysts)(Million JPY, rounded down to the nearest million)
1. Consolidated financial results for the first half of the fiscal year Ended September 2019 (April 1, 2019 to September 30, 2019)(1) Consolidated Operating Results (Year to date)(% figures represent changes over the same period of the previous year)
Revenue

Operating profit

Profit attributable to ownersof the Company

Ordinary profit

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

93,815

18.4

9,066

12.7

8,972

14.5

6,114

14.9

FY3/19 H1
79,204
11.7
8,044
11.5
7,839
11.0
5,319
(Note) Comprehensive income: ¥5,776 million (+5.0% YoY) in FY3/20 H1; ¥5,501 million (+17.9% YoY) in FY3/19 H1

14.8

FY3/20 H1

EPS

Fully Diluted EPS
Yen

FY3/20 H1

Yen

156.82―

FY3/19 H1
136.45
Note: Fully diluted EPS in FY3/20 H1 is not showed because there were no dilutive shares.

125.74(2) Consolidated Financial Position

Millions of yen

Millions of yen

Shareholders’ Equity
Ratio%

208,955

84,37040.4

2,163.88

As of March 31, 2019
202,531
79,57039.3(Reference) Own capital: ¥84,370 million as of September 30, 2019; ¥79,570 million as of March 31, 2019

2,040.75

Total Assets

As of September 30, 2019

Net Assets

Shareholders’ Equity
Per ShareYen

2. Dividends
Annual Dividend Per Share
Q1-EndQ2-EndYen

FY3/19FY3/20Q3-End
Yen
20.00
22.00

―
―

Fiscal Year-End
Yen―

FY3/20 (Projected)―(Note) Modifications in the dividend projections from the latest announcement: None

Total

Yen
25.00

Yen
45.00

25.00

47.00

3. Forecasts for consolidated operating results for FY3/20 (April 1, 2019 to March 31, 2020)(% figures represent changes from previous fiscal year)
Revenue
Millions of yen

Operating profit% (YoY)

Millions of yen

Profit attributable toowners of the Company

Ordinary profit% (YoY)

Millions of yen

FY3/20183,000
12.4
15,7007.8
15,400(Note) Modifications in consolidated operating results from the latest announcement: None2

EPS

% (YoY)

Millions of yen% (YoY)Yen

7.5

10,2006.6

261.60Notes(1) Changes in significant subsidiaries during the period, including changes in specified subsidiaries resulting in the change inconsolidation scope: None
(2) Application of special accounting procedures in the preparation of our quarterly consolidated financial statements: Applicable(Note) Please refer to “2. Quarterly Consolidated Financial Statements and Major Notes, (4) Notes to quarterly consolidated
financial statements (Application of special accounting procedures in the preparation of our quarterly consolidated financial
statements)” on page 14 for more details.
(3) Changes in accounting policies, changes in accounting estimates and restatements:
1. Changes in accounting policies required by revision in accounting standards:
2. Changes in accounting policies other than 1:
3. Changes in accounting estimates:
4. Restatements:(4) Number of shares outstanding (common stock)
1. Number of shares outstanding (including treasury stock) at termend
2. Number of shares of treasury stock as of term end
3. Average number of outstanding shares (H1)

None
None
None
None

September 30, 2019
September 30, 2019
FY3/20 H139,218,330
227,994
38,990,519

March 31, 2019
March 31, 2019
FY3/19 H1

39,218,330
227,634
38,984,507* This summary of quarterly financial statements is exempt from quarterly review procedures by auditors.
* Note to ensure appropriate use of forecasts, and other noteworthy items:(Notes on all forecasts in this document)
All forecasts in this document are based on information currently available to management, and do not represent a promise or
guarantee to achieve these forecasts. Various uncertain factors could cause actual results to differ. Moreover, for information
regarding financial forecast earnings and the assumptions upon which they are based, and the usage of this financial forecast,please refer to the section, “1. Financial highlights for the six month period ended September 30, 2019, (3) Outlook for FY 3/20”
on page 7.
(Method for obtaining supplementary explanatory information on quarterly financial results)
The Company will post supplementary explanatory information on quarterly financial results on its website.

3

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019
Index
1. Financial highlights for the six month period ended September 30, 20195(1) Business Performance5(2) Consolidated Financial Position

6(3) Outlook for FY3/20

7

2. Quarterly Consolidated Financial Statements and Major Notes

8(1) Quarterly consolidated balance sheet

8(2) Quarterly consolidated income statement and comprehensive income statement

10

Quarterly consolidated income statement – H1

10

Quarterly consolidated comprehensive income statements – H1

11(3) Quarterly Consolidated Statement of Cash Flow

12(4) Notes to Quarterly Consolidated Financial Statements

14(Going Concern Assumption)

14(Significant Changes in the amount of Shareholders’ Equity)

14(Application of special accounting procedures in the preparation of
our quarterly consolidated financial statements)(Segment information)

14
15

4

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019
1. Financial highlights for the six month period ended September 30, 2019(1) Business Performance
Our business environment remained favorable for our core business of dormitory and hotel mainly due to an increase inforeign students attending Japanese universities/colleges, in the higher-level educational establishment-going rate, and incompanies to introduce a system of dormitories for employees, continued growth in the number of inbound tourism and a
growing demand for domestic travel coming from ten-day Golden Week holiday in May. At the same time, there were still
areas of concern, including labor shortages, the US-China trade dispute and deteriorating relations between Japan andSouth Korea. In addition, we were also affected by unexpected natural disasters such as torrential rainfall in the northernarea of Kyushu and large typhoons.Under the circumstances, we proactively pursued further improvement of customer
satisfaction and advanced development which are the two core components of the medium-term management plan.
As a result, revenue in the first half increased 18.4% year on year to ¥93,815 million mainly driven by the opening of new
facilities and ten-day Golden Week holiday. The company recorded the expenses related to preparations to open new
facilities, as well as the huge renewal expenses for further improvement of customer satisfaction in the first half, but thesewere fully offset by revenue growth and sales and lease back of real estate same as the first half of the previous fiscal year.
Consequently, operating profit increased 12.7% year on year to ¥9,066 million, ordinary profit increased 14.5% to ¥8,972
million and profit attributable to owners of the company increased 14.9% to ¥6,114 million. The Company reached thehighest-ever profit for the first half.
We provide details of financial performance in the first half by business segment as follows:
Dormitory BusinessIn the dormitory business, we have opened a total of 13 new dormitories with 1,451 rooms nationwide in the first half,
including the Meiji University Global Village, a dormitory for international student exchange opened in April. The
dormitory business for students achieved solid growth partially driven by an increase in foreign students attending Japanese
universities/colleges, and the dormitory business for employees also saw an increase in companies to introduce a system of
dormitory, as well as an increase in companies with whom we have already had transactions. As a result, initial occupancy
rates at the beginning of the fiscal year in April increased 1.0 pp year on year to 98.7%, getting the year off to a good start.
As a result, revenue increased 3.7% year on year to ¥25,177 million and operating profit increased 3.1% to ¥3,841 million,
fully offsetting the approximately ¥190 million in expenses for the preparations to open new dormitories and approximately¥70 million in large-scale renovation expenses for existing facilities.
Hotel BusinessWith respect to the Dormy Inn business, we have opened a total of 3 hotels of “Natural Hot Spring Myogi no Yu DormyInn Maebashi,” “Natural Hot Spring Habutae no Yu Dormy Inn Fukui,” and “Natural Hot Spring Sansa no Yu Dormy Inn
Morioka,” in the first half. The number of travelers from South Korea decreased due to deterioration relations between
Japan and South Korea. However, this negative impact was fully offset by growth in the number of guests from othercountries, particularly China and Hong Kong. As a result, the number of inbound guests continued to increase. RevPar (theaverage room price multiplied by the occupancy rate for each room), one of the key performance indicators, undercut levelsin the same period of the previous fiscal year in the Osaka region (*1) where the impact from the change of the number of
inbound guests is high and other competitors have been focusing on supplying their new hotels. However, our nationwide
expansion enabled us to cover this, and our characteristic service and unique features gave our hotels a strong popularity
among domestic guests. As a result, RevPar exceeded levels in the same period of the previous year by 2.3% for existing
Dormy Inn nationwide. Coupled with an increase in the number of available rooms, these factors boosted revenue andoperating profit.
(*) Although RevPar in the Osaka region undercut levels in the same period of the previous year, our RevPar by area
remained the highest in the country.
In the resort business, we have opened “Echigo Yuzawa hot spring Yukemuri no Yado Yuki no Hana” and “Kotohira hot
spring Oyado Shikishimakan” in the first half. Although some resort hotels were closed over a fixed time period due toconstruction work for renovations and natural disasters also had a negative impact, we moved our focus to a price strategy
and as a result, RevPar in existing resort hotels exceeded levels in the previous fiscal year by 2.8%. Moreover, we
thoroughly implemented tight control of cost by means of flexible personnel assignments tailored to occupancy conditions.
As a result, although some reservations were cancelled due to natural disasters such as large typhoons, revenue increased
9.2% year on year to ¥42,632 million, and operating profit increased 10.4% to ¥5,277 million, fully offsetting theapproximately ¥890 million in expenses related to preparations to open new facilities, etc. including the portion arising fromnew facilities scheduled to be opened in the future, as well as the approximately ¥64 million for large-scale renovation
expenses for existing facilities.

5

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019
Comprehensive Building Management businessIn the comprehensive building management business, revenue increased 8.5% year on year to ¥8,074 million and operating
profit increased 635.4% to ¥231 million mainly driven by an increase in construction projects and contracts for building
custodial service.
Food Service BusinessIn the food service business, revenue increased 7.4% year on year to ¥3,673 million and operating profit increased 240.9% to¥86 million mainly due to growth in the number of contracted hotel restaurants managed.
Development BusinessIn the development business, revenue increased 20.5% year on year to ¥11,723 million and operating profit increased 1.4 %to ¥1,061 million mainly driven by progress with development and the sales and lease back of real estate.
Other business
Our other business segments are the Senior Life business (management of senior citizen housing), the Public Kyoritsu
Partnership business (PKP: commissioned services business for regional government bodies), single life support businessand insurance agency business, comprehensive human resource services business, and financing and administrative
outsourcing services. Revenue of the other business segments increased 9.8% year on year to ¥6,844 million and operating
profit totaled ¥397 million, in comparison with an operating loss of ¥43 million in the same period of the previous fiscal
year, mainly driven by steady growth of the Senior Life business and the PKP business.
(2) Consolidated Financial Position
1. Assets, Liabilities and Net assets(Assets)
Total assets as of September 30, 2019 were ¥208,955 million, reflecting an increase of ¥6,423 million compared to the end of
the previous fiscal year mainly due to an increase in cash and deposits and notes and accounts receivable–trade.
(Liabilities)
Total liabilities as of September 30, 2019 were ¥124,584 million, reflecting an increase of ¥1,623 million compared to the endof the previous fiscal year due to an increase in interest-bearing debt.
(Net assets)
Total net assets as of September 30, 2019 were ¥84,370 million, reflecting an increase of ¥4,800 million compared to the endof the previous fiscal year due to an increase in retained earnings.
Consequently, the shareholders’ equity ratio at the end of the first half increased by 1.1 pp from the end of the previous fiscal
year to 40.4%.
2. Consolidated Cash Flow
Consolidated cash and cash equivalents at the end of the first half increased by ¥3,787 million from the end of the previous yearto ¥19,857 million.
(Cash Flow from Operating Activities)
The net cash inflow from operating activities increased by ¥5,811 million from the same period of the previous fiscal year to¥11,924 million due to improvement in inventories.
(Cash Flow from Investing Activities)
Net cash used in investing activities increased by ¥2,936 million from the same period of the previous fiscal year to ¥13,842
million due to an increase in purchase of property, plant and equipment.
(Cash Flow from Financing Activities)
A net cash inflow in financing activities decreased by ¥1,837 million from the same period of the previous fiscal year to ¥5,747
million due to a decrease in net increase in interest-bearing debt.

6

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019(3) Outlook for FY3/20
The Company got the year off to a good start and plans to do some additional sales and lease backs of real estate in future,but in light of concerns such as the impact of Typhoon Hagibis in October and the relationship between Japan and South
Korea, which remains uncertain, at this point we do not change the FY3/20 consolidated financial forecasts announced on
May 15, 2019.
In addition, the company will primarily use the funds generated by the acceleration in the sales and lease back of real estatecompared to the target in the medium-term management plan, to make additional investments in development to generate
additional profits in the future.

7

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019
2. Quarterly Consolidated Financial Statements and Major Notes(1) Quarterly consolidated balance sheet
FY3/19(March 31, 2019)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable–trade
Real estate for sale
Real estate for sale in process
Costs on uncompleted construction contracts
Others excluding allowance for loan losses
Allowance for loan losses
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
LandConstruction in progress
Others, net
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Guarantee deposits
Lease deposits
Others excluding allowance for doubtful accounts
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Deferred assets
Total assets

8(Unit: Millions of yen)
FY3/20 H1(September 30, 2019)

16,643
9,273
288
6,815
297
7,763
(25)
41,056

20,41313,028
213
5,147
963
8,064
(48)
47,782

43,411
44,59817,6153,365
108,991
3,236

47,44442,99913,2173,720
107,382
3,402

5,126
16,462
14,981
12,201(202)
48,569160,796678
202,531

4,836
16,49015,13013,505(209)
49,753
160,537
634
208,955

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019
(Unit: Millions of yen)
FY3/20 H1(September 30, 2019)

FY3/19(March 31, 2019)
Liabilities
Current liabilities
Notes and accounts payable–trade
Short-term loans payable
Current portion of bonds
Income taxes payable
Provision for bonuses
Provision for directors’ bonuses
Provision for warranties for completed construction
Provision for point card certificates
OthersTotal current liabilities
Non-current liabilities
Bonds payable
Convertible bond-type bonds with subscription
rights to shares
Long-term loans payable
Director retirement benefit reserve
Provision for point card certificates
Net defined benefit liability
OthersTotal non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

9

6,788
10,420
5,730
2,985
2,359
495
9
3
21,24750,0408,330
20,962
5,505
3,301
1,588
263
9
3
15,20455,168

39,10036,46019,99519,995

7,707
271
6
1,083
4,757
72,921
122,961

6,779
250
5
1,115
4,809
69,416
124,584

7,960
12,81659,186(349)
79,613

7,960
12,81664,326(351)
84,751

367
(422)
11
(43)
79,570202,531

213
(603)
8
(381)
84,370208,955

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019(2) Quarterly consolidated income statement and comprehensive income statement(Quarterly consolidated income statement – H1)

Revenue
Cost of goods sold
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating profit
Interest income
Dividend income
Settlement money received
OthersTotal non-operating profit
Non-operating expense
Interest expenses
OthersTotal non-operating expenses
Ordinary profit
Extraordinary profit
Gain on sales of investment securities
OthersTotal extraordinary profit
Extraordinary losses
Loss due to disaster
Loss on sales of property, plant and equipment
Loss on valuation of golf club membership
Total extraordinary losses
Profit before income taxes
Income tax expenses
Net profit
Profit attributable to owners of the Company

10

FY3/19 H1(April 1, 2018 toSeptember 30, 2018)
79,204
59,777
19,427
11,383
8,044(Unit: Millions of yen)
FY3/20 H1(April 1, 2019 to
September 30, 2019)
93,81572,78021,034
11,967
9,066

35
47
－
84
166

37
66
80
97
281

215
156
372
7,839

174
201
375
8,972

18
－
18

217
2
219

20
3
－
24
7,833
2,514
5,319
5,319

－
－
5
5
9,187
3,073
6,114
6,114

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019
(Quarterly consolidated comprehensive income statements – H1)

5,319(Unit: Millions of yen)
FY3/20 H1(April 1, 2019 to
September 30, 2019)
6,114

124
59
(1)
181
5,501

(153)
(181)
(2)
(337)
5,776

5,501

5,776

FY3/19 H1(April 1, 2018 toSeptember 30, 2018)
Net profit
Other comprehensive income
Valuation difference on available-for-sale securities
Cumulative translation adjustment
Remeasurements of defined benefit plans
Total other comprehensive income
Comprehensive income(Details)
Comprehensive income attributable to owners of the Company

11

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019(3) Quarterly Consolidated Statement of Cash Flow– H1(Unit: million yen)
FY3/19 H1(April 1, 2018 toSeptember 30, 2018)

FY3/20 H1(April 1, 2019 to
September 30, 2019)

Cash flow from operating activities
Profit before income taxes

7,833

9,187

Depreciation expenses

2,266

2,506

Amortization of long-term prepaid expenses

159

170

Amortization of guarantee deposits

140

125

Increase (decrease) in provision for bonuses

(718)

(771)

Interest and dividend income

(82)

(103)

Interest expenses

215

174

Loss (gain) on sales of investment securities

(18)

(217)

Loss on valuation of golf club memberships－

5

Loss (gain) on sales of property, plant and equipment

3－

Loss due to disaster20－

Increase (decrease) in accrued expenses

8

(354)

2,500

(3,759)Decrease (increase) in notes and accounts receivable – trade
Decrease (increase) in accounts receivable - other
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable – trade
Increase (decrease) in advances received

535

409

(2,216)

10,74654

1,544(2,268)(2,832)

Increase (decrease) in accounts payable – other

717

(139)

Increase (decrease) in accrued consumption taxes

203(1,038)

Increase (decrease) in deposits received

(402)

(882)

15

(10)

Others(244)

4

Subtotal

8,721

14,763

48

69

(215)

(179)

Increase (decrease) in guarantee deposits received

Interest and dividend income received
Interest expenses paid
Income taxes refund00Income taxes paid

(2,442)(2,729)Cash flow from operating activities

6,112

11,924(275)－

Cash flow from investing activities
Purchase of securities
Proceeds from sales of securities
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment

46

286

(8,098)(12,294)2

686

Purchase of intangible assets

(127)

(264)

Payments of loans receivable

(365)

(702)

Collection of loans receivable

157

158

(1,421)(1,056)

Payments for lease and guarantee deposits
Proceeds from collection of lease and guarantee deposits
Purchase of insurance funds
Proceeds from cancellation of insurance funds
OthersCash flow from investing activities

12

81

100

(550)

(558)

－

9

(355)

(207)

(10,906)(13,842)

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019
(Unit: million yen)
FY3/19 H1(April 1, 2018 toSeptember 30, 2019)
Cash flow from financing activities
Net increase (decrease) in short-term loans payable

FY3/20 H1(April 1, 2019 to
September 30, 2020)

14,848

10,597

Repayments of long-term loans payable(3,989)(983)

Redemption of bonds(2,385)(2,866)(7)(1)

Cash dividends paid

(856)

(974)

Others(24)(24)

Cash flow from financing activities

7,584

5,747

Purchase of treasury shares

Effect of exchange rate change on cash and cash equivalents

16

(42)

Net increase (decrease) in cash and cash equivalents

2,808

3,787

Cash and cash equivalents at beginning of period

16,972

16,070

Increase in cash and cash equivalents resulting from merger
Cash and cash equivalents at end of period

13

9

－

19,79019,857

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019(4) Notes to Quarterly Consolidated Financial Statements(Going Concern Assumptions)Not applicable(Significant Changes in the amount of Shareholders’ Equity)
Not applicable(Application of special accounting procedures in the preparation of our quarterly consolidated financial statements)(Calculation of income tax expenses)
The Company applies the method that reasonably estimates an effective tax rate to be assessed on profit before income tax
expenses for FY3/20, including the first six month ended September 30, 2019, after accounting for the tax effects, andmultiplies profit before income tax expenses during the six month ended September 30, 2019 by this estimated effective
tax rate. However, in the event that the estimate for the effective tax rate appears to lack logical rationale, then the legally
determined effective tax rate is employed.

14

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019
(Segment information)
I. First half of FY3/19 (From April 1, 2018 to September 30, 2018)
1. Revenue, profit and loss by reporting segment(Unit: Millions of yen)
Reporting segments
Dormitory
businessHotelbusiness

Comprehensive
building
managementbusinessFoodbusiness

Development
business

Others(Note 1)

Total

Adjustments(Note 2)

Subtotal

The amount tobe booked inquarterly
consolidated
financialstatements(Note 3)

Revenue
24,11538,959

3,558

637

5,966

73,237

5,966

79,204－

79,204

168

84

3,881

2,783

3,765

10,682

265

10,948(10,948)－

Total

24,28339,043

7,440

3,420

9,732

83,9206,232

90,153(10,948)

79,204

Profit and loss

3,727

4,782

31

25

1,046

9,613

(43)

9,570

(1,525)

8,044

External revenue
Intersegment
revenue andtransfers(Notes) 1. “Others” is not considered as a reporting business segment and is incorporated in the Senior Life business(management of senior citizen housing), PKP business (consigned services business provided to regional government
bodies), single life support services, insurance agency business, comprehensive human resources, financing,
administrative outsourcing services and other related services.
2. Adjustment for segment loss of ¥1,525 million includes profit of ¥36 million for inter-segment transaction eliminations
and loss of ¥1,562 million in companywide expenses that cannot be allocated to specific reporting segments.
Companywide expenses are primarily made up of corporate management divisions’ expenses.
3. Segment profit or loss has been adjusted to operating profit described in the quarterly consolidated income statement.

2. Impairment accounting losses and goodwill amortization of fixed assets by reporting segment
Not applicable

15

Kyoritsu Maintenance (9616),
Consolidated Financial Statements for the 6 month period ended September 30, 2019
II. First half of FY3/20 (From April 1, 2019 to September 30, 2019)
1. Revenue, profit and loss by reporting segment(Unit: Millions of yen)
Reporting segments
Others(Note 1)

Adjustments(Note 2)

The amount tobe booked inquarterly
consolidated
financialstatementsHotelbusiness

Comprehensive
building
managementbusinessFoodbusiness

Development
business

25,01742,5593,810

683

15,19387,265

6,549

93,815－

93,815

159

72

4,263

2,989

(3,469)

4,016

294

4,310

(4,310)－

Total

25,177

42,632

8,074

3,673

11,72391,281

6,844

98,125(4,310)93,815

Profit and loss

3,841

5,277

231

86

1,061

10,497397

10,895(1,829)

9,066

Dormitory
business
Revenue
External
revenue
Intersegment
revenue andtransfers

Total

Subtotal(Note 3)(Notes) 1. “Others” is not considered as a reporting business segment and is incorporated in the Senior Life business(management of senior citizen housing), PKP business (consigned services business provided to regional government
bodies), single life support services, insurance agency business, comprehensive human resources, financing,
administrative outsourcing services and other related services.
2. Adjustment for segment loss of ¥1,829 million includes loss of ¥158 million for inter-segment transaction eliminations
and loss of ¥1,670 million in companywide expenses that cannot be allocated to specific reporting segments.
Companywide expenses are primarily made up of corporate management divisions’ expenses.
3. Segment profit or loss has been adjusted to operating profit described in the quarterly consolidated income statement.

2. Impairment accounting losses and goodwill amortization of fixed assets by reporting segment
Not applicable16