Consolidated Financial Results for the First Quarter of
Fiscal Year Ending March 31, 2025
August 8, 2024 released
Sun Frontier Fudousan Co., Ltd.
Tokyo Stock Exchange Prime Section
8934
https://www.sunfrt.co.jp/en/
Seiichi Saito, President
Takeshi Hirahara, Senior Executive Officer, General Manager of Corporate Planning Department(Phone: +81-3-5521-1301)
Scheduled date of dividend payment commencement: Supplemental materials for the financial results: Yes
Presentation to explain for the financial results: Yes (For institutional investors and analysts)
Company name:
Stock listing:Code number:
URL:
Representative:
Inquiries:*Amounts are rounded down to millions of yen.
1.Consolidated Performance in the First Quarter of Fiscal Year Ending March 31, 2025
(1) Consolidated Operating Results(indicate year on year changes)
Net Sales
Operating Profit
Ordinary Profit¥ million% ¥ million% ¥ million%
FY2025/3 1Q
15,685
-15.0
2,834
-32.6
2,739
-34.5
FY2024/3 1Q
18,452
-19.4
4,206
-36.9
4,184
-37.4
(Note) Comprehensive income: FY2025/3 1Q : 2,274 millions of yen (-28.2%)(Note) Comprehensive income: FY2024/3 1Q : 3,168 millions of yen (-35.8%)
Fully Diluted
Earnings per Share
Earnings per Share¥¥FY2025/3 1Q
38.68
34.13
FY2024/3 1Q
64.60
64.54
(2) Consolidated Financial Position
Total Assets
Net Assets¥ million¥ million
FY2025/3 1Q
193,546
95,133
FY2024/3
188,661
94,416(Reference) Equity: FY2025/3 1Q : 91,198 millions of yen(Reference) Equity: FY2024/3: 90,519 millions of yen

Net Income¥ million
%
1,878
-40.1
3,134
-33.2

Equity Ratio
%
47.1
48.0

2.Cash Dividends
Cash Dividends per Share (yen)
1 quarter end 2 quarter end 3rd quarter end
Year end
¥
¥
¥
¥
26.00
32.00

Annual Total
¥
58.00

33.00

66.00

st

nd

FY2024/3
FY2025/3
FY2025/3
33.00(Forecast)(Note) Changes from the latest released dividend forecast: No-1-

3.Forecast for Consolidated Financial Results for FY2025/3 (April 1, 2024 to March 31, 2025)(indicate year on year changes)
Profit Attributable to
EPS
Net Sales
Operating Profit
Ordinary Profit
Owners of Parent(yen)¥ million% ¥ million% ¥ million% ¥ million%¥
Full
100,000
25.2
20,87018.6
20,00015.1
14,00017.5 288.35
year(Note) Changes from the latest forecast: No※ Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in changing
scope of consolidation): None
New companies: Excluded companies: (2) Adaption of special accounting practices in the preparation of quarterly consolidated financial statements:
None(3) Changes in accounting policies, estimates and retrospective restatement
1) Changes in accounting policies due to changes in accounting standard:
2) Changes in accounting policies other than 1) above:3) Changes in accounting estimates:
4) Retrospective restatement:

None
None
None
None

(4) Number of outstanding shares (common stock)1) Number of outstanding shares at the endof the period (including treasury stock):

FY2025/3
1Q

48,755,500
shares

FY2024/3

48,755,500
shares2) Number of shares of treasury stock at theend of the period:

FY2025/3
1Q

203,208
shares

FY2024/3

203,208
shares3) Average number of shares for the period(April 1, 2024 to June 30, 2024):

FY2025/3
1Q

48,552,292
shares

FY2024/3
1Q

48,517,865
shares(Note) The increase in the number of shares of treasury stock at the end of the first quarter in FY2024/3 fromthe end of FY2023/3 is due to the free transfer of 533 shares of restricted stock as renumeration held by theformer employees, who resigned themselves during their terms in this period.
※Consolidated Financial Results reviewed by Certified public accountants or auditors:
None※Explanation for appropriate use of forecast and other special matters
Earnings per share in the forecast of consolidated financial results for FY2025/3 is calculated based on the
average number of shares for the period, 48,552,292 shares.
Forward-looking statements, such as forecast of consolidated financial performance, stated in thisdocument are based on information currently possessed by the Company as well as certain assumptions
deemed rational. It does not mean that the Company assurances that the contents mentioned in these forwardlooking statements will ever materialize. Actual financial performance may be significantly different fromsuch expectations due to various factors. For further information on assumptions used in forecasts, please
see Page 8, (3) Explanation of Forward-Looking Statements such as Consolidated Earnings Forecasts.

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Accompanying Materials
Contents
1. Qualitative Information on Quarterly Financial Results ........................................................................ - 4 (1) Management's discussion ................................................................................................................... - 4 (2) Explanation of Financial Position ...................................................................................................... - 7 (3) Explanation of Forward-Looking Statements such as Consolidated Earnings Forecasts .................. - 8 2. Quarterly Consolidated Financial Statements and Key Notes................................................................ - 9 (1) Consolidated Balance Sheet ............................................................................................................... - 9 (2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income ...... - 11 (3) Notes to Quarterly Consolidated Financial Statements ...................................................................... - 13 (Notes on the Going Concern Assumption) ........................................................................................... - 13 (Notes on Substantial Changes in the Amount of Shareholders' Equity) ............................................... - 13 (Segment Information) ........................................................................................................................... - 14 (Notes to Statements of Cash Flows) ..................................................................................................... - 16 --3-

1. Qualitative Information on Quarterly Financial Results(1) Management's discussion
Forward-looking statements in the text are based on the judgment of our group as of the end of this quarter.
During the first quarter ended June 30, 2024 (hereinafter referred to as the current period under review), theJapanese economy continued to recover moderately as prices continued to rise. In addition, monetary policy
has shifted to a normal state due to the termination of negative interest rates by the Bank of Japan. At present,
the financial market is in turmoil due to the Bank of Japan's policy interest rate hike, and the outlook is
uncertain. In the global economy, while there are concerns about a slowdown in the Chinese economy, theU.S. economy has begun to show a slowdown in inflation, and a soft landing due to a reduction in the policy
interest rate is expected.
In the real estate market, the average rent in the Tokyo business area (central 5 wards/Chiyoda, Chuo, Minato,
Shinjuku, and Shibuya) bottomed out in November 2023 (unit price of 19,726 yen/tsubo) after a 40-monthconsecutive decline and is currently rising to 19,979 yen (in June 2024). The average vacancy rate, after
peaking at 6.48% in June 2023, generally continued to improve, and improved 1.33%pt to 5.15% in June
2024 (according to a survey by a private research institution). In addition to the decline in new supply of
office buildings in 2024 from 2023, demand is recovering as the importance of offices is reaffirmed, andexpectations for further rent increases and lower vacancy rates are increasing. In addition to these market
conditions, the outlook for a decline in interest rates in the United States suggests that overseas investors'
stance on investing in offices is likely to turn to buying again in the near future. Demand for investment inhotels is also expected to remain strong due to the impact of the expansion of tourism demand resulting fromthe increase in foreign visitors to Japan.
In this business environment, our Group has been promoting our business while continuing to closely
monitor interest rate trends and geopolitical risks both domestically and overseas. In Real Estate
Revitalization Business, our core business, both sales and profits increased as the number of sales increased
year on year and the profit margin remained at a high level. Real Estate Service Business continued toperform well. In Hotel Operation Business, sales and profits both grew significantly, supported by strong
inbound demand. On the other hand, due to a reaction to the sale of 1 hotel in Hotel Development Businessin the same period of the previous fiscal year, both net sales and profits decreased in the hotel and tourism
business and in the consolidated results for the current period under review.
As a result of the above, for the fiscal year under review, net sales were 15,685 million yen (down 15.0%
year on year), operating income was 2,834 million yen (down 32.6%), ordinary income was 2,739 million
yen (down 34.5%), and net income attributable to owners of parent was 1,878 million yen (down 40.1%).
The results of each segment are as follows.
(Real Estate Revitalization Business)
In Real Estate Revitalization Business, we are engaged in (1) Replanning Business and (2) Rental Building
Business.
(1) In Replanning Business, the Group provides one-stop real estate services covering everything from thepurchase of buildings to revitalization and utilization planning, construction work, attracting tenants,
delinquent rent guarantee services, management, and subsequent building management. During thecurrent period under review, we made progress as planned in meeting our annual purchase target of 55
billion yen through collaboration among the divisions in the Office Business and the strengthening ofour purchasing system. In commercialization, we reflect the true needs of customers on the front lines inour products and increase the value of our products to high-value-added properties. In property sales, thenumber of properties sold increased by 1 compared with the same period of the previous fiscal year to 6
properties. Segment profit margin also remained at a high level of 30% and progressed as planned. We-4-will continue to leverage our leasing capabilities based on close ties with community to sell highoccupancy, high value-added real estate to both domestic and overseas investors. We also continued tofocus on purchasing and selling our apartment replanning business, which we are developing in New
York, and purchased 2 properties during the current period under review. In the real estate specific joint
venture, we made 2 purchases during the current period under review. Of these, Compass Oyama(licensed nursery school) is scheduled to be sold out during the second quarter following its firstformation on July 31. In the current period under review, both net sales and profits increased year on year.
(2) In Rental Building Business, the Group aims to build a stable earnings base as a stock business. While
expanding the number of rental buildings in Replanning Business, the Group is working to increase rental
income over the medium to long term while leveraging the operational capabilities accumulated in thereal estate services division. Although net sales increased year on year due to a decline in vacancy rates
resulting from leasing activities in addition to progress in purchasing properties, profit decreased due toconstruction costs and other expenses incurred in existing buildings that are now being commercialized.
As a result of the above, net sales for Real Estate Revitalization Business was 8,711 million yen (down 13.2%
year on year), and segment income was 2,348 million yen (up 14.7%).
(Real Estate Service Business)
In Real Estate Service Business, we are engaged in (1) Property Management Business, (2) Building
Maintenance Business, (3) Sales Brokerage Business, (4) Leasing Brokerage Business, (5) Rental
Conference Room Business, and (6) Rent Guarantee Business.
(1) In Property Management Business, we aim to increase tenant satisfaction by managing buildings in linewith needs. At the same time, we are working with the leasing brokerage division to attract tenants andto revise the terms and conditions for appropriate rents. In this way, we are supporting high-occupancy
and high-profit building management that meets the needs of building owners. In the current period underreview, the number of entrusted buildings increased by 42 compared with the same period of the previous
fiscal year, and we achieved the target of 500 entrusted buildings as of the end of the fiscal year ending
March 2025, the final year of the current medium-term management plan, ahead of schedule. In addition,
both net sales and income increased, partly because the occupancy rate improved year on year for thesame 2.69%pt.
End of June 2022

End of June 2023

End of June 2024

Number of
Entrusted Buildings

440 buildings

464 buildings

506 buildings

Utilization rate

91.77%

90.81%

93.50%(2) In Building Maintenance Business, the Group conducts inspections, cleaning, renovation work, andsurveys to maintain and manage buildings under the slogan "making Tokyo the world's most beautiful
district." We are collaborating with the various divisions of the Office Business, leveraging our strengths
in glass cleaning, exterior wall cleaning, and exterior wall repair. In the current period under review, net
sales increased year on year due to an increase in the number of buildings under management incollaboration with other departments. On the other hand, profits declined due to higher material prices
and higher personnel costs.
(3) In Brokerage Business, as part of real estate consulting, we are working to respond quickly to inquiries
from customers in other divisions, including Property Management Business and Leasing Brokerage
Business. The Office business is working together to expand the customer base to meet the building
owners' management needs, and based on the trust we have accumulated, we are leading to the conclusionof sales brokerage transactions. In the current period under review, although net sales increased due in-5-part to an increase in the number of external brokerage transactions, profits were on a par with the same
period of the previous fiscal year.
(4) In Leasing Brokerage Business, we have built a service network of 12 offices in major urban areas. Byutilizing the needs and changes of tenants that were quickly obtained at leasing sites in research andproposals for the optimal use of office spaces, we are able to create new value from the customer's
perspective in the product planning of Replanning Business. In the sub-leasing business, we are working
to acquire new contracts in order to resolve each problem for building owners. We will continue to work
closely with our customers to provide services as a familiar consultation service and contribute to local
communities. In the fiscal year under review, both net sales and profits were on a par with the same
period of the previous fiscal year.
(5) In Rental Conference Room Business, an increasing number of companies resumed collective training
and demand for rental conference rooms increased. As a result, repeat demand also increased along withnew usage through services that respond to customer requests. During the current period under review,
we expanded the floor space of its 3 bases in Vision Center Tamachi, Vision Center Shinjuku Mines
Tower, and Vision Center Ichigaya. The size of its operations was 15 bases, increasing by 922 tsubo fromthe end of March to 7,403 tsubo. We will continue to accelerate the expansion of our sites, mainly incentral Tokyo. In the current period under review, both net sales and profits increased significantly year
on year due to orders for long-term projects and large-scale projects from repeat customers, as well as
the start of operations at 3 sites with increased floor space.
(6) In Rent Guarantee Business, we provide TRI-WINS, a rent guarantee service that is closely aligned withbuilding owners, throughout the process of investigating occupancy, screening, guaranteeing delinquent
payments, building surrender lawsuits, and vacating at offices and stores. Compared to general rental
guarantees, this service covers a broader range of services. It is a "3-way good" = Win-Win-Win service
that solves the risks and issues faced by both building owners and tenants and contributes to the Japanese
economy's growth and social stability. In the current period under review, both net sales and income
increased year on year due to steady performance resulting from an increase in the number of newcontracts for credit guarantees, our main business.
In July, SF Building Support Co., Ltd., our consolidated subsidiary engaged in this business, entered intoa partnership agreement with OMISE CRAFT, a restaurant opening support service, in order to support
the opening of small and medium-sized restaurants and to contribute to the growth and stability of therestaurant market. We will contribute to the promotion of restaurant openings by providing TRI-WINS
to OMISE CRAFT users, and we will work to help grow the Japanese economy.
As a result, net sales for Real Estate Services Business was 3,119 million yen (up 17.1% year on year), andsegment income was 1,696 million yen (up 9.4%).
(Hotel and Tourism Business)
In the Hotel and Tourism Business, we are engaged in (1) Hotel Development Business and (2) Hotel
Operation Business.
(1) In Hotel Development business, both net sales and income decreased year on year due to the absence ofproperty sales during the current period. In addition to the funds collected from the sale of hotels, theCompany will utilize the funds procured through the issuance of convertible bonds, which were paid in
on October 6, 2023, to expand its business by reinvesting in M&A and development centered on the "Tabino Hotel" brand in the future. Currently, we are planning to open 12 hotels with 1,678 rooms inJapan, for a total of 39 hotels and 4,801 rooms in total.

-6-(2) In Hotel Management Business, we currently operate a total of 27 hotels (3,123 rooms). We will continue
to focus on creating enthusiastic fans through our staff's warm service under the theme of " heartwarming
and fun hotel." In the current period under review, in addition to the effects of inbound tourism due tothe weak yen, occupancy rates and average price per room continued to increase based on our group's
high value-added strategy. As a result, both sales and profits increased substantially year on year.
In July, Oriental Hills Okinawa joined our group through M&A. The hotel is located in Onna Village,
Okinawa Prefecture, and is an all-suite villa consisting of 14 cottage-type buildings. All buildings haveone of the largest private pools in Japan, and the meals are local ingredients, which have been highly
regarded as an auberge tailored to customer preferences. We will continue to further grow theattractiveness of this hotel and develop attractive hotel and tourism businesses throughout the country byproviding luxury hotel services.
As a result of the above, net sales for Hotel and Tourism Business was 3,681 million yen (down 54.2% year
on year), and segment income was 845 million yen (down 68.0% year on year).
(Other Business)
In Other Business, we are engaged in (1) Overseas Development Business and (2) Construction Business.
(1) In Overseas Development Business, the Group has expanded into Da Nang City, the largest city in central
Vietnam, where growth is expected, and is developing businesses such as condominium development.
We acquired land for development in October 2023, and construction is scheduled to begin in August
this year. We will continue to contribute to the development of local communities by providing highquality housing using Japan's advanced construction technologies. In the current period under review,
both sales and profits declined.
(2) In Construction Business, the Group conducts renovation planning, repair and renovation work, interior
finishing work, and telecommunications work for commercial buildings. In the current period underreview, both net sales and profits increased year on year due to progress in construction at Group
companies.
As a result of the above, overall sales in Others were 481 million yen (up 30.6% year on year) and segment
profit was 157 million yen (up 371.5%).
Major initiatives during the current period under review were as follows.
Our group aims to solve social issues through our business and promotes sustainability management bydefining 3 key issues (materiality): "environmental protection," "regional revitalization," and "humanresource development." As part of these efforts, we have established targets for the reduction of greenhousegas emissions in our group. Our goal is to reduce greenhouse gas emissions in Scope1 and Scope2 by 22%(2.7% reduction annually) by fiscal 2030 and to make them carbon neutral by fiscal 2050, based on fiscal
2022 as the base year for our group-wide greenhouse gas emissions. We will continue to further promotevarious specific measures to realize a carbon-free society.
(2) Explanation of Financial Position
Total assets at the end of the fiscal year under review were 193,546 million yen (up 2.6% compared with theend of the previous fiscal year), liabilities were 98,413 million yen (up 4.4%), and net assets were 95,133
million yen (up 0.8%).
The increase in total assets was mainly due to an increase of 6,350 million yen in real estate for sale and anincrease of 5,969 million yen in real estate for sale in progress, despite a decrease of 7,550 million yen in
cash and deposits.
The increase in liabilities was mainly due to an increase in short-term loans payable of 1,124 million yen andan increase in long-term loans payable of 8,640 million yen, despite a decrease in current portion of longterm loans payable of 4,628 million yen and a decrease in income taxes payable of 1,851 million yen.
-7-

The main factor for the increase in net assets was an increase of 1,878 million yen in quarterly net income
attributable to owners of the parent, despite an increase of 1,553 million yen in year-end dividends paid andother factors.
The equity ratio was 47.1% (down 0.9% points).
(3) Explanation of Forward-Looking Statements such as Consolidated Earnings Forecasts
The forecasts announced on May 10, 2024 are unchanged for the year ending March 31, 2025.

-8-

2. Quarterly Consolidated Financial Statements and Key Notes(1) Consolidated Balance Sheet(Millions of yen)
End of the previous fiscal End of the 1st quarter of theyear
fiscal year under review(As of March 31, 2024)(As of June 30, 2024)
AssetsCurrent assets
Cash and deposits
Notes, accounts receivable and contract assets
Real estate for sale
Real estate in process for sale
Costs of uncompleted construction
Contracts.
Supplies
OthersAllowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings (net amount)
Land
Other (net amount)
Total property, plant and equipment
Intangible assets
Goodwill
OthersTotal intangible assets
Investments and other assets
Guarantee deposits
Deferred tax assets
OthersAllowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets-9-47,8672,138
11,632
95,081

40,317
2,062
17,983101,050

50

77

104
2,680
-38
159,518

102
2,184
-40
163,738

10,03811,0291,254
22,323

9,969
11,027
1,666
22,662

579
614
1,193

544
605
1,150

3,523
1,644
470
-13
5,626
29,143
188,661

3,972
1,569
465
-12
5,994
29,807
193,546(Millions of yen)
End of the previous fiscal End of the 1st quarter of theyear
fiscal year under review(As of March 31, 2024)(As of June 30, 2024)
Liabilities
Current liabilities
Accounts payable
Short-term borrowings
Current portion of long-term loans payable
Income taxes payable
Provision for bonuses
Provision for directors' bonuses
Reserves for guarantee performance
OthersTotal current liabilities
Long-term liabilities
Corporate bonds
Long-term debt
Provision for stock benefits
OthersTotal non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Common stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Other accumulated comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Total other accumulated comprehensive
incomeStock acquisition rightNon-controlling shareholders' equity
Total net assets
Total liabilities and net assets- 10 -

2,810
62
12,207
2,967
279
80
44
6,314
24,767

2,951
1,186
7,579
1,116
161
20
41
6,907
19,962

9,999
57,27297
2,107
69,477
94,244

9,999
65,913100
2,437
78,45098,413

11,965
6,433
71,725-233
89,889

11,965
6,433
72,045-233
90,210

2

2

626

986

629

988

30
3,867
94,416
188,661

30
3,904
95,133
193,546

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Consolidated Statement of Income
The first quarter consolidated cumulative accounting period

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest and dividend income
Foreign exchange gain
OthersTotal non-operating income
Non-operating expenses
Interest expenses
OthersTotal non-operating expenses
Ordinary profit
Extraordinary income
Government subsidy
Total extraordinary income
Extraordinary loss
Loss on reduction of non-current assets
Loss on retirement of non-current assets
Total extraordinary losses
Profit before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
ProfitLoss attributable to non-controlling interests
Profit attributable to owners of parent(Millions of yen)
The1st quarter of the
The 1st quarter of the fiscal
previous fiscal year
year under review(April 1, 2023 to June 30, (April 1, 2024 to June 30,
2023)
2024)
18,452
15,685
12,146
10,491
6,306
5,194
2,099
2,359
4,206
2,834

- 11 -

21
78
25
125

8
52
27
88

128
18
147
4,184

181
2
183
2,739

-

200
200

23
23
4,161
524
503
1,028
3,132
-1
3,134

200
200
2,739
792
70
863
1,876
-1
1,878

Quarterly Consolidated Statements of Comprehensive Income
The first quarter consolidated cumulative accounting period

Net profit
Other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Total other comprehensive income
Quarterly comprehensive income(Comprehensive income attributable to)
Quarterly comprehensive income attributable toowners of parent
Quarterly comprehensive income attributable tonon-controlling interests(Millions of yen)
The1st quarter of the
The 1st quarter of the fiscal
previous fiscal year
year under review(April 1, 2023 to June 30, (April 1, 2024 to June 30,
2023)
2024)
3,132
1,876

- 12 -

0

-0

35
35
3,168

398
398
2,274

3,169

2,237

-0

37

(3) Notes to Quarterly Consolidated Financial Statements(Notes on the Going Concern Assumption)
Not applicable.
(Notes on Substantial Changes in the Amount of Shareholders' Equity)
I The Previous 1st Quarter (From April 1, 2023 to June 30, 2023)
1.Dividends paid
Total
Per share
Class ofdividends
Source of
Resolution
Dividends
Record Date
Effective dateshares(Millions ofdividends
(yen)
yen)
Board ofCommonRetained
Directors held
1,216
25.00 March 31, 2023 June 28, 2023
stock
earnings
on May 16, 2023
(Note) The total amount of cash dividends declared by resolution of the Board of Directors on May 16,
2023 includes 3 million yen of cash dividends paid to the Company's shares held by the trust
account of the Board Benefit Trust (J-ESOP).
2.Dividends for which the record date belongs to the first quarter of the current fiscal year, and for which theeffective date falls after the end of the first quarter of the current fiscal year
Not applicable.
II The First Quarter (From April 1, 2024 to June 30, 2024)
1.Dividends paid
Total
Per share
Class ofdividends
Source of
Resolution
Dividends
Record Date
Effective dateshares(Millions ofdividends
(yen)
yen)
Board ofCommonRetained
Directors held
1,553
32.00 March 31, 2024 June 26, 2024
stock
earnings
on May 21, 2024
(Note) 1 The total amount of cash dividends declared by resolution of the Board of Directors on May 21,
2024 includes 4 million yen of cash dividends paid to the Company's shares held by the trust
account of the Board Benefit Trust (J-ESOP).
2 Dividends per share include a commemorative dividend of 2 yen to commemorate the 25th
anniversary of the Company's founding.
2.Dividends for which the record date belongs to the first quarter of the current fiscal year, and for which theeffective date falls after the end of the first quarter of the current fiscal year
Not applicable.

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(Segment Information)[Segment Information]
I The Previous 1st Quarter (From April 1, 2023 to June 30, 2023)
1.Information on net sales and income (loss) by reportable segment and breakdown of revenue(Millions of yen)
Reportable Segments
Real estate Real estate
revitalization services

Hotels andtourism

Total

Other
(Note)1

Total

Net sales
Revenue from contracts withcustomers

7,089

2,039

7,985

17,115368

17,484

598

337

32

968

-

968

Sales to customers

7,688

2,377

8,018

18,084368

18,452

Intersegment sales

4

287

11

303

0

303

7,693

2,665

8,029

18,388368

18,756

2,047

1,551

2,638

6,237

33

6,270

Other income (Note 2)

Total
Segment profit(Note) 1. The "Other" is a business segment that is not included in reportable segments, including overseas
development and construction businesses.
2. Other income consists of rental income in accordance with ASBJ Statement No. 13, "AccountingStandard for Lease Transactions."
2.The Difference between the total amount of income (loss) of reportable segments and the amount recordedin the quarterly consolidated statements of income, as well as the main details of said difference (mattersrelated to difference adjustment)(Millions of yen)
ProfitAmountReportable segments total

6,237

Profit of "Others" category

33

Elimination of inter-segment transactions-11

Corporate expenses (Note)-2,074
Ordinary income on the quarterly consolidated
4,184
statements of income(Note) Corporate expenses are mainly general and administrative expenses that do not belong to any
reportable segment.
3.Information on impairment loss on noncurrent assets and goodwill by reportable segment
Not applicable.

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II The First Quarter (From April 1, 2024 to June 30, 2024)
1.Information on net sales and income (loss) by reportable segment and breakdown of revenue(Millions of yen)
Reportable Segments
Real estate Real estate
revitalization services

Hotels andtourism

Total

Others(Note)1

Total

Net sales
Revenue from contracts withcustomers

7,300

2,518

3,586

13,404462

13,867

Other income (Note 2)

1,411

331

75

1,818

-

1,818

Sales to customers

8,711

2,849

3,661

15,223462

15,685Intersegment sales

0

269

19

289

18

308

8,711

3,119

3,681

15,512481

15,994

2,348

1,696

845

4,890

157

5,047

Total
Segment profit(Note) 1 "Others" is a business segment that is not included in reportable segments, including overseas
development and construction businesses.
2 Other income consists of rental income in accordance with ASBJ Statement No. 13, "AccountingStandard for Lease Transactions."
2.Difference between the total amount of income (loss) of reportable segments and the amount recorded in
the quarterly consolidated statements of income, as well as the main details of said difference (matters related
to difference adjustment)(Millions of yen)
ProfitAmountReportable segments total

4,890

Profit of "Others" category

157

Elimination of inter-segment transactions-36

Corporate expenses (Note)-2,270Ordinary income on the quarterly consolidated
2,739
statements of income(Note) Corporate expenses are mainly general and administrative expenses that do not belong to any
reportable segment.
3.Information on impairment loss on noncurrent assets and goodwill by reportable segment
Not applicable.

- 15 -

(Notes to Statements of Cash Flows)
Quarterly consolidated statements of cash flows for the first quarter of the current fiscal year have not been
prepared. Depreciation expense (including amortization of inventories in lease and amortization of intangible
assets excluding goodwill) and amortization of goodwill related to the first quarter of the fiscal year are as
follows:
The 1st quarter of fiscal year under
The 1st quarter of previous fiscal year
review(April ,1 2023 to June 30, 2023)(April 1, 2024 to June 30, 2024)
Depreciation and amortization
477 millions of yen
577 millions of yen
Amortization of goodwill

16 millions of yen- 16 -

35 millions of yen