July 30, 2019

Consolidated Financial Results
For the Three Months from April 1 to June 30, 2019
<under Japanese GAAP>
Note: The accompanying consolidated financial statements were not audited since they have been prepared only for reference purpose. All statements were basedon Tanshin report prepared in accordance with the provisions set forth in accounting regulations and principals generally accepted in Japan.

Name of company listed :Nomura Real Estate Holdings, Inc.

Shares traded :TSE (First section)

Code number :

3231

URL :

http://www.nomura-re-hd.co.jp/english/

Representative :Eiji Kutsukake, President and Representative Director

Inquiries:

Kensuke Ueha,
General Manager, Corporate Communications Dept.

Email:

nrehd-ir@nomura-re.co.jp

Scheduled submitting date of quarterly securities report:

August 9, 2019

Scheduled starting date for dividend payments:-

Preparation of explanatory materials for financial results :YesInformation meetings arranged related to financial results :Yes (for institutional investors and analysts, in Japanese)(Values of less than one million yen rounded down)

I.

Consolidated operating results for the Three Months from April 1, to June 30, 2019(1) Consolidated business results(% indicates the rate of changes from previous fiscal term)

Operating revenue

Operating profit

Business profit

Profit attributable toOrdinary profit

owners of parent

First three months
Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Jun. 30, 2019112,448

(5.4)

6,046

(58.5)

6,312(57.0)

4,028(67.5)

2,975(60.5)

Jun. 30, 2018

118,903(10.0)

14,568(11.4)

14,663-

12,389(14.7)

7,523(21.7)

ended(Note) Comprehensive income:From April 1 to June 30, 2019: 4,162 million yen (down 51.7%)
From April 1 to June 30, 2018: 8,622 million yen (up 21.1%)(Note) Business profit = operating profit + share of profit (loss) of entities accounted for using equity method + amortization of intangible assets
associated with corporate acquisitions

Basic earnings

Diluted earnings

per shareper shareFirst three months ended

Yen

Yen

Jun. 30, 2019

16.15

16.06

Jun. 30, 2018

40.01

39.75

(2) Consolidated financial position
Total assets
As of

Net assets

Shareholders' equity ratio

Millions of yen

Millions of yen%

Jun. 30, 2019

1,717,562

536,690

30.4

Mar. 31, 2019

1,759,455

541,562

29.9(Reference) Shareholders’ equity: As of June 30, 2019: 521,735 million yen
As of March 31, 2019: 526,748 million yen

II. Dividends
Dividend per share
1st quarter-end

Fiscal year ended
Mar. 31, 2019
Fiscal year ending

2nd quarter-end

3rd quarter-end

Fiscal year-end

Total

Yen

Yen

Yen

Yen

Yen

-

37.50

-

37.50

75.00

40.00

-

40.00

80.00

-

Mar. 31, 2020
Fiscal year ending
Mar. 31, 2020
(Forecast)(Note) Revision of dividend forecasts during this quarter: NoneIII. Forecasts of consolidated operating results for the fiscal year from April 1, 2019 to March 31, 2020(% indicates the rate of changes from previous fiscal year)

Operating revenue

Operating profit

Business profit

Profit attributable toOrdinary profit

owners of parent

Basicearnings
per share

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

739,000

10.5

79,5000.4

80,0000.5

70,0001.0

46,0000.3

251.13Fiscal year
endingMar. 31,2020(Note) Revision of operating results forecasts during this quarter: None

* Notes(1) Significant changes to subsidiaries during the period (Changes in scope of consolidation of specified subsidiaries): None
(2) Adoption of specific accounting policies for quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates and restatements
1)

Changes in accounting policies due to revision of accounting standards, etc.

: None2)

Changes in accounting policies other than the above: None3)

Changes in accounting estimates: None4)

Restatements: None(4)Number of shares issued (common stock)1)

Number of shares issued at end of period (including
treasury shares)

2)

3)

As of Jun. 30

As of Mar. 31

2019

2019

192,420,601

192,373,101

8,703,266

7,821,664

From April 1 to June 30,

From April 1 to June 30,

2019

2018

Treasury shares at end of period

Average number of shares outstanding during the period

184,247,179

188,067,120(Note) 1,972,702 shares of the Company’s share owned by executive compensation BIP (Board Incentive Plan) trust and ESOP (Employee
Stock Ownership Plan) trust for granting stock are included to the number of treasury shares at end of period. 1,843,558 shares owned by the
executive compensation BIP (Board Incentive Plan) trust and the ESOP (Employee Stock Ownership Plan) trust for granting stock trust arealso included to the number of treasury shares deducted in the calculation of average number of shares outstanding during the period.
* Quarterly “Consolidated Financial Results” is not required to be audited by certified public accountants or audit corporations.
* Proper use of forecasts of financial results, and other special matters
Forward-looking statements in this document, including the forecasts of financial results, etc., are based on the information currently
available to the Company and certain assumptions deemed to be reasonable. These statements do not purport that the Company pledges torealize such statements. Actual performance and other results may differ materially from these forecasts due to various factors. For mattersrelated to the forecasts of financial results, please refer to “1. Qualitative Information (3) Consolidated Operating Result Forecasts” on page 6of the Attachments.
(How to obtain the fact sheets)
The fact sheets will be disclosed on TDnet on July 30, 2019 and will be uploaded on the Company's website.

Attachments- Contents
1. Qualitative Information.............................................................................................................................................................................................

2(1) Business Results............................................................................................................................................................................................

2(2) Financial Position .........................................................................................................................................................................................

5(3) Consolidated Operating Result Forecasts ................................................................................................................................................

6

2. Quarterly Consolidated Financial Statements and Notes .....................................................................................................................................

7(1) Quarterly Consolidated Balance Sheets ....................................................................................................................................................

7(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income ..................

9

Quarterly Consolidated Statements of Income
Three Months from April 1 to June 30, 2019............................................................................................................................................

9

Quarterly Consolidated Statements of Comprehensive Income
Three Months from April 1 to June 30, 2019............................................................................................................................................

10(3) Quarterly Consolidated Statement of Cash Flows ..................................................................................................................................

11(4) Notes to Quarterly Consolidated Financial Statements ..........................................................................................................................

13(Notes to Going Concern Assumptions) ..................................................................................................................................................

13(Notes to Significant Changes in Shareholder’s Equity) ........................................................................................................................

13(Segment Information) ...............................................................................................................................................................................

131

1. Qualitative Information(1) Business Results
The Nomura Real Estate Group (the “Group”) posted the following consolidated performance for the three months ended June 30, 2019:
Operating revenue of 112,448 million yen, which represents a decrease of 6,454 million yen, or 5.4% year on year; operating profit of 6,046
million yen, a decrease of 8,522 million yen, or 58.5%; business profit of 6,312 million yen, a decrease of 8,351 million yen, or 57.0%;
ordinary profit of 4,028 million yen, a decrease of 8,360 million yen, or 67.5%; and profit attributable to owners of parent of 2,975 million
yen, a decrease of 4,548 million yen, or 60.5%.
(Note) Business profit = operating profit + share of profit (loss) of entities accounted for using equity method + amortization of
intangible assets associated with corporate acquisitions
An overview of business unit achievements is given below:
Operating revenue for each business unit includes internal sales and transfer amount among business units. Due to the rounding of fractions,
total figures may not match.
From the first quarter, Leasing Business Unit has been renamed Commercial Real Estate Business Unit. Nomura Real Estate Life & Sports
Co., Ltd., and the senior business of Nomura Real Estate Wellness Co., Ltd. and Nomura Real Estate Development Co., Ltd., which had beenclassified under the Property & Facility Management Business Unit, have been reclassified under the Commercial Real Estate Business Unit
and the Residential Development Business Unit, respectively. The rental housing business of Nomura Real Estate Development Co., Ltd., which
had been classified under the Commercial Real Estate Business Unit, has been reclassified under the Residential Development Business Unit.
In line with this change, the financial results of the first three months ended June 30, 2018 and the fiscal year ended March 31, 2019 are
calculated under the new classification.
As a result of the transfer of a portion of shares in NF Power Service Co., Ltd., the company ceased being a consolidated subsidiary on
April 1, 2019.
<Residential Development Business Unit>
Operating revenue in this business unit totaled 13,879 million yen, which represents a decrease of 36,745 million yen, or 72.6% year on
year, and business loss totaled 4,853 million yen (business profit of the first three months ended June 30, 2018 was 408 million yen),resulting in decreases in both operating revenue and business profit compared with the financial results of the first three months ended June30, 2018.
This was mainly due to a decrease in the number of housing units sold. Compared to the previous fiscal year, larger portion of housingsplanned to be sold in this fiscal year are planned to be constructed and recorded as sales in the fourth quarter.
In regard to housing sales, 208 units were recorded as sales (a decrease of 462 units year on year).
The contract progress rate for the planned 5,100 units of the fiscal year was 66.5% at the end of the first quarter.
The number of housing contracted but not recorded as sales were 3,787 units as of the end of the first quarter(an increase of 243 units
year on year).
Number of units, sales, and outstanding contract amount as sold for the joint-venture projects are calculated based on the Group’s share.

2

Breakdown of operating revenue
First three months ended

First three months ended

Fiscal year ended

Jun. 30, 2018

Jun. 30, 2019

Mar. 31, 2019

Operating revenue
Housing units sold(Millions of yen)

Operating revenue
Housing units sold(Millions of yen)

Operating revenue
Housing units sold(Millions of yen)Tokyo

547 units

28,848160 units

8,211

4,295 units

264,695

Kansai area

35 units

1,458

31 units

1,376

830 units

40,719Other

87 units

4,378

17 units

608

764 units

36,641

metropolitan
area

Housingsales

Subtotal

670 units

34,684208 units

10,196

5,890 units

342,055(39 units)(2,529)(15 units)(1,043)(647 units)(44,378)

Rental housing / Senior

-

9,271

-

1,473

-

12,615

Other

-

6,668

-

2,209

-

20,701-

50,625-

13,879-375,373(Detachedhousing)

Total

Housing sales Period-end completed housing inventory (released for sale)
As of Jun. 30, 2018

As of Jun. 30, 2019

As of Mar. 31, 2019

Tokyo metropolitan area

112 units

72 units

147 units

Kansai area

65 units

19 units

62 unitsOther

8 units

5 units

19 units

Total

186 units

97 units

229 units(Detached housing)(12 units)(34 units)(35 units)

Housing sales Period-end completed housing inventory (unreleased)
As of Jun. 30, 2018

As of Jun. 30, 2019

As of Mar. 31, 2019Total

120 units

23 units

47 units(Detached housing)(8 units)(10 units)(9 units)

Housing sales Contracted but not recorded as housing sales
As of Jun. 30, 2018

As of Jun. 30, 2019

Outstanding
Housing units

As of Mar. 31, 2019

Outstanding

contract amount

Housing units(Millions of yen)contract amount

Outstanding
Housing units(Millions of yen)contract amount(Millions of yen)

Tokyo metropolitan area

2,673 units

168,366

2,817 units

196,940

2,204 units

156,292

Kansai area

472 units

23,909511 units

27,035410 units

21,694

Other

399 units

20,279458 units

26,167381 units

22,222

Total

3,544 units

212,556

3,787 units

250,1422,996 units

200,209(Detached housing)(179 units)(10,708)(119 units)(8,090)(21 units)(1,608)<Commercial Real Estate Business Unit >Operating revenue in this business unit totaled 72,166 million yen, which represents an increase of 31,381 million yen, or 76.9% year on year,
and business profit totaled 8,330 million yen, a decrease of 2,649 million yen, or 24.1%, resulting in an increase in operating revenue and adecrease in business profit compared with the financial results of the first three months ended June 30, 2018.
This was mainly due to the adjusted expenses paid by the tenant moving out was recorded in the first three months ended June 30, 2018 while
revenues from properties for sales increased.

3

Breakdown of operating revenue
First three months ended

First three months ended

Fiscal year ended

Jun. 30, 2018

Jun. 30, 2019

Mar. 31, 2019

(Millions of yen)

(Millions of yen)

(Millions of yen)

Leasing (offices)15,194

11,98653,975

Leasing (retail facilities)

3,486

3,151

13,817

Leasing (other)

1,917

2,062

7,974

Property for sales (sale)

13,96339,52765,350Property for sales (leasing)

784

1,890

4,533

Fitness

4,028

4,222

16,647

Other

1,409

9,325

9,312

40,78572,166

171,612

Total
Rentable area
As of Jun. 30, 2018

As of Jun. 30, 2019

As of Mar.31, 2019

Offices

828,483 m2

795,097 m2

784,122 m2

Retail facilities

174,666 m2

169,609 m2

169,497 m2

Total

1,003,149 m2

964,706 m2

953,620 m2

Vacancy rate (offices and retail facilities)
As of Jun. 30, 2018

As of Jun. 30, 20190.7%

As of Mar.31, 2019
4.1%

4.7%

<Investment Management Business Unit>
Operating revenue in this business unit totaled 3,144 million yen, which represents an increase of 533 million yen, or 20.4% year on year,
and business profit totaled 1,931 million yen, an increase of 175 million yen, or 10.0%, resulting in increases in both operating revenue andbusiness profit compared with the financial results of the first three months ended June 30, 2018.
This was mainly due to an increase in assets under management of a domestic asset management company and Lothbury, a real estate
investment manager in the UK, became a consolidated subsidiary of the Company in the previous fiscal year.
First three months ended

First three months ended

Fiscal year ended

Jun. 30, 2018

Jun. 30, 2019

Mar. 31, 2019

(Millions of yen)

(Millions of yen)

(Millions of yen)

Operating revenue

2,611

3,144

9,641

Assets under management

Domestic asset

REITs

managerPrivate funds, etc.

As of Jun. 30, 2018

As of Jun. 30, 2019

As of Mar.31, 2019

(Millions of yen)

(Millions of yen)

(Millions of yen)

1,231,343

1,298,679

1,290,999

76,01390,39175,474

Overseas asset manager-

308,450

303,002

Total

1,307,356

1,697,521

1,669,476<Property Brokerage & CRE Business Unit>
Operating revenue in this business unit totaled 7,852 million yen, which represents a decrease of 47 million yen, or 0.6% year on year,
and business profit totaled 560 million yen, a decrease of 430 million yen, or 43.4%, resulting in decreases in both operating revenue andbusiness profit compared with the financial results of the first three months ended June 30, 2018.
This was mainly due to a decrease in the number of units sold in the new construction consignment sales business and an increase in
selling, general and administrative expenses while the number of transactions and total transaction value in property brokerage increased.

4

Breakdown of operating revenue
First three months ended

First three months ended

Fiscal year ended

Jun. 30, 2018

Jun. 30, 2019

Mar. 31, 2019

(Millions of yen)

(Millions of yen)

(Millions of yen)

Property brokerage

7,107

7,343

33,136

Other

791

508

4,162

7,899

7,852

37,298

Total

Number of transactions and transaction value of property brokerageFirst three months ended

First three months ended

Fiscal year ended

Jun. 30, 2018

Jun. 30, 2019

Mar. 31, 2019

Number of transactions
Transaction value (Millions of yen)

2,193

2,336

8,922

163,543

179,354

767,324<Property & Facility Management Business Unit>
Operating revenue in this business unit totaled 19,878 million yen, which represents a decrease of 202 million yen, or 1.0% year on year,
and business profit totaled 1,218 million yen, an increase of 90 million yen, or 8.0%, resulting in a decrease in operating revenue and anincrease in business profit compared with the financial results of the first three months ended June 30, 2018.
Breakdown of operating revenue
First three months ended

First three months ended

Fiscal year ended

Jun. 30, 2018

Jun. 30, 2019

Mar. 31, 2019

(Millions of yen)

(Millions of yen)

(Millions of yen)

Property & facility management

12,70012,994

51,524

Construction ordered

5,732

5,636

32,371

Other

1,648

1,247

7,478

20,08019,87891,374

Total
Number of properties under management
As of Jun. 30, 2018
Buildings under management
Condominiums undermanagement (unit)

As of Jun. 30, 2019

As of Mar.31, 2019

726

745

732

173,667

177,461

177,582<Other Business Unit>
Operating revenue in this business unit totaled 23 million yen, which represents an increase of 0 million yen, or 2.3% year on year,
and business loss totaled 1 million yen (business loss of the first three months ended June 30, 2018 was 5 million yen).

(2) Financial Position
As of Mar. 31, 2019

As of Jun. 30, 2019

Changes(Millions of yen)

(Millions of yen)

(Millions of yen)

Changes

Total assets

1,759,455

1,717,562(41,893)(2.4%)

Total liabilities

1,217,893

1,180,871(37,021)(3.0%)Net assets

541,562536,690(4,871)(0.9%)

Shareholders' equity ratio

29.9%

30.4%

-

-

Total assets were 1,717,562 million yen, which represents a decrease of 41,893 million yen compared to the end of the previous fiscal year.
This was mainly due to decreases in securities (decreased by 37,000 million yen) and cash and deposits (decreased by 21,768 million yen)while an increase in inventories (increased by 16,087 million yen).
Total liabilities were 1,180,871 million yen, which represents a decrease of 37,021 million yen compared to the end of the previous fiscal

5year. This was mainly due to decreases in notes and accounts payable-trade (decreased by 27,187 million yen) and income taxes payable(decreased by 10,668 million yen).
Net assets were 536,690 million yen, which represents a decrease of 4,871 million yen compared to the end of the previous fiscal year. Thiswas mainly due to a decrease in retained earnings (decreased by 4,009 million yen).
The shareholders' equity ratio was 30.4%, an increase of 0.4 percentage point from the end of the previous fiscal year.

(Cash Flows)
Cash and cash equivalents as of the end of the current first quarter totaled 59,559 million yen, which represents a decrease of
58,771 million yen compared to the end of the previous fiscal year.
Net cash provided by (used in) operating activities decreased by 53,165 million yen (a year-on-year decrease of 25,791
million yen). This was mainly due to a decrease in trade payables and the payment of income taxes payable.
Net cash provided by (used in) investment activities decreased by 3,061 million yen (a year-on-year increase of 6,825
million yen). This was mainly due to the purchase of property, plant and equipment and intangible assets.
Net cash provided by (used in) financing activities decreased by 2,594 million yen (a year-on-year decrease of 40,746 millionyen). This was mainly due to the payment of dividends and the purchase of treasury shares while the procurement of funds bylong-term and short-term borrowings.
(3) Consolidated Operating Result Forecasts
No change in the consolidated operating result forecast which was announced on April 25, 2019.

6

2. Quarterly Consolidated Financial Statements and Notes(1) Quarterly Consolidated Balance Sheets(Millions of yen)
As of March 31, 2019

As of June 30, 2019

AssetsCurrent assets
Cash and deposits

81,351

59,583

Notes and accounts receivable - trade26,601

14,574

Securities

37,000－Real estate for sale161,224

141,990

Real estate for sale in process

290,398

297,919

Land held for development

184,650

212,465

Equity investments

18,066

18,360Other50,27460,563(39)(40)

849,528

805,417

Buildings and structures, net

223,385

221,077Land

544,226

544,378

Other, net

19,421

19,430Total property, plant and equipment

787,033

784,886

18,104

21,454

Investment securities

50,52250,764

Leasehold and guarantee deposits

25,44825,608Deferred tax assets

20,863

21,636

Other

Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment

Intangible assets
Investments and other assets

7,956

7,795

Allowance for doubtful accounts

(0)

(0)

Total investments and other assets

104,789

105,804

909,926

912,145

1,759,455

1,717,562

Total non-current assets
Total assets

7

(Millions of yen)
As of March 31, 2019

As of June 30, 2019

Liabilities
Current liabilities
Notes and accounts payable - trade

53,927

26,739

Short-term borrowings

79,50091,000

Income taxes payable

13,3182,650

Deposits received

26,915

17,495

Provision for bonuses

8,176

4,144

Provision for bonuses for directors (and other officers)

495

113

Provision for loss on business liquidation

26

24

Other

49,51356,494

Total current liabilities

231,873

198,663

Bonds payable

140,000

140,000

Long-term borrowings

694,500

689,500

Leasehold and guarantee deposits received

59,24959,645

Deferred tax liabilities

61,563

61,936

Deferred tax liabilities for land revaluation

3,900

3,900

Provision for loss on subleasing business

15

11

18,175

18,163

Non-current liabilities

Retirement benefit liability
Provision for share-based remuneration

719

929

Other

7,895

8,123

986,019982,208

1,217,893

1,180,871

117,293

117,337

Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Share capital
Capital surplus

110,537

110,581

Retained earnings

307,570

303,560

Treasury shares(18,787)(20,801)

Total shareholders' equity

516,613510,677

Valuation difference on available-for-sale securities

6,718

7,131

Deferred gains or losses on hedges

(259)

71

Revaluation reserve for land

7,860

7,860

Foreign currency translation adjustment

(677)

(554)

Remeasurements of defined benefit plans(3,507)(3,451)

Total accumulated other comprehensive income

10,134

11,058

Share acquisition rights

2,346

2,310

Non-controlling interests

12,467

12,644

Accumulated other comprehensive income

Total net assets
Total liabilities and net assets

8541,562536,690

1,759,455

1,717,562

(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income(Quarterly Consolidated Statements of Income for the First Three Months from April 1 to June 30, 2019)(Millions of yen)Three months ended

Three months ended

June 30, 2018

June 30, 2019

Operating revenue

118,903

112,448

Operating cost

81,244

82,587

Operating gross profit

37,65829,861

Selling, general and administrative expenses

23,09023,815

Operating profit

14,568

6,046

Non-operating income
Interest income

1111

Dividend income

35

32

28

114

Gain on sales of investment securities－

88

Gain on donation of non-current assets

54

－

Other

45

96

Total non-operating income

175

342

Interest expenses

2,152

2,155

Other

201

204

Total non-operating expenses

2,354

2,359

12,3894,028

Loss on transfer of non-current assets

1,091

－

Total extraordinary losses

1,091

－

Profit before income taxes

11,298

4,028

Income taxes - current

1,774

2,141

Income taxes - deferred

1,870(1,297)

Total income taxes

3,645

844

Profit

7,652

3,184

Profit attributable to non-controlling interests

128

209

Profit attributable to owners of parent

7,523

2,975

Share of profit of entities accounted for using equity
methodNon-operating expenses

Ordinary profit
Extraordinary losses

9(Quarterly Consolidated Statements of Comprehensive Income for the First Three Months from April 1 to June 30, 2019)(Millions of yen)

ProfitThree months ended

Three months ended

June 30, 2018

June 30, 2019
7,652

3,184

Valuation difference on available-for-sale securities

1,340

412

Deferred gains or losses on hedges

(375)

330

Revaluation reserve for land

(0)

(0)

Foreign currency translation adjustment

(63)

219

Remeasurements of defined benefit plans, net of tax

76

56

(9)

(40)

969

977

8,622

4,162

8,493

3,898

128

263

Other comprehensive income

Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests10

(3) Quarterly Consolidated Statements of Cash Flows(Millions of yen)Three months ended

Three months ended

June 30, 2018

June 30, 2019

Cash flows from operating activities
Profit before income taxes

11,2984,028

Depreciation

4,669

4,854

(28)

(114)

1

0

(2)

(1)

(12)

(4)

Increase (decrease) in retirement benefit liability

(46)

(12)

Interest and dividend income

(46)

(43)

Interest expenses

2,152

2,155

Decrease (increase) in trade receivables

2,840

12,057

Decrease (increase) in inventories

5,081(16,087)

Decrease (increase) in equity investments

Share of loss (profit) of entities accounted for using equity
methodIncrease (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for loss on businessliquidation
Increase (decrease) in provision for loss on subleasing
business

305

(293)

Increase (decrease) in trade payables(20,624)(27,209)

Increase (decrease) in deposits received(2,670)(9,419)Other, net(9,806)(4,665)

Subtotal(6,889)(34,754)50

46

Interest paid

(1,154)(1,404)

Income taxes paid

(19,378)(17,052)

Net cash provided by (used in) operating activities(27,373)(53,165)(4,116)

(174)

29

696

－

187

－

(85)

(5,177)(4,000)

0－

Payments of leasehold and guarantee deposits

(148)

(628)

Proceeds from refund of leasehold and guarantee deposits

256

409

Repayments of lease and guarantee deposits received(1,244)(788)

Proceeds from lease and guarantee deposits received

430

1,213

Other, net

81

109

(9,887)(3,061)

Net increase (decrease) in short-term borrowings

9,000

10,000

Repayments of finance lease obligations

(50)

(75)

Proceeds from long-term borrowings

56,0003,000Interest and dividends received

Cash flows from investing activities
Purchase of investment securities
Proceeds from sales and liquidation of investment
securities
Proceeds from purchase of shares of subsidiaries resulting
in change in scope of consolidation
Payments for sales of shares of subsidiaries resulting inchange in scope of consolidation
Purchase of property, plant and equipment and intangible
assetsProceeds from sales of property, plant and equipment andintangible assets

Net cash provided by (used in) investing activities
Cash flows from financing activities

11

(Millions of yen)

Repayments of long-term borrowings

Three months ended

Three months ended

June 30, 2018

June 30, 2019
(19,000)(6,500)

Proceeds from issuance of shares

40

31

Proceeds from sales of treasury shares－

12

Purchase of treasury shares(1,206)(2,027)

Dividends paid

(6,586)(6,985)

(44)

(49)

38,151(2,594)

Dividends paid to non-controlling interests
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents

(6)

49

Net increase (decrease) in cash and cash equivalents

885(58,771)

Cash and cash equivalents at beginning of period

61,347

118,330

Cash and cash equivalents at end of period

62,23259,55912

(4) Notes to Quarterly Consolidated Financial Statements(Notes to Going Concern Assumptions)Not applicable.
(Notes to Significant Changes in Shareholders’ Equity)
Not applicable.
(Segment Information)【Segment information】
I FY2018 1Q (Three months from April 1 to June 30, 2018)
1. Information regarding sales, gains or losses, by reportable segment(Millions of yen)AmountReportable segments

recorded in
Property
Residential Commercial

Other

Property &Adjustments
Total

Investment
Brokerage

Facility

Subtotal(Note) 1

Development Real Estate Management& CRE

consolidated
financial(Note) 2

statements

Management(Note) 3

Operating revenue
External customers

50,35840,317

2,611

7,620

17,972

118,88023

118,903-

118,903

Inter-segment

266

467

-

279

2,108

3,121

0

3,121

(3,121)-

Subtotal

50,62540,785

2,611

7,899

20,080122,00123

122,025(3,121)

118,903408

10,979

1,755

990

1,128

15,262(5)

15,257(594)

14,663

Segment profit or loss
(Business profit or loss)(Note) 3

Amortization of
intangible assets
associated with corporate(66)

acquisitions(Note) 3

Share of profit (loss) ofentities accounted for(28)

using equity method(Note) 3

Operating profit

14,568(Note) 3(Notes) 1. The “Other” category represents operating segments that are not included in reportable segments.
2. The deduction of 594 million yen shown in the adjustments column for Segment profit or loss (Business profit or loss) includes
elimination of intersegment transactions of 466 million yen and a deduction of 1,060 million yen for corporate expenses notallocated to each reportable segment. These corporate expenses mainly consist of general and administrative expenses not
attributable to reportable segments.
3. Segment profit or loss (Business profit or loss) = operating profit + share of profit (loss) of entities accounted forusing equity method + amortization of intangible assets associated with corporate acquisitions
2. Information regarding impairment loss on noncurrent assets or goodwill by reportable segment
Not applicable13

Ⅱ FY2019 1Q (Three months from April 1 to June 30, 2019)
1. Information regarding sales, gains or losses, by reportable segment(Millions of yen)AmountReportable segments

recorded in
Property
Residential Commercial

Other

Property &Adjustments
Total

Investment
Brokerage

Facility

Subtotal(Note) 1

Development Real Estate Management& CRE

Management

consolidated
financial(Note) 2

statements(Note) 3

Operating revenue
External customers

13,69870,336

3,143

7,731

17,514112,424

23

112,448-

112,448

Inter-segment

180

1,830

0

120

2,363

4,495

0

4,496

(4,496)-

Subtotal

13,87972,166

3,144

7,852

19,878116,920

23

116,944(4,496)112,448(4,853)

8,330

1,931

560

1,218

7,187

(1)

7,185

(872)

6,312

Segment profit or loss
(Business profit or loss)(Note) 3

Amortization of
intangible assets
associated with corporate(152)

acquisitions(Note) 3

Share of profit (loss) ofentities accounted for(114)

using equity method(Note) 3

Operating profit
6,046(Note) 3(Notes) 1. The “Other” category represents operating segments that are not included in reportable segments.
2. (1) The deduction of 872 million yen shown in the adjustments column for Segment profit or loss (Business profit or loss) includes
an increase in elimination of intersegment transactions of 419 million yen and a deduction of 1,292 million yen for corporate
expenses not allocated to each reportable segment. These corporate expenses mainly consist of general and administrative
expenses not attributable to reportable segments.
3. Segment profit or loss (Business profit or loss) = operating profit + share of profit (loss) of entities accounted for using equity
method + amortization of intangible assets associated with corporate acquisitions
2.

Notes relating to changes in reportable segments etc.
From the first quarter, Leasing Business Unit has been renamed Commercial Real Estate Business Unit. Nomura Real Estate Life
& Sports Co., Ltd., and the senior business of Nomura Real Estate Wellness Co., Ltd. and Nomura Real Estate Development Co.,
Ltd., which had been classified under the Property & Facility Management Business Unit, have been reclassified under theCommercial Real Estate Business Unit and the Residential Development Business Unit, respectively. The rental housing businessof Nomura Real Estate Development Co., Ltd., which had been classified under the Commercial Real Estate Business Unit, hasbeen reclassified under the Residential Development Business Unit.
The segment information for the previous consolidated fiscal year is prepared and disclosed based on the classification of reportablesegments after this change.

14

3. Notes relating to changes in profit or loss calculation methods for each reportable segment
From this consolidated fiscal year, the Company changed the method of calculation of profit or loss for each reportable segment to"Business profit and loss" in consideration of profit or loss in overseas business and amortization associated with mergers andacquisitions. The effect of this change on segment profit or loss (business profit and loss) for the current first quarter was insignificant.
The segment information for the previous consolidated fiscal year is prepared and disclosed based on the calculation methods after
this change.
4. Information regarding impairment loss on noncurrent assets or goodwill by reportable segment
Not applicable15