August 6, 2019
Earnings Highlights for FY2020 – 1Q
(The Fiscal Year Ending March 31, 2020)
Mitsubishi Estate Co., Ltd.
●Earnings for FY 2020 – 1Q (Consolidated)
Millions of yen (rounded down)
Change(%)

FY2020-1Q
Results

FY2019-1Q
Results

Office Building Business

121,081

149,551(28,469)(19.0)%

590,000

Lifestyle Property Business

36,982

23,075

13,90660.3%

120,000

Residential Business

71,386

68,966

2,419

3.5%

402,000

ChangeFY2020 Estimates（Announced on May 14, 2019)

International Business

16,600

11,229

5,371

47.8%

137,000

Revenue from Operations

265,883

272,660(6,777)(2.5)%

1,360,000

Office Building Business

33,851

37,323(3,472)(9.3)%

153,000

Lifestyle Property Business

10,189

7,056

3,132

44.4%

35,000Residential Business

2,540

1,238

1,302

105.2%

20,000International Business

6,082

3,780

2,301

60.9%

37,000Operating Income

46,85045,322

1,527

3.4%

230,000

Income Before Taxes and Special Items

43,97839,877

4,101

10.3%

207,000

Profit Attributable to Owners of Parent

26,42025,297

1,122

4.4%

137,000

EBITDA

71,96968,461

3,508

5.1%

324,000＜Summary＞【Overview】
There is a decrease in income and an increase in profits compared with FY2019-1Q. One of main factors forthe decrease in income is due to selling off property in the previous period in the Office Building Business.
Capital gains of a whole company stay at the same level as the previous year.
Main factors for the increase in profits include the effects of new building s completed in the previous period,
an increase in rental profits in a favorable performance in outlet mall business, and also an increase in profits
from overseas condominiums. Factors affecting individual segments compared with FY2019-1Q are detailedbelow.
【Office Building Business】
Despite an increase in rental income and profits of new building s, a decrease in income and profits fromproperty sales resulted in an overall decrease.
(Vacancy Rate)
The temporary increase in vacancy due to a change in tenants in Marunouchi led to the vacancy
rates for Japan (all uses) and Marunouchi (offices) increasing compared with the end of March 201 9.
This had already been taken into consideration at the beginning of the period, and with leasing
underway, figures are in line with estimates.
(Average Rents)
The average rents increased as a result of rents from new buildings in Marunouchi as well as anincrease in rents from existing buildings mainly in Marunouchi.

Vacancy rates(yen/tsubo.month)

2019/3Results

2019/6
Results

2020/3 Estimates(Announced on May 14, 2019)Japan (all uses)

1.80%

2.29%

1.5%

Marunouchi (offices)

2.19%

2.69%

¥26,702¥26,910

Average rents (Japan, all uses)¥26,900

【Lifestyle Property Business】
An increase of income and profits from property sales and a favorable performance in outlet mall businessresulted in an overall increase.
【Residential Business】
Despite a decrease in sales from rental apartments in the domestic residential business, an increase in sales
income and profits from overseas condominiums led to an overall increase.
【International Business】
In addition to an increase in income and profits from property sales, an increase in occupancy rates of theoffice building in the U.S. that has been partially completed under a large-scale renovation resulted in anoverall increase.

●Earnings Estimates for FY2020 (Consolidated)
There is no change in the earnings estimates announced on May 14, 2019.

Disclaimer
The forecasts contained in this report, the Summary of Consolidated Financial Statements, and FACT BOOK
are based on information available to the Company at the time of disclosure. Therefore, actual performance
may differ from such forecasts due to various factors.
The summary of Financial Statements and Fact Book can be found on the homepage.
◇http://www.mec.co.jp/e/investor/irlibrary/materials/index.html(End)