Note:

Please note that this document is a Japanese-English translation of the summary of the official announcement inJapanese “Kessan Tanshin” for reference purposes only.

Summary of Consolidated Financial Results
For the Second Quarter Ended September 30, 2017〔Based on Japanese GAAP〕
May 15, 2017
Open House Co., Ltd.
Tokyo Stock Exchange, First section
3288
http://openhouse-group.com/ir
Masaaki Arai, President and CEO
May 15, 2017
June 12, 2017
Yes
Yes （for institutional investors and analysts, in Japanese)

Company name:
Stock exchange listings:
Code Number:
URL:
Representative:
Scheduled date of quarterly securities report filing:
Scheduled date of dividends:
Supplementary materials for quarterly financial results:
Quarterly results briefing meeting :(Million yen, rounded down)

1.

Consolidated Financial Results for the Second Quarter Ended September 30, 2017
（October 1, 2016 to March 31, 2017）(1) Consolidated operating results (Year-to-date)
Revenue(% figures indicate year-on-year change)

Operating income

Million yen%

Million yen%

FY 2017 2Q
148,368
26.6
18,23720.3
FY 2016 2Q
117,16349.1
15,16077.2(Note) Comprehensive income: From October 1, 2016 to March 31, 2017
From October 1, 2015 to March 31, 2016
EPS(2) Consolidated Financial Position
Total assets
March 31, 2017
September 30, 2016
(Reference) Shareholders’ equity:

2.

Million yen%

17,82921.3
14,69780.7¥ 11,705 million (24.1%)¥ 9,429 million (85.6%)

11,651
9,424

%

23.6
85.4

Yen
206.67166.22

Net assets

Million yen

222,003
204,868
As of March 31, 2017
As of September 30, 2016

Equity ratio

Million yen%

71,83664,084¥71,429 million yen¥63,708 million yen

32.2
31.1

Dividends

Annual dividends per share (Yen)
2Q-end3Q-endYear-end
0.00
FY 2016―50.00
FY 201730.00―
FY 2017 (Forecast)
30.00(Note) Revision of the latest dividend forecast: No
1Q-end――

3.

Million yen

Diluted EPS
Yen
207.80166.82

FY 2017 2Q
FY 2016 2Q

Profit attributable toowners of parent

Ordinary income

Forecast of Consolidated Operating Results for FY2017(October 1, 2016 to September 30, 2017)
Revenue
Million yen

%

Total
50.00
60.00

(% figures indicate year-on-year change)

Operating income

Ordinary income

Profit attributable toowners of parentMillion yen

Million yen

Million yen%

Full year
300,000 21.4
35,00011.7(Note) Revision of the latest consolidated results forecast: No34,000%

16.6

22,000%17.6

Open House Co., Ltd. (3288)

EPSYen392.351|

*Notes:(1) Significant changes in consolidated subsidiaries during the period(Changes in specific subsidiaries resulting in a change in the scope of consolidation):(2) Adoptions of special accounting methods in presentation of quarterly financial statements:(Note) Please refer to 4) Notes to Consolidated Quarterly Financial Statements on page 7.

NoneYes(3) Changes in accounting policies, changes of accounting estimates, and revisions and restatementsⅰ) Changes in accounting policies in accordance with changes in accounting principles:
Noneⅱ) Changes in accounting policies other than the above:
Noneⅲ) Changes in accounting estimates:
Noneⅳ) Revisions and restatements:
None(4) Number of shares issued and outstanding (common stock)ⅰ) Number of shares issued at period-end (including treasury stock)
March 31, 2017: 57,447,400 shares
September 30, 2016: 57,400,000 sharesⅱ) Treasury stock at period-end
March 31, 2017: 1,673,136 shares
September 30, 2016: 1,215,836 sharesⅲ) Average number of shares issued (cumulative consolidated quarterly periods)
March 31, 2017: 56,072,765 shares
March 31, 2016: 56,497,221 shares* Notes regarding forward-looking statements:
Consolidated business forecasts are based on assumptions from information available to management at the time of disclosureand those deemed to be reasonable.
Actual results may differ significantly from forecast due to various unpredictable reasons.

Open House Co., Ltd. (3288)

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Consolidated Quarterly Financial Statements1）Consolidated Quarterly Balance Sheets(Million yen)

End of FY 2016
(September 30, 2016)
AssetsCurrent assets
Cash and cash equivalents
Accounts receivable, trade
Real estate for sale
Real estate for sale in process
Operating loans
Other
Allowance for doubtful accounts

End of FY 2017 2Q(March 31, 2017)

67,508577
34,434
83,112
5,708
5,602
（151）
196,792

75,543679
22,909102,446
5,455
5,655
（134）
212,554

2,651
1,389
3,972
8,013

3,031
1,354
5,004
9,391

62
204,86857
222,003

8,874
34,937
582
8,458
6,594
1,74513,096
74,2889,601
44,098
562
7,649
6,219
1,811
10,88580,828Long-term liabilities
Bonds payable
Long-term loans payable
Net defined benefit liability
Asset retirement obligations
Other

2,555
63,792
11
81
55

2,274
66,914118156

Total long-term liabilities
Total liabilities

66,495
140,784

69,337150,166

3,982
5,883
55,723（1,852）
63,736

4,019
5,921
64,565（3,102）
71,404

Other comprehensive income
Net unrealized holding gains/losses on securities
Foreign currency translation adjustment

5（33）

717

Accumulated other comprehensive income
Subscription rights to shares（28）37525407

Total current assets
Fixed assets
Tangible fixed assets
Intangible fixed assets
Investments and other assets
Total fixed assets
Deferred assets
Total assets
Liabilities
Current liabilities
Accounts payable
Short-term loans payable
Current portion of bonds
Current portion of long-term loans payable
Income taxes payable
Reserves
Other
Total current liabilities

Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equityTotal net assets
Total liabilities and net assets

64,084
204,868

Open House Co., Ltd. (3288)

71,836
222,0033|2）Consolidated Quarterly Statements of Income and Consolidated Quarterly Statements of Comprehensive Income
Consolidated Quarterly Statements of Income(Million yen)Six months ended
September 30, 2016
(From October 1, 2015
to March 31, 2016)

Six months ended
September 30, 2017
(From October 1, 2016
to March 31, 2017)

Revenue
Cost of revenue

117,163
94,791

148,368
121,535

Gross profit

22,372

26,832

Selling, general and administrative expenses

7,212

8,595

Operating income

15,16018,2374
142

Foreign exchange gains
Other―
111

205
119

Total non-operating income

Non-operating income
Interest income
Dividends income

116

330

Non-operating expenses
Interest expenses

401

421

Commission fee
Other

15
162

107
209

Total non-operating expenses

579

738

Ordinary income

14,697

17,829

Income before income taxes

14,697

17,829

Income taxes-current

5,272

6,178

Profit9,424

11,651

Profit attributable to owners of parent

9,424

11,651

Open House Co., Ltd. (3288)

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Consolidated Quarterly Statements of Comprehensive Income(Million yen)Six months ended
September 30, 2016
(From October 1, 2015
to March 31, 2016)
Net income
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income

Six months ended
September 30, 2017
(From October 1, 2016
to March 31, 2017)

9,424

11,651(2)
7251

553

9,429

11,705

9,429

11,705(Breakdown)Comprehensive income attributable to owners ofparent

Open House Co., Ltd. (3288)

5|3）Consolidated Quarterly Statements of Cash Flows（Millions of yen）

Six months ended
September 30, 2016
(From October 1, 2015 toMarch 31, 2016)
Cash flows from operating activities
Profit before income taxes
Depreciation and amortization
Stock based compensation expense
Increase (Decrease) in allowance for doubtful accounts
Increase (Decrease) in net defined benefit liability
Increase (Decrease) in reserves
Interest and dividend income

Six months ended
September 30, 2017
(From October 1, 2016 to
March 31, 2017)

14,697
186
109（23）0116（5）

17,829173
53（16）
065（6）

47401（20）

（125）
421
―Decrease (Increase) in notes and accounts receivable-trade

137

（97）

Decrease (Increase) in inventories
Increase (Decrease) in notes and accounts payable-trade
Decrease (Increase) in operating loans receivable
Increase (decrease) in advances received
Increase (decrease) in guarantee deposits received
Increase (decrease) in deposits received
Other
SubtotalInterest and dividends received
Interest expense paid

（5,468）
821
（177）
853
(225)
(153)
(721)
10,5785（395）（7,866）
727
252
148
(840)
(871)
（1,104）8,743
6（424）（5,292）
4,895（6,067）2,257

Foreign exchange loss (gains)
Interest expense
Loss (Gain) on sales of investment securities

Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Payments into time deposits

（30）

―

Purchase of tangible fixed assets

（138）

(496)

Purchase of intangible fixed assets

（76）

(89)

Purchase of investment securities（1,747）―

184―

Proceeds from sales of investment securities
Payments of loans receivable to affiliates

―

(949)

Payments for investments in capital

（300）

―

Payments for lease and guarantee deposits
Proceeds from collection of lease and guarantee deposits
Other（56）
40（0）

(173)
1442（2,124）(1,652)

Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from short-term loans payable
Repayment of short-term loans payable
Proceeds from long-term loans payable
Repayment of long-term loans payable
Redemption of bonds
Proceeds from exercise of stock option
Purchase of treasury stock
Cash dividends paid
OtherNet cash provided by (used in) financing activities
Effect of exchange rate changes on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

30,601（29,335）
26,469（23,966）

49,324（40,163）
37,481（35,173）

（361）

（301）

―52

（782）

（1,256）（1,697）（2,809）

（19）
907

（7）
7,147
281
8,034
67,50875,543（35）
3,642
43,32546,967
Open House Co., Ltd. (3288)

6|4） Notes to Consolidated Quarterly Financial Statements(Notes on Going Concern Assumptions)Not applicable(Notes on Significant Changes in the Amount of Shareholders’ Equity)
Pursuant to a resolution passed by the Board of Directors at the meeting held November 14, 2016, the Company haspurchased 457,300 shares of treasury stock. This will raise the amount of treasury stock by 1,249 million yen in thecumulative term of the consolidated second quarter, bringing the treasury stock to 3,102 million yen at the end of theconsolidated second quarter.
(Adoption of Special Accounting Methods for Preparation of Quarterly Consolidated Financial Statements)
Tax expenses are calculated based on a logical estimate of the effective tax rate after applying tax effect accounting toincome before income taxes for the consolidated fiscal year and then multiplying income before income taxes for thequarter by the estimated effective tax rate.
(Segment and Other Information)
Ⅰ Six months ended September 30, 2016 (October 1, 2015 to March 31, 2016)
Information relating to the amounts of revenue, income and loss by reportable segment
Reportable Segment（Million yen）
Amount Recorded on
Adjustments
Consolidated(Note 1)
Quarterly Statementsof Income (Note 2)

Brokerage

Singlefamily
homesOpen
Condomin Property
Houseium
resalesArchitect

1,947

59,13215,013

2,385

38,478

206

117,163－

117,163

1,932

－

2,278

13－

28

4,253

(4,253)

－

Total

3,879

59,132

17,292

2,398

38,478234

121,416(4,253)

117,163

Segment Income (Loss)

1,327

6,988

729

(321)

6,459

74

15,257(97)

15,160

OthersTotal

Revenue
Revenue from
Outside Customers
Intersegment
revenue and transfers(Note)
１. Adjustment of -¥97 million for segment income includes intersegment elimination of ¥45 million and corporate
expenses of -¥142million that is not distributed to the reportable segments. Corporate expenses are primarily generaland administrative expenses that do not belong to the reportable segments.
2.

Segment income has been adjusted to operating income described in consolidated quarterly statements of income.
Ⅱ Six months ended September 30, 2017 (October 1, 2016 to March 31, 2017)ⅰ Information relating to the amounts of revenue, income and loss by reportable segment（Million yen）
Reportable Segment

Amount Recorded onAdjustments
Consolidated(Note 1)
Quarterly Statementsof Income (Note 2)

Brokerage

Singlefamily
homes

OpenCondomi Property
Houseniumresales
Architect2,41472,328

15,283

7,713

50,437

191

148,368－

148,368

2,579

78

2,423

－

825

5,116

(5,116)

－

Total

4,993

72,407

17,707

7,713

50,446

217

153,485(5,116)

148,368

Segment Income (Loss)

1,740

8,182

955

863

6,495

16

18,254(16)

18,237

OthersTotal

Revenue
Revenue from
Outside Customers
Intersegment
revenue and transfers(Note)

Open House Co., Ltd. (3288)

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１.

2.

Adjustment of -¥16 million for segment income includes intersegment elimination of ¥124 million and corporate
expenses of -¥141 million that is not distributed to the reportable segments. Corporate expenses are primarily
general and administrative expenses that do not belong to the reportable segments.
Segment income has been adjusted to operating income described in consolidated quarterly statements of income.
ⅱ Changes in reportable segments
The Group changed the name of “Asakawa Home” reportable segment to “Open House Architect” from the firstquarter of the current fiscal year. This change had no effect on profit and loss for the current fiscal year.
Segment information for the second quarter of the previous fiscal year on a consolidated basis was prepared basedon the segment category applied for the same period of the fiscal year under review.

Open House Co., Ltd. (3288)

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