May 16，2024

MORI TRUST CO., LTD.

Financial Reportfor the Fiscal Year Ended March 2024
Mori

Trust

Group

recently

announced

its

consolidated

business

performance for the year ended March 31, 2024 (FY 2024).
The Group consists of 41 consolidated companies, including Mori TrustCo., Ltd., Mori Trust Building Management Co., Ltd., and Mori Trust Hotels &Resorts Co., Ltd., and three equity-method affiliates.

[Mori Trust Group Consolidated Financial Report]（April 1, 2023 – March 31, 2024）
For the fiscal year ended March 2024, operating revenue was 262.9
billion yen (down 1.4% year-on-year) and operating income was 53.8 billion
yen (down 17.8% year-on-year). In addition to the acquisition of multiple
properties in the United States, improvements in the operation of existing
office buildings and improved hotel occupancy rates due to the transition
to Class 5 status of COVID-19 contributed to record highs for both leasingrelated and hotel-related revenue. On the other hand, real estate sales
revenue decreased due to sales adjustments and other factors, resulting inlower revenues and earnings.
Ordinary income decreased to 58.9 billion yen (down 15.0% from theprevious year), and net income attributable to owners of the parent
decreased to 41.3 billion yen (down 21.9% year-on-year).
In the forecast for the fiscal year ending March 2025, both leasingrelated and hotel-related revenues are expected to increase for the third
consecutive year, resulting in an overall increase in operating revenue to285.0 billion yen (up 8.4% year-on-year). Operating income is expected to
be 54.0 billion yen (up 0.3% year-on-year), and net income attributable toowners of the parent is expected to be 36.0 billion yen (down 13.0% yearon-year).

1（Figures in millions of yen; figures less than one million yen are rounded down.）

FY 2023

FY 2024

FY 2025(Projection)

Operating revenue

266,629

262,903

285,000

Operating income

65,55553,85354,000Ordinary income

69,34058,96657,00053,012

41,38736,000Rental related business

85,384

91,89293,000Hotel related business

44,54566,42675,000118,010

86,418100,000

18,68918,16617,000Total assets

1,254,665

1,477,644―

Net assets

559,912591,673―

Net income attributableto parent company’s
shareholders.
Operating revenue breakdown

Real estate sales
business
Other business(contract work, etc.)
Total assets and net assets

Highlights of FY2024 Business Performance〇 Leasing-related business posted a record operating revenue of 91.8
billion yen, an increase of 7.6% year-on-year and the highest ever for thesecond consecutive period, due to the full-year operation of 601
Massachusetts Avenue in Washington, D.C., which was acquired in August
2022, and improved occupancy rates of existing office buildings.
〇In the hotel related business, the occupancy rate of all existing hotels in
City Hotels and Resort Hotels was significantly improved due to the impactof the transition of COVID-19 to Class 5 in May 2023. Additionally, withthe acquisition of the RIHGA Royal Hotel Kyoto in May of the same year
and the opening of the Shisui Luxury Collection Hotel Nara in August of
the same year, operating revenue increased 49.1% year-on-year to 66.4
billion yen, the highest ever for the second consecutive period.
2

〇In real estate sales business, condominium sales by Eslead Corporation
continued to perform well from the previous year, but sales adjustments
meant that operating revenue decreased 26.8% year-on-year to 86.4
billion yen, and in other businesses, operating revenue decreased 2.8%
year-on-year to 18.1 billion yen.
As a result of the above, operating revenue was 262.9 billion yen,operating income was 53.8 billion yen, and net income attributable toowners of the parent was 41.3 billion yen.

Business Performance Projections for FY2025○In the leasing-related business, we expect operating revenue to reach arecord high of 93 billion yen for the third consecutive fiscal year, mainly
due to improvements in the occupancy rate of existing office buildings, as
we emerge from the slump in the office market caused by COVID-19 thathas continued since 2020.
○Regarding the hotel related business, we plan to open the Mampei Hoteland Hotel Indigo Nagasaki Glover Street this fiscal year. In addition, as thefirst full fiscal year of operation since the transition of COVID-19 to Class
5 status is expected to further improve occupancy rates at existing hotels,
we expect operating revenue of 75 billion yen, the highest in our history
for the third consecutive fiscal year.
○The real estate sales business is expected to generate operating revenuesof 100 billion yen, mainly for the residential sales business, and otherbusiness is expected to generate operating revenues of 17 billion yen.
As a result of the above, business performance for the fiscal year ending
March 2025 is expected to see operating revenue of 285 billion yen,operating income of 54 billion yen, and net income attributable to ownersof the parent of 36 billion yen.

Projections contained in this document have been made on the basis of information available
when it was released. Due to various unforeseeable factors, actual performance may differ fromsuch projections.

3Financial Conditions of Mori Trust Group■Trends of Capital Stock and Capital Adequacy Ratio
In the fiscal year ending March 2024, the capital stock was 557.3 billion
yen and capital adequacy ratio was 37.7%, down 4.4% year-on-year, due
to investments in the U.S. office building 245 Park Avenue, the RIHGA
Royal Hotel Kyoto, and the Fairfield by Marriott Osaka Namba, among
others.
600,000

60.0%
Capital Stock

Capital Adequacy Ratio

500,000

50.0%

400,000

40.0%

300,000

30.0%

200,000

20.0%

100,000

10.0%(million)

0

17/3

18/3

19/3

20/3

21/3

22/3

23/3

24/3

0.0%

■Trends of Lease-related and Hotel-related Businesses
In the fiscal year ending March 2024, both leasing-related revenue andhotel-related revenue reached record highs.
100,000
90,000

Leasing-related revenue
Hotel-related revenue

80,00070,00060,00050,00040,00030,00020,00010,0000(million)

17/3

18/3

19/3

20/3

21/3

4

22/3

23/3

24/3

25/3
(estimation)

Advance2030■Advance2030 Numerical Targets
Mori

Trust

formulatedGroup'smedium-to

long-term

2016,

was

in

in

revisedvision,November"Advance2027,"

2023

to

become"Advance2030," setting a new investment target of 1.2 trillion yen for fiscal
2030, as well as targets of sales of 330 billion yen and operating income of
70 billion yen for fiscal 2030.
（Figures in Bllions of yen）

Fiscal year

FY2030FY2016FY2024

1,402

2,629

3,300

Rental related business

627

918

1,000

Hotel related business

298

664

1,000

Real estate sales business

364

864

1,000

Other business

112

181

300

Operating income

303

538

700

Operating revenue(Advance2030)■Advance2023 Action Plans（1）Real Estate Business (Leasing and Sales)ⅰ）Selection andIntensive investment in areas where we can be highly

concentrationcompetitiveⅱ）Optimal combinations

Optimally combine functions to maximize thecharacteristics of landⅲ）Strengthening

Contribute to the kind of urban development whichinternational city

serves to contribute to the strengthening of Japan’sfunctionsinternational competitiveness（2）Hotel & Resorts Businessⅰ）Communicating theLeverage abundant tourism resources tobrand of Japan

communicate the charm of Japan to the rest of theworldⅱ）Global standards

Providing services based on international standards
and global lifestyles to the Japanese market

5ⅲ）Innovation

Creating new value by integrating Japanese culture
with services that are based on international
standardsⅳ）Aiming for Japan toContributing through business to the establishment

become an advancedof Japan’s status as an advanced country when it

country in terms ofcomes to tourism

tourism（3）Investment BusinessIn order to build an optimal business and asset portfolio in a manner
having us promptly responding to the times, we will ensure that ourinvestments focus on stability, sustainability, and growth potential throughthe deployment of variety of investment methods for all businesses
serving to bring value to greater society.

6

FY2024 Key Business Topics■REAL ESTATETokyo World Gate Akasaka, a project in central Tokyo, is underdevelopment for its grand opening in 2025. As for overseas investment, a
key strategy set forth in the medium- to long-term vision "Advance2030,"
Mori Trust is participating it its first overseas real estate development
project in Boston, Massachusetts, in the United States. In addition, we arerenovating 245 Park Avenue, an office building in Manhattan, New York, for2025. We also moved our headquarters to the Tokyo World Gate Kamiyacho
Trust Tower for the first time in 24 years.
Tokyo World Gate Akasaka／Akasaka Trust Tower
Based on the district concept “Next Destination: Meet Up Again in theCity,”we are promoting development with the aim of creating a city that will
become a destination for diverse people to meet again and interact witheach other in the future.

Location

2-chome, Akasaka, Minato-ku, Tokyo

Site area

approx. 15,750 ㎡

Rentable

approx. 220,000m2

Area(Including existing buildings)

Number of

43 floors above groundfloors3 floors below ground
Offices, hotel, serviced apartments,

Propertyshop & restaurant, facilities toTypesupporttourism, facilities to promotehistory and culture, clinics

Participation in development in Boston, Massachusetts, U.S.A.
Through Mori America LLC, our U.S.
subsidiary,

we

participated

in

the

development of the laboratory and officedevelopment.
This property is a laboratory and officethat responds to the growing interest in
the life science field and demand forresearch facilities as a result of the global
pandemic experience and the rapid development of advanced therapeutic
drug science.
7

P r o p e r t yProperty Address
S

i

t

e

A

R e n t a b l e
N o .

o f

15 Necco Street

N a m er

e

15 Necco Street, Boston, Massachusetts 02210

345,995 sq. ft

A r e aF l o o r s

P r o p e r t yApprox. 2.22 acresaT y p e1 basement floor, 12 floors above ground
Laboratory and office, RetailParticipation in an investment and renovation project in an officebuilding in Manhattan, New York, USA
Through Mori America LLC, we invested
in the office building 245 Park Avenue
and participated in the renovation of theproperty.
Located in the Midtown Area, theeconomicandculturalcapitalof

Manhattan, the largest city in the UnitedStates, the Property is jointly owned by SL Green Realty Corp., Manhattan's
largest real estate company, and will be renovated for 2025. Our total
investment in the property and renovations is expected to be 100 billion yen.
P r o p e r t yProperty Address
S

i

t

e

A

R e n t a b l e
N o .

o f

245 Park Avenue

N a m er

e81,336 sq.ft

a1,782,793 sq.ft

A r e aF l o o r s

P r o p e r t y

245 Park Ave, New York, NY 10029, USA

45 floors above ground
OfficeT y p eMori Trust’s new office (Tokyo World Gate/Kamiyacho Trust Tower)
At our new headquarters, which we moved to in May 2023, we haveenhanced employee engagement through our “DESTINATION OFFICE” vision
for our office business, and added together the idea of a versatile officespace that creates a new office that continues to be a desirable destination.
In addition, we began offering “WORK SELECT”, a service that will contributeto the growth of our customers by providing even stronger support for office
operations that meet the needs of workers and society.

8【Reference】“WORK SELECT” service started
Mori Trust Building Management offers "WORK SELECT," a service that
proposes and supports office creation to companies that have issues with
their current offices or are considering relocating their offices.
Mori Trust Group's accumulated knowledge and experience can beutilized to provide one-stop support for all phases of office construction,
thereby streamlining costs and schedules and helping to realize the ideal
office.

9

■HOTELS & RESORTS
As of March 2024, the Mori Trust Group had 32 hotel facilities acrossJapan in its Hotel & Resort business, which is the core business of the Mori
Trust Group, and was promoting 22 new hotel plans. In the fiscal year
ending March 2024, we acquired two hotels in the Kansai area, where
demand is expected to grow. Under the “Luxury Destination Network”
concept,* we are promoting initiatives aimed at expanding inbound demandand increasing the cost per traveler. We are providing both domestic andinternational travelers with comfortable stays that take advantage of theattractive tourism resources in Japan.
List of existing hotels and new hotel projects※“Luxury Destination Network" concept: Mori Trust Group has a "Luxury Destination Network"
concept to attract international hotels to various regions in Japan, in addition to Tokyo and Kyoto,
which are the golden routes for tourism.
10

Hotels Opening in the Fiscal Year Ending March 2024
Shisui, a Luxury Collection Hotel, Nara
This project is being promoted in Nara
Prefecture’s

public-private

partnershipproject, “Yoshikien’s Surrounding Area
Preservation, Management, and Utilization
Project.” The hotel opened in August 2023
as the third double-branded hotel in Japan
under the “SUI” and “Luxury Collection”
luxury hotel brands.
The Tokyo EDITION, Ginza
It opened in March 2024 in the Ginza 2Chome area, the heart of Ginza, Japan's
leading commercial district, home to many
world-renowned luxury fashion and highjewelry brands. We aim to contribute to thesustainable development of the Ginza area
as a new landmark that attracts global
tourists.
Laforet Hakone Gora Yunosumika Ayano-kan Annex
Based

on

the

conceptof“Immersion

through the five senses and creating richtimes,” the hotel opened in January 2024 asa place with high-quality facilities in harmony
with the nature of Hakone and attentive
service

where

Hakonecanbeenjoyedthrough the five senses.
Acquisition of RIHGA Royal Hotel Kyoto
We acquired RIHGA Royal Hotel Kyoto in May
2023.
This large hotel with approximately 500 rooms
is located approximately a 7-minute walk from
Kyoto Station, within walking distance of World
Heritage sites such as Toji Temple and Nishi
Honganji Temple. This prestigious hotel has
been loved by the local Kyoto community for over 50 years since it first
opened in 1969, and underwent a major renovation in 2016.
11

Acquisition of Fairfield by Marriott Osaka Namba
In January 2024, we acquired the
Fairfield

byMarriottOsaka

Namba,

located approximately a five-minute walk
from

Namba

Station,Osaka's

secondterminal station, marking our first foray
into the Osaka Namba area.
Located

in

an

area

where

tourismdemand is expected to grow in themedium to long term, this hotel specializes in accommodation, welcoming
tourists from both Japan and abroad by providing reliable services and awarm, comfortable space.

(Reference) Hotels scheduled to be developed
Major renovation project for Mampei HotelThis is a major renovation project for
Mampei Hotel, which will celebrate its
130th anniversary in 2024. This project
aims to preserve the tradition as avaluable historic landmark in the historyof hotels in Japan, and to provide a
dignified stay at a classic hotel for a longtime to come. （ scheduled to open insummer 2024）

Hotel Indigo Nagasaki Glover Street
The Minamiyamate district in Nagasaki
is a tourist attraction with an exotic andcosmopolitan atmosphere. The openingof the West Kyushu Shinkansen line is
expected to further develop tourism inthis area, and we have invited Hotel
Indigo, a lifestyle boutique hotel brandoperated by IHG Hotels & Resorts, tojoin us. (Scheduled to open in the winterof 2024 to 2025)
12

Sustainability Activity Report■Mori Trust Sustainability Vision

From Urban Planning to Future Planning
Under our corporate slogan “Create
the Future,” we aim to create an
Sloganexciting future.

From Urban Planning to Future Planning

Just as our mission once changed from building planning to urban
Under our corporate slogan “Create the Future,” we aim to create an exciting future.

Just asaour
missiononce changedbuilding planningto urbanwith
planning,
planning, creating
newsociety
willfromchangeus along
society.

creating a new society will change us along with society.

7 Priority Theme

Action Plan

Safe and Secure- Creating a place where sustainable activities can be carried out by realizing regional
disaster prevention and BCP- Providing peace of mind to meet the needs of the times, such as measures against
infectious diseases using new technologies- Promoting the developmental growth of local communities and society together
with various interested parties

Environment- Urban planning through conservation of landscapes and ecosystems and utilization ofenvironmentally friendly resources- Use and diffusion of renewable energy and expansion of stable supply- Appropriate cooperation with various stakeholders

Work / Lifestyle

Related SDGs

- Providing facilities and services to improve work-life balance- Creating a diversity of lifestyles through new businesses- Practicing new ways of working, and proposing and giving back to society

Innovation- Developing industries through investments and partnerships- Optimizing the supply chain through the use of digital data and advanced technologies- Establishing a group structure to promote free proposals and their realization

Wellness- Providing a place to contribute to the sustainable health promotion of people- Creating food and stay opportunities that satisfy both mind and body
- Realizing health management throughout society

Diversity- Promoting international exchange and multilingual support- Establishing a management foundation that enables diverse human resources to play
an active role

Compliance
Governance- Continual improvement of governance that contributes to economic revitalization- Strengthening risk management that contributes to sustainable corporate activities

Results of Initiatives in the Fiscal Year Ended March 2024 (Excerpt)■Safe and secure urban planning and community revitalization〇Provision of a lounge space open to the local community
Number of actual users of TOKYO WORLD GATE CoCo Lounge: 235,418〇Local community-building through area management activities
Number of events held in Kamiyacho, Gotenyama, Marunouchi and Sendai
areas: 16〇Preparation for safety by conducting disaster drills
Number of disaster drills conducted: 5

13

■Realization of a sustainable environment and society〇Introduction of renewable energy power to rental buildings
Introduction to nine new rental buildings: 88.1% progress rate ( target rateof introduction to rental buildings by FY2025: 100%)〇Acquisition of environmental certifications for rental buildings
Certifications acquired: 3（15 Necco Street 、245 Park Avenue、Kamiyacho
Trust Tower）■Reduction in plastic use for hotel amenities by approximately 15 tons
Mori Trust Hotels & Resorts is implementing initiatives to reduce theplastic contained in hotel amenities used at the 18 hotels it operates, 16
tons per annum, by 15 tons by FY2024.
[1] Replacement with wood, bamboo, and products containing less plastic.
[2] Initiatives to encourage guests to bring their own amenities with them.
[3] Abolishment of some free hotel amenities.
■Proposal of new work and life styles〇Acquisition of certifications for the workplace environment
Acquisition of the Health and Productivity Management Organization
certification for five consecutive years■Creation of a new era and development of industries〇 Exhibitions and sales that contribute to dissemination of culture andindustries.
Actual exhibition and sales activities at TOKYO WORLD GATE CoCo
Lounge: Permanent exhibitions for 37 weeks■Promotion of wellness and health〇Promotion of projects in the wellness field
Development and sales of health-conscious or environmentally friendly
lunch boxes
Sales of home-grown herbal teas
Introduction of pure wellness rooms: 21 facilities〇Childcare leave acquisition rate
Acquisition rate: Total 69.6%, female 100.0%, male 66.7% (target by
FY2025: 100%)14

■Initiatives for diversity〇Support for foreign residents with life concierges
Number of cases handled by concierges at TOKYO WORLD GATE CoCo
Lounge: 2,378〇Implementation of recruitment activities with an awareness of diversity
Quotas for international students and innovation recruitment in the
recruitment of new graduates, and comeback recruitment and referral
recruitment in the mid-career recruitment■Continuous improvement of compliance and governance〇Strengthening of Mori Trust Group’s legal functions
Number of group legal meetings held: 4
Number of in-house seminars：3〇Raising awareness of management against information leakage
Implementation of crisis management simulations

Mori Trust Group: Total Floor Area Leased or Managed■ Number of rental/managed facilities (as of March 31, 2024)
Buildings, housing, and commercial facilities: 64
Hotel & resort facilities: 35 (number of rooms: approx. 5,300)

15

Mori Trust Group: Summary of Consolidated Companies
MORI TRUST CO., LTD.

MORI TRUST Asset Management Co., Ltd.

Location
ChairmanPresident
Established
CapitalBusiness sectors

Location
Toranomon, Minato-ku, Tokyo
President
Hiroshi Naitou
EstablishedFebruary 28, 2000
Capital
400 million yen
Business sectors Operation of real estate investment trusts

Toranomon, Minato-ku, Tokyo
Akira Mori
Miwako Date
June 10,1970
30 billion yen
Real estate development, hotel management andinvestment business

MORI TRUST BUILDING MANAGEMENT CO., LTD.

MORI America LLC

Location
President
Established
CapitalBusiness sectors

Location
County of New Castle, Delaware 19808 U.S.A.
Established
November 7, 2016
Business sectors Real estate business in the United States

Toranomon, Minato-ku, Tokyo
Kazunobu Kuwata
April 1, 2002
100 million yen
Comprehensive building services for building
management, interior design management &renovation, and planning & consulting.

MORI TRUST HOTELS & RESORTS CO., LTD.
Location
President
Established
CapitalBusiness sectors

MORI America Management LLC

Kitashinagawa, Shinagawa-ku, Tokyo
Location
County of New Castle, Delaware 19808 U.S.A.
Miwako Date
Established
December 16, 2016
February 7, 1973
Business sectors Real estate management service in the United States
100 million yen
Operation of hotel chains & golf courses, Management of
tourism information center, Meeting room lease, Innovative R&D

MAMPEI HOTEL CO., LTD.

MT BACK BAY ONE LLC

Location
ChairmanPresident
Established
CapitalBusiness sectors

Location
County of New Castle, Delaware 19808 U.S.A.
Established
November 4, 2016
Business sectors Ownership of 10 St. James Avenue and 75 Arlington
Street in Boston

Toranomon, Minato-ku, Tokyo
Miwako Date
Ichiro Sasaki
1894
100 million yen
Operation of the Mampei Hotel

Sun Marina Operations Co., Ltd.

MT D.C. One LLC

Location
President
Established
CapitalBusiness sectors

Location
County of New Castle, Delaware 19808 U.S.A.
Established
January 19, 2022
Business sectors Ownership of 2235&2245 Monroe Street in Northern
Virginia

Onna-son，Kunigami-gun，Okinawa
Takamu Narita
April 1, 1987
100 million yen
Operation of the Sheraton Okinawa Sun Marina
Resort

MT&Hilton Hotel Co., Ltd.
Location
President
Established
CapitalBusiness sectors

MT&M Hotel Management Co., Ltd.
Location
President
Established
CapitalBusiness sectors

MT D. C. Two LLC

Toranomon, Minato-ku, Tokyo
Location
County of New Castle, Delaware 19808 U.S.A.
Eiji Funayama
Established
July 12, 2022
October 22, 2004
Business sectors Ownership of 601 Massachusetts Avenue
20 million yen
in Washington D.C.
Management of the Conrad Tokyo, Hilton Odawara
and Hilton Okinawa Sesoko Resort Resort & Spa

MT Boston Two LLC

Toranomon, Minato-ku, Tokyo
Location
County of New Castle, Delaware 19808 U.S.A.
Eiji Funayama
EstablishedFebruary 2, 2023
May 13, 2019
Business sectors Investment in real estate in Boston
20 million yen
Management of JW Marriott Hotel NARA,The Tokyo EDITION, Ginza and The Tokyo EDITION,
Toranomon

RRH Kyoto Operations GK

MT New York One LLC

Location
COO
Established

Location
County of New Castle, Delaware 19808 U.S.A.
EstablishedMarch 7, 2023
Business sectors Investment in real estate in Boston

HigashiHorikawa-dori, Shimogyo-ku, Kyoto
Eiji funayama
February 5, 2015
(date of foundation since incorporation-type company split)

CapitalBusiness sectors

0.1 million yen
Operation of the RIHGA Royal Hotel Kyoto

FORETSEINE CO., LTD.

MT New York One Mezz LLC

Location
President
Established

Location
County of New Castle, Delaware 19808 U.S.A.
Established
April 28, 2023
Business sectors Debt Investment in 245 Park Avenue in New YorkKitashinagawa, Shinagawa-ku, Tokyo
Shin Takahashi
March 31, 2011
(date of foundation since incorporation-type company split)

CapitalBusiness sectors

100 million yen
Planning and development of urban typecondominium for sales and rental management

MORI TRUST RESIDENTIAL SERVICE CO., LTD.

AZMAX CORP.

Location
President
Established
CapitalBusiness sectors

Location
Nihonbashi, Chuo-ku, Tokyo
President
Satoshi Tsuda
Established
August 11, 1947
Capital
499 million yen
Business sectors Manufacturing and selling cold drawn special
steel shapes

Kitashinagawa, Shinagawa-ku, Tokyo
Mitsuya Toyoda
March 1, 1978
90 million yen
Sale and rental of condominium apartment
properties

16

Mori Trust Group: Summary of Equity - Method
MORI TRUST Reit, Inc. (Code：8961)

ARE-MA REGION NO. 74, LLC

Location
Established
Business sectors

Location
26 North Euclid Avenue, Pasadene, CA 91101
Established
October 16, 2019
Business sectors Ownership of 15 Necco Street in Boston

Toranomon, Minato-ku, Tokyo
October 2, 2001
Investment in real estate and asset-backed
securities investing primarily in real estate

Aichi Road Concession Co.,Ltd.

245 Park Holding LLC

Location

Hikozucho, Handa-shi, Aichi

Location

County of New Castle, Delaware 19808 U.S.A.

Established

August 3, 2016

Established

July 6, 2022

Business sectors

Road maintenance and management in the Aichi

Business sectors Ownership of 245 Park Avenue in New Yorkprefecture district and surrounding regions andassociated road improvement works(as of March 31, 2024)17

Consolidated Balance Sheets (as of March 31, 2024)
MORI TRUST CO., LTD. and its consolidated subsidiaries(\ millions)
AssetsⅠ. Current assets
1 Cash and deposits
2 Notes and accounts receivable-trade
3 Short-term investment securities
4 Real estate for sale
5 Real estate for sale in process
6 Real estate for development
7 Other inventories
8 Other
Allowance for doubtful accounts
Total current assets
Ⅱ. Noncurrent assets
1 Property, plant and equipment（1) Buildings and structures, net（2) Machinery, equipment and vehicles, net（3) Tools, furniture and fixtures, net（4) Land（5) Construction in progress（6) Other, net
Total property, plant and equipment
2 Intangible assets（1) Leasehold right（2) Goodwill（3) Other
Total intangible assets
3 Investments and other assets（1) Investment securities（2) Long-term loans receivable（3) Deferred tax assets（4) Net Defined Benefit Asset（5) Guarantee deposits（6) Other
Allowance for doubtful accounts
Total Investments and other assets
Total noncurrent assets
Total assets
Note: Figures less than one million yen are rounded down.

18

74,51922,026
2,643
198,188
77,448618
2,529
32,723(15)
410,682259,876
6,000
2,604
559,996
49,096
1,993
879,567
3,273
415
14,401
18,09073,15375,908
2,171
724
5,973
11,391(18)
169,304
1,066,962
1,477,644

(\ millions)
Liabilities
Ⅰ．Current liabilities
1 Notes and accounts payable-trade
2 Short-term loans payable
3 Current portion of long-term loans payable
4 Accounts payable-other
5 Income taxes payable
6 Accrued expenses
7 Deposits received
8 Provision for bonuses
9 Other
Total current liabilities
Ⅱ．Noncurrent liabilities
1 Long-term loans payable
2 Long-term lease deposited
3 Long-term guarantee deposited
4 Long-term deposits received
5 Deferred tax liabilities
6 Net defined benefit liability
7 Asset Retirement Obligation
8 Other
Total noncurrent liabilities
Total liabilities
Net assets
Ⅰ．Shareholders' equity
1 Capital stock
2 Capital surplus
3 Retained earnings
Total shareholders' equity
Ⅱ．Valuation and translation adjustments
1 Valuation difference on available-for-sale securities
2 Deferred hedge gains and losses
3 Foreign currency translation adjustment
4 Remeasurements of defined benefit plans
Total valuation and translation adjustments
Ⅲ．Non-controlling interests
Total net assets
Total liabilities and net assets
Note: Figures less than one million yen are rounded down.

19

14,86327,006
20,886
6,771
11,326
1,759
1,944
1,278
11,506
97,343
669,382
59,30944,996
506
6,770
2,572
2,975
2,114
788,627885,971

30,00010,464
488,281
528,7453,674
1
24,671276
28,62334,304
591,673
1,477,644

Consolidated Statements of Income (For the years ended March 31, 2024)(\ millions)
Ⅰ．Operating revenue
Ⅱ．Operating cost
Operating gross profit
Ⅲ．Selling, general and administrative expenses
Operating income
Ⅳ．Non-operating income
1 Interest and dividend income
2 Gain on sales of securities
3 Other
Total non-operating income
Ⅴ．Non-operating expenses
1 Interest expenses
2 Loss on Valuation of securities
3 Investment loss on equity method
4 Other
Total non-operating expenses
Ordinary income
Ⅵ．Extraordinary income
1 Gain on sales of noncurrent assets
2 Gain on sales of investment securities
3 Other
Total extraordinary income
Ⅶ．Extraordinary loss
1 Loss on retirement of noncurrent assets
2 Loss on Valuation of investment securities
3 Other
Total extraordinary losses
Income before income taxes
and minority interests
Income taxes-current
Income taxes for prior periods
Net income
Net income attributable to non-controlling interests
Net income attributable to parent company’s shareholders
Note: Figures less than one million yen are rounded down.

20

262,903
187,469
75,434
21,58053,853
4,726
3,819
2,192
10,738
3,489
391
1,002
742
5,625
58,966
4,729
523
13
5,265
75
191
1
268
63,963
19,821(886)
45,0283,640
41,387