FY2021(Fiscal year ended March 31, 2021)

Financial Results Presentation
May 14, 2021
Keihan Holdings Co., Ltd.
(Tokyo Stock Exchange 1st / Securities Code: 9045 https://www.keihan-holdings.co.jp/)

Table of Contents

 Summary of Consolidated Financial Results andForecasts…

2

 Measures Based on the Long-term Management Strategy… 10
and the Future Business Direction
 Overview of FY2021 Financial Results… 21

 FY2022 Forecasts… 35

 Notes on forecasts 
Descriptions of business forecasts and future prospects are based on current information and certain assumptions about factors that
may affect future business.
Actual results may differ due to various factors that may arise in the future.

1

Summary of Consolidated Financial Resultsand Forecasts

2

Summary of Consolidated Financial Results(Millions of yen)

FY2021
results

FY2020results

ChangeChange (%)

Operating revenue

253,419

317,103-63,683-20.1%

Operating income-1,26531,123-32,388-

Ordinary income

238

29,886-29,647-99.2%-4,574

20,121-24,695-

Profit attributable to ownersof parent

FY2021
results

FY2021targetCost reduction

15.8 bn. yen

13.5 bn. yen

2.3 bn. yen

Capital expenditure33.2 bn. yen

35.4 bn. yen-2.1 bn. yen

Change3Impact of the COVID-19 Pandemic<<Financial impact>>
Operatingrevenue

OperatingincomeTransportation-32.1 bn. yen-29.9 bn. yen

Real estate-2.1 bn. yen-0.6 bn. yen

Retail distribution-15.4 bn. yen-2.6 bn. yen

Decrease in train and bus passengers
Decrease in showroom and rental meeting room
users
Decrease in commercial facility users

Leisure and service-27.4 bn. yen-13.7 bn. yen

Decrease in hotel and leisure facility users

Others-1.8 bn. yen-0.7 bn. yen

Decrease in commercial facility users

Total-78.9 bn. yen-47.8 bn. yen

Main impact<<COVID-19-related subsidies>>
1,849 million yen of the employment adjustment subsidy and 756 million yen of the subsidy for COVID-19
countermeasures were recorded as non-operating income.
<<Accounting of fixed costs for idle facilities, etc.>>
While the State of Emergency was declared (April and May 2020), 947 million yen of fixed costs involved in idle facilities, etc.
(labor costs, rent, depreciation, etc.) was recorded as loss due to COVID-19 under extraordinary losses.

4

Situation of Main Affected Segments (1)<<Railway (Keihan Electric Railway): Passenger Figures compared to 2019>>
(%)

10.0

0.8
State of
Emergency-10.0

State of
Emergency

-2.1

-30.0

-20.9

-22.4

-28.6

-26.9

-26.2

-28.0

Jun.

Jul.

Aug.

Sep.

-23.2

-25.0

-31.9

-29.3

-24.6

-50.0

-49.9

-48.1

Apr.

May

-70.0
2020

Jan.

2021

Feb.

Mar.

Oct.

Nov.

Dec.

Jan.

Feb.

Mar.

<<Department Store (Keihan Department Stores): Operating revenue compared to 2019>>
(%)

20.0

Excluding decrease in reaction to the acceptanceof orders for large-scale interior work

Suspensionof somestores

0.0

-1.9

-5.5

-9.7
-6.4

-20.0

-6.5

-10.0

-1.5
-7.4

-16.9

-16.8

-22.8

-40.0

-36.2

-14.8

-11.4

-11.1

Feb.

Mar.

-26.8

Decrease in reaction tolast-minute demand before
consumption tax hike

-53.0

-60.0

2021

2020

Jan.

Feb.

Mar.

Apr.

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

Jan.

5

Situation of Main Affected Segments (2)<<Hotel: Occupancy rates>>
(%)

100.0
82.1
80.0
60.0

Suspension of the“Go To Travel”
campaign

Suspension andscaling back ofsome hotels

65.5

62.6
51.0

74.0
56.6

40.0

38.6

35.4
19.6

20.0

6.3

2020

1月
Jan.

2月
Feb.

3月
Mar.

4.4

3.5

4月
Apr.

5月
May

13.0

14.5

8.0

11.5

28.5

25.5
17.2

20.2

0.0

29.6

33.2

4.3

36.9

47.9

26.5

9.9

56.8

7.6

16.3

2021

6月
Jun.
Hotel
Keihan
ホテル京阪

7月
Jul.

8月
Aug.

9月
Sep.

10月
Oct.

11月
Nov.

12月
Dec.

1月
Jan.

2月
Feb.

3月
Mar.

KeihanHotels & Resorts
京阪ホテルズ＆リゾーツ

6Summary of Forecasts(Millions of yen)

FY2022full-year forecasts

FY2021
results

ChangeChange (%)

Operating revenue

263,000

253,419

9,580

3.8%

Operating income

12,500-1,265

13,765-

Ordinary income

11,000238

10,761-

Profit attributable to ownersof parent

5,300-4,574

9,874-[Preconditions for forecasts]
 Economic activity in Japan is gradually recovering since bottoming out in April to May 2020.
 Inbound demand will hardly recover during this fiscal year.
 The impact of factors such as the declaration of the State of Emergency in April 2021 due to theresurgence of COVID-19 infections is not included in the forecasts, since it is difficult to reasonably
assess the impact at this stage.
[Impact of application of Accounting Standard for Revenue Recognition]
 Operating revenue: -30 billion yen (including -29.5 billion yen for the retail distribution business)

7

Response to the COVID-19 Pandemic
Cost reduction


We aim to reduce operating expenses by 15 billion yen in FY2022.
Main items

Cost reduction

Personnel expenses, repair expenses, rent,
advertising expenses

FY2022target15 bn. yen

Investment reduction

We will continue investment reduction in FY2022.
Details

Capital expenditure

Reviewing new investment according to thechanging business environment

FY2022 fullyear forecasts

30 bn. yen

Securing liquidity on hand
 In addition to securing sufficient cash/deposits and liquidity on hand, we will implement flexible
financing amid the COVID-19 pandemic by utilizing loan programs from financial institutions and theshort-term corporate bond issuance limit.

8

Shareholder Return Policy In FY2021, despite the significant impact of the COVID-19 pandemic on business, weplan to pay a year-end dividend of 25 yen per share.

Continuingstable dividend  For FY2022, we aim to continue the dividend payment of 25 yen per share by
payment
promoting measures advocated in the future business direction, despite the ongoing
uncertain business environment.

Transition of annual dividend and equity capital ratio

Dividend (yen)Equity capital ratio (%)

40.0

40.0

30.0

30.0

20.0

20.0

10.0

10.0

0.0

0.0
2009

2010

* Converted factoring in the share consolidation

2011

2012

2013

2014

2015

Annualdividend
年間配当

2016

2017

Equity capital ratio
自己資本比率

2018

2019

2020

2021
(forecast)(予想)

9Measures Based on the Long-termManagement Strategy and the Future
Business Direction

10Policy on the Long-term Management Strategy•

To achieve sustainable growth in society during and after the COVID-19 pandemic, the KeihanGroup will promote the main strategies advocated in the long-term management strategy(FY2019 to FY2027) while reviewing them according to the changing business environment.

Long-term Management Strategy (FY2019 to FY2027)
Main strategies
Redevelop Keihan areas
Medium-term management
plan“Create Living, Community,and Excitement”(terminated)

Future business direction
Safety & Security
Structural Reform
BIOSTYLE

Co-create tourism opportunity

Create relatable contents
2018

2019

Main
events/projects

2020

2021

…………………………

2025

2026

Tokyo 2020 Olympic and Paralympic Games
Expo 2025 Osaka, Kansai

11Progress of the Main Strategies
Redevelop
Keihan areas•

Increasing the value of the areas along the Keihan Railway lines is the basis for the
Keihan Group’s business. So we will continue developing the Yodoyabashi,
Nakanoshima and Hirakatashi station areas in line with changing lifestyles.

Yodoyabashi
Keihan Midosuji Building and Nittochi Yodoyabashi Building will be jointly
reconstructed after integration of the premises.
• Total floor area: Approx. 73,600 m2
Oct. 2020 Demolition of existing building started. • Size: 28 floors above ground,2022
Construction of new building starts.
4 floors below ground
FY2026
Project to be completed.
• Height: Approx. 150 m

Nakanoshima
The company participates in the Nakanoshima 4-chome International Hub for
Medical Innovation Project. This is a joint project with Nippon Life Insurance
Company and Kanden Realty & Development.
• Total floor area: Approx. 58,000 m2
2023
Project to be completed.
• Size: 17 floors above ground

Hirakatashi
Community building starting from railway stations
Mar. 2020 Establishment of the redevelopment association was approved.
Feb. 2021 The right conversion plan was approved.
FY2024
Construction in the land partially owned by Keihan Group (section 3)
to be completed.
FY2026
Project to be completed. [Section 3]
2• Total floor area: Approx. 94,000 m• Size: 26 floors above ground (high-rise building)
10 floors above ground (low-rise building)
29 floors above ground (residential building)

New building development(image)Nakanoshima Multi-linkS(image)Construction
area

Hirakatashi
Sta.

Redevelopment area
(image)© 2021 Hirakatashi Station Area
Urban Redevelopment
Association

12

Progress of the Main Strategies
Co-create
tourism
opportunity•

While assessing the tourism situation during and after the COVID-19 pandemic, wewill surely capture the local demand and start preparations toward the recovery period.

Design of vehicles unified in Mt. Hiei area
• As part of the Dengyo Daishi Saicho 1200-year
commemoration project, the vehicle designs of the
Eizan Cable Car (connecting Yase in Kyoto and
Mt. Hiei) and the Mt. Hiei shuttle bus were unified.
Tourism MaaS demonstration experiment• We are promoting
measures to revitalize
the Mt. Hiei and Lake
Biwa area and the OkuKyoto area (Ohara,
Kurama, Kibune).

Createrelatable
contents•

Otsu and Mt. Hiei MaaS
“Koto Koto Navi”
Period: Oct. 16 to
Dec. 6, 2020

Oku-Kyoto MaaS
Period: Oct. 27, 2020 toJan. 31, 2021

Eizan Cable Car

Mt. Hiei shuttle bus

Serving as a partner for the city-owned land
utilization project to the southeast of Kyoto Sta.
• We work as a partner of teamLab,
which was selected as a preferredbidder with its plan to create acultural complex containing an art
museum and a civic gallery toconnect the area with the world.

The COVID-19 pandemic has brought BIOSTYLE to the attention of customers. Given
that, the Keihan Group will promote and establish the BIOSTYLE PROJECT.

• BIOSTYLE is an initiative proposed by the Keihan Group, which can be introduced todaily life with pleasure and without burden, leading to the realization of a recyclingoriented society.
• BIOSTYLE is regarded as the Keihan version of the SDGs, and the guidelines are
established to encourage group companies to actively work on the BIOSTYLE PROJECT.
• We are promoting the purpose and details of the project to our stakeholders under thetheme of “Change the future with pleasure.”13

Future Business Direction••

Given drastically changing lifestyles, the Keihan Group will steer its business toward Safety& Security, Structural Reform, and BIOSTYLE in the future.
Along with the main strategies advocated in the long-term management strategy, the KeihanGroup will implement measures based on this business direction to restore its managementfoundation.
Medium-to-long Term Changes in Lifestyle
Establishing health andprevention-conscious
behavior

Spreading new ways ofwork and life (remote
work, etc.)

Raising awareness ofenvironmental andsocial issues

Future Business Direction

Safety & Security

Structural Reform

BIOSTYLE* BIOSTYLE: Initiative proposed by the Keihan Group as the Keihan version of the SDGs, which “can be introduced
to daily life with pleasure and without burden, leading to the realization of a recycling-oriented society.”

14

Measures by Segment (Safety & Security)
Safety &Security•

Providing products and services that can reassure customers even under apandemic, natural disaster, or other insecure conditions

Launching the 3000-series Premium Cars

Railway safety and disaster prevention measures

Keihan Electric Railway

Keihan Electric Railway

•

•

•

Cars No. 6 of all the 3000-series trains
became Premium Cars on January 31,
2021.
Like the 8000-series Premium Cars, fineions are used to purify the air in the car.
A device that generates “nanoeX*” isinstalled.
This service provides reserved seats
and a high-quality travel space, allowing
passengers to avoid congestion andensure their safe mobility.

•

To prepare for large-scale disasters, the first “vehicle
evacuation drill” assuming floods in the train depot was
conducted. A vehicle evacuation plan was also
formulated.
To ensure safety for passengers, construction of
platform screen doors on platforms for Kyoto (No. 1
and 2) at Kyobashi Station was started, to becompleted within FY2022.

Eizan Electric Railway•

Thorough disaster risk reduction measures are now
being applied to areas between the stations of Ichihara
and Kurama on the Kurama Line, in cooperation with
the Kyoto Prefectural Government.
We are planning to resume operations by autumn 2021.

“Self-preview system” for houses introduced
Keihan Real Estate•* nanoeX is a trademark ofPanasonic Corporation.

The “self-preview system” forhouses and other properties
was introduced to meet theneeds for contactless services.

15

Measures by Segment (Structural Reform)
Structural
Reform•Establishing a system that can cover changes in demand in existing segments
and promoting products and services that can flexibly respond to new lifestyles

Updating the train schedule to respond tochanging customer needs• Keihan Electric Railway is reviewing its train
schedule drastically to respond to changing
lifestyles (adjusting the number of train
services, moving forward last train times, etc.).
• The update will be conducted in autumn 2021.

Developing management systems to respondto changing demand
Transportation••

Keihan Electric Railway established amanagement system to offer necessary services
efficiently by utilizing remote surveillance control
systems and promoting station staff deploymentthat allows a flexible response.
Maintenance work has been reduced throughmeasures such as decreasing facilities.

Leisure and service••

In the hotel business, insourcing andmultitasking have been promoted.
Service of comfortable working spaces
started, utilizing the convenient locationof the hotels.

Updating the bus schedule and revising fares• Keihan Bus and other bus companies in thegroup reduced their bus services and reorganized
their routes according to the situation of service
utilization.
• Fares have been revised in some areas in orderto develop an environment that reassurespassengers, and to maintain the bus routes.
Retail distribution•••

In the department store business, insourcing andmultitasking have been promoted.
In the store business, work efficiency has been
improved by consolidating the logistics andproduct suppliers of supermarkets andconvenience stores.
The restaurant and convenience store businesses
are now considering the closure of unprofitable
stores and the future style of business.

Coworking spacein Hotel Keihan Tenmabashi“Towork Room”
in Kyoto Tower Hotel

16

Measures by Segment (Structural Reform)
Utilizing digital technology
Transportation••

Contactless sales service of Premium Car tickets and Liner tickets
has been enhanced by the introduction of cashless ticket vending
machines.
A demonstration experiment of operational reforms supported by
ICT and IoT is being implemented in Gion-shijo Station. An
interactive robot provides information of the station, while IoT
cameras automatically detect white cane or wheelchair users andgive the information to station staff on a real-time basis.

Interactive robot in the station(Gion-shijo Sta.)

Real estate

Leisure and service••

Kanko Co., Ltd. became the first company inJapan that introduced the cutting-edge aerial laser
system “CityMapper-2” to provide high-precisionaerial survey data.

Plane for survey

Cleaning and catering robots have beenutilized in hotels.

Survey data by CityMapper-2© SoftBank Robotics
The name and logo of “Servi” are registered trademarks of SoftBank Robotics.

17

Measures by Segment (BIOSTYLE)
BIOSTYLE•

Promoting products and services that can increase people’s life value and solve
social issues at the same time

Initiatives toward a decarbonized society
Keihan Electric Railway•
Six sets of the new 13000-series
trains have been introduced for
improved safety and accessibility as
well as in consideration of theenvironment.
Electricity consumption during travel •was reduced by approximately 40%
compared with conventional cars.

••

Keihan Bus

Hieizan Driveway

All vehicles for the fixed route bus•“Station Loop Bus” connecting JR
Kyoto Station, Keihan Shichijo
Station, and Umekoji were replacedwith electric vehicles this year.
This is the first case in Japan
where all vehicles on a fixed routeare electric.

On April 1, 2021, themicromini electricvehicle sharing service“TOYOTA SHARE,”
operated by Toyota
Toyopet Shiga Co., Ltd.,was started on Hieizan
Driveway.

Image

Initiatives toward “coexistence with nature”••

On April 20, 2021, a glamping facility “Everglades Biwako” wasopened in a company-owned field adjacent to the Omi Maikolagoon on Lake Biwa, Shiga Prefecture.
The company aims to operate the business by emphasizing
coexistence with nature through natural environment surveys andrare species conservation.

18

Measures by Segment (BIOSTYLE)
Enhancing cooperation
with local communities
Zero Corporation•

On December 18, 2020, the company made apartnership agreement with the Miyazaki
Prefectural Government and forestry organizations.
By using lumber from Miyazaki for all houses, bothcustom-built and ready-built, the company
promotes the recycling of forest resources.

•

Keihan Department Stores•

The “safe and tasty meat,”which had been distributed
through the supply chain
with ensured traceability for
all processes fromproduction to sales, hasbeen available on the ecommerce website sinceApril 2021.

BIOSTYLE initiatives at hotels
 Ethical Considering the environment, people and the entire community• NEMOHAMO, the originalcosmetics brand of
BIOSTYLE Co., Ltd., is being
introduced as hotel amenities.
 Well-being Aiming to enjoy physical, mental and social health andsatisfaction•

Providing visibly healthy
food, mainly salads

 Entertainment Aiming to add value to experience• Kyoto Tower Hotel offers
special guest rooms such as
the “Keihan Railway Train
Room” and the “Keihan Bus
Concept Room.”

Keihan Group 110th anniversary commemorative project
110th anniversary commemorative forum held••

On November 1, 2020, the commemorative forum “Eiichi Shibusawa, the Expo andFuture of Kansai: Create the next generation from Osaka, Kansai” was held at Dojima
River Forum (with 300 participants selected by lottery).
Keynote lectures were given and a panel discussion was held to look back on the spiritof the founder Shibusawa from the perspective of the Expo, and consider the future
course of action and initiatives of the Keihan Group.

19

Initiatives toward Increase in Profits
Reinforcing detached housing businessalong railway lines
Zero Corporation opened
the Zero Home Moriguchi
Housing Exhibition Groundin July 2020 to reinforce thedetached housing businessalong the Keihan railway
lines.

Business outside areas along railway lines
NAGOYA the TOWER• Scheduled delivery
FY2024• Location
Nagoya City, Aichi• Size42 floors above ground,
1 floor below ground

Main condominiums to be sold in FY2022
and thereafter
No. ofhousingunits

Name of property, location
Scheduled delivery in FY2022

THE FINE TOWER OTEMAE

Osaka City

241

Classy House Amagasaki GRAND
PLACE

Amagasaki
City

456*

Fine Residence Fujimino

Fujimino City

76

Fine Residence Osaka Hommachi

Osaka City

99

Fine Residence Kobe Shin-Nagata

Kobe City

80*

Osaka Minato-ku Project

Osaka City

199*

Branz Tower Sapporo Odori Koen

Sapporo City

179*

Osaka Nishi-ku Project

Osaka City

197

NAGOYA the TOWER

Nagoya City

435*

Nagoya Naka-ku Project

Nagoya City

163*

Scheduled delivery in FY2023

Scheduled delivery in FY2024

TODA BUILDING
Toyonaka• Acquired
March 2, 2021
• Location
Toyonaka City, Osaka• Size4 floors above ground* Joint project
The number of housing units is the total number of housing units.
The number of housing units and the timing of posting of theabove properties may change.

20

Overview of FY2021

Financial Results

21Consolidated Statements of Income• Revenue decreased significantly due to the decreased inbound demand and outing restrictions in Japan caused by the COVID19 pandemic. Profits at each stage also recorded a substantial decline.
(Millions of yen)

FY2021
results

FY2020results

ChangeMain factors of changes-63,683* Impact of the COVID-19 pandemic: -78,900(-20.1%)-32,388* Impact of the COVID-19 pandemic: -47,800(-)

Operating revenue

253,419

317,103

Operating income-1,26531,123

5,032

2,083

3,528

3,320

208

Ordinary income

238

29,886-29,647(-99.2%)Extraordinary
income

5,331

3,920

1,410 Compensation income: -836

Extraordinary losses

4,592

2,592

1,999 Loss on COVID-19: +947

Profit attributable toowners of parent-4,574

20,121-24,695(-)

Depreciation

21,232

20,784447

EBITDA

19,96751,908Interest and dividend
income

609

1,000

-391

Interest expenses

2,086

2,189

-103

Net interest expenses-1,476-1,188-287

Non-operating
incomeNon-operating
expenses

FY2021
forecasts
251,100-3,400Change2,319(0.9%)
2,134(-)

Subsidies for employment adjustment: +1,849

2,948 Subsidies for COVID-19 countermeasures: +756

-2,0002,238(-)-6,500

1,925(-)

Gain on sales of investment securities: +2,578
Impairment loss: +2,055-31,940 * EBITDA: Operating income + Depreciation

22

Segment Information(Millions of yen)

FY2021
results

クセル）

FY2020results

ChangeFY2021
forecasts

Change (%)

ChangeChange (%)

Operatingrevenue

65,69493,365-27,670-29.6%

65,200494

0.8%Operatingincome-9,658

10,862-20,521--10,500

841-

Operatingrevenue

110,270

110,22841

0.0%

109,000

1,270

1.2%

Operatingincome18,59016,906

1,684

10.0%

18,200390

2.1%Operatingrevenue

83,10998,186-15,077-15.4%

83,000109

0.1%

Operatingincome

1,192

3,258

-2,066-63.4%

900

292

32.5%

Operatingrevenue

9,724

32,081-22,356-69.7%

9,500

224

2.4%

Operatingincome-10,823

1,336-12,159--11,200

376-

Operatingrevenue

3,061

2,908

153

5.3%

3,000

61

2.1%

Operatingincome-1,401

-921

-480

-

-1,50098-

Operatingrevenue-18,441-19,667

1,226--18,600

158-

Operatingincome

835

-319

1,154

-

700

135

-

Transportation

Real estate

Retail distribution

Leisure and service

OthersAdjustments

23

Segment Information (Breakdown)[Consolidated subsidiaries] 42 companies (No change year on year)[Equity-method affiliates] 2 companies (No change year on year)
Transportation

Keihan Electric Railway Co., Ltd., Keifuku Electric Railroad Co., Ltd., Keihan Bus Co., Ltd.,and 12 other companies

Real estate

Keihan Holdings Co., Ltd., Keihan Real Estate Co., Ltd., Zero Corporation Co., Ltd., Keihan
Building Co., Ltd., and 8 other companies

Retail distribution

Keihan Department Stores Co., Ltd., Keihan The Store Co., Ltd., Keihan Ryutsu Systems
Co., Ltd., Biomarket Co., Ltd., and 1 other company

Leisure and service

Hotel Keihan Co., Ltd., Keihan Hotels & Resorts Co., Ltd., Biwako Kisen Steamship Co.,
Ltd., and 5 other companies

Others

BIOSTYLE Co., Ltd., Keihan Card Co., Ltd.

<Operating revenue by segment><Operating income by segment>
18.5 bn.
yen

40.6%
110.2 bn.
yen
24.1%
65.6 bn.
yen

30.6%

1.1 bn.
yen

83.1 bn.
yen
3.6%
9.7 bn. yen

Transportation Real estate

Retaildistribution

Leisure andservice

1.1%-9.6 bn.
yen-10.8 bn.
yen

3.0 bn. yen
OthersTransportation Real estate

Retaildistribution

Leisure andservice-1.4 bn.
yen

OthersNote: The breakdown of operating revenue and operating income by segment includes intersegment transactions. The percentages represent the composition
ratios in each segment.

24

Segment Information (Quarterly Transition)
Transition of operating revenue by segment(Millions of yen)

40,00034,25632,13330,00027,423
23,52021,227

20,99820,00017,08418,506

16,691

17,361

16,457

13,413
10,000
2,426

863
1Q

2Q
3Q
Transportation

4Q

1Q

2Q
3Q
Real estate

4Q

1Q

2Q
3Q
4Q
Retail distribution

1Q

4,192

2,241

2Q
3Q
4Q
Leisure and service

Transition of operating income by segment(Millions of yen)

8,000

6,977

4,509
3,681

4,000

3,422

252

796

420

0
-253
-2,018-4,000-277-1,564-2,395-2,991-3,036-3,230-4,991-8,000

1Q

2Q
3Q
Transportation

4Q

1Q

2Q
3Q
Real estate

4Q

1Q

2Q
3Q
4Q
Retail distribution

1Q

2Q
3Q
4Q
Leisure and service

25

Segment Information (Transportation)(Millions of yen)

FY2021
results

FY2020results

ChangeChange (%)

Operating revenue

65,69493,365-27,670-29.6%

Railway

55,051

76,184-21,132-27.7%

Bus

18,47927,480-9,001-32.8%

Elimination-7,836-10,299

2,463-

Operating income-9,658

10,862-20,521-

Railway-6,674

9,272-15,946-Bus-3,006

1,541-4,547

-

23

49

-26

-

Elimination(Major factors affecting performance)• The railway business saw decreases in both revenue and profits due to the COVID-19 pandemic, causing a significant decreasein the number of passengers.
• The bus business saw decreases in both revenue and profits due to factors such as a decrease in revenue from bus passengers
and from regular tours caused by the COVID-19 pandemic.

26

Operating Results for Transportation
Keihan Electric Railway

FY2021
results

FY2020results

Changemillions of yen

millions of yen

millions of yen%

35,541

51,481-15,940-31.0

21,56634,379-12,812-37.3

13,974

17,102-3,128-18.3

thousands of people

thousands of people

thousands of people％

208,198

293,104-84,905-29.0

90,676145,643-54,967-37.7

117,522

147,461-29,938-20.3

Passenger transportation
revenue
Non-commuter
passesCommuter passes

Number of passengers
Non-commuter
passesCommuter passes

Transition of passenger transportation revenue(millions of yen)

(Major factors affecting non-commuter passpassenger revenue)• Impact of the COVID-19 pandemic:-12,749 million yen

15,00010,000

9,180

8,733

8,935

7,531
3,888

5,000
4,323

4,473

4,260

Change (%)

4,046

3,404

5,728

6,454

5,496

3,600

3,559

3,411

0
2019.1Q 2019.2Q 2019.3Q 2019.4Q 2020.1Q 2020.2Q 2020.3Q 2020.4Q
Commuter(Major factors affecting commuter passpassenger revenue)• Decrease in business commuter pass:-2,031 million yen• Decrease in school commuter pass:-929 million yen

Non-commuter27

Segment Information (Real Estate)(Millions of yen)

FY2021
results

FY2020results

ChangeChange (%)

Operating revenue

110,270

110,22841

0.0%Real estate

90,802

91,413

-610

-0.7%

Real estate sales

61,96863,753-1,785-2.8%

Real estate leasing
service

24,97423,872

1,102

4.6%

Other businesses

3,859

3,787

71

1.9%

Construction

24,922

24,762159

0.6%

Elimination-5,454-5,947492-

Operating income

18,59016,906

1,684

10.0%

Real estate

17,93016,324

1,605

9.8%

Real estate sales

6,178

5,525

653

11.8%

Real estate leasing
service

11,348

10,396952

9.2%

Other businesses

403

403

0

0.1%

Construction

609

705

-95

-13.5%

Elimination

50

-123

173

-

(Major factors affecting performance)• The real estate sales business saw a decrease in revenue in reaction to strong sales of condominiums, including “The Kyoto
Residence Gosho Higashi,” in the previous fiscal year, but saw an increase in profits due to the contribution of the detachedhousing business and sale of a building for business use.
• The real estate leasing business saw increases in both revenue and profits due to factors such as the full-year contribution ofproperties obtained in the previous fiscal year and an increase in the real estate fund revenue.

28

Segment Information (Retail Distribution)(Millions of yen)

FY2021
results
Operating revenue

FY2020results

ChangeChange (%)

83,10998,186-15,077-15.4%

Department store

42,44450,796-8,351-16.4%

Store

25,52529,831-4,305-14.4%

Shopping mall management

12,344

14,818-2,474-16.7%

Other businesses

6,569

7,624

-1,055-13.8%

Elimination-3,774-4,883

1,109-

Operating income

1,192

3,258

-2,066-63.4%

Department store

-60

586

-646

-

Store

545

592

-46

-7.8%

Shopping mall management

1,001

1,986

-985

-49.6%

Other businesses

-309

78

-388

-

15

15

-0

-

Elimination(Major factors affecting performance)• The department store business saw decreases in both revenue and profits due to factors such as the suspension of some stores
amid the COVID-19 pandemic.
• The store business saw decreases in both revenue and profits because commercial facilities near stations and in airports
struggled amid the COVID-19 pandemic.
• The shopping mall management business saw decreases in both revenue and profits due to factors such as the suspension of
KUZUHA MALL amid the COVID-19 pandemic.

29

Segment Information (Leisure & Service)(Millions of yen)

FY2021
results

FY2020results

ChangeChange (%)

Operating revenue

9,724

32,081-22,356-69.7%

Hotel

7,492

28,337-20,845-73.6%

Leisure

2,257

3,772

-1,514-40.2%

Elimination

-24

-27

3

-

Operating income-10,823

1,336-12,159-

Hotel-10,203

1,379-11,583-

Leisure

-637

-62

-574

-

17

18

-1

-

Elimination<< Hotel occupancy rates >>FY2021
results

FY2020results

ChangeHotel Keihan

24.6%

83.6%

-59.0 pt

Keihan Hotels & Resorts

23.6%

79.3%

-55.7 pt

(Major factors affecting performance)• The hotel business saw decreases both in revenue and profits due to factors such as the suspension and scaling back of some
hotels amid the COVID-19 pandemic.

• The leisure business saw decreases both in revenue and profits due to factors such as the suspension of operations andservices amid the COVID-19 pandemic.

30

Consolidated Balance Sheets(Millions of yen)

FY2021
results

FY2020results

ChangeMain factors of changes
Cash and deposits: +11,643
Land and buildings for sale: +10,002

Current assets

197,185

177,016

20,169Non-current assets

567,062

555,808

11,253 Construction in progress: +7,374

764,247

732,824

31,423Current liabilities

165,893

167,695-1,802Current portion of bonds: -10,039
Advances received: +6,703

Long-term liabilities

349,758

311,069

38,688Long-term loans payable: +20,068
Bonds: +20,000

Total liabilities

515,652

478,765

36,886

Net assets

248,595

254,058-5,463

Total liabilities and net assets

764,247

732,824

31,423

ROA

-0.2%

4.3%

-4.5 pt * ROA: Operating income to total assets

ROE

-1.9%

8.3%

-10.2 pt * ROE: Net income to shareholders’ equity

EBITDA

19,96751,908-31,940 * EBITDA: Operating income + depreciation

351,600

327,132

24,468

17.61

6.30

11.31

16.28

6.01

10.27

Total assets

Interest-bearing debt at end of
fiscal period
Interest-bearing debt/
EBITDA multiple (Times)
Net interest-bearing debt/
EBITDA multiple (Times)

Retained earnings: -5,266* Equity capital ratio: 32.0% (-2.1 pt)

Loans payable: +17,506
Bonds: +9,960

31

Consolidated Statements of Cash Flows(Millions of yen)

FY2021
results

FY2020results

ChangeMain factors of changes

Profit before income taxes: -30,237
Increase in other current liabilities: +19,059

Cash flows from operating activities

15,282

32,033-16,751

Cash flows from investing activities-24,940-26,363

1,422

Cash flows from financing activities

21,301-12,138

33,440 Decrease in repayments of long-term loans:

Proceeds from issuance of bonds: +19,920+15,340

Net increase (decrease) in cash andcash equivalents

11,643-6,46818,111

Cash and cash equivalents at
beginning of current period

14,911

21,377-6,466

Cash and cash equivalents at end of
fiscal period

26,554

14,911

11,64332

Capital Expenditure by Segment(Millions of yen)

FY2021
results

FY2020results

FY2021
forecasts

ChangeChangeCapital Expenditure

33,261

29,324

3,936

35,400-2,138Transportation

14,641

13,283

1,357

12,5002,141Real estate

16,521

11,824

4,697

11,4005,121

Retail distribution

491

1,073

-581

700

-208

Leisure and service

1,248

1,933

-684

2,400

-1,151Others

108

862

-754

200

-91

Adjustments

249

348

-98

8,200

-7,95033

EBITDA by Segment(Millions of yen)

FY2021
results
EBITDAFY2020results

Change19,96751,908-31,940

Transportation

2,059

22,597-20,538

Real estate

24,761

22,893

1,868

Retail distribution

2,474

4,513

-2,039

Leisure and service-9,2592,775-12,034

Others-1,164-807-356

Adjustments

1,096

-64

1,160

34

FY2022

Forecasts

35

Preconditions for Forecasts[Revenue forecasts (for all segments)]

 Economic activity in Japan is gradually recovering since bottoming out in April to May 2020.
 Inbound demand will hardly recover during this fiscal year.
 The impact of factors such as the declaration of the State of Emergency in April 2021 due to the resurgenceof COVID-19 infections is not included in the forecasts, since it is difficult to reasonably assess the impact at
this stage.
[Revenue forecasts (for each segment)] The full-year revenue for each segment is forecast based on the standards below.
Transportation

 Keihan Electric Railway
Non-commuter pass passenger revenue: Around -20% compared to the average year
Commuter pass passenger revenue: Around -15% compared to the average year Bus business
Fixed route bus: Around -10% compared to the average year

Real estate Real estate sales and leasing businesses:
The impact of the COVID-19 pandemic will be mild.

Retaildistribution

 Department store business
Sales: Around -10% compared to the average year

Leisure andservice Hotel business
Hotel occupancy rates: Around 40% to 60%* Revenue forecasts are based on the comparison of the performance forecasts before applying Accounting Standard for Revenue
Recognition and performances in the average year.

36Consolidated Statement of Income(Performance Forecast)• Revenue from retail distribution and other businesses is projected to decrease due to Accounting Standard for Revenue
Recognition. However, since recovery from the impact of the COVID-19 pandemic is expected for the transportation businessand the leisure and service business, revenue as a whole as well as profits at each stage is forecast to increase.
(Millions of yen)

FY2022
forecasts

FY2021
results

ChangeChange (%)

Operating revenue

263,000

253,419

9,580

Operating income

12,500-1,265

13,765-

Ordinary income

11,000238

10,761-

Profit attributable to owners ofparent5,300-4,574

9,874-

Capital expenditure

30,00033,261-3,261-9.8%

Depreciation

21,40021,232167

0.8%

EBITDA

33,90019,967

13,932

69.8%

Interest-bearing debt

380,000

351,600

28,399

8.1%

11.21

17.61

-6.40

-

10.68

16.28

-5.60

-

419

609

-189

-31.1%

Interest expenses

2,098

2,086

12

0.6%

Net interest expense-1,678-1,476-201

Interest-bearing debt/
EBITDA multiple (Times)
Net interest-bearing debt/
EBITDA multiple (Times)
Interest and dividend income

3.8%

-

37

Segment Information (Performance Forecasts)(Major factors affecting performance)• Transportation: Recovery from the impact of the COVID-19 pandemic• Real estate: Increase in sales of condominiums; decrease in reaction to the detached housing business and sale of a building forbusiness use in the previous fiscal year
• Retail distribution: Recovery from the impact of the COVID-19 pandemic• Leisure and service: Recovery from the impact of the COVID-19 pandemic• Impact of application of Accounting Standard for Revenue Recognition: Operating revenue -30 billion yen (including -29.5 billion
yen for the retail distribution business)(Millions of yen)

FY2022
forecasts

FY2021
results

ChangeOperating revenue

78,00065,694

12,305

Operating income

2,700-9,65812,358Operating revenue

124,300

110,270

14,029Operating income

16,00018,590-2,590Operating revenue

58,50083,109-24,609

Operating income

2,500

1,192

1,307

Operating revenue

17,000

9,724

7,275

Operating income-7,200-10,823

3,623

Operating revenue

3,700

3,061

638

Operating income-1,200-1,401

201

Operating revenue-18,500-18,441-58

Operating income

-300

835

-1,135

Transportation

Real estate

Retail distribution

Leisure and service

OthersAdjustments

38

Operating Results for Transportation(Performance Forecasts) Keihan Electric Railway
FY2022
forecasts

FY2021
results

ChangeChange (%)

millions of yen

millions of yen

millions of yen%

42,11235,541

6,571

18.5%

Non-commuter passes

27,793

21,566

6,226

28.9%

Commuter passes

14,318

13,974344

2.5%

thousands of people

thousands of people

thousands of people%

237,851

208,198

29,652

14.2%

Non-commuter passes

116,255

90,67625,578

28.2%

Commuter passes

121,596

117,522

4,073

3.5%

Passenger transportation
revenue

Number of passengers

Transition of passenger transportation revenue (millions of yen)
60,00040,00035,187

34,37921,56620,00027,793

16,866

17,102

13,974

14,318FY2019 results

FY2020 results

FY2021 results

FY2022 forecasts

0
CommuterNon-commuter

39Capital Expenditure by Segment(Performance Forecasts)(Millions of yen)

FY2022
forecasts
Capital Expenditure

FY2021
results

Change30,00033,261-3,261

Transportation

14,80014,641

158

Real estate

6,500

16,521-10,021

Retail distribution

1,700

491

1,208

Leisure and service

1,000

1,248

-248

100

108

-8

5,900

249

5,650

OthersAdjustments

40

EBITDA by Segment (Performance Forecasts)(Millions of yen)

FY2022
forecasts
EBITDAFY2021
results

Change33,90019,967

13,932

Transportation

14,8002,059

12,740Real estate

22,40024,761-2,361Retail distribution

3,700

2,474

1,225

Leisure and service-5,900-9,259

3,359

Others-1,000-1,164

164

-100

1,096

-1,196

Adjustments

41