First Half of FY2022(Ended September 30, 2021)

Financial Results Presentation
November 16, 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

 Progress of Measures Based on the Future BusinessDirection… 8

 Progress of the Long-term Management Strategy… 18 Overview of the First Half of FY2022 Financial Results… 23 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)

1H FY2022
results

1H FY2021
results

ChangeChange (%)

Operating revenue

118,564

108,232

10,332

9.5%

Operating income

2,793-5,854

8,648–

Ordinary income

3,727-5,975

9,703–

Profit attributable to owners ofparent1,950-6,3208,270–

1H FY2022
results
Cost reduction

10.5 bn. yen

FY2022target15.0 bn. yen

Progress (%)
69.7%

3

Situation of Main Segments (1)Railway (Keihan Electric Railway): Passenger figures compared to 2019
(%)

10.0
State of
Emergency

State of
Emergency

-10.0

-14.2

State of
Emergency

State of
Emergency-14.9-16.3 -17.2-17.1 -17.2 -18.4 -18.2
-17.8
-18.7
-19.8

-18.0
-20.6

-18.4
-21.8

-26.0
-29.4 -29.4

-30.0

-22.1

-30.0

-35.7
-37.2

-25.5

-29.2

-30.4

-29.5

-31.9
-38.1

-32.3
-38.0

-40.3
-43.0

-45.0

-50.0

-40.1

-39.8

Aug.

Sep.

-52.9
-66.4
-68.0
-70.0
2020

Apr.

2021

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

Commuter

Jan.

Feb.

Mar.

Apr.

May

Jun.

Jul.

Oct.

Non-commuter4

Situation of Main Segments (2)Department Store (Keihan Department Stores): Operating revenue compared to 2019
(%)

20.0
State of
Emergency

0.0

Suspensionof somestoresState of
Emergency

State of
Emergency

State of
Emergency

Suspensionof somestoresEntry
restrictions
to the foodfloor, etc.

-1.5

-6.4
-11.1
-6.5

-6.8

-9.4
-13.9

-7.4
-11.4
-14.8

-20.0

-15.7

-16.9
-27.7

-22.8
-26.8

-32.2
-40.0

Decrease in reaction to lastminute demand before
consumption tax hike in 2019

-36.2

Decrease in reaction to lastminute demand before
consumption tax hike in 2019

-47.9
-53.0
-60.0
2020

Apr.

2021

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

Jan.

Feb.

Mar.

Apr.

May

Jun.

Jul.

Aug.

Sep.

Oct.

* Comparison by the operating revenue before applying the Accounting Standard for Revenue Recognition

5

Situation of Main Segments (3)Hotel: Occupancy rates
(%)

100.0

State of
Emergency

State of
Emergency

State of
Emergency

State of
Emergency

80.0
Suspension andscaling back ofsome hotels

62.6

Suspension andscaling back ofsome hotels

Suspension of the“Go To Travel”
campaign

60.0

53.2

51.0
56.8
38.6

47.9

36.9

40.0
26.5

6.3
4.4

13.0

14.5

17.2
8.0

12.8 9.4

11.5

31.0
33.0

15.3
16.3

4.3

23.2
13.0

3.5

2020

4月
Apr.

20.5

21.0

28.5

7.6
0.0

40.3

33.2

25.5
9.9

35.7 36.4

29.6

19.6
20.0

36.8

2021

5月
May

6月
Jun.

7月
Jul.

8月
Aug.

9月
Sep.

10月
Oct.

11月
Nov.

Hotel Keihan
ホテル京阪

12月
Dec.

1月
Jan.

2月
Feb.

3月
Mar.

4月
Apr.

5月
May

6月
Jun.

7月
Jul.

8月
Aug.

9月
Sep.

10月
Oct.

Keihan Hotels & Resorts
京阪ホテルズ＆リゾーツ

6Summary of Forecasts(Millions of yen)

FY2022 full-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

5,300-4,5749,874–

FY2022 full-year
forecasts
Annual dividend

25 yenFY2021
results
25 yen7

Progress of Measures Based on
the Future Business Direction

8

Future Business Direction•

Given drastically changing lifestyles, the Keihan Group will steer its business toward
Safety & Security, Structural Reform, and BIOSTYLE.

•

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
management foundation.
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.”9Measures by Segment (Safety & Security)
Safety &Security

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

Fully resuming operation of Eizan Railway Kurama Line•

Relief work in response to the sediment disaster caused by the heavy rain in July 2020 was completed.
Operations between Ichihara and Kurama Stations on the Kurama Line
were resumed on September 18, 2021.

•

Measures against natural disasters
have been enhanced by reinforcing
retaining walls and installing reinforced
protective fences and rockfall
detection wires.

Immediately after the disaster

Disaster risk reduction measures

After the relief work

Starting the “current train location”
information service

Expanding the Premium Car service•

Keihan Electric Railway expanded the service for passengers
to avoid congestion and ensure safe mobility starting
September 25, 2021.

• The Premium Car service is now available on Rapid Express
trains. The number of the Liner services (reserved seats only)is increased during the morning and evening rush hours.
(Index)200•

Current location of trains on the Keihan Line isshown on a real-time basis.

•

Latest information is offered to customers incases of train delays and suspensions.

Average no. of passengers per day
on trains with additional fare

160
120
80
FY2018FY2019FY2020 FY 2021 Apr.1 to Sep. 25,
Sep. 24,2021
2021 onwards* FY2018 is taken as 100
Current train information service (rendering)10

Measures by Segment (Safety & Security)
Developing condominiums in cooperation with medical institutions
Fine Residence Kobe ShinNagata

Location

Kobe City

No. ofhousing units

80*

Scheduleddelivery

FY2023

Fine Residence Hirakata
Koriencho
Location

Hirakata City

No. ofhousing units

130*

Scheduleddelivery

FY2023

Rendering of ASMACI Kobe
Shin-Nagata
6F to 14F:
Residential
units
Offers comprehensive support to bring
1F to 5F:
enriched and healthy lives to all generations in
Hospital

Joint development of a condominium anda hospitalcooperation with a hospital and throughwellness support by the integrated complex
ASMACI Kobe Shin-Nagata.


Wellness Concierges, who have received
training at a medical institution, provide
health consultation and referral to hospitals.

The health data of residents are managed
through a system to help them improve theirhealth.

* This is a joint project. The number of housing units is the total number of housing units. The number of housing units and when the sales arerecorded are subject to change.

Promoting contactless and non-face-to-face services at hotels•

The QR code-assisted contactless check-in system
has been introduced at Hotel Keihan (with exceptions).

•

Serving and cleaning robots have been introduced.

•

Non-face-to-face service is available at restaurants,
allowing customers to place orders using a smartphone.
A robot serving food (rendering)

Cleaning robot

11Measures by Segment (Structural Reform)
Structural
ReformEstablishing 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 schedules and revising fares according to the service utilization situation
Railway business•Keihan Electric Railway updated the train schedules for the Keihan and Otsu Lines on September 25, 2021, adjusting thenumber of train services and moving forward the last train times according to the service utilization situation.

•

Keihan Line: Reduced the number of services by approximately 15% on weekdays and by approximately 20% on holidays.
Otsu Line: Reviewed the operation area of some trains during the daytime and introduced a “school holiday schedule” on
the Ishiyama-Sakamoto Line.
Bus business•Keihan Bus and other bus companies in the group reduced the number of services and reorganized bus routes
according to the service utilization situation.

•

Fares have been revised in some areas in order to develop an environment that reassures passengers and to maintain thebus routes.

Further improving convenience at stations

Increasing operational efficiency•

With a remote surveillance control system at stations on
the Keihan Line, operations at 21 stations out of 60 stations
have been automated all day, reducing the staff assigned
at stations by approximately 25%.
Remotecontrol

Customer•••

Station staff

Improved operational efficiency by reviewing maintenancestaff deployment through the reduction of train vehicles andequipment at stations and the utilization of drones.

Strengthened cooperation
with secondary traffic
services by collaborating withmicromobility sharing services(bicycles, e-scooters).

LUUP port at
Temmabashi Station

Installed “Telecube” private
working booths at
Yodoyabashi and Kyobashi
Stations.
Telecube at
Yodoyabashi Station

12

Measures by Segment (Structural Reform)
Reorganizing the food service business•••Keihan Restaurant closed unprofitable stores (reduced
from 38 stores to 17 stores) and reviewed the organizationof staff.
Two companies in the food service business will be
reorganized to achieve more efficient operation and a new
business launch with an eye on the post-COVID-19 era (cafeco. succeeds the food service business of Keihan Restaurant
as of January 1, 2022 via a company split).

Succeeding company

Split company

Company
namecafe co.

Keihan Restaurant Co.,Ltd.

Business
activities

 Food service
 Design
 Food sales

No. ofstores Food service(Juicer Bar, etc.)
 Franchise business

18

17

The aim is to create new value by multiplying the know-how
of the two companies.

KAMIYAMA lobby

Developing an “in-station” business in a new style•

Opened “Moyori-ichi,” a new-style food market inTemmabashi Station in November in consideration of thechanging roles of “in-station” areas.

•

We will further enhance the “in-station” business byenhancing the lineup of food items experiencing increasing
demand as the number of passengers using stations
declines.

Moyori-ichi Temmabashi Store

Juicer Bar

Initiatives toward structural reform at hotels•

Promoted multitasking and the introduction of IoT tothoroughly pursue low-cost operation. The breakeven point has been lowered through continuous cost
reduction efforts.

•

Outsourced the restaurant operation.

•

Started leasing the banquet
rooms of Kyoto Tower Hotelto TKP Corporation as partof efforts to promote theuse of hotels by utilizing
their geographicaladvantages.

13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 at GOOD NATURE STATION
The facility was opened in December 2019 in Shijo-Kawaramachi, Kyoto as a flagship facility embodying the conceptof BIOSTYLE. It proposes a “GOOD NATURE” lifestyle through carefully selected items and experiences.

De-plasticizing efforts

Completely natural cosmetics







Paper containers and knives and forks made of
biodegradable plastics are used for takeaway
items.
Water servers and tumblers are installed at the hotel.

The original cosmetic brand NEMOHAMO series,
made only from natural ingredients without water andoil-derived ingredients, is available.

Healthy and eco-friendly
building

Product development
featuring fair trade cacao







The hotel was awarded
WELL Certification at the Gold level.
The entire facility was awarded LEED Certification.

WELL Certification: International building and indoor environmental
assessment system that focuses on the health andcomfort of residents living and working in buildings
LEED Certification: International environmental assessment system forarchitecture and the city environment

Chocolates from the sweets brand RAU feature fairtrade, pesticide-free, and high-quality cacao.
Cacao shells, which are usually discarded, are used
as an ingredient in processed
foods to be sold.

14

Measures by Segment (BIOSTYLE)
Producing a total living
environment

Initiatives toward a decarbonizedsociety••

Energy-saving train cars have been
progressively introduced. With the13000-series trains, electricity
consumption during travel isreduced by approximately 40%
compared with conventional trains.

•“Gift delivery service coloring your mind, body andlifestyle” began. Customers who ordered a custom-built
home from Zero Home will regularly receive Bio Market (BioMarche) or BIOSTYLE (GOOD NATURE STATION) products
for a year.

•

We aim to produce a total living environment forcustomers, not only by building homes but also by helping
them enrich their lives after completion to ensure everlasting
peace of mind.

Energy-saving“13000-series” trains

Starting December 2021, electric vehicles will be used forthe route bus service “Station Loop Bus” connecting JR
Kyoto Station, Keihan Railway Shichijo Station, and Umekoji.

Electric bus (image)

Initiatives to reduce food loss•

The supermarket FREST started a food drive (fooddonation) project.

•

We will help reduce food loss by increasing the numberof stores involved in the food drive project.

The FREST Matsui Yamate Shop
involved in the project

Food drive

Living in harmony with local communities•

Made a partnership agreement with the volleyball team“Panasonic Panthers” based in Hirakata City along the
Keihan railway lines, aiming to achieve regional
revitalization through sports.

15

Progress of Major Projects

Safety & Security

Major projects
Introducing the 3000 series premiumcars

FY2021
2Q

FY2022

3Q

4Q

1Q

Fully resuming operation of Eizan
Railway Kurama LineTo be completed in FY2022 

Developing condominiums incooperation with medical institutions

To be delivered in FY2023 

Structural Reform

Completed Completed Reorganizing the food service
business

To be continuously reviewed
considering customer needs

To be completed on January 1, 2022 

Launching the food market “Moyoriichi” in Temmabashi Station

The “in-station” business to
be further enhanced

Completed 

Utilizing hotels (Leasing banquet
rooms of Kyoto Tower Hotel)

Other projects to becontinuously consideredCompleted Promoting low-cost operation in eachbusiness

Launching Everglades Biwako

4Q

Completed 

Installing screen doors on the platformfor Demachiyanagi at Kyobashi Station

Launching Zero Home Moriguchi
Housing Exhibition Ground

3Q

Completed Updating train schedules (Keihan Railway)
Updating bus schedules and revising fares(Keihan Bus)BIOSTYLE

2Q

FY2023
onwards

To be continuously promoted (multitasking, insourcing, etc.)
 Completed

Sales of long-lasting high-quality housing and ZEHs (net zero energy houses)
to be promoted at the exhibition ground

Completed 

Business operation focused on “coexistence with nature”
to be continued (conserving rare species, etc.)
Electricity consumption reduced byapproximately 40% compared withconventional cars

Introducing six sets of energy-saving“13000-series” trains

Completed Introducing electric buses for theStation Loop Bus service (Keihan Bus)

To be completed in December 2021 

16

Initiatives toward Increase in Profits
Main condominiums to be sold in FY2022
and thereafter

Promoting detached housing in urban districts
No. ofhousingunits

Name of property, location
Scheduled delivery in FY2022
The FINE Tower OTEMAE

Osaka City

Classy House Amagasaki GRAND
PLACE

Amagasaki
City

456*

Fine Residence Fujimino

Fujimino City76•

Keihan Real Estate is involved in the “Machinaka Home”
business to regenerate urban-type residence in high-density
urban districts that are due for renewal/redevelopment.

•

Enhances the sales of detached housing in cooperation with
Zero Corporation with abundant experience in building houses
in high-density urban districts.

241

Construction

Zero Corporation

Sales area

Urban areas along the
Keihan railway lines(Kyobashi, Moriguchi,
Kadoma)Next-generation urban
housing “QUEAD”

Scheduled delivery in FY2023
Fine Residence Osaka Hommachi

Osaka City

99

Fine Residence Kobe Shin-Nagata

Kobe City

80*

The FINE Tower WEST COAST

Osaka City

199*

Branz Tower Sapporo Odori Koen

Sapporo City

179*

Launching the Keihan Investment Team
<KIT> Project•

Keihan Real Estate launched the Keihan Investment Team
<KIT> Project featuring voluntary partnership (financial
investment) products for small-lot, profit-earning properties.

•

The first product was released on November 12.

Scheduled delivery in FY2024
Osaka Nishi-ku Project

Osaka City

197

NAGOYA the TOWER

Nagoya City

435*

The FINE Tower HISAYA ODORI

Nagoya City

163*

* This is a joint project. The number of housing units is the total number of housing
units. The number of housing units and when the sales are recorded are subject
to change.

Investment property (Fertil
Nishinomiya-kitaguchi)

Product
nameKeihan Investment Team
<KIT> Nishinomiyakitaguchi

Location of
the property

Nishinomiya City, Hyogo

Amount raised

690 million yen (690 units)

Dividend yield

Approx. 4.1%

17

Progress of the Long-term Management
Strategy18Policy on the Long-term Management Strategy•

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

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

Future business direction
Safety & Security
Structural Reform
BIOSTYLE

Co-create tourism opportunity
Create relatable contents

2018

2019

Main events/
projects

2020

2021

…………………………
Tokyo 2020 Olympic & Paralympic Games

2025

2026
Expo 2025 Osaka, Kansai

Extension of Hokuriku Shinkansen to Tsuruga

19

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

Redevelop
Keihan areas
Hirakatashi

Section 3

Type-1 urban redevelopment project in Hirakatashi Station area

Site area

Approx. 15,000 m2

Mar. 2020

Total floorarea

Approx. 94,000 m2

Size

26 floors above ground(high-rise building)
10 floors above ground(low-rise building)
29 floors above ground(residential building)

Propertyuse

Commercial facilities,
office, hotel, residence

Feb. 2021
2024

Establishment of the redevelopment association
was approved.
The right conversion plan was approved.
Construction on land partially owned by KeihanGroup (section 3) to be completed.

Hirakata HUB Council
The Hirakata HUB Council, of which Keihan Holdings and Keihan Electric
Railway are members, has been selected as a business operator of the“public-private partnership project to promote revitalization of urban areas”
promoted by the Ministry of Land, Infrastructure, Transport and Tourism. It
aims to establish a suburban base to realize an ideal fusion of workplace,residence, and recreation areas.

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

Yodoyabashi

Nakanoshima

Joint reconstruction of Keihan Midosuji Building andNittochi Yodoyabashi Building

Participation in the Nakanoshima 4-chome
International Hub for Medical Innovation Project

2022

Nov. 2021

Construction of newbuilding starts.

Construction of new building
starts.

Total floorarea

Approx. 73,600 m2

Total floorarea

Approx. 58,000 m2

Size

28 floors above ground,
4 floors below groundSize

17 floors above ground

Scheduledcompletion

FY2026

Scheduledcompletion

FY2024

New building(image)Nakanoshima MultilinkS (image)

20

Progress of the Main Strategies
Co-create tourism
opportunity

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

Digital-assisted tourist attraction via a wide-area network•

In anticipation of creating new tourism demand by using MaaS insociety after the COVID-19 pandemic, a “digital stamp rally” (stamp
collection) program was implemented in the Oku-Kyoto area. It utilized
JR West’s MaaS app “WESTER” to attract tourists via a wide-area
network and suggest tour courses that match users’ preferences, whichwere created by AI.


Joint project with JR West and GiXo Ltd.
Period: Oct. 15 to Nov. 30, 2021

WESTER app

Co-creating new tourism content throughregional cooperation•

Co-created Sake Brewery Tourism themed on “the relationshipbetween Japanese sake from Fushimi and the traditions andlifestyle culture of Kyoto” in cooperation with the local
Fushimi Sake Brewers Association as an effort to establish
the golden route for tourism of Kyoto. This will be shared as
new tourism content to attract more tourists to the Fushimi area.

Reviving tourist bases through a publicprivate partnership•

Cooperated with Otsu City to revitalize the Lake Biwa
area and promote transportation-based tourist
attractions. Free tour bus services featuring electricbuses and self-driving buses will be provided when
events for tourists are held in Otsu City.

 Period:
Nov. 1, 2021 toJan. 23, 2022
Sake Brewery Tourism, jointly
developed with Fushimi Sake
Brewers Association

Fushimi Port registeredas a Minato Oasis

Self-driving bus

21

Progress of the Main Strategies
Create relatable
contents

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 PROJECT•The BIOSTYLE PROJECT is an activity to introduce things that are good for humans andthe earth to daily life with pleasure and without burden, leading to the realization of arecycling-oriented society.

•

The BIOSTYLE PROJECT Guidelines have been established. An in-house certification system, under which a
specialized department assesses each project, has also been introduced.

The BIOSTYLE PROJECT is registered as a “Team Expo 2025 Program/Co-creation Challenge,”a participative program of Expo 2025 Osaka, Kansai

A special page introducing the BIOSTYLE PROJECT has been created on the website of the Japan
Association for the 2025 World Exposition.
We aim to embody BIOSTYLE (the Keihan-version of the SDGs) by promoting many new activities
toward the future through co-creation efforts with those who hope to be involved in businesscollaboration or create and utilize ideas with the Keihan Group.

Issuing a sustainability bond•Keihan Holdings issued its first sustainability bond to promote the BIOSTYLE PROJECT.

•

The aim is to make our sustainability management widely known in order to achieve sustainable growth and further
improve our corporate value.

•

Received investment proposals from 41 investors for our initiatives.
Issuance volume
Interest rate
Payment date
Maturity date
(10-year bond)

10 billion yen
0.290% per year
Jul. 15, 2021
Jul. 15, 2031

Use of funds[1] Construction of new trains “Keihan 13000-series”[2] GOOD NATURE STATION[3] De-plasticizing efforts[4] Expenses related to products using fair trade cacao

[1]

[2]

[3]

[4]

22

Overview of the First Half of FY2022
Financial Results

23Consolidated Statements of Income• Despite the impact of application of the Accounting Standard for Revenue Recognition, both revenue and profits increased due toan increase in revenue from real estate sales and a reactionary rise in the transportation business, among other businesses,
after the COVID-19 pandemic in the same term of the previous year.
(Millions of yen)

1H FY2022
results

1H FY2021
results

ChangeMain factors of changes

10,332 * Impact of application of the Accounting(9.5%) Standard for Revenue Recognition: -12,557
8,648
(–)

Operating revenue

118,564

108,232

Operating income

2,793-5,854

2,426

1,735

691 Subsidies for employment adjustment: +482

1,492

1,856

-364

3,727

-5,975

9,703
(–)

1,748

2,524

-775 Gain on sales of investment securities: -1,127

466

1,085

-618 Loss related to COVID-19: -765

1,950

-6,3208,270(–)

Depreciation

10,297

10,25245

EBITDA

13,0904,397Interest and dividend
income

241

350

-108

Interest expenses

1,030

1,036

-5

Net interest expenses

-789

-686

-103

Non-operating
incomeNon-operating
expenses
Ordinary income
Extraordinary
incomeExtraordinary
lossesProfit attributable toowners of parent

1H FY2022
forecasts releasedin September

117,300
1,800

Change1,264(1.1%)
993(55.2%)

Subsidies for COVID-19 countermeasures: +505

2,500

1,227
(49.1%)

1,000

950(95.1%)

8,693 * EBITDA: Operating income + Depreciation

24

Segment Information(Millions of yen)

1H FY2022
results

1H FY2021
results

ChangeChange (%)

Operating revenue

33,15730,497

2,660

8.7%

Operating income-1,991-7,0105,018–

Operating revenue

62,652

43,88018,771

42.8%

Operating income

10,400

8,190

2,209

27.0%

Operating revenue

25,89338,360-12,467-32.5%

Operating income

414

-24

439

–

Operating revenue

4,194

3,290

903

27.4%

Operating income-5,437-6,222

784–

Operating revenue

1,416

1,319

96

7.3%

Operating income

-757

-763

6

–

Operating revenue-8,750-9,117367–

Operating income

164

-25

189

–

Transportation

Real estate

Retail distribution

Leisure and service

OthersAdjustments

25

Segment Information (Breakdown)[Consolidated subsidiaries] 41 companies (1 company reduced 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 othercompanies

Real estate

Keihan Holdings Co., Ltd., Keihan Real Estate Co., Ltd., Zero Corporation Co., Ltd., Keihan Building Co.,
Ltd., and 7 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 othercompanies

Others

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

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

49.2 %
62.6 bn.
yen

26.1 %
33.1 bn.
yenTransportation Real estate

20.3 %
25.8 bn.
yen

Retaildistribution

0.4 bn.
yen

3.3 %4.1 bn.
yen

Leisure andservice

1.1 %1.4 bn.
yen

Others-1.9 bn.
yenTransportation Real estate

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

-5.4 bn.
yen

Retaildistribution

Leisure andservice-0.7 bn.
yen

Others26

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

40,00032,00230,64930,00020,00015,907

17,25012,71913,173

10,000

0

1Q

2Q

1Q

Transportation(Millions of yen)

2Q
Real estate

1Q

2Q

Retail distribution

1,767

2,427

1Q

2Q

Leisure and service

Transition of operating income by segment

7,000

6,095
4,305

3,500

102

312

0
-569
-1,422-3,500-7,000

1Q

2Q

Transportation

1Q
Real estate

2Q

1Q

2Q

Retail distribution-2,859-2,578

1Q

2Q

Leisure and service27

Segment Information (Transportation)(Millions of yen)

1H FY2022
results

1H FY2021
results

ChangeChange (%)

Operating revenue

33,15730,497

2,660

8.7%

Railway

27,31925,996

1,322

5.1%

Bus

9,429

8,608

821

9.5%

Elimination-3,591-4,107516–

Operating income-1,991-7,0105,018–

Railway-1,358-4,770

3,411

–

-634

-2,243

1,608

–

1

3

-2

–

Bus
Elimination(Main factors affecting performance)• The railway business saw increases in both revenue and profits due to a reactional rise in the number of passengers after the worstof the COVID-19 pandemic in the same term of the previous year, as well as efforts for cost reduction.
• The bus business saw increases in both revenue and profits due to a reactional rise in revenue from bus passengers, etc. after the
worst of the COVID-19 pandemic in the same term of the previous year, as well as efforts for cost reduction.

28

Operating Results for Transportation
Keihan Electric Railway
1H FY2022
results

1H FY2021
results

ChangeChange (%)

millions of yen

millions of yen

millions of yen%

17,903

16,6201,282

7.7

Non-commuter passes

10,805

9,616

1,189

12.4

Commuter passes

7,097

7,004

93

1.3

thousands of people

thousands of people

thousands of people%

106,689

99,732

6,957

7.0

Non-commuter passes

44,78840,649

4,139

10.2

Commuter passes

61,90059,0822,818

4.8

Passenger transportation
revenue

Number of passengers

Transition of passenger transportation revenue(millions of yen)
15,00010,000
8,733

8,935

7,531
5,728

6,454

3,888

5,000

5,496

5,154

5,651

4,473

4,260

4,046

3,404

3,600

3,559

3,411

3,581

3,516

2019.2Q

2019.3Q

2019.4Q

2020.1Q

2020.2Q

2020.3Q

2020.4Q

2021.1Q

2021.2Q

CommuterNon-commuter

029

Segment Information (Real Estate)(Millions of yen)

1H FY2022
results
Operating revenue

1H FY2021
results

ChangeChange (%)

62,652

43,88018,77142.8%

55,39136,336

19,054

52.4%

Real estate sales

40,70422,42918,274

81.5%

Real estate leasing
service

12,817

12,061756

6.3%

Other businesses

1,869

1,845

23

1.3%

Construction

10,978

10,150828

8.2%

Elimination-3,717-2,606-1,111–

Operating income

10,400

8,190

2,209

27.0%

Real estate

11,344

8,135

3,209

39.5%

Real estate sales

5,263

2,277

2,986

131.1%

Real estate leasing
service

5,873

5,632

240

4.3%

Other businesses

207

224

-17

-7.7%

Construction

-52

-60

8

–

Elimination

-891

116

-1,007–

Real estate(Main factors affecting performance)• Real estate sales saw increases in both revenue and profits due to the sales of newly developed properties such as hotels andoffice buildings.
• The real estate leasing business saw increases in both revenue and profits due to factors such as the contribution of Toranomon
Hills Business Tower, Keihan Nishisanso Square and other properties as well as an increase in real estate fund revenue.

30

Segment Information (Retail Distribution)(Millions of yen)

1H FY2022
results
Operating revenue

1H FY2021
results

ChangeChange (%)

25,89338,360-12,467-32.5%

Department store

9,200

18,858-9,657-51.2%

Store

8,724

12,447-3,722-29.9%

Shopping mall
management

5,820

5,664

156

2.8%

Other businesses

2,849

3,179

-330

-10.4%

Elimination-702-1,7891,086–

Operating income

414

-24

439

–

Department store

-363

-326

-36

–

Store

339

139

200

144.1%

Shopping mall
management

436

345

91

26.5%

Other businesses

-19

-189

169

–

Elimination

21

7

14

–

(Major factors affecting performance)• The department store business saw decreases in both revenue and profits due to factors
such as the impact of application of the Accounting Standard for Revenue Recognitionand scaling back amid the COVID-19 pandemic.
• The store business saw a decrease in revenue due to factors such as the impact ofapplication of the Accounting Standard for Revenue Recognition, but saw an increase inprofits due to a reactional rise after the worst of the COVID-19 pandemic in the same
term of the previous year.
• The shopping mall management business saw increases in both revenue and profits due
to factors such as a reactional rise after the worst of the COVID-19 pandemic in the same
term of the previous year and the contribution of the Takagi Building, a master leaseproperty.

Impact of application of the Accounting Standard for
Revenue Recognition (Net amount)(Millions of yen)

Impact (Operating
revenue)

Department store
Store
Shopping mall management-9,092-3,601-510

31

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

1H FY2022
results

1H FY2021
results

Change (%)

ChangeOperating revenue

4,194

3,290

903

27.4%

Hotel

3,254

2,423

830

34.3%

Leisure

951

880

71

8.1%

Elimination

-11

-12

1

－

Operating income-5,437-6,222

784

－

Hotel

-5,173-5,848675－

Leisure

-273

-381

107

－

9

8

0

－

Elimination
Hotel Occupancy Rates
1H FY2022
results

1H FY2021
results

ChangeHotel Keihan

27.9%

17.4%

10.5 pts

Keihan Hotels & Resorts

20.5%

16.1%

4.4 pts(Main factors affecting performance)• The hotel business saw increases in both revenue and profits due to factors such as a reactional rise after the worst of the
COVID-19 pandemic in the same term of the previous year and the full-year contribution of Hotel Keihan Sendai and Hotel
Keihan Kyoto Ekiminami, which opened the previous year.
• The leisure business saw increases in both revenue and profits due to factors such as a reactional rise after the worst of the
COVID-19 pandemic in the same term of the previous year.

32Consolidated Balance Sheets(Millions of yen)

1H FY2022
results

FY2021
results

ChangeMain factors of changes
Cash and deposits: -5,790

Current assets

183,970

197,185-13,215 Notes and accounts receivable-trade, andcontract assets: -5,698

Non-current assets

560,560

567,062-6,501 Buildings and structures: -5,055

744,531764,247-19,716

Current liabilities

127,114

165,893-38,778 Current portion of bonds: -10,000

Long-term liabilities

370,100

349,758

20,342 Bonds: +10,000

Total liabilities

497,215515,652-18,436

Net assets

247,315

248,595-1,280 * Equity capital ratio: 32.6% (+0.6 pts)

Total liabilities and net assets

744,531764,247-19,716

Interest-bearing debt

357,249

351,600

Total assets

Accounts payable: -13,485

Long-term loan payable: +11,546

Retained earnings: -1,059

Loans payable: +10,649

5,649 Short-term bonds payable: -5,000

33Consolidated Statements of Cash Flows(Millions of yen)

1H FY2022
results

1H FY2021
results

ChangeMain factors of changes

Cash flows from operating
activities339-8,487

8,826 Profit before income taxes: +9,546

Cash flows from investing
activities-8,456-12,110

3,653 Purchase of non-current assets: +3,807

Cash flows from financing
activities

2,329

40,938-38,608

Net increase (decrease) in cash
and cash equivalents-5,78820,340-26,128

Cash and cash equivalents at
beginning of period

26,554

14,911

11,643

Cash and cash equivalents at endof period

20,76635,251-14,485

Proceeds from issuance of bonds:-19,905
Short-term loans payable: -11,207

34