Second Quarter of Fiscal Year Ending March 2023 Financial Results Briefing

MIRARTH HOLDINGS, Inc. (formerly Takara Leben Co., Ltd.)

Securities code: 8897 November 8, 2022

INDEX
01 Executive Summary

P. 3

02 Second Quarter of Fiscal Year Ending
March 2023 Financial Highlights

03 Year ending March 31, 2023 Full year

P. 9

P. 21

Earnings Forecast

04

TOPICS / Sustainability

05 Appendix

P. 31

P. 42

01
Executive Summary

Change in Business Segments
Reorganize business segments into 4 segments from the viewpoint of clarifying profitability andbusiness responsibilities and effective use of management resources

Previous Business Segments

New Business Segment from April 2022

Real Estate Sales BusinessNew built-for-sale condominium

New detached house

Renewal resale

Liquidation

Real estate sales other

Real Estate Rental Business
Real Estate Management Business
Energy Business
Facilities saleElectricity sale

Real Estate BusinessNew built-for-salecondominium

Liquidation

New detached house

Renewal resale

Real estate rental

Real estate management

Real estate other
Real estate sales business, Real estate rental business, Real estate managementbusiness, and part of Other businesses integrated into Real estate business

Energy Business
Facilities saleElectricity sale

Other Businesses
Sales and brokerage fees

Management compensation

Asset Management BusinessAmong Other businesses, the Management compensation is changed toAsset management business

Revenue from repair work
Revenue from construction work

Other Businesses

OthersCopyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

4

Moving to a Holding Company Structure
Takara Leben Co., Ltd. to MIRARTH HOLDINGS, Inc. on October 1, 2022※

Real Estate Business

Energy Business

Asset Management Business

Other Businesses

Background

Objective

While the new built-for-sale condominium business is the core business, businessdiversification has progressed in areas such as Energy business, Asset managementbusiness, and overseas business

Promoting sustainable growth, building a system that enables swift and flexible
management decisions, and strengthening governance

What the company
w ants to beOperating income

15.70

Billion yen

14.62 billion yen

Real Estate Business0.60 billion yen

Energy Business0.43 billion yen

Asset Management Business0.05 billion yen

Other Businesses

Establishinga national brandOperating income

11.80 Billion yen

Year ending March 31, 2022

"Becoming a company trusted by
all stakeholders" as a professionalin the development of spaces,
cities, and renewable energies

F i s c al Y e ar E ndi ng M ar c h 2 0 2 5( F i nal Y e ar of t he M e di um- T e r m M anag e me n t P l an)※ MIRARTH is a term born by combining Mirai (the future) and Earth. It embodies our desire to “evolve into a company that makes the future of people and the earth happy through contributions to the community as a whole”.

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

5

Group Structure
As a result of the transformation into a holding company through a simplified absorption-typedemerger, Takara Leben West Japan changed its name to Takara Leben

Takara Leben
Leben Clean Energy
Leben Community

Takara AssetManagement

Takara PAG Real Estate
Advisory

Leben Home Build
Takara Leben Realnet
Leben Zestock
Leben Trust
Takara Leben (Thailand)

Real Estate Business

Energy Business

Asset Management Business

Other Businesses (Construction/Hotel/Nursing Care)

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

6Formulation of Purpose and Values
New formulation of purpose (meaning of life) and values as part of the transition to a holding
company structure
M e a n i n g o f l i fe

Our Purpose

To Design Sustainable Environments for a HappierFuture for Both People and Our Planet.
To be passionate about creating vibrantenvironments and to inspire and be inspiredby people who share our vision.

PassionInspiration
・To create a sustainable world
where people, nature, and society
coexist in harmony.

To continue to evolve and keep up
with the rapid change around us tocreate new value.

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

Integrity

Sustainability

・

Trust

Our Values

Value
Creation

Diversity
・Co-creation

To generate a trusting relationship amongpeople and society through protection of
our safety and security.

To value each individual's ideas and co-create
a diverse and equitable environment with thelocal communities.

7Year Ending March 31, 2023 Second Quarter Financial Highlights
Year Ending March 31, 2023
Second Quarter Consolidated Financial Results

Segment Information• Net sales 73,471 million yen (+46.7% YoY)
• Operating income 4,328 million yen (+635.4% YoY)
• Ordinary income 3,810 million yen (89 million yen
ordinary loss in the same quarter of the previous year)

Real Estate Business• Significant increases in sales and profits in each item
compared with the same quarter of the previous year
• More than 90% of net sales in second quarter• Net income attributable to owners of parent 2,875 million
yen (226 million yen net loss in the same quarter of theprevious year)

Energy Business• Strong sales of new built-for-sale condominium and ahigh profit margin from Liquidation contributed to theincrease in both sales and profits• Decrease in sales and profits compared with the samequarter of the previous year
• TOB in Takara Leben Infrastructure Fund, Inc., aiming to
expand stock revenue and EBITDA

Asset Management Business• Decrease in sales and profits compared with the samequarter of the previous year
• Sold 8 properties to Takara Leben Real Estate Investment
Corporation, for which we are the main sponsor

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

8

02Second Quarter of Fiscal Year Ending March 2023
Financial Highlights

Year Ending March 31, 2023 2nd Quarter Consolidated Statement of Income
Compared to the same quarter of the previous year, net sales increased 46.7% to 73,471 million yen and operating income
increased 635.4% to 4,328 million yen for increases in both sales and profits(Millions of yen)

Second Quarter ofYear Ending March
2022
ActualSecond Quarter ofYear Ending March
2023
ActualYear Ending March
31, 2023 Full Year
Forecast

YoY Change

Progress Rate

Net sales

50,09873,471

46.7%

173,500

42.3%

Cost of sales

39,701

58,32846.9%

140,400

41.5%

Gross profit

10,397

15,14345.6%

33,10045.7%

Selling, general andadministrative expenses

9,809

10,814

10.3%

21,20051.0%

Operating income

588

4,328

635.4%

11,90036.4%

Ordinary income (loss)

△89

3,810

-

10,30037.0%

Net income attributable toowners of parent (loss)

△226

2,875

-

7,000

41.1%

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

10

Year Ending March 31, 2023 Second Quarter Net Sales & Gross Profit &Operating Income by Segment
Real Estate Business: Sales and profits increased YoY due to an increase in the number of new built-for-sale condominium delivered and steadysales in the liquidation business
Energy Business: Profits decreased due to rent incurred in connection with the incorporation of large-scale projects into infrastructure funds, etc.
Asset Management Business: Slight decrease from the same quarter of the previous year, but no impact on the progress of full year forecasts
Second Quarter ofSecond Quarter ofYear Ending March
Year Ending March
2023
2022
ActualActual(Millions of yen)

Real Estate Business

43,16866,39453.8%

146,500

45.3%

Gross profit

9,155

14,312

56.3%

28,450

50.3%

524

4,726

801.2%

9,890

47.8%

Net sales

5,034

5,026

△0.2%

21,80023.1%

Gross profit

545

345

△36.6%

3,350

10.3%

△175

△484

-

1,690

-

Net sales

688

638

△7.3%

1,200

53.2%

Gross profit

646

575

△11.0%

970

59.4%

Operating income

372

292

△21.5%

270

108.2%

1,206

1,411

17.0%

4,000

35.3%

49

△90

△281.9%330-

Operating income

△132

△206

-

50

-

Net sales

50,09873,471

46.7%

173,500

42.3%

Gross profit

10,397

15,14345.6%

33,100

45.7%

588

4,328

635.4%

11,90036.4%

Operating income

Asset Management
Business

Net sales

Other Businesses

Total Total

Progress Rate

Net sales

Operating income

Energy BusinessYear Ending March
31, 2023 Full Year
Forecast

YoY Change

Gross profit

Operating income

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

11

Real EstateBusiness

Segment Highlights

New built-for-salecondominium

Year-on-year growth in both net sales and gross profit
Contracts in progress against the full-year plan is 94.2%, better than in the same quarter of theprevious year
※ As of the end of September 2022

Business Results

Contract Status
Net sales

Units including JV

2nd quarter
Full year

75,400(Forecast)

68,912

Number of units to be delivered
Units under contract
1,800
within delivery schedule
Progress rates in contract

94.2%

83.7%

27,585
14,549

1,780

89.6%

1,676

1,506

Increase(Millions of yen)
Year ending March 31, 2022

Year ending March 31, 2023

(Units)Gross profit
2nd quarter
Full year

Year ending March 31, 2023

Units excluding JV
15,600(Forecast)

14,504

Number of units to be delivered
Units under contract
within delivery schedule
Progress rates in contract

5,645
2,839

Year ending March 31, 2022

98.9%

1,750

82.5%

1,630

94.1%

1,444

1,534

Year ending March 31, 2022

Year ending March 31, 2023

Increase(Millions of yen)
Year ending March 31, 2022

Year ending March 31, 2023

(Units)※ JV: Joint venture with other companies

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

12

Real EstateBusiness

Segment Highlights

Liquidation

Year-on-year growth in both net sales and gross profit
Leveraging the strengths cultivated in the new built-for-sale condominium business, mainly invest in anddevelop residential properties
Gross profit achieved full year forecast ahead of scheduleBusiness Results

Investments and Sales
Net sales

Investment results
36,900

2nd quarter
Full year(Forecast)

25,87015,897

24,524
54.3%

Residence
OfficeHotel
Retail and logistics
Land, etc.

Increase

5%
Total amount39%

15,168Million yen

56%(Millions of yen)

Year ending March 31,
2022

Year ending March 31,
2023

Gross profit

Sales results

2nd quarter
Full year

5,600
5,724 (Forecast)

5,191

3,283

74.4%
Increase

Residence
OfficeHotel
Retail and logistics
Land, etc.

3%17%Total amount12%

24,524
Million yen

68%(Millions of yen)

Year ending March 31,
2022

Year ending March 31,
2023

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

13

Real EstateBusiness

Segment Highlights

New detached house

Renewal resale

New detached house: Both net sales and gross profit increased year on year due to strong sales conditions
Renewal resale: Decreased YoY due to a decrease in the number of renewal one building project
New detached house

Renewal resale
Net sales

Net sales
12,000

2nd quarter
Full year(Forecast)

2nd quarter
Full year

5,200

5,748

(Forecast)

8,621

2,894
4,492

33.3% 1,930

100.8%

2,237

Decrease

Increase(Millions of yen)

(Millions of yen)

Year ending March 31, 2022

Year ending March 31, 2023

Year ending March 31, 2022 Year ending March 31, 2023

Gross profit

Gross profit

2nd quarter
Full year

1,600(Forecast)

2nd quarter
Full year

1,082

700

1,270

(Forecast)

618
325

78.7%

44.5%

581

Decrease

342

Increase(Millions of yen)

(Millions of yen)

Year ending March 31, 2022

Year ending March 31, 2023

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

Year ending March 31, 2022 Year ending March 31, 2023

14

Real EstateBusiness

Segment Highlights

Real estate rental

Real estate management

Real estate rental: Progress generally at the same level as the same quarter of the previous year
Real estate management: Steady increase in net sales compared to the same quarter of the previous
year due to an increase in the number of managed units
Real estate rental

Real estate management
Net sales

Net sales
6,200

2nd quarter
Full year

5,950

2,979

(Forecast)

0.6%

8,700

2nd quarter
Full year

2,998(Forecast)

8,084

4,149

Increase

4.8%

4,349

Increase(Millions of yen)

(Millions of yen)

Year ending March 31, 2022

Year ending March 31, 2023

Year ending March 31, 2022 Year ending March 31, 2023

Gross profit

Gross profit
1,650

2nd quarter
Full year(Forecast)

1,488

698

8.6%

2nd quarter
Full year

1,799

933

638

0.6%

938

Increase

Decrease(Millions of yen)

2,000
(Forecast)(Millions of yen)

Year ending March 31, 2022

Year ending March 31, 2023

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

Year ending March 31, 2022 Year ending March 31, 2023

15

Segment Highlights

Energy Business ・ Asset Management Business

Energy business: Generation scale achieved the targets of the medium-term management plan aheadof schedule※ As of the end of September 2022
Asset management business: Asset management size increased year-on-year
Energy business

Asset management business

Generation scale (cumulative)
Owned by the company

Sold

Asset management size

Under development and planned projects

Infrastructure fund

REIT

Private fund(Billions of yen)

83

231

250

46

200

Medium-Term Management Plan 360MW

150

Year ending March 31, 2025

100

1

50

9

0
FIT prices
within the secured
portionof 360MW

8

122.7

68.6

68.6

End
of March
2022年3月末
2022

Endof September
2022年9月末
2022

Retail andother properties

5
4

26%
31%

3

1

40 yen5%

4

27 yen1%

7

21 yen5%

2

36 yen 44%

5

24 yen 10%

818 yen13%

3

32 yen6

22 yen9

14 yen or less 19%

3%

107.8

2

7
6

37.3

33.5

1%

Hotel

6%

Residence

Breakdown of
REIT

Office37%※ Aggregated on an acquisition price basis

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

335

16

Year Ending March 31, 2023 Second Quarter Selling, General and
Administrative Expenses
Advertising and other expenses increased due to strengthened sales of new built-for-sale condominium
Increase in personnel expenses due to an increase in the number of employees

Second Quarter ofYear Ending March
2022
Actual(Millions of yen)

Second Quarter ofYear Ending March
2023
ActualYoY Change

9,809

10,814

1,005

365

586

221

2,764

2,966

202

2,610

2,821

210

153

145

△8

Personnel expenses

3,718

4,334

616

Others

2,961

2,926

△34

Selling, general and administrative expenses

Public relations expenses

Selling expenses
Advertising and other expenses(property sales)
Sales commissions(liquidation)

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

17

Year Ending March 31, 2023 2nd Quarter Consolidated Balance Sheet
Total assets increased by 28,355 million yen from the end of the previous year due to an increase ininventories resulting from new purchases
Borrowings also increased
End of March 2022

(Millions of yen)

End of September 2022

YoY Change

223,473

251,828

28,355

142,625

172,558

29,933

Cash and deposits

33,42842,316

8,887

Inventories

91,653

114,975

23,321

Real estate for sale32,61630,359△2,256

Power generation facilities for sale

1,001

5,638

4,637

Real estate for sale in progress

58,03678,977

20,94080,792

79,224△1,567

163,871

190,685

26,81375,01084,064

9,053

Notes & accounts payable

15,411

10,571△4,839Borrowings (short-term, within 1 year)

39,48852,19912,711

Bonds payable (within 1 year)

2,168

2,220

52

88,860106,621

17,760Long-term borrowings

81,923

99,615

17,691

Bonds payable

4,070

4,090

20

59,601

61,143

1,541

4,819

4,819

-

223,473

251,828

28,355

AssetsCurrent assets

Fixed assets

Liabilities
Current liabilities

Fixed liabilities

Net assets
Capital stock

Total liabilities and net assets

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

18

Year Ending March 31, 2023 2nd Quarter Consolidated Balance Sheet(Breakdown)
Assets for sale(Millions of yen)

16%

Total assets (251,828 million yen) (As of the end of September 2022)
21%
172,558

Current assets

20%

38%

5%

Assets for sale in progress
1%
2%

11%

86%

Cash and deposits

42,316Inventories

114,975

New built-for-salecondominium

Liquidation

New detached house

Renewal resale

Power generation facility

OthersProperty, plant andequipment

Short-term borrowings
and Others
Bonds payable (within 1
year)

2,220

Long-term borrowings

99,615

8,941

Bonds payable

4,090

New detached house

10,338Others liabilities

32,560

Renewal resale

14,979Power generation
facility

5,638

Others current assets

15,267

Liquidation

Property, plant andequipment(Of which, liquidation assets)

1

79,2249%
11%52,19975,076

Fixed assets
New built-for-sale condominium

190,685

Liabilities

Breakdown of borrowings andbonds payable

42%

8%
6%

24%

New built-for-sale condominium

Liquidation

New detached house

Renewal resale

Power generation facility

Not associated with assets

61,143

Net assets

62,476

Shareholders' equity

60,025

2 46,107

Subscription rights toshares403

Intangible assets

2,428

Non-controlling interests

208

Investments and otherassets14,319Others net assets

505

Breakdown of liquidation assets
2%
10%
34%

18%

2%
24%

36%

1

2

74%
Residence

Offices

Hotel

Retail and logistics

Land, etc.

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

19

Year Ending March 31, 2023 Second Quarter Breakdown ofAssets/Borrowings and Bonds Payable by Segment
Increased due to strong new purchases of new condominiums

Assets for sale inprogress

New built-for-sale condominium

7,476

67,600-75,076

66,082Liquidation

7,386

1,555

46,10755,04937,803New detached house

1,642

8,696

-

10,3389,203

Renewal resale

13,854

1,125-

14,97913,117

Power generation facility

5,638

-

14,931

20,57017,277

Others

-

-

1,436

1,436

-

Borrowings and bonds payable notassociated with assets

-

-

-

-

14,64035,99878,97762,476

177,452

158,124(Millions of yen)

Total

Property, plant andequipment

Total assets

Assets for sale

Borrowings andbonds payable※※ Including Bonds payable 6,310 million yen

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

20

03
Year Ending March 31, 2023 Full Year
Earnings Forecast

Year Ending March 31, 2023 Full Year Earnings Forecast Consolidated
Statement of Income
Full year earnings forecasts are in line with initial forecasts as all items are progressing steadily

Year Ending March
31, 2022
ActualYear Ending March
31, 2023
Forecast

YoY Change(Millions of yen)

Net sales

162,744

173,500

6.6%

Cost of sales

129,626

140,400

8.3%

Gross profit

33,117

33,100△0.1%

Selling, general and administrative expenses

21,24021,200△0.2%

Operating income

11,877

11,9000.2%

Ordinary income

10,25810,3000.4%

Net income attributable to owners of parent

6,215

7,000

12.6%

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

22

Year Ending March 31, 2023 Full Year Earnings Forecasts: Net Sales, Gross Profit, and Operating Income by Segment

Year Ending March
31, 2022
Actual(Millions of yen)

Real Estate Business

Energy Business

Asset Management Business

124,285

146,500

17.9%

Gross profit

26,40628,450

7.7%

Operating income

7,659

9,890

29.1%

Net sales

34,24821,800△36.3%

Gross profit

5,396

3,350

△37.9%

Operating income

3,840

1,690

△56.0%Net sales

1,315

1,200

△8.8%

Gross profit

1,223

970

△20.7%

593

270△54.5%

2,895

4,000

38.2%

92

330

257.9%

△216

50

-

Net sales

162,744

173,500

6.6%

Gross profit

33,117

33,100△0.1%

Operating income

11,877

11,9000.2%

Net sales
Gross profit
Operating income

Total Total

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

YoY Change

Net sales

Operating income

Other Businesses

Year Ending March
31, 2023
Forecast

23

Year Ending March 31, 2023 Full Year
Earnings Forecast

Real EstateBusiness❶ New built-for-salecondominium• Net sales and Gross profit are expected to increase steadily due to an increase in sales price• In the ratio of metropolitan areas, the number of units in capital area is scheduled to increase fromfull year in the previous year
Earnings forecast
Year Ending March
31, 2022 Actual
68,912(Millions of yen)

Net sales

3

Chubu area

7.6%

Gross margin

21.0%

20.7%

△0.3P

Units sold1,830 units

1,780 units△50 units

Units soldexcluding JV

1,742 units

1,630 units△112 units

Kinki area

4

Hokkaido area

5

7

Tohoku area
Kanto-Koshinetsu
area
Hokuriku area

8

Chugoku area

6

9.4%

15,600Metropolitan
areas
10

9

2

75,40014,504

Metropolitan areas
Capital area

YoY Change

Gross profit

Ratio of metropolitan areas

1

Year Ending March
31, 2023 Forecast

9

Shikoku area

10

Kyushu area

47.4%

1% 4%

7

9

1

6

27%
22% Year ending
March 31, 2022 2
4%

6

0%

1

Year ending 38%
5
March 31, 2023
25%
2

3

5

21% 4 16%2%

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

50.6%

10

3%
8%
3%

7

3%

Metropolitan
areas

4

10%

3

4%

9%

THE LEBEN KAMISUGI 3CHOME (Miyagi)
Total units: 53 units

24Year Ending March 31, 2023 Full Year Real EstateBusiness
Earnings Forecast❷ New built-for-salecondominium

Progress of contracts for new built-for-sale condominium
Year Ending March 31, 2021
Full Year
Planning

Delivery for the current
termYear Ending March 31, 2023

Year Ending March 31, 2022

End of Second
Progress Rate
Quarter

Full Year
Planning

End of Second
Progress Rate
Quarter

Full Year
Planning

End of Second
Progress Rate
Quarter

1,980 units

1,772 units

89.5%

1,800 units

1,506 units

83.7%

1,780 units

1,676 units

94.2%(1,850 units)(1,645 units)(88.9%)(1,750 units)(1,444 units)(82.5%)(1,630 units)(1,534 units)(94.1%)-

115 units--

366 units-

2,400 units

617 units

25.7%

Delivery for the nextterm

※ Figures in parentheses exclude JV units and contract progress rate

Completion scheduleYear Ending March 31,
2022
Units soldYear Ending March 31,
2023
Units completed

1st quarter

147

450

2nd quarter

291

212

3rd quarter

372

153

4th quarter

1,020

836

Total

1,830

1,651

Ratio of metropolitan
areas

47.4%

46.6%

Year Ending March 31, Year Ending March 31,
2022
2023
Units sold
Ratio of metropolitan
areas

1,830 units
47.4%※ Metropolitan areas: Capital area, Chubu area, Kinki area

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

1,780 units
50.6%

25

Year Ending March 31, 2023 Full Year
Earnings Forecast

Real EstateBusiness

Liquidation• Aggressively promoting the development of rental residential properties and making investments• Development with an awareness of asset portfolio optimization
Earnings forecast(Millions of yen)

Year Ending March 31,
2022 Actual

Year Ending March 31,
2023 Forecast

YoY Change

Investment
amount30,21730,000△0.7%

Sales amount

25,87036,90042.6%

Gross profit

5,191

5,600

7.9%

Gross margin

20.1%

15.2%

△4.9P

Asset portfolio targets
Residence and Office
Retail, Logistics and Others

30%
70%

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

LUXENA TOYOCHO

L.Biz Nihonbashi II※ LUXENA is our rental residential brand※ L.Biz is our office brand26

Year Ending March 31, 2023 Full Year Real EstateBusiness
Earnings Forecast••

New detached house
Renewal resale

New detached house: Scheduled to increase in Net sales and Gross profit due to an increase in the number ofunits planned for sales
Strengthening strict selection of purchasing areas
Renewal resale: Aiming to increase the number of units purchased and owned, aiming to increase sales overthe long term
New detached house

Renewal resaleYear Ending(Millions of yen)

Year Ending
March 31, 2023
March 31, 2022
Forecast
ActualYear Ending

YoY Change(Millions of yen)

Year Ending
March 31, 2023
March 31, 2022
Forecast
ActualYoY Change

Net sales

8,621

12,00039.2%

Net sales

5,748

5,200

△9.5%

Gross profit

1,270

1,600

26.0%

Gross profit

1,082

700

△35.3%

Gross margin

14.7%

13.3%

△1.4P

Gross margin

18.8%

13.5%

△5.3P

Units sold180 units

220 units

40 units

Units sold

171 units

140 units△ 31 units

Units
purchased

249 units

280 units

31 units

Term end units
owned

475 units

615 units

140 units

LEBEN PLATZ HIGASHIURAWA III

Image after renovation
Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

27

Year Ending March 31, 2023
Full Year Earnings Forecast

Real EstateBusiness

Real estate rental

Real estate
management

Real estate other• Real estate rental: Aiming for steady accumulation as a stock and fee business• Real estate management: Plan to increase the number of managed units as a pillar of the stock businessYear Ending March
31, 2022 Actual

Year Ending March
31, 2023 Forecast

YoY Change(Millions of yen)

Net sales

5,950

6,200

4.2%

Gross margin

25.0%

26.6%

1.6P

Net sales

8,084

8,700

7.6%

Gross margin

22.3%

23.0%

0.7P

69,335 units

73,800 units

4,465 units

Ratio outside the group

51.8%

52.0%

0.2P

Net sales

1,097

2,100

91.3%

Gross margin

97.5%

61.9%

△35.6P

Real estate rental

Real estate
management

Number of managed
units

Real estate other

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

28

Year Ending March 31, 2023
Full Year Earnings Forecast

Energy Business ・ Asset Management Business ・ Other Businesses• Energy Business: Shift from a business focused on the facilities sale to stock-based earnings fromthe electricity sale
• Asset Management Business: Continue to expand assets under management
Year Ending March
31, 2022 Actual

Year Ending March
31, 2023 Forecast

YoY Change(Millions of yen)

Net sales

25,37912,500△50.7%

Gross profit

4,796

2,700

△43.7%

Gross margin

18.9%

21.6%

2.7P

Net sales

8,869

9,300

4.9%

Gross profit

600

650

8.3%

Gross margin

6.8%

7.0%

0.2P

120MW

40MW

△80MW

310MW

320MW

10MW

Net sales

1,315

1,200

△8.8%

Gross margin

93.0%

80.8%

△12.2P

Net sales

2,985

4,000

38.2%

Gross margin (Millions of yen)

3.2%

8.3%

5.1P

Facilities sale

Energy BusinessElectricity sale

Purchased generation scale(including under development)
Operating generation scale(cumulative)※ Leben Clean Energy combined since April 2021
※ 116MW of the 120MW purchased in year ending March 31, 2022 increased due to consolidation of Leben Clean Energy

Asset Management Business

Other Businesses

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

29

Shareholder Returns
Returning profits to shareholders is 1 of our top priorities, and we plan to pay a stable dividend in linewith our business performance

30

Year end dividendInterim dividend

28
24

25

18

20

0.3

20

0.25
21

15

10

14

Payout ratio target
Payout ratio (%)

14

0.15

16

10

0.1

6

7

4

4

4

Year ending
2021年3月期

March 31,2021

Year ending
2022年3月期

March 31,2022

Year ending
2023年3月期

March 31,2023

March 31,2024

March 31,2025(Actual)(Actual)(Forecast)(Forecast)(Forecast)Year ending
2024年3月期

Previous Medium-Term
Management Plan

Medium-Term Management Plan

25～30%

30～35%

32.4

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

0.2

18

5

(Yen)
0

0.35

31.5

31.2

30.7

Year ending
2025年3月期

0.05
0

30.4

30

04
TOPICS / Sustainability

TOPICS 1 TOB in Takara Leben Infrastructure Fund, Inc. [1]Decided to commence TOB for Takara Leben Infrastructure Fund, Inc. on September 28, 2022
(Initial period of TOB: September 29, 2022 to November 11, 2022)
Summary

Purpose• 3 companies invest in silent partnerships in “Green Energy
LLC." the tender offeror, at the following ratio• 3 companies conclude a business alliance agreement forcollaboration in the renewable energy field

Percentage of investment in the tender offeror
SMFL MIRAI Partners Company,
Sumitomo Mitsui Finance and Leasing
Company Group

Making Energy Business the next core businessafter Real Estate Business• Plans to integrate the ownership of solar power generation
facilities and the entity of power generating• Through collaboration with SMFL MIRAI Partners
Company and Sumitomo Mitsui Banking Corporation,
accelerate the construction of a business model that does
not depend on FIT system while maintaining a solidbalance sheet

25.1%
Sumitomo Mitsui Banking Corporation

4.9%

MIRARTH HOLDINGS 70.0%

Leben Solar Hiroshima Mihara power generation facility
Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

32

TOPICS 1 TOB in Takara Leben Infrastructure Fund, Inc. [2]After Takara Leben Infrastructure Fund, Inc. is taken private, the solar power generation facilities
owned by the Infrastructure Fund are scheduled to be transferred to Green Energy LLC.

Prior to the execution TOB

After going private and completing asset trading

Leasing scheme

Direct holdingsElectricitysales

Green Energy LLC.

Takara Leben Infrastructure Fund, Inc.

Electric
power
company

Revenues
fromelectricity sales

Investment

93.4%

OthersInvestors

Rent

6.6%
MIRARTHHOLDINGS

Equity Participation

LeasingElectricitysales

Electric
power
company

Revenues
fromelectricity sales

70.0%

25.1%

4.9%

MIRARTHHOLDINGS

SMFL MIRAI
Partners Company,
Sumitomo Mitsui
Finance and Leasing
Company Group

Sumitomo Mitsui
Banking Corporation

Expansion of EBITDA through unification of theownership of solar power generation facilities andthe entity of power generating
Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

33

TOPICS 1 TOB in Takara Leben Infrastructure Fund, Inc. [3]As a result of this TOB, Energy Business improves its stability through the expansion of stock revenue,
and its EBITDA* grows
Increase in stock revenue

Increase EBITDA

When selling power generation facilities

EBITDA change

Revenue

Others Businesses
Energy Business
Energy Business
25(after implementation of this TOB)

Month

Mainly flow revenue
Concentration of revenues in the period of sale ofpower generation facilities

After theimplementation of this
TOB

22.1
19.6

20

15

14.4

14.8 14.9
13.0

3.5
3.4

1.6
5.7

4.7

4.7
2.9
2.5

3.0

10

When owning power generation facilities
Revenue

5(Billions of yen)
0

Month

Mainly stock revenue
Improve stability
Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

10.9

Year
ending
2020年
March
31,
3月期
2020

9.6

9.1

Year
ending
2021年
March
31,
3月期
2021

Year
ending
2022年
March
31,
3月期
2022

10.3

Year
ending
2023年
March
31,
3月期
2023

12.4

Year
ending
2024年
March
31,
3月期
2024

14.5

Year
ending
2025年
March
31,
3月期
2025

(Forecast) (Forecast) (Forecast)※ EBITDA = Income before income taxes + Interest expenses + Depreciation and amortization

34

TOPICS 2 Implementation of Public Offering by Takara Leben Real Estate
Investment Corporation
Takara Leben Real Estate Investment Corporation, for which the Group is the main sponsor, conducted acapital increase through a public offering
In addition, on September 28, 2022, the Investment Corporation entered into a purchase preference
negotiation agreement with Island Ship No. 4 LLC.*
Acquire properties using sponsor-support,
including MIRARTH HOLDINGS
Residence• LUXENA KITA-SENJU

Properties for which preference negotiating rights
have been acquired from Island Ship No. 4 LLC.

1

Residence• LaVita Higashi-Ueno• LUXENA JOSHIN

1• Rock Field Nishi-ohi• LaVita NAMBA MOTOMACHI 4• LaVita Shin-Okachimachi• SERENITE NAMBA NISHI

2• LUXENA UMEKOJI-KYOTONISHI

Retail• LUXENA TOYOCHO• TLR Residence Ryogoku

3• LUXENA KIYOMIZU-GOJO• TLR Residence Ohtorii• LaVita Nijyo Gekko• TLR Residence Kameari• LaVita Toji

• LaVita Yatsuka Station I• Pleiades Namba east

• LaVita Yatsuka Station II• Kaden Sumairu Kan×
YAMADA web.com Nara Head Office• Colline Ensoleillee

2

3

4

5

5

※ Bridge fund formed by the Group
Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

35

TOPICS 3 Redevelopment Project for Former Department Store Site
Acquired the former site of the Okajima Department Store in Kofu City, Yamanashi Prefecture,aiming to contribute to regional revitalization through a redevelopment business

The concepts are“Living" “Gathering" and “Bustling"–

As a plan to transform department stores into new urban functions,construct a complex centered on the largest tower residence in theprefecture–

The next-generation commercial facilities are equipped withrooftops and squares that can hold events to encourage passengers–

In addition, we have established a self-driving parking lot and otherfacilities to attract both people and cars

As the starting point for the revitalizationof residents and visitors–

Purpose of leading to the revitalization of city centers through anincrease in "urban living" including migrants from urban centre–

Planning to improve the child-rearing environment by establishingchild-rearing support centers in facilities–

Planning to build emotional commercial facilities that will deeply
penetrate the vicinity of the revitalizing city center

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

Scheduled to becompleted in around July
2028

36

TOPICS 4 First National Park Park-PFI Project Approved in Japan
Grand opening of AQUAIGNIS AWAJISHIMA, a complex natural hot spring resort, in Awaji City,
Hyogo PrefectureGroup company are contracted to provide asset management services

Awaji Island to the core of Osaka Bay
and Setouchi Tourism–

Established in Awaji Island's Akashi Kaikyo National Government
Park as a facility where people can enjoy food, warm bathing, andexercise in combination–

As the first nationally certified*1 national park Park-PFI project*2,
the objective is to contribute to the creation of new jobs and thebranding of local products by cooperating with local facilities andlocal companies

Aiming to expand contributions
to regional revitalization–

By developing a new business scheme in collaboration with otherindustries as well as with local governments, we expect to havestrengths in calling for future investment demand※1 See press release of the Kinki Regional Development Bureau on November 20, 2020
※2 Park-PFI is the name of the "Public Installation Management System“
New method of development and management of urban parks that utilize the funds and know-how of private businesses through public offerings

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

37

Basic Sustainability Policy
By engaging in sustainability activities through our business, we aim to contribute to the resolution ofsocial issues and the achievement of SDGs (Sustainable Development Goals) and to achievesustainable development throughout the Group companies
Creating Lifestyles
with Value

1. Propose new lifestyle services
2. Supply of new condominiums for sale overseas
3. Supply of NEBEL series condominiums

Forming
Communities

1. Redevelopment projects undertaken
2. Community sponsorships
3. Conduct the board effectiveness assessments
4. Enhancement and strengthening of corporate governance system
5. Consideration of introducing the clawback provisions
6. Implement anti-corruption education and training
7. Promote understanding of human rights issues among officers and employees
8. Number of cases of adverse treatment

9. Survey to confirm the recognition rate of the whistle-blowing system
10. Percentage of employees receiving health checkups
11. Stress check examination rate
12. Percentage of employees taking paid leave
13. Percentage of employees with disabilities
14. Percentage of female managers
15. Percentage of employees returning to work after maternity or
parental leave
16. Training hours per employee
17. Satisfaction rate of sales staff survey

Providing
Comfortable
Spaces ofHigh Quality

1. Number of nonconformities related to business processes andquality standards
2. Implementation of preventive action sharing meetings
3. Training of SQMS® masters
4. Acquisition rate of housing performance evaluation
certificates
5. Rate of accidents and lost time injuries (*covered: employees)

6. Number of lost workday injuries (*covered: employees)
7. Implementation of customer satisfaction surveys
8. Safety meetings
9. Special patrols (safety checks)
10. Number of safety and health training sessions(*training targets: employees)
11. Results of supplier surveys
12. Rate of accidents and lost time (*target: suppliers)

Developing
Environments andCultures

1. Establishment of environmental policy
2. Acquisition and disclosure of CO emissions
3. Setting CO emission reduction targets
4. Percentage of houses certified for energy efficiency rating(Flat 35)
5. Sponsorship for culture fostering events
6. Acquisition of ZEH condominium certification

7. Acquisition of CASBEE certification with A rank or higher
8. Newly added generation capacity of mega-solar power plant
9. Total power generation
10. Maximizing effective use of resources and water
11. Formulation of manuals for BCP measures

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

38

Sustainability Initiatives -Environment-

Information Disclosure Initiatives in Line with TCFD Recommendations– Agree with the recommendations of TCFD (Task Force on Climate-Related Financial Disclosures) and participate
in TCFD Consortium– Aim to foster relationships of trust with stakeholders and improve corporate value by disclosing information on
the impact of climate change on business
What is TCFD?

What is TCFD Consortium?

• International initiatives to consider how to disclose climaterelated information and respond to financial institutions• A forum for discussing effective corporate information
disclosure and efforts to link disclosed information toappropriate investment decisions by financial institutions,etc.

• Publication of recommendations to encourage companies todisclose governance, strategies, objectives, etc. for climatechange-related risks and opportunities

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

39

Sustainability Initiatives -SocialDonation to “the Katsuura UnderSea Park” “Ehime SDGs Koshien ～High School
Revitalization Plan ProjectStudents' SDGs Practice Project ～"–––Supporting the development of the tourism industry by
donating to the project in Katsuura City, Chiba Prefecture,using the corporate version of the Hometown Tax Payment
SystemLeben Solar Chiba Katsuura power generation facility,
which was completed in 2021, received considerable
cooperation from the city
In areas other than Energy Business, as part of ourinvolvement in regional revitalization, we endorsed anddonated the project–Sponsoring events in which high school students from
Ehime prefecture study and present SDGs issues in theirlocal communities and Japan in their respective teams–

Held with the aim of providing opportunities for students toincrease their awareness of SDGs while learning on theirown initiative for the sake of the future–

Aim to contribute to solving problems in each region andcreate a sustainable society by developing further initiatives
after the event is completedLeben Solar Chiba Katsuura power generation facility, completed in 2021

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

40

Sustainability Initiatives -Governance-

Increase the ratio of outside directors
to sustainability committee members

Increase the ratio of outside directors
and female directors–

We established the Sustainability Committee, which ischaired by representative director and consists of directors
and presidents and division heads of group companies––

The ratio of outside directors has increased among themembers of the committee

As part of our corporate governance system, the Board of
Directors makes decisions on a prudent and prompt basis
and directors also conduct appropriate supervision of thestatus of business execution by each other's directors, and
the Audit & Supervisory Board Members audit andsupervise the status of business execution by directors–

Ratio of outside directors and female directors increased

Ratio of outside
directors

66.7%

Ratio of outside
directors

66.7%

Internal directors

2 (including 2 male)

Ratio of female
directors

33.3%

Outside directors

4 (including 2 male and 2 female)Internal directors

2 (including 2 male)Outside directors

4 (including 2 male and 2 female)Outside auditors

3 (including 2 male and 1 female)

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

41

05
AppendixCompany Profile

Company Name MIRARTH HOLDINGS, Inc.

Company Name Takara Leben Co., Ltd.

Representative

Representative Director Kazuichi Shimada

Representative

Address〒100-0005
Tekko Building 16F, 1-8-2 Marunouchi,
Chiyoda-ku, Tokyo

Address

Representative Director Kazuichi Shimada
Representative Director Shoichi Akisawa〒100-0005
Tekko Building 16F, 1-8-2 Marunouchi,
Chiyoda-ku, Tokyo

Representative
Tel Number

03-6551-2125

Representative
Tel Number

03-6551-2100

Establishment

September 21, 1972

Establishment

August 29, 1989

Capital stock

4,819 million yen

Capital stock

400 million yen

Number of
Employees

1,294 (Consolidated) * As of October 1, 2022

Number of
Employees

504* As of October 1, 2022

Business Details Business management of group companies, etc.

Business Details Planning, development, and sales of new built-

for-sale condominium, real estate liquidation
business, rental business, and distribution
business
Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

43

MIRARTH HOLDINGS Group's 50-years History
Takara Leben

Takara PAG Real Estate Advisory

Leben Community

Takara Asset Management

Takara Leben (Thailand)
Takara Leben Realnet

Leben TrustLeben Zestock

Change in company name due to conversion
to a holding company

1994

2001

2004

2012

2013

2016

2017

2018
Established Takara Komuten Co., Ltd.
• Started detached house sales businessand used house resale business• Started real estate rental business

Established Leben Community Co., Ltd.
• Started real estate management businessAnnounced the "Leben Heim" series
of in-house condominiums• Launched condominium business

JASDAQ listing

Listed on the First Sectionof Tokyo Stock Exchange

New condominium brand"LEBEN""THE LEBEN" announced

Launch of the first Laben Solar Shioya
power generation facility• Started power generation businessTakara Leben Infrastructure Fund, Inc.
listed first on the infrastructure fund market

New condominium brand "NEBEL" announced

Takara Leben Real Estate Investment
Corporation listed
Established Representative Office of Takara Leben
Co., Ltd. in Hanoi City

50 th anniversary

1988

Started with the detachedhouse business in 1972,
and developed the businesscentered on thecondominium business

1982

2022
1972

44
Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

Leben Clean Energy
Leben Home Build※ Company name changed in April 2022

Consolidated Balance Sheet (Change)(Millions of yen)

End of March
2021

End of March
End of2022
September 2022

28,682

33,61735,998New built-for-salecondominium

9,000

10,5297,476

Liquidation

9,718

8,838

525

(Millions of yen)

End of March
2021

End of March
End of2022
September 2022

55,97459,58455,049Residence

17,17823,25318,645

7,386

Office20,201

16,767

19,964

1,120

1,642

Hotel

9,547

9,199

9,682

9,437

12,12813,854Retail and logistics

6,834

8,667

5,767

￣

1,001

5,638

Land, etc.

2,213

1,696

990

Assets for sale inprogress

43,76658,03678,977

Borrowings and bonds
payable118,558

127,649

158,124

New built-for-salecondominium

33,73045,47567,600

New built-for-salecondominium

30,66541,01466,082Liquidation

5,667

5,987

1,555

Liquidation

36,86040,18237,803New detached house

3,858

6,533

8,696

New detached house

3,880

6,757

9,203

Renewal resale

510

39

1,125

Renewal resale

8,033

10,076

13,117

Property, plant andequipment

Power generation facility

25,445

13,90917,27764,07063,73962,476

Liquidation

40,58744,758

46,107Loans and bonds payable
not associated with assets

13,67315,708

14,640Power generation facility

22,50918,00914,931

972

970

1,436

Assets for sale

New detached house
Renewal resale
Power generation facility

OthersCopyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

Liquidation assets

45

Condominium Land Acquisition Status and Supply Area

Condominium land acquisition status

Condominium supply area

National Total 9,037 units

Expanded area nationwide and established operations in 37
prefectures
New purchases in Miyazaki and Okinawa prefectures

9
8

Metropolitan
areas

10
7
1
6

42.5%

Takara Leben's sales base
Existing supply and purchasing areas
New purchasing area

2
3

5
4

1

Capital area

29.8%

6

Kanto-Koshinetsu area

13.0%

2

Chubu area

6.2%

7

Hokuriku area

7.7%

3

Kinki area

6.5%

8

Chugoku area

0.6%

4

Hokkaido area

2.4%

9

Shikoku area

1.9%

5

Tohoku area

22.3%

10

Kyushu area

9.5%

※ Major metropolitan areas: Tokyo metropolitan area, Chubu area, Kinki area

※ As of the end of September 2022

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

46

Asset Size of Liquidation Business

Asset size of liquidation business
Existing and completed properties

Properties under development(Millions of yen)

(Millions of yen)

4,914

1,494
4,227

852

7,041

5,789

Book value
as of the end of
September 2022

Book value
as of the end of
September 2022

27,498

10,211

million yen

30,17011,603

3,893

Planned book value
after completion

26,561

52,716

million yen

million yen

9,752

16,824※ Includes liquidation assets recorded in real estate for sale

Residence

OfficeHotel

Retail and logistics

Estimated amount of assets after completion(Millions of yen)

End of September 2022
End of March 2023
End of March. 2024

18,645

19,96422,91922,93133,016After the end of March 2025

37,212

9,682

54,059 million yen

5,767
10,016

23,61926,57662,276 million yen

6,409
10,016

6,409

73,061 million yen

10,016

6,409 80,214 million yen※ 80,214 million yen in assets have already been secured, including those to be completed in the future

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

47

Asset Management Size

Infrastructure fund

REIT

Private fund

300.0
50.0
228.7
209.9

148.6

37.3

150.0

161.9
122.7

98.0

68.6

23.0
(Billions of yen)

100.0

8.3

End of March. 2017 End of March. 2018 End of March. 2019

End of March 2020

End of March 2021

End of March 2022

End of September
2022

End of March. 2025

※ Aggregated on an acquisition price basis

Copyright © MIRARTH HOLDINGS Group. ALL RIGHTS RESERVED.

48

Handling of This Material

This material has been prepared based on data as of the end of September 2022.
The plans and forecasts described in these materials are our judgments at the time of
preparation of the materials, and we do not guarantee or promise their realization or
achievement, nor do we guarantee or guarantee the accuracy or completeness of suchinformation. The company has adopted the "Accounting Standard for Revenue
Recognition" from year ending March 31, 2022, which does not consider the impact oncomparison from the actual results for the previous fiscal year because it is immaterial.
Details described in this document are subject to change without notice.

MIRARTH HOLDINGS, Inc.
TEL: +81-3-6551-2133
E-mail: irinfo@mirarth.co.jp