Third Quarter Consolidated Financial Reportfor the Nine Months Ended December 31, 2020 (Japan GAAP)
January 29, 2021

Takara Leben CO., LTD.
Shares listed on:
Security code:
URL:
Representative:
Contacts:

Tokyo Stock Exchange, First Section
8897
https://www.leben.co.jp
Kazuichi Shimada, Representative Director, CEO, President Executive Officer
Masashi Yamamoto, Director, CFO, Executive officer and General Planning Division
Tel: +81-3-6551-2130

Scheduled date for release of Quarterly Report:
Scheduled date for commencement of dividend payments:
Has the Company prepared supplementary briefing materials for the Quarter:
Has the Company held briefings concerning its quarterly financial results:

February 12, 2021
-No
No

1. Consolidated Operating Results for the Nine Months Ended December 31, 2020
(April 1- December 31, 2020)(Amounts are rounded down to the nearest million)(1) Consolidated Operating Results (Year-to-Date)(Percentage figures represent year-on-year changes)
Net Sales

Operating Income

Ordinary Income

Net Income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Nine months ended December 31, 2020

88,271

(8.9)

5,337

(13.6)

4,823(14.9)

3,137(18.6)

Nine months ended December 31, 2019

96,843

30.4

6,176

132.0

5,667

216.7

3,855

224.0

(Note) Comprehensive income: Nine months ended December 31, 2020: ¥3,393 million ((24.3%)) / Nine months ended December 31, 2019:¥4,480 million (362.2%)

Net Income per Share

Diluted Net Incomeper Share

Yen

Yen

Nine months ended December 31, 2020

28.89

28.70

Nine months ended December 31, 2019

35.56

35.32

(2) Consolidated Financial Position
Total Assets

Net Assets

Equity Ratio

Millions of yen

Millions of yen%

As of December 31, 2020

207,82152,69625.2

As of March 31, 2020

195,448

51,13925.9<Reference> Shareholders’ equity at end of period: December 31, 2020: ¥52,275 million / March 31, 2020: ¥50,634 million

2. Cash Dividends
Annual Cash Dividends per Share
1Q

2Q
Yen

3Q
Yen

Year-End
Yen

Year Ending March 31, 2020

-

6.00

-

Year Ending March 31, 2021

-

4.00

-

Year Ending March 31, 2021(Forecast)

Total

Yen

Yen

13.00

19.00

10.00

14.00

(Note) Has the Company changed its dividend forecast for the current quarter: Yes

3. Consolidated Operating Results Forecast for the Fiscal Year Ending March 31, 2021
(April 1, 2020-March 31, 2021)(Percentage figures represent year-on-year change)
Net Sales

Full year

Operating Income

Ordinary Income

Net Income perShareNet Income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

yen

141,900(15.8)

7,300(38.7)

6,200(44.6)

4,100(23.5)

37.76(Note) Has the Company changed its consolidated forecast during this quarter: Yes*Notes(1) Changes in significant subsidiaries during the current fiscal year
(Changes in specified subsidiaries resulting in changes in scope of consolidation): No
Newly consolidated companies (--) Newly excluded companies (--)
(2) Application of Special Accounting Treatment Made in Preparationof the Quarterly Consolidated Financial Statements: No(3) Changes in Accounting Policies, Changes in Accounting Estimates or Restatement
A. Changes in accounting policies accompanying revision of accounting standards: No
B. Changes in accounting policies other than those in (A): No
C. Changes in accounting estimates: No
D. Restatement: No(4) Number of shares issued (common stock)a. Number of shares outstanding at the end of the period (including treasury stock)b. Number of shares of treasury stock at the end of the periodc. Average number of shares during the period (quarter year-to-date)a.

Nine months ended December 31, 2020:

121,000,000 shares

As of March 31, 2020:

121,000,000 sharesb.

Nine months ended December 31, 2020:

12,344,907 shares

As of March 31, 2020:

12,587,307 sharesc.

Nine months ended December 31, 2020:

108,571,940 shares Nine months ended December 31, 2019:

108,412,693 shares*This quarterly earnings report is exempt from the quarterly review based on the Financial Instruments andExchange Act.
*Explanation concerning appropriate use of the projected operating results and other items to note
The forward-looking statements, including business results forecasts, contained in these materials are based on
information currently available to the Company and on certain assumptions deemed to be reasonable. Actual
business results may differ substantially due to a number of factors.

Takara Leben CO., LTD. (8897) Consolidated Financial Report the Nine Months Ended December 31, 2020

Attachments Table of Contents
1. Qualitative Information Pertaining to Consolidated Operating Results for the Quarter .......................................... 2(1) Qualitative Information Pertaining to Consolidated Operating Performance ..................................................... 2(2) Qualitative Information Pertaining to Consolidated Financial Position ............................................................. 3(3) Qualitative Information Pertaining to Forecasted Consolidated Operating Results ........................................... 3
2. Quarterly Consolidated Financial Statements .......................................................................................................... 4(1) Quarterly Consolidated Balance Sheets .............................................................................................................. 4(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive
Income ................................................................................................................................................................ 7
Quarterly Consolidated Statements of Income
Third-Quarter Year-to-Date Period .................................................................................................................. 7
Quarterly Consolidated Statements of Comprehensive Income
Third-Quarter Year-to-Date Period .................................................................................................................. 8(3) Notes on Quarterly Consolidated Financial Statements...................................................................................... 9(Notes on Assumption of Going Concern) ......................................................................................................... 9(Notes on A Significant Change in Shareholders’ Equity) ................................................................................. 9-1-

Takara Leben CO., LTD. (8897) Consolidated Financial Report the Nine Months Ended December 31, 20201. Qualitative Information Pertaining to Consolidated Operating Results for the Quarter(1) Qualitative Information Pertaining to Consolidated Operating Performance
In the third-quarter of the fiscal year ending March 31, 2021 of the Takara Leben Group, there was a time
when corporate activities were restricted due to the effects of the new corona virus. However, since June, wehave been working hard to normalize corporate activities as soon as possible, while taking thorough measures toprevent infection. In our core business, the new built-for-sale condominium business, the number of visitors toour model rooms has been at the same level as the previous year since June, showing a marked recovery trend.
We will continue to implement measures to prevent infection, such as the use of online business negotiations, as
we carry out our corporate activities.
a. Performance by business segment
In the real estate sales business, sales of this business amounted to ¥65,422 million, up 1.2% on a year-on-yearbasis. This reflected sales in the new built-for-sale condominium business, sales of profitable real estate, newdetached house sales and sales of used condominiums.
In the real estate rental business, sales totaled ¥4,278 million, down 1.4% on a year-on-year basis. This
reflected sales from the rental of condominium units and offices.
In the real estate management business, sales from the management of 63,454 units of residential
condominiums were ¥4,087 million, up 9.5% on a year-on-year basis.
In the electric power generation business, sales totaled ¥10,025 million, down 49.5% on a year-on-year basis,
mainly due to revenues from the sale of 5 facilities that were already operating and revenues from the sale ofelectricity generated by other electric power generation facilities.
Sales from other businesses amounted to ¥4,457 million, up 3.8% on a year-on-year basis, mainly revenues
from construction work, large-scale repair work, and commission income, etc.
As a result, Net sales for the third-quarter year-to-date period of the current consolidated fiscal year amounted
to ¥88,271 million, down 8.9% on a year-on-year basis; Operating income amounted to ¥5,337 million, down
13.6% on a year-on-year basis; Ordinary income amounted to ¥4,823 million, down 14.9% on a year-on-yearbasis; and net income amounted to ¥3,137 million, down 18.6% on a year-on-year basis.

b. Contracted ratio status
With regard to sales performance in the third-quarter year-to-date period of the current consolidated fiscal year,contracts were concluded for 2,039 units, compared with a full-year target of 1,980 units scheduled for delivery.
The contract ratio was at 103.0%, and the contract for the number of units scheduled to be delivered for the fullyear has already been secured.
(Contracts signed versus number of units forecast for New built-for-sale condominium delivery)
Number of contracts
Units scheduled
Number ofContracted
signed from April 1for delivery
contracts signed
ratio (%)
December 31, 2020
(units)(units)(units)Nine months ended
December 31, 2019

1,950

1,791

91.8

1,613

Nine months ended
December 31, 2020

1,980

2,039

103.0

1,376-2-Takara Leben CO., LTD. (8897) Consolidated Financial Report the Nine Months Ended December 31, 2020

(2) Qualitative Information Pertaining to Consolidated Financial PositionAssets, Liabilities and Net Assets
With regard to the assets, liabilities, and net assets of the Group at the end of the third-quarter consolidated
accounting period under review, total assets were ¥207,821 million, an increase of ¥12,372 million comparedwith the end of the previous consolidated fiscal year, mainly due to an increase in inventories associated withnew purchases.

(Current Assets)
Current assets increased ¥11,522 million compared with the end of the previous consolidated fiscal year to¥126,837 million, mainly due to an increase in inventories associated with new purchases.
(Fixed Assets)
Fixed assets increased ¥1,007 million compared with the end of the previous consolidated fiscal year to¥80,882 million, mainly due to the purchase of business assets.
(Current Liabilities)
Current liabilities increased ¥4,022 million compared with the end of the previous consolidated fiscal year to¥69,639 million, mainly due to increase in short-term loans payable and the reclassification from long-term loans
payable to short-term loan payable.
(Fixed Liabilities)
Fixed liabilities increased ¥6,792 million compared with the end of the previous consolidated fiscal year, to¥85,485 million, mainly due to an increase in borrowings due to new purchases.
(Net Assets)
Total net assets increased ¥1,557 million compared with the end of the previous consolidated fiscal year, to¥52,696 million, mainly due to the recorded amount of net income attributable to owners of parent exceededamounts such as dividends of surplus.

(3) Qualitative Information Pertaining to Forecasted Consolidated Operating Results
Please refer to the "Notice Concerning Revision of Earnings Forecast and Revision of Dividend Forecast(Dividend Increase)" released on January 29, 2021 for the consolidated earnings forecast.

-3-Takara Leben CO., LTD. (8897) Consolidated Financial Report the Nine Months Ended December 31, 2020

2. Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets(Millions of yen)
As of March 31, 2020

As of December 31, 2020

ASSETS
Current assets:
Cash and deposits

35,31132,185

Notes and accounts payable - trade

1,952

1,761

Real estate for sale

23,861

22,280－1,461

46,10257,491

Power generation facilities for sale
Real estate for sale in progress
Costs incurred on uncompleted contracts

397

380

7,689

11,276(2)(1)

115,314

126,837

Buildings and structures, net

13,266

14,011

Land

33,90337,560

Other, net

20,050

16,633

Total Property, plant and equipment

67,22068,205

1,145
645

973
608

1,790

1,582

10,869

11,105

Other
Allowance for doubtful accounts
Total current assets
Fixed assets:
Property, plant and equipment

Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Other
Allowance for doubtful accounts

(6)

(9)

Total investments and other assets

10,863

11,09579,87480,882

259

101

195,448

207,821

Notes and accounts payable - trade

11,858

5,716

Short-term loans payable

17,14820,767

Current portion of bonds

296

296

Current portion of long-term loans payable

22,11924,129

Income taxes payable

Total fixed assets
Deferred assets
Total assets
LIABILITIESCurrent liabilities:

2,972

976

Reserve

980

755

Other

10,24016,998

Total current liabilities

65,616

69,63969,656

77,781

Fixed liabilities
Long-term loan payable-4-Takara Leben CO., LTD. (8897) Consolidated Financial Report the Nine Months Ended December 31, 2020

(Millions of yen)
As of March 31, 2020
Bonds payable

As of December 31, 2020

4,804

5,458

Reserve

97

106

Net defined benefit liability

653

741

Other

3,481

1,397

Total fixed liabilities

78,692

85,485

144,309155,124

Total liabilities-5-Takara Leben CO., LTD. (8897) Consolidated Financial Report the Nine Months Ended December 31, 2020

(Millions of yen)
As of March 31, 2020

As of December 31, 2020

NET ASSETS
Shareholders’ equity
Capital stock

4,819

4,819

Capital surplus

4,817

4,800

Retained earnings

45,817

47,110Treasury stock(4,695)(4,604)

Total shareholders’ equity

50,75952,126

Valuation difference on available-for-sale securities

(97)

173

Foreign currency translation adjustment

Accumulated other comprehensive income
(0)

(0)

Remeasurements of defined benefit plans

(27)

(23)

Total accumulated other comprehensive income

(124)

149

241
263

199
221

51,13952,696

195,448

207,821

Share acquisition rights
Non-controlling interest
Total net assets
Total liabilities and net assets-6-Takara Leben CO., LTD. (8897) Consolidated Financial Report the Nine Months Ended December 31, 2020

(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income
Quarterly Consolidated Statements of Income
Third -Quarter Year-to-Date Period(Millions of yen)
Nine Months Ended
December 31, 2019

Nine Months Ended
December 31, 2020

Net sales

96,84388,271

Cost of sales

77,747

69,632Gross profit

19,096

18,639Selling, general and administrative expenses

12,91913,301

Operating income

6,176

5,337

Interest income

00Dividend income

286233

Commissions received5457Profit from equity method investment

54

37

Miscellaneous income

48

215

Total Non-Operating income

444

543

Interest expense

873

879

Miscellaneous losses

80

178

Total Non-Operating expenses

953

1,058

5,667

4,823

Gain on sales of investment securities

72―

Penalty income214―

Non-Operating income:Non-Operating expenses:

Ordinary income
Extraordinary income

Total Extraordinary income

286―

Net income before income taxes

5,954

4,823

Income taxes, inhabitant taxes and business taxes

1,832

1,590

197

113

Total income and other taxes

2,030

1,704

Net income

3,923

3,118

68(18)

3,855

3,137

Income tax adjustments

Net income attributable to non-controlling interests (loss)
Net income attributable to owners of parent-7-Takara Leben CO., LTD. (8897) Consolidated Financial Report the Nine Months Ended December 31, 2020

Quarterly Consolidated Statements of Comprehensive Income
Third -Quarter Year-to-Date Period(Millions of yen)
Nine Months Ended
December 31, 2019
Net income

Nine Months Ended
December 31, 2020

3,923

3,118

Net unrealized gains on available-for-sale securities

554

270

Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax

―2(0)
3

Total other comprehensive income

557

274

4,480

3,393

4,412

3,411

68

(18)

Other comprehensive income:Comprehensive income(Comprising)Comprehensive income attributable to parent
Comprehensive income attributable to non-controllinginterests-8-

Takara Leben CO., LTD. (8897) Consolidated Financial Report the Nine Months Ended December 31, 2020

(3) Notes on Quarterly Consolidated Financial Statements(Notes on Assumption of Going Concern)
The Company had no pertinent matters to report.
(Notes on a Significant Change in Shareholders’ Equity)
The Company had no pertinent matters to report.

-9-