Disclaimer: This is a Japanese-English translation of the summary of financial statements of the Company produced for your convenience. Since
no auditor audited this report, officially only the Japanese version is assumed to be the summary of financial statements of the Company. Thissummary does not constitute any guarantee and will not compensate any losses and/or damage stemming from actions taken based on thesestatements. In the case that there is any discrepancy between the Japanese and English versions, the Japanese version is assumed to be correct.

Consolidated Financial Reportfor the First Quarter of Fiscal 2024 Ending March 31, 2024 (Japanese GAAP)
August 10, 2023
Company Name:Grandy House Corporation
Stock Exchange Listing: Tokyo Stock Exchange
Securities Code:
8999
URL:
https://www.grandy.co.jp
Representative:
Yasuro Hayashi, President
Inquiries:
Ryuji Umeki, Executive Officer & Administration Manager
TEL: +81-28-650-7777
Scheduled date of quarterly securities report filing:
August 10, 2023
Scheduled date of dividend payment commencement:—
Preparation of quarterly supplementary explanatory materials: None
Quarterly results briefing held:
None(Figures are rounded down to the nearest million yen unless otherwise stated.)

1. Consolidated Financial Results for the First Quarter of the Fiscal Year Ending March 31, 2024
(April 1, 2023 to June 30, 2023)(1) Consolidated Operating Results(Percentage figures show the year-on-year increase (decrease).)Net Sales

Operating Income(¥ million)%(¥ million)%(¥ million)
Three months ended
11,801(15.3)
264(74.8)
203
June 30, 2023
Three months ended
13,925
6.0
1,049
8.6
1,005
June 30, 2022
Note: Comprehensive income
Three months ended June 30, 2023: ¥117 million (−84.0%)
Three months ended June 30, 2022: ¥733 million (18.4%)(¥)

Net Income per Share(Diluted)
(¥)

3.68

3.66

25.17

25.00

Net Income per ShareThree months ended
June 30, 2023
Three months ended
June 30, 2022

Net Income Attributableto Owners of the Parent(¥ million)%

Ordinary Income%(79.7)

108(85.1)

9.5

728

15.0

(2) Consolidated Financial Position

June 30, 2023
March 31, 2023
Reference: Shareholders' equity

Total Assets
Net Assets(¥ million)(¥ million)
75,87325,37572,64526,196
June 30, 2023:¥25,341 million
March 31, 2023: ¥26,158 million

Shareholders' Equity Ratio
%
33.4
36.0

Net Assets per Share(¥)
859.24889.12

2. Dividends
Annual Dividend per Share
1Q-EndFiscal 2023
Fiscal 2024

2Q-End(¥)——

3Q-End(¥)
0.00

Period-End(¥)—

Fiscal 2024 (Forecast)
0.00—
Note: Revisions to the most recently announced forecast of cash dividends in the current quarter: None

Total

(¥)
32.00

(¥)
32.00

32.00

32.00

3. Consolidated Financial Forecasts for Fiscal 2024 (April 1, 2023 to March 31, 2024)(Percentage figures show the year-on-year increase (decrease).)Net Income
Net Sales
Operating Income
Ordinary Income
Attributable to
Net Income per ShareOwners of the Parent(¥ million)% (¥ million)% (¥ million)% (¥ million)%(¥)
Full Fiscal Year
60,000
8.7
3,500
5.1
3,200
3.1
2,200
1.4
74.78
Note: Revisions to the most recently announced financial forecasts in the current quarter: None

* Notes(1) Significant changes to subsidiaries during the period(Changes in significant subsidiaries resulting in changes in the scope of consolidation): None
Newly included: —Excluded: —(2) Adoption of specific methods for preparation of the quarterly consolidated financial statements: None
(3) Changes in accounting policies, accounting estimates, and restatements
1) Changes in accounting policies due to revision to accounting standards, etc.: None
2) Changes in accounting policies other than 1):
None3) Changes in accounting estimates:
None4) Restatements:
None(4) Number of issued shares (common stock)1) Number of issued shares(including treasury shares)
2) Number of treasury shares

June 30, 2023

30,823,200 shares March 31, 2023

30,823,200 shares

June 30, 2023

1,330,145 shares March 31, 2023

1,402,345 shares

Three months ended
Three months ended
29,456,080 shares
28,935,480 shares
3) Average number of shares during the period
June 30, 2023
June 30, 2022
Note: The number of treasury shares at the end of the fiscal year includes shares in the Company held by "Grandy House Employee Stock
Holding Partnership Exclusive Trust Account" (919,900 shares on June 30, 2023, 959,300 shares on March 31, 2023). The shares of theCompany held by "Grandy House Employee Stock Holding Partnership Exclusive Trust Account" are included in treasury shares anddeducted from the calculation of the average number of shares during the period (940,475 shares for the three months ended June 30,
2023, 1,175,375 shares for the three months ended June 30, 2022).

*

This consolidated quarterly financial report is not subject to quarterly review by a certified public accountant or an
audit firm.

*

Explanation concerning the appropriate use of financial forecasts and other special instructions
Results forecasts and other forward-looking statements contained in this report are based on assumptions, beliefs, anduncertainties in light of information available to the Company's management as of the publication date. Actual results may
differ materially from forecasts due to a variety of factors. Therefore, the Company does not guarantee the accuracy of
forecasts and other forward-looking statements and its ability to achieve stated targets.

Attachment Materials: Table of Contents
1. QUALITATIVE INFORMATION ON FINANCIAL STATEMENTS.................................................................. 2(1) Explanation regarding Operating Results ........................................................................................................... 2(2) Explanation regarding Financial Position .......................................................................................................... 3(3) Explanation regarding Future Prospects including Consolidated Financial Forecasts ....................................... 3
2. QUARTERLY CONSOLIDATED FINANCIAL STATEMENTS AND NOTES ................................................. 4(1) Quarterly Consolidated Balance Sheets ............................................................................................................. 4(2) Quarterly Consolidated Statements of Income and Comprehensive Income ..................................................... 6(Quarterly Consolidated Statements of Income)(Consolidated cumulative first quarter) .......................................................................................................6(Quarterly Consolidated Statements of Comprehensive Income)(Consolidated cumulative first quarter) .......................................................................................................7(3) Notes to Quarterly Consolidated Financial Statements ...................................................................................... 8(Notes on Going Concern Assumptions)............................................................................................................8(Notes on Significant Changes in the Amount of Shareholders' Equity) ...........................................................8(Additional Information) ....................................................................................................................................8(Segment Information) .......................................................................................................................................9― 1 ―1. QUALITATIVE INFORMATION ON FINANCIAL STATEMENTS(1) Explanation regarding Operating Results
In the cumulative first three months of the consolidated fiscal year under review, the Japanese economy saw amoderate recovery underway, such as progress in the normalization of economic activities, due to new
developments in the wake of the downgrading of COVID-19 to a "Class 5" disease. On the other hand, thesituation continued in which it was required to closely watch rising prices and fluctuations in the financial andcapital markets inside and outside Japan.
In the housing sector, the number of new housing construction starts remained below those of the same monthof the previous year as consumer appetite was affected by a prolonged rise in housing prices, and the number of
construction starts for detached houses for sale, one of our core operations, in the survey for Statistics on
Building Construction Started (publicized by the Ministry of Land, Infrastructure, Transport and Tourism)
continued to be below the level of the same month of the previous year since November 2022.
Under those circumstances, the Grandy House Group has upheld the basic policies of "Strengthen ourbusiness foundations and expand business areas for sustainable growth in the new home sales business," "Expand
the scale of the housing stock business and maximize synergies with the new home sales business" and"Strengthen our response to sustainability (ESG) issues" in the third medium-term business plan (from the fiscal
year ended March 31, 2022 to the fiscal year ending March 31, 2024). Accordingly, the Group has made efforts tofurther improve its corporate value.
In new home sales, our core business, not only did we engage in business expansion through measures
including strengthening our sales capabilities in the Tokyo metropolitan area, but we also made efforts toreinforce product appeal mainly by increasing the supply ratio of ZEH houses. In terms of operating results, thenumber of homes sold decreased from the same period of the previous fiscal year, which had benefited from
special demand related to the pandemic, primarily because supplies were delayed in some areas and a decrease inorder backlogs in the previous fiscal year affected the operating results of the current fiscal year.
As a result, the Grandy House Group's consolidated cumulative operating results for the first quarter of fiscal
2024 under review were as follows: net sales were ¥11,801 million, a decrease of 15.3% year-on-year; operating
income was ¥264 million, a decrease of 74.8% year-on-year; ordinary income was ¥203 million, a decrease of
79.7% year-on-year; and net income attributable to owners of the parent totaled ¥108 million, a decrease of
85.1% year-on-year.
Operating results by business segment are presented as follows.
a. Real Estate Sales
In new home sales, we strove to expand and reinforce business areas in the Tokyo metropolitan area (Tokyo,
Saitama, Chiba and Kanagawa) through initiatives including starting the sale of "Sora Town Kashiwanoha
Campus Liwie" (a total of 40 lots in the city of Kashiwa) in Chiba Prefecture and "~takumi~Kichijoji" (with a
total of five lots in Tateno-cho, Nerima ward) in Tokyo, all of which were certified as long-life quality housing.
Additionally, we made efforts to solidify our business foundations through measures such as expanding "SoraTown" as a series, in which all new homes employed the zero-net energy house system (ZEH), in response topositive feedback on "Sora Town Tsukuba Matsushiro" (with a total of 96 lots) in the city of Tsukuba, Ibaraki
Prefecture.
Through these efforts, orders received in the first quarter of the fiscal year under review started recoveringfrom the deterioration in the second half of the previous fiscal year. Nonetheless, the low level in the number ofhouses in order backlogs at the end of the previous fiscal year brought the number of homes sold in the
cumulative three months of the consolidated fiscal year under review to 299, a decrease of 68 year-on-year.
In existing home sales, their selling prices kept rising as those of new homes surged. In terms of purchasing,
the task of identifying prime properties entered a critical phase as the tough situation continued in which the priceof properties and costs for renovation went up. Under these circumstances, the number of homes sold in the
cumulative three months of the consolidated fiscal year fell to 27, a decrease of 8 year-on-year, due to a
weakening in the consumer appetite for homes in the wake of the price rise and the continued environment inwhich capturing orders was difficult in the face of intensifying competition.
As a result, sales in the real estate sales segment in the consolidated cumulative first quarter of fiscal 2024
under review decreased by 14.9% year-on-year to ¥10,918 million. We had a segment profit of ¥44 million, adecrease of 94.7% year-on-year.

― 2 ―b. Construction Material Sales
In construction material sales, demand for construction wood and pre-cut wood remained weak as the numberof new housing starts for wooden houses kept decreasing year-on-year for the 15 consecutive months up to June
2023. Prices of lumber as raw materials were on a downward trend from the high level that had lasted until thesecond quarter of the previous fiscal year, amid the demand for housing slowing down.
Under these circumstances, although we not only started cultivating new customers in the area of Saitama
Prefecture, which has a large market size, but also focused on strengthening relationships with existing excellent
customers, operating results posted lower sales and profits year-on-year due to competition for orders intensified
by poor demand, and selling price adjustments resulting from the decline in lumber prices.
As a result, sales of the construction material sales segment in the consolidated cumulative first quarter offiscal 2024 under review decreased by 24.2% year-on-year to ¥772 million, with a segment profit of ¥85 million,a decrease of 22.1% year-on-year.
c. Real Estate Leasing
Real estate leasing saw the earnings of businesses including office leasing expand as the vacancy ratio of
offices for leasing generally remained below 5 percent, keeping the operational ratio high, and in house leasing,
Sun Village Shonan (with a total of 173 units), which we had acquired in the city of Kashiwa, Chiba Prefecture,in the fourth quarter of the previous fiscal year, contributed to operating results. In the parking business, theparking lots for pay-by-the-hour and monthly rental totaled 585 lots at the end of the first quarter of the fiscal
year under review (an increase of 46 lots year-on-year) as a result of the new acquisition of 63 pay-by-the-hourparking lots (in front of the railway station of Koganei, Tochigi Prefecture) in June 2023. The operational ratio of
pay-by-the-hour parking lots improved in the wake of the revitalization of social and economic activities,
resulting us in securing earnings of a similar level to the same period of the previous fiscal year.
As a result, the operating results for the cumulative three months of the fiscal year under review posted higher
sales and profits year-on-year. Net sales were ¥110 million, an increase of 47.1% year-on-year with a segment
profit of ¥69 million, an increase of 46.8% year-on-year.
(2) Explanation regarding Financial Position
As of the end of the first quarter of consolidated fiscal 2024 under review, consolidated total assets rose to¥75,873 million, an increase of ¥3,227 million compared to the end of the previous consolidated fiscal year. Thiswas primarily due to an increase in inventories due to various factors, such as the acquisition of housing lots toreflect the expanded area of the real estate sales business and other developments.
Liabilities stood at ¥50,497 million, an increase of ¥4,048 million compared to the end of the previous
consolidated fiscal year. This was mainly due to an increase in interest-bearing debt resulting from theacquisition of housing lots and others.
Total net assets stood at ¥25,375 million, down ¥820 million compared to the end of the previous
consolidated fiscal year. This was due to the payment of dividends despite the acquisition of net income
attributable to owners of the parent.
(3) Explanation regarding Future Prospects including Consolidated Financial Forecasts
There have been no changes from the consolidated financial forecasts announced on May 12, 2023.

― 3 ―2. QUARTERLY CONSOLIDATED FINANCIAL STATEMENTS AND NOTES(1) Quarterly Consolidated Balance Sheets(Thousands of Yen)
Fiscal 2023
(As of March 31, 2023)

First Quarter of Fiscal 2024
(As of June 30, 2023)

AssetsCurrent assets
Cash and deposits

10,839,975

9,770,018

574,709510,584

11,352,157

12,314,296

17,584

17,555

Real estate for sale in process

33,998,068

36,880,046

Merchandise and finished goods

376,807366,204

Raw materials and supplies

176,128

138,530

Other

989,2031,420,802

(1)

(0)

58,324,634

61,418,039

Notes and accounts receivable – trade and contract assets
Real estate for sale
Costs on uncompleted construction contracts

Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net

3,818,539

3,767,759

Machinery, equipment and vehicles, net

18,98017,620Tools, furniture and fixtures, net

52,58048,5597,261,402

7,415,102

77,202

68,657

Land
Leased assets, net
Construction in progress

20,00020,000

11,248,706

11,337,699

Goodwill

891,319857,037

Other

65,24660,092

Total intangible assets

956,566

917,130

177,000

185,800

9,217

11,268

Total property, plant and equipment
Intangible assets

Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets

618,717643,955

Other

1,227,394

1,223,805

Total investments and other assets

2,032,329

2,064,829

14,237,601

14,319,658

Bond issuance costs

83,078135,381

Total deferred assets

83,078135,381

72,645,313

75,873,079

Total non-current assets
Deferred assets

Total assets― 4 ―(Thousands of Yen)
Fiscal 2023
(As of March 31, 2023)

First Quarter of Fiscal 2024
(As of June 30, 2023)

Liabilities
Current liabilities
Accounts payable for construction contracts

3,668,472

3,626,174

Short-term loans payable

15,262,600

16,964,900

500,000–

3,103,044

3,316,194

Lease obligations

34,12432,487

Income taxes payable

367,833

135,240

Provision for warranties for completed construction

189,175

179,003

Other

1,039,922

1,296,843

Total current liabilities

24,165,172

25,550,842

Bonds payable

4,600,000

6,600,000

Long-term loans payable

16,232,236

16,848,087

50,80543,188Current portion of bonds
Current portion of long-term loans payableNon-current liabilities

Lease obligations

257,787

247,625

1,014,424

1,051,315

128,876

156,268

22,284,129

24,946,485

46,449,301

50,497,327

Capital stock

2,077,500

2,077,500

Capital surplus

2,674,902

2,684,513

Retained earnings

21,983,746

21,119,980

Treasury shares(629,596)(601,221)

26,106,551

25,280,771

Valuation difference on available-for-sale securities

52,00060,800Total accumulated other comprehensive income

52,00060,80037,46034,18026,196,011

25,375,751

72,645,313

75,873,079

Provision for directors' retirement benefits
Net defined benefit liability
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity

Total shareholders' equity
Accumulated other comprehensive income

Subscription rights to shares
Total net assets
Total liabilities and net assets― 5 ―(2) Quarterly Consolidated Statements of Income and Comprehensive Income(Quarterly Consolidated Statements of Income)(Consolidated cumulative first quarter)(Thousands of Yen)
Three months ended
June 30, 2022
(From April 1, 2022 toJune 30, 2022)

Three months ended
June 30, 2023
(From April 1, 2023 toJune 30, 2023)

Net Sales

13,925,325

11,801,593

Cost of sales

11,294,854

9,910,447

Gross profit

2,630,471

1,891,145

Selling, general and administrative expenses

1,580,718

1,626,587

Operating income

1,049,752

264,558

Non-operating income
Interest income

23

11

Dividends income

2,861

2,861

Commission

7,697

7,544

–

10,172

Other

15,447

12,947

Total non-operating income

26,02933,537

Interest expenses

60,50985,233

Commission for syndicate loan

4,554

1,857

Other

4,997

7,050

Reversal of provision for warranties for completed
construction

Non-operating expenses

Total non-operating expenses

70,06094,141

1,005,721

203,954

Gain on sales of non-current assets

84,432–

Total extraordinary income

84,432

–

3,585

4,371

Ordinary income
Extraordinary income

Extraordinary loss
Loss on retirement of non-current assets
Total extraordinary loss

3,585

4,371

1,086,568

199,582

Income taxes – current

252,890

116,421

Income taxes – deferred

105,274(25,237)

Total income taxes

358,165

91,183

Net income

728,403108,398

Net income attributable to owners of the parent

728,403108,398

Net income before income taxes― 6 ―(Quarterly Consolidated Statements of Comprehensive Income)(Consolidated cumulative first quarter)(Thousands of Yen)

Net income

Three months ended
June 30, 2022
(From April 1, 2022 toJune 30, 2022)

Three months ended
June 30, 2023
(From April 1, 2023 toJune 30, 2023)

728,403108,398

5,500

8,800

Other comprehensive income
Valuation difference on available-for-sale securities
Total other comprehensive income
Comprehensive income

5,500

8,800

733,903

117,198

733,903

117,198––

Comprehensive income attributable to:Comprehensive income attributable to owners of the parent
Comprehensive income attributable to non-controlling interests― 7 ―(3) Notes to Quarterly Consolidated Financial Statements(Notes on Going Concern Assumptions)Not applicable.
(Notes on Significant Changes in the Amount of Shareholders' Equity)
Not applicable.
(Additional Information)(Transactions for Distributing the Company's Own Stock to Employees, etc. through Trusts)
The Company has adopted the "trust-type employee stock holding incentive plan (E-Ship®)" (hereinafterreferred to as "the Plan") for the purpose of providing its employees with incentives to enhance the corporate
value of the Company on a medium-to long-term basis in the fiscal year ended March 31, 2022.
(1) Overview of transactions
The Plan is an incentive plan for all employees who are members of "the Grandy House Employee Stock
Holding Partnership" (hereinafter referred to as "the Stock Partnership"). The Company has established the"Grandy House Employee Stock Holding Partnership Exclusive Trust" (hereinafter referred to as "the Trust) in atrust bank. The Trust will acquire in advance after its establishment the number of Grandy House shares to be
expected to be acquired by the Stock Partnership over a six-year period. At a later date, the Trust will sell its
holdings of Grandy House shares to the Stock Partnership on a continual basis. If an amount equivalent to thegains from sale of shares is accumulated at the end of the term of the Trust, the relevant amount equivalent to thegains from the sale of shares will be distributed as residue assets to those who satisfy the criteria of beneficiaries.
The Company warranties the repayment of loans payable for the Trust to acquire shares of the Company.
Therefore, if an amount equivalent to the loss from sale of shares accumulates due to a decline in the price ofshares of the Company, causing a debt equivalent to a loss from sale of the relevant shares remains in the Trust at
the end of the term of the Trust, the Company will assume the repayment of the relevant remaining borrowing.
(2) Grandy House's own company stock remaining in the TrustGrandy House's own company stock remaining in the Trust is recorded as treasury shares in net assets inaccordance with the book value (excluding the amount of incidental expenses) in the Trust. The book value andthe number of the relevant treasury shares are ¥553,516 thousand and 959,300 shares for the previous
consolidated fiscal year, and ¥530,782 thousand and 919,900 shares for the consolidated first quarter of fiscal
2024 under review.
(3) The book value of loans payable recorded by the application of the gross method
The previous consolidated fiscal year: ¥534,370 thousand
The consolidated first quarter of fiscal 2024 under review: ¥534,370 thousand― 8 ―(Segment Information)
I. The cumulative three months ended June 30, 2022 (April 1, 2022 to June 30, 2022)
1. Information concerning the amounts of net sales and profit or loss by reportable segment
Reportable Segment
Real Estate
Sales

Construction
Material Sales

Real Estate
Leasing

Total

Adjustments(Note 1)Net Sales
Sales to external
12,830,516
1,019,751
75,057
13,925,325—
customers
Inter-segment sales
13,3801,180,061
20,464
1,213,905(1,213,905)
or transfers
Total
12,843,896
2,199,812
95,522
15,139,231(1,213,905)
Segment profit
844,731
109,738
47,5701,002,040
3,680
Notes: 1 Adjustments of segment profit (¥3,680 thousand) are eliminations of inter-segment transactions.
2 Segment profit has been adjusted with ordinary income described in quarterly consolidated statements of income.

(Thousands of Yen)
AmountRecorded on
Quarterly
Consolidated
Statements ofIncome (Note 2)

13,925,325—
13,925,325
1,005,721

2. Information concerning the impairment loss of non-current assets and goodwill by reportable segment
Not applicable.
II. The cumulative three months ended June 30, 2023 (April 1, 2023 to June 30, 2023)
1. Information relating to the amounts of net sales and profit or loss by reportable segment
Reportable Segment
Real Estate
Sales

Construction
Material Sales

Real Estate
Leasing

Total

Adjustments(Note 1)Net Sales
Sales to external
10,918,208
772,963
110,420
11,801,593—
customers
Inter-segment sales
13,1701,040,918
20,952
1,075,041(1,075,041)
or transfers
Total
10,931,378
1,813,881
131,373
12,876,634(1,075,041)
Segment profit
44,70385,49569,848200,047
3,906
Notes: 1 Adjustments of segment profit (¥3,906 thousand) are eliminations of inter-segment transactions.
2 Segment profit has been adjusted with ordinary income described in quarterly consolidated statements of income.

(Thousands of Yen)
AmountRecorded on
Quarterly
Consolidated
Statements ofIncome (Note 2)
11,801,593—
11,801,593
203,954

2. Information concerning the impairment loss of non-current assets and goodwill by reportable segment
Not applicable.

― 9 ―