May 7 2013
Earnings Highlights for FY 2013
Mitsubishi Estate Co., Ltd.
●Earnings for FY2013
Million yen（figures under a million are rounded down）
FY2013
Building BusinessResidential Business
Commercial Property
Development & Investment
International Business
Revenue from Operations
Building BusinessResidential Business
Commercial Property
Development & Investment
International Business
Operating Income
Income Before Taxes &Special Items
Net Income
EBITDAFY2012

ChangeChange(%)

FY2013 Estimates（Announced 13/2/7）

442,748
315,351

510,850
342,823(68,102)(27,472)(13.3)(8.0)％％

479,000
315,000

50,27855,809(5,530)(9.9)％

37,00060,892
927,157
107,667
2,317

42,1081,013,069
146,007
4,792

18,783(85,911)(38,339)(2,475)44.6(8.5)(26.3)(51.6)％％％％

46,000934,000
127,000
8,000

11,180

1,609

9,570

594.8

％

2,000

8,371
118,349

8,020
146,299350(27,949)

4.4(19.1)％％

8,000
134,000

92,381

120,665(28,283)(23.4)％

105,000

45,507200,587

56,512
222,885(11,004)(22,298)(19.5)(10.0)％％

50,000215,500

Summary【 Overview】
There is a reduction in income and profits compared with FY2012. Despite market conditions generally
changing for the better, a time lag of one to two years should be expected before this reflects in the results.
Factors affecting the individual segments compared with FY2012 are detailed below.
【 Building Business】
Major factors for the decrease of income and profits include the effects of selling off large-scale
properties in the previous term and rent reductions as part of leasing renegotiations. Additionally, onebuilding expected to be sold off by FY2013 is being deferred until the next term.
(Vacancy rates)Due to a steady demand above the expectations of FY2013, there is a substantial improvement in thefigures.
Japan (all purpose)

3.98％（13/2/7 Estimate 4.5％ , 2012/3 3.58％）

Marunouchi (offices)

3.66％（2012/3 2.42％）（ Average rents）
Results slightly below estimates we due to the leasing strategy aimed at obtaining higher rents which
can result in a lag.
Japan (all purpose)¥23,850/tsubo.month（ 13/2/7 Estimate ¥24,000/tsubo.month）【 Residential Business】
The decline in operating income compared with the 13/2/7 estimates were appropriated through inventory
impairment losses of particular suburban and rural properties. The current status of condominium sales,including high-end luxury condominiums, is positive.

【 Commercial Property Development & Investment】
The major factors for the decrease in income and increase in profits are a decline in income comparedwith the previous term’s property sales and an increase of capital gain this current term. There is avigorous investment demand for income–producing real estate and the trading market is promising.
【 International Business】
Operating income is stable.
●Earnings Estimates for FY2014
Million yen（figures under a million are rounded down）
FY2014
Estimates
Building BusinessResidential Business
Commercial Property
Development & Investment
International Business
Revenue from Operations
Building BusinessResidential Business
Commercial Property
Development & Investment
International Business
Operating Income
Income Before Taxes & Special
Items
Net Income
EBITDAFY2013Results

ChangeChange(%)

509,000
390,000

442,748
315,351

66,252
74,649

15.0
23.7

％
％

35,00050,278(15,278)(30.4)％

77,0001,070,000
117,000
27,00060,892
927,157
107,667
2,317

16,108142,843
9,333
24,68326.5
15.4
8.71065.3％％％％

5,000

11,180(6,180)(55.3)％

20,000160,000

8,371
118,349

11,62941,651

138.9
35.2％
％

122,000

92,381

29,61932.1％

58,000242,000

45,507200,587

12,493
41,413

27.5
20.6％
％

Summary【 Overview】
Despite the FY2014 midterm management plan’s target being just under ¥185bn, substantial increases inincome and profits are expected.
Factors affecting the individual segments compared with FY2013 are detailed below.
【 Building Business】
Expectations of an increase in income and profits are due to profits from the sale of properties and theincrease of rental income and profits from operating new properties. The leasing of new buildings isprogressing well, with increasing cases of relocation to Marunouchi and expansion.
(Vacancy rates)
Vacancy rates for FY2014 (Japan, all purpose) are 6.0%. The prediction of a 2.02% increase
compared with FY2012 is due to vacant units in new buildings; however excluding those buildings alevel of stability is expected.The number of inquiries is steadily increasing regarding the operationsof new buildings.
（ Average rents）
Average rents (Japan, all purpose) are expected to level off at ¥24,000/tsubo.month.
【 Residential Business】
An increase in income and profits is expected due to a rise in the number of condominiums to be sold. Of
the anticipated ¥288bn yearly sales appropriation, 50% of contracts have already been confirmed

indicating that all is going according to the mid-term management plans.
【 Commercial Property Development & Investment】
One factor for the expected decline in income and profits is due to effects of a reduction of property
sales.Operations are running in line with the expectations of the mid-term management plans.
【 International Business】
Factors contributing to the increase in income and profit include the increase of revenue and profits
through property sales and the effects of the yen’s depreciation.
Disclaimer
This data contains predictions and aims which relate to our future economic performance and projectionsof revenue and other financial items. These predictions are inherently subject to risks and uncertainties,
due to unforeseeable events or external factors. Future events and actual results, financial and otherw ise,
may differ materially.

The Summary of Consolidated Financial Statements and Fact Book can be found on the homepage.
◇ Summary of Consolidated Financial Statements(http://www.mec.co.jp/e/investor/irlibrary/tanshin/index.html )◇ FACT BOOK

(http://www.mec.co.jp/e/investor/irlibrary/fact/index.html )