Hoosiers : First Quarter Fiscal Year Ending March 31, 2023 Consolidated Earnings Announcement（Japanese GAAP）

First Quarter Fiscal Year Ending March 31, 2023

Consolidated Earnings Announcement (Japanese GAAP)

		August 10, 2022
Company Name: Hoosiers Holdings Co., Ltd.	Listed market: Tokyo Stock Exchange Prime Market
Stock Code:	3284	URL: https://www.hoosiers.co.jp/
	President and Representative Director,
Representative: (Title) Executive Officer	(Name) Eiichi Ogawa
	Head of Business Planning Section,
Contact:	(Title) Executive Officer	(Name) Yoshiro Narukami Telephone: [phone]
Scheduled date to file quarterly report:	August 12, 2022
Scheduled date to commence dividend payment:	-
Preparation of supplemental information of quarterly financial results: Yes
Holding of quarterly financial results briefing:	No

(Figures are rounded down to the nearest million yen)

1. 1st Quarter FY3/23 Consolidated Earnings Results (April 1, 2022 to June 30, 2022)

(1) Consolidated Earnings (Cumulative)

(% indicates changes from the same period of the previous fiscal year)

Net Sales

Operating Income

Ordinary Income

Profit Attributable to

Owners of Parent

Million yen

%

Million yen

%

Million yen

%

Million yen

%

1st Quarter FY3/23

6,552

(31.6)

(568)

－

(855)

－

(677)

－

1st Quarter FY3/22

9,585

(7.4)

19

－

(115)

－

(194)

－

(Note) Comprehensive income:

1st Quarter FY3/23

¥47 million (36.9%) 1st Quarter FY3/22

¥35

million (-%)

Earnings Per Share

Diluted

Earnings Per Share

Yen

Yen

1st Quarter FY3/23

(19.14)

－

1st Quarter FY3/22

(5.49)

－

(2) Consolidated Financial Position

Total Assets

Net Assets

Equity Ratio

Million yen

Million yen

%

As of June 30, 2022

132,075

38,329

23.1

As of March 31, 2022

127,905

38,960

24.4

(Reference) Shareholders' equity:

As of June 30, 2022 ¥30,548 million

As of March 31, 2022

¥31,263

million

2. Dividends

Dividend per Share

End of

End of

End of

End of Year

Annual

1st Quarter

2nd Quarter

3rd Quarter

Yen

Yen

Yen

Yen

Yen

FY3/22

－

17.00

－

19.00

36.00

FY3/23

－

FY3/23 (Forecast)

24.00

－

24.00

48.00

(Note) Changes in the latest forecasts released: No

3. Consolidated Earnings Forecasts for the Fiscal Year Ending March 2023 (From April 1, 2022 to March 31, 2023)

(% indicates changes from the same period of the previous fiscal year)

	Net Sales		Operating Income	Ordinary Income	Profit Attributable to	Earnings per share
								Owners of Parent
	Million yen		％	Million yen	％	Million yen	％	Million yen	％	Yen
Full year	80,000		0.6	7,300	9.0	6,500	14.2	4,200	36.9	118.71

(Note) Changes in the latest forecasts released: No

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• Matters to be noted
• 1. Changes in important subsidiaries during the quarter under review: No
  2. Application of specific accounting treatments in preparing the quarterly consolidated financial statements: No
  3. Changes in accounting principles, changes in accounting estimates and retrospective restatements
  4. 1. Changes in accounting principles in accordance with revisions to accounting and other standards: Yes
     2. Changes in accounting principles other than above (a): No
     3. Changes in accounting estimates: No
     4. Retrospective restatements: No

Note: Please refer to "2. Consolidated Quarterly Financial Statements and Main Notes, (3) Matters to be Noted regarding Consolidated Quarterly Financial Statements (Changes in accounting principles)" on page 10.

(4) Outstanding shares (Common stock)

(a) Number of outstanding shares at the end of	June 30, 2022	36,916,775	shares	March 31, 2022	36,916,775	shares
period (Including treasury shares)
(b) Number of treasury shares at the end of	June 30, 2022	1,537,512	shares	March 31, 2022	1,537,512	shares
period
(c) Average number of shares during the period	1st Quarter FY3/23	35,379,263	shares	1st Quarter FY3/22	35,379,263	shares
(Quarterly cumulative period)

The number of treasury shares includes 410,550 shares of our company that are held by Board Benefit Trust as of the end of the first quarter under review.

*Earnings Announcement is out of scope of quarterly reviews by certified public accountants or an audit corporation.

*Explanatory statement regarding the proper use of financial forecasts and other notes

All forecasts provided in this document are based on certain reasonable assumptions and beliefs in light of information currently available and, therefore, it is not intended for guaranteeing to meet them. Actual results may differ from our forecasts due to various unforeseen reasons.

*The year-on-year percentage change is indicated as"-" if figures for the three months ended June 30, 2022 and/or 2021 were negative.

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○ Table of contents of the attached document

1. Qualitative Information on the Financial Statements for the Quarter under Review ………………………………………	4
(1) Explanation about business performance …………………………………………………………………….….……	4
(2) Qualitative information on consolidated financial position ………………………………………………………….….	5
(3) Qualitative information on consolidated earnings forecasts ……………………………………………………………...	5
2. Consolidated Quarterly Financial Statements and Main Notes ………………………………………………………………	6
(1) Consolidated Quarterly Balance Sheets …………………………………………………………………………………	6
(2) Consolidated Quarterly Income Statement and Comprehensive Income Statement ………………………………...…	8
(3) Matters to be Noted regarding Consolidated Quarterly Financial Statements …………………………………………	10
(Notes on the premise of a going concern) …………………………………………………………………………...…	10
(Notes on the significant change in the shareholders' equity amount) ……………………………………………...…..	10
(Changes in accounting principles) ……………………………………………………………………………………	10
(Segment information, etc.) ……………………………………………………………………………………………	10
3. Other Information ……………………………………………………………………………………………………….……	11
(1) Records of Sales …………………………………………………………………………………………………………	11
(2) Real Estate Sales Information ………………………………………………………………………………………….…	12

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1. Qualitative Information on the Financial Statements for the Quarter under Review

1. Explanation about business performance

During the first quarter under review, the number of contracted units was 320 and 1 building, and that of delivered units was 78 and 2 buildings. As of the end of the first quarter, we managed 19,636 units. Consequently, as the results for the first quarter, we posted net sales of ¥6,552 million (down 31.6% year over year), operating loss of ¥568 million (operating income of ¥19 million a year earlier), ordinary loss of ¥855 million (ordinary loss of ¥115 million a year earlier), and loss attributable to owners of parent of ¥677 million (loss attributable to owners of parent of ¥194 million a year earlier).

In our Real Estate Development, CCRC, and Real Estate Investment, sales are booked upon delivery to customers, not at the time purchase and sales contracts are executed. As a result, this tends to cause a deviation in quarterly sales depending on the timing of delivery.

Results by segment are as follows.

(I) Real Estate Development

During the first quarter under review, the Group recorded net sales of ¥944 million (down 82.0% year over year) and operating loss of ¥754 million (operating income of ¥22 million a year earlier) due to a delivery of 23 condominium units such as "Duo Hills Yamagata Nanukamachi Tower" ,etc.

(II) CCRC

During the first quarter under review, the Group recorded net sales of ¥2,536 million (up 74.4% year over year) and operating income of ¥254 million (operating loss of ¥33 million a year earlier) due to a delivery of 54 condominium units, including all units of "Duo Scene Kunitachi."

(III) Real Estate Investment

We recorded net sales of ¥1,437 million (up 3.8% year over year) and operating loss of ¥120 million (operating loss of ¥62 million a year earlier) during the first quarter under review.

1. Real Estate Sales
   Due to the sales of inventory assets, we recorded net sales of ¥655 million (up 2.5% year over year).
2. Rental Revenue
   We recorded net sales of ¥674 million (up 4.0% year over year) due to the stable operation of owned income-producing

properties.

(IV) Condominium Management and Related Services

We recorded net sales of ¥1,621 million (up 8.6% year over year) and operating income of ¥6 million (down 87.1% year over year) during the first quarter under review.

1. 1. Condominium Management
      We recorded net sales of ¥500 million (up 6.0% year over year) mainly due to management revenues based on the condominium management contract.
   2. Sports Club Operation Revenue
      We recorded net sales of ¥884 million (up 7.9% year over year) mainly due to the operation of sports clubs.
   3. Other Income
      We recorded net sales of ¥236 million (up 17.9% year over year) in hotel business and consigned construction, etc.
2. Other

We recorded net sales of ¥12 million (down 13.7% year over year) and operating income of ¥4 million (down 17.0% year over year) through PFI operations.

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The progress status of the annual delivery plan in the Real Estate Sales is shown below. In Condominium apartments , the main business of the Group, 75.6% of the contracts have been executed.

FY3/23	Number of units	Number of contracts	Progress
to be delivered	signed
Condominium apartments	1,034	782	75.6%
Condominium apartments for	310	158	51.0%
seniors
Detached houses	46	4	8.7%
Total	1,390	944	67.9%

(Notes) 1. "Condominium apartments" show the total number of family condominiums and compact condominiums.

1. 2. The number of units for joint venture properties is shown with consideration for the joint venture ratio. (by rounding down to the nearest integer)

2. Qualitative information on consolidated financial position

As of the end of the first quarter under review, total assets amounted to ¥132,075 million (up 3.3% from March 31, 2022) mainly due to increases of real estate for sale in process and borrowings, total liabilities amounted to ¥93,746 million (up 5.4% from March 31, 2022), and total net assets amounted to ¥38,329 million (down 1.6% from March 31, 2022).

(3) Qualitative information on consolidated earnings forecasts

The earnings forecasts for the fiscal year ending March 31, 2023 remain unchanged from those announced on May 12, 2022 as results and sales status for the first quarter under review have progressed as planned and the Group's operating environment is within the scope of the assumption.

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