Sansei Landic : Summary of Business Results for the First Quarter Ended March 31, 2021

Summary of Business Results for the First Quarter Ended March 31, 2021

[Japan GAAP] (Consolidated)

				May 14, 2021
C o m p a n y	Sansei Landic Co.,Ltd	Listed on the TSE
S t o c k	C o d e	3277	URL:https://www.sansei-l.co.jp
Representative	Takashi Matsuzaki, President and Representative Director
C o n t	a c t	Takeshi Nagata, Director, Chief Director of Administration Dept.	T E L: [phone]

	Expected date of filing of quarterly report: May 14, 2021	Expected starting date of dividend payment: -
	Preparation of quarterly supplementary financial document: Yes
	Quarterly results briefing: None
																	（Rounded down to million yen）
	１. Consolidated business results for the three months ended March 2021
	(January 1, 2021 through March 31, 2021)
	(1) Consolidated results of operations								(% change from the previous corresponding period)
						Net sales			Operating income		Ordinary income	Net income attributable to
									owners of parent
				Million yen	%		Million yen	%	Million yen	%	Million yen	%
	Three months ended Mar. 2021				5,365	11.6			528		252.3		502	386.6			323	380.3
	Three months ended Mar. 2020				4,807	149.7			150		-		103	-			67	-
	(Note) Comprehensive income
	Three months ended March 2021: 323 million yen (380.3%)
	Three months ended March 2020: 67 million yen (- %)
						Net income		Diluted net income per
						per share			share
							Yen					Yen
	Three months ended Mar. 2021					38.47					38.36
	Three months ended Mar. 2020					7.96					7.93
	(2) Consolidated financial position
					Total assets			Net assets			Shareholders' equity
											ratio
						Million yen			Million yen					%
	As of Mar. 2021					18,505					10,069					54.4
	As of Dec. 2020					20,070					10,066					50.1
	(Reference) Shareholders' equity
	As of March 2021: 10,065 million yen
	As of December 2020: 10,062 million yen
	2. Dividends
													Annual dividend
						End of 1Q		End of 2Q	End of 3Q			Year-end					Total
							Yen			Yen			Yen				Yen				Yen
	Year ended Dec. 2020				-					0.00		-				25.00					25.00
	Year ending Dec. 2021				-
	Year ending Dec. 2021 (forecast)							0.00		-				25.00					25.00
	(Note) Revisions to dividend forecast for the current quarter: None
	3．Forecast of consolidated business results for the fiscal year ending December 2021
	(January 1, 2021 through December 31, 2021)			(% change from the previous corresponding period)
				Net sales	Operating income		Ordinary income		Net income attributable		Net income
						to owners of parent			per share
		Million yen	%	Million yen	%		Million yen	%			Million yen	%			Yen
	For the six months		8,375	0.2				286	-27.6		214	-26.5			137	-24.6			16.29
	ending Jun. 2021
	Year ending Dec. 2021		18,385	3.4				919	8.5		762	7.5			505	41.3			59.88

(Note) Revisions to business forecast for the current quarter: None

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* Notes

1. Changes in significant subsidiaries during the period (changes in specified subsidiaries accompanying changes in the scope of consolidation): None
2. Application of accounting procedures specific to preparation of the consolidated quarterly financial statements:

Yes

1. Changes in accounting policies, accounting estimates and restatement
   ① Changes in accounting policies associated with revision of accounting standards: ②Changes in accounting policies other than ①
   ③Changes in accounting estimates
   ④Restatement
2. Shares outstanding (common stock)

① Number of shares outstanding at the end of period (treasury stock included)

As of March 2021	8,468,300 shares
As of December 2020	8,468,300 shares
②Treasury stock at the end of period
As of March 2021	163,642 shares
As of December 2020	29,942 shares

③Average number of stock during period (quarterly cumulative period)

Three months ended March 2021	8,403,364 shares
Three months ended March 2020	8,460,056 shares

• None
• None
• None
• None

*Quarterly financial summary is not subject to auditing procedures by certified public accountants or auditing firms.

*Explanation regarding appropriate use of business forecasts and other special instructions

Forecasts regarding future performance in this material are based on information currently available to the Company and certain assumptions that the Company deems to be reasonable at the time this report was prepared. Actual results may differ significantly from the forecasts due to various factors.

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1. Qualitative Information on Quarterly Financial Results

(1) Results of Operations

In the first quarter of the current fiscal year, net sales were 5,365 million (up by 11.6% YoY), operating income was 528 million yen (up by 252.3% YoY), ordinary income was 502 million yen (up by 386.6% YoY), and a net income attributable to owners of parent was 323 million yen (up by 380.3% YoY).

Results by business segment are as follows.

• Real Estate Sales Business

In the Real Estate Sales Business, the segment recorded net sales of 5,171 million yen (up by 19.2% YoY) and segment income of 842 million yen (up by 85.5% YoY).

Sales and purchase results for the first quarter of the current fiscal year are as follows.

ⅰ Sales Results

Classification	Number of	YoY (%)	Sales (million yen)	YoY (%)
contracts
Leasehold land	88	＋60.0	3,464	＋381.4
Old unutilized properties	17	-22.7	1,419	-34.9
Freehold	2	±0.0	191	-85.3
Other Real Estate Sales	-	-	96	-28.3
Business
Total	107	＋35.4	5,171	＋19.2

(Note) 1. The amounts shown above do not include consumption taxes.

1. Inter-segmenttransactions have been eliminated.
2. "Number of contracts" indicates the number of transactions.
3. "Classification" of Leasehold land, Old unutilized properties, and Freehold is stated according to the classification at the time of purchase. When leasehold land has changed to freehold with rights adjustment after purchase, this case is included in "Leasehold land" based on the classification at the time of purchase. As for the classification of mixed properties with leasehold land, old unutilized properties, and freehold, properties including leasehold land are classified as "Leasehold land", and properties containing a mix of old unutilized properties and freehold are classified as "Old unutilized properties."
4. "Other Real Estate Sales Business" consists of rent income, income from brokerage fees, and commission income from outsourcing.

Although sales of old unutilized properties and freehold decreased, total sales increased from the previous year due to a large increase in sales of leasehold land.

ⅱ Purchase Results

Classification	Number of	YoY (%)	Purchase amount	YoY (%)
lots	(Million yen)
Leasehold land	101	+5.2	1,139	-37.5
Old unutilized properties	22	+69.2	1,404	+0.2
Freehold	1	-83.3	36	-97.4
Total	124	+7.8	2,581	-44.1

(Note) 1. The amounts shown above do not include consumption taxes.

1. "Number of lots" indicates the number of sales lots expected at the time of purchase of the property, such as the number of leaseholders in the case of leasehold land.
2. As for the classification of mixed properties with leasehold land, old unutilized properties, and freehold, properties including leasehold land are classified as "Leasehold land", and properties containing a mix of old unutilized properties and freehold are classified as "Old unutilized properties."

The purchase amount decreased due to the decrease in purchase of leasehold land and freehold, despite the increase in purchase of old unutilized properties.

3

• Construction Business

In the Construction Business, the segment recorded net sales of 194 million yen (down 58.4% YoY) and segment loss of 38 million yen (segment loss of 3 million yen in the same period of the previous fiscal year).

Sales and orders in the first quarter of the current fiscal year are as follows.

ⅰ Sales Results

Number of contracts	YoY (%)	Sales (million yen)	YoY (%)
40	-28.6	194	-58.4

(Note) 1. The amounts shown above do not include consumption taxes.

1. Inter-segmenttransactions have been eliminated.
2. "Number of contracts" indicates the number of contracts received.
3. "Number of contracts" and "Sales" include the number and amount of renovation works and reconstruction works.

As for sales, net sales decreased year on year due to a decrease in construction work carried over from the beginning of the fiscal year.

ⅱ Order Results

Orders received	YoY (%)	Order backlog	YoY (%)
(million yen)	(million yen)
383	＋33.1	645	-23.6

(Note) 1. The amounts shown above do not include consumption taxes.

1. Inter-segmenttransactions have been eliminated.
2. The above amounts are based on selling prices.

As for orders, although orders received increased year-on-year, order backlog decreased due to a decrease in construction work carried over from the beginning of the fiscal year.

1. Financial Position (Current assets)
   Current assets at the end of the first quarter of the current fiscal year decreased by 1,486 million yen from the end of the previous fiscal year to 17,554 million yen. This was mainly due to a decrease of 464 million yen in cash and deposits, a decrease of 1,263 million yen in property for sale, and an increase of 207 million yen in other current assets.
   (Fixed assets)
   Fixed assets decreased by 79 million yen from the end of the previous fiscal year to 951 million yen at the end of the first quarter of the current fiscal year. This was mainly due to a decrease of 15 million yen in property, plant and equipment and a decrease of 60 million yen in investments and other assets.
   (Current liabilities)
   Current liabilities decreased by 255 million yen from the end of the previous fiscal year to 5,516 million yen at the end of the first quarter of the current fiscal year. This was mainly due to an increase of 58 million yen in provision for bonuses and a decrease of 304 million yen in other current liabilities.
   (Fixed liabilities)
   Fixed liabilities decreased by 1,313 million yen from the end of the previous fiscal year to 2,918 million yen at the end of the first quarter of the current fiscal year. This was mainly due to a decrease of 1,308 million yen in long-term loans payable.
   (Net assets)
   Net assets increased by 3 million yen from the end of the previous fiscal year to 10,069 million yen at the end of the first quarter of the current fiscal year. This was due to an increase of 112 million yen in retained earnings and an increase of 108 million yen in treasury stock.
2. Consolidated Business Forecasts and Other Forward-Looking Information

There are no changes to the business forecasts announced on February 14, 2021.

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