Open House : Summary of Consolidated Financial Results for the Third Quarter Ended September 30, 2021

Note: Please note that this document is a Japanese-English translation of the summary of the official announcement in Japanese "Kessan Tanshin" for reference purposes only.

Summary of Consolidated Financial Results

for the Third Quarter Ended September 30, 2021〔Based on Japanese GAAP〕

August 13, 2021

Company name:	Open House Co., Ltd.
Stock exchange listings:	Tokyo Stock Exchange, First section
Code Number:	3288
URL:	https://openhouse-group.co.jp/ir
Representative:	Masaaki Arai, President and CEO
Scheduled date of quarterly securities report filing:	August 13, 2021
Supplementary materials for quarterly financial results:	Yes
Quarterly results briefing meeting :	No
	(Million yen, rounded down)

1. Consolidated Financial Results for the Third Quarter Ended September 30, 2021 (October 1, 2020 to June 30, 2021)

(1) Consolidated operating results (Cumulative)					(% figures indicate year-on-year change)
	Revenue			Operating income	Ordinary income	Profit attributable to
			owners of parent
Nine months ended	Million yen		%		Million yen		%	Million yen	%	Million yen	%
June 30, 2021	583,758		52.2		72,842		89.5	70,720	32.8	51,001	21.7
June 30, 2020	383,551		4.6		38,445		5.7	53,241	56.1	41,896	71.1
(Note) Comprehensive	income: Nine months ended June 30, 2021	¥	54,193 million [	29.6％]
	Nine months ended June 30, 2020	¥ 41,828 million [ 77.1％]
	EPS	Diluted EPS
Nine months ended	Yen			Yen
June 30, 2021	405.04			403.48
June 30, 2020	378.80			376.53

(2) Consolidated Financial Position
	Total assets		Net assets		Equity ratio
As of		Million yen		Million yen	%
June 30, 2021		828,425		326,832	33.2
September 30, 2020		569,038		233,695	41.0
(Reference) Shareholders'	equity:	As of June 30,	2021	¥	274,886	million
		As of September 30, 2020 ¥	233,477 million

2. Dividends

		Annual dividends per share
	1Q-end	2Q-end	3Q-end	Year-end	Total
	Yen	Yen	Yen	Yen	Yen
FY 2020	―	40.00	―	40.00	80.00
FY 2021	―	50.00	―
FY 2021 (Forecast)					60.00	110.00

(Note) Revision of the latest dividend forecast: No

3. Forecast of Consolidated Financial Results for FY2021 (October 1, 2020 to September 30, 2021)

(% figures indicate year-on-year change)

	Revenue		Operating income	Ordinary income	Profit attributable to		EPS
		owners of parent
	Million yen		%	Million yen	%	Million yen	%	Million yen	%		Yen
Full year	788,000		36.8	96,000		93,000		67,000			532.10
	54.5	20.2	12.6
(Note) Revision of the latest consolidated results forecast:	No
							Open House Co., Ltd. (3288)	1 |

*Notes:

(1) Significant changes in consolidated subsidiaries during the period

(Changes in specific subsidiaries resulting in a change in the scope of consolidation): Yes

New: 1 (Pressance Corporation Co.,Ltd.)

1. Adoptions of special accounting methods in presentation of quarterly financial statements: Yes
2. Changes in accounting policies, changes of accounting estimates, and revisions and restatements

ⅰ) Changes in accounting policies in accordance with changes in accounting principles: None

ⅱ) Changes in accounting policies other than the above:	None
ⅲ) Changes in accounting estimates:	None
ⅳ) Revisions and restatements:	None

(4) Number of shares issued and outstanding (common stock)

ⅰ) Number of shares issued at period-end (including treasury shares)

June 30, 2021:	126,099,000 shares	September 30, 2020:	125,819,100 shares
ⅱ) Treasury shares at period-end
June 30, 2021:	41 shares	September 30, 2020:	41 shares

ⅲ) Average number of shares issued during the period (quarterly consolidated cumulative basis)

June 30, 2021: 125,917,025 shares

June 30, 2020: 110,601,377 shares

• This quarterly financial results report is not subject to quarterly review procedure based on the Financial Instruments and Exchange Act.
• Notes regarding forward-looking statements:

Consolidated business forecasts are based on assumptions from information available to management at the time of disclosure and those deemed to be reasonable.

Actual results may differ significantly from forecast due to various unpredictable reasons.

Open House Co., Ltd. (3288)

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Consolidated Quarterly Financial Statements

1）Consolidated Quarterly Balance Sheets

													(Million yen)
											End of FY2020	End of FY2021 3Q
											(as of September 30, 2020)	(as of June 30, 2021)
		Assets
				Current assets
						Cash and deposits					219,227			304,754
						Operating accounts receivable	620			1,297
						Real estate for sale					64,372			87,828
						Real estate for sale in process	172,914			329,489
						Operating loans					37,463			38,573
						Other	12,787			19,790
						Allowance for doubtful accounts					(262)			(353)
						Total current assets				507,123			781,379
				Non-current assets
						Property, plant and equipment	5,010			18,497
						Intangible assets			3,080			3,094
						Investments and other assets		53,798			25,433
						Total non-current assets			61,890			47,025
				Deferred assets				24			20
				Total assets			569,038			828,425
		Liabilities
				Current liabilities
						Notes payable	4,831			1,372
						Operating accounts payable			17,525			19,914
						Electronically recorded monetary claims					―		3,620
						Short-term loans payable			103,930			96,463
						Current portion of bonds	242			242
						Current portion of long-term loans payable			8,912			67,302
						Income taxes payable	10,831			11,795
						Provision			3,771			3,227
						Other			26,669			37,972
						Total current liabilities				176,713			241,909
				Non-current liabilities
						Bonds payable			847			726
						Long-term loans payable	157,347			257,663
						Provision for share awards					―			231
						Retirement benefit liability					328			359
						Asset retirement obligations			105			122
						Other					―		580
						Total non-current liabilities			158,628			259,683
				Total liabilities			335,342			501,593
		Net assets
				Shareholders' equity
						Capital stock			19,741			19,931
						Capital surplus	28,877			29,067
						Retained earnings			186,047			225,668
						Treasury shares		(0)			(0)
						Total shareholders' equity			234,666			274,666
				Accumulated other comprehensive income
						Valuation difference on available-for-sale securities			7			11
						Foreign currency translation adjustment		(1,195)			208
						Total accumulated other comprehensive income			(1,188)			219
				Subscription rights to shares			217			541
				Non-controlling interests					―			51,404
				Total net assets			233,695			326,832
		Total liabilities and net assets			569,038			828,425
											Open House Co., Ltd. (3288)	3 |

2）Consolidated Quarterly Statements of Income and Consolidated Quarterly Statements of Comprehensive Income Consolidated Quarterly Statements of Income

							(Million yen)
					Nine months ended		Nine months ended
					June 30, 2020		June 30, 2021
					(From October 1, 2019		(From October 1, 2020
					to June 30, 2020)		to June 30, 2021)
	Revenue			383,551		583,758
	Cost of revenue	320,759	472,153
	Gross profit			62,791		111,605
	Selling, general and administrative expenses	24,345	38,763
	Operating income			38,445		72,842
	Non-operating income
		Interest income			63		12
		Dividends income	1	13
		House rent income			112		113
		Gain on sale of investment securities	109		―
		Share of profit of entities accounted for using equity			16,322		1,435
		method
		Other	194	690
		Total non-operating income			16,803		2,266
	Non-operating expenses
		Interest expenses		1,682		2,248
		Commission expenses	192	724
		Loss on valuation of investment securities			―		917
		Other		132	496
		Total non-operating expenses		2,007		4,387
	Ordinary income	53,241	70,720
	Extraordinary income
		Gain on bargain purchase			―	15,475
		Total extraordinary income			―		15,475
	Extraordinary losses
		Loss on step acquisitions			―		11,095
		Total extraordinary losses			―	11,095
	Profit before income taxes			53,241		75,100
	Income taxes	11,345	22,315
	Profit			41,896		52,785
	Loss attributable to non-controlling interests			―	1,783
	Profit attributable to owners of parent			41,896		51,001

Open House Co., Ltd. (3288)

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Consolidated Quarterly Statements of Comprehensive Income

						(Million yen)
				Nine months ended		Nine months ended
				June 30, 2020		June 30, 2021
				(From October 1, 2019		(From October 1, 2020
				to June 30, 2020)		to June 30, 2021)
	Profit	41,896		52,785
	Other comprehensive income
		Valuation difference on available-for-sale securities		(1)		3
		Foreign currency translation adjustment	(87)	1,400
		Share of other comprehensive income of entities		20		3
		accounted for using equity method
		Total other comprehensive income	(67)	1,407
	Comprehensive income	41,828		54,193
	Comprehensive income attributable to
		Comprehensive income attributable to owners of		41,828		52,412
		parent
		Comprehensive income attributable to		―	1,780
		non-controlling interests

Open House Co., Ltd. (3288)

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