Consolidated Financial Statements for the Second Quarter of the Fiscal Year Ending March 31, 2022 (Japanese accounting standards)

Consolidated Financial Statements for the Second Quarter of

the Fiscal Year Ending March 31, 2022 (Japanese accounting standards)

October 28, 2021

These financial statements have been prepared for reference only in accordance with accounting principles and practices generally accepted in Japan.

Oriental Land Co., Ltd.

Code number: 4661, First Section of the Tokyo Stock Exchange

URL: http://www.olc.co.jp/en/

Representative: Kenji Yoshida, Representative Director and President

Contact: Kenji Horikawa, Officer and Director of Finance/Accounting Department

Planned Date for Submission of the Quarterly Report: November 12, 2021

Planned Date for Start of Dividend Payment: November 30, 2021

Supplementary materials for the quarterly financial statements: Yes

Briefing session on quarterly financial results:

Yes (for institutional investors)

Note: All amounts are rounded down to the nearest million yen.

1. Consolidated Results for the Second Quarter of the Fiscal Year Ending March 31, 2022 (April 1, 2021 to September 30, 2021)

(1) Consolidated Operating Results (Cumulative total)

		(Percentages represent change compared with the same period of the previous fiscal year.)
		Net sales	Year-on-year		Operating	Year-on-year	Ordinary	Year-on-year
			profit (loss)	profit (loss)
		(¥ million)	change (%)			change (%)	change (%)
				(¥ million)	(¥ million)
Six months ended September 30, 2021	97,568	65.0			(19,380)	-	(18,598)	-
Six months ended September 30, 2020	59,149	(76.2)			(24,178)	-	(24,745)	-
Note: Comprehensive income:
Six months ended September 30, 2021: ¥ (12,879) million (-%)
Six months ended September 30, 2020: ¥ (32,071) million (-%)
		Profit (Loss)
		attributable to	Year-on-year	Earnings per share	Earnings per share
		owners of parent		change (%)	(¥)			(diluted) (¥)
		(¥ million)
Six months ended September 30, 2021		(14,191)				-	(43.34)			-
Six months ended September 30, 2020		(30,095)				-	(91.92)			-

Notes

1. 1. Earnings per share (diluted) for six months ended September 30, 2021, is not indicated because net loss per share is indicated, although there are potential common shares with dilutive effects.
   2. The "Accounting Standards for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020), etc. has been applied since the beginning of the first quarter of the current consolidated fiscal year. Figures for the second quarter of the fiscal year ending March 2022 are stated after the application of the said accounting standard, etc.
2. Consolidated Financial Position

	Total assets	Net assets	Shareholders' equity	Net assets per share
	(¥ million)	(¥ million)	ratio(%)	(¥)
As of September 30, 2021	1,049,991	743,311	70.8	2,269.64
As of March 31, 2021	1,040,465	759,948	73.0	2,320.71

Reference: Shareholders' equity:

As of September 30, 2021: ¥743,311 million

As of March 31, 2021: ¥759,948 million

Note: The "Accounting Standards for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020), etc. has been applied since the beginning of the first quarter of the current consolidated fiscal year. Figures for the second quarter of the fiscal year ending March 2022 are stated after the application of the said accounting standard, etc.

2. Dividends

			Annual dividends (¥)
		First quarter-end	Second quarter-end		Third quarter-end		Year-end	Total
Fiscal Year ended March 31, 2021	-	13.00		-	13.00		26.00
Fiscal Year ending March 31,	2022	-	13.00
Fiscal Year ending March 31,	2022 (Est.)				-	13.00		26.00

Note: Revisions to the latest announcement regarding dividend projection: Yes

3. Projected Consolidated Results for the Fiscal Year Ending March 31, 2022 (April 1, 2021 to March 31, 2022)

(Percentages represent change compared with the previous fiscal year or the same quarter of the previous fiscal year, as applicable.)

				Operating profit			Profit (Loss)	Earnings
	Net sales		Ordinary profit (loss)	attributable to
		(loss)		per share
							owners of parent
	(¥ million)		(%)	(¥ million)		(%)	(¥ million)	(%)	(¥ million)	(%)	(¥)
Fiscal Year ending	239,020		40.1	(24,260)		-	(22,850)	-	(17,550)	-	(53.59)
March 31, 2022
Note: Revisions to the latest	announcement	regarding	result projection: Yes

*Notes

1. Changes in Major Subsidiaries during the Six Months Ended September 30, 2021: None
2. Application of Special Accounting Methods for Quarterly Consolidated Financial Statements: None
3. Changes in Accounting Policies, Changes in Accounting Estimates, or Restatement
4. 1. Changes in accounting policies due to changes in accounting standards: Yes
   2. Changes other than (a) above: Yes
   3. Changes in accounting estimates: Yes
   4. Restatement: None

Note: For details, please refer to Change in Accounting Policy and Changes in Accounting Policies That Are Difficult to Distinguish from Changes in Accounting Estimates in (3) Notes Regarding the Consolidated Financial Statements for the Second Quarter Under Review on page 5.

(4) Number of Shares Issued and Outstanding (Common stock)

(a) Number of shares issued at end of period	Six months ended	363,690,160	Year ended	363,690,160
(including treasury stock)	September 30, 2021:	shares	March 31, 2021:	shares
(b) Number of treasury stock at end of	Six months ended	36,188,041	Year ended	36,226,898
period	September 30, 2021:	shares	March 31, 2021:	shares
(c) Average number of shares outstanding	Six months ended	327,481,610	Six months ended	327,398,108
(quarterly cumulative period)	September 30, 2021:	shares	September 30, 2020:	shares

Note: Number of treasury stock includes dividends paid to the trust to the employee stock plan.

• The Company's quarterly consolidated financial statements are not subject to quarterly financial review by certified public accountants or an auditing firm.
• Explanation on the Appropriate Usage of Performance Projections and Other Specific Matters

The projections and other statements with respect to the future included in this material are based on currently available information and certain assumptions that are judged reasonable by the Company. Please be advised that the Company does not guarantee in any way the achievement of the projections and other goals in this material and that cases may occur where the actual results and other situations differ materially from the projections due to various factors.

Quarterly Consolidated Financial Statements and Key Notes

(1) Quarterly Consolidated Balance Sheets

		(Millions of yen)
	At the end of	At the end of
Items	the previous fiscal year	the second quarter
	(March 31, 2021)	(September 30, 2021)
ASSETS
Current assets
Cash and deposits	197,317	203,219
Notes and accounts receivable-trade	12,040	11,816
Securities	33,495	5,999
Merchandise and finished goods	12,511	9,195
Work in process	118	256
Raw materials and supplies	8,901	9,163
Other	9,757	7,589
Allowance for doubtful accounts	(8)	(7)
Total current assets	274,134	247,233
Non-current assets
Property, plant and equipment
Buildings and structures, net	315,411	330,100
Machinery, equipment and vehicles, net	47,849	47,810
Land	115,890	115,890
Construction in progress	165,344	180,547
Other, net	21,063	20,646
Total property, plant and equipment	665,557	694,994
Intangible assets
Other	17,111	17,852
Total intangible assets	17,111	17,852
Investments and other assets
Other	83,759	90,006
Allowance for doubtful accounts	(97)	(95)
Total investments and other assets	83,662	89,911
Total non-current assets	766,331	802,758
Total assets	1,040,465	1,049,991

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		(Millions of yen)
	At the end of	At the end of
Items	the previous fiscal year	the second quarter
	(March 31, 2021)	(September 30, 2021)
LIABILITIES
Current liabilities
Notes and accounts payable-trade	9,072	7,248
Current portion of bonds payable	30,000	30,000
Current portion of long-term borrowings	3,859	3,861
Income taxes payable	9,023	692
Other	69,414	55,602
Total current liabilities	121,370	97,405
Non-current liabilities
Bonds payable	150,000	200,000
Long-term borrowings	2,364	2,301
Retirement benefit liability	3,030	3,266
Other	3,752	3,706
Total non-current liabilities	159,147	209,275
Total liabilities	280,517	306,680
NET ASSETS
Shareholders' equity
Share capital	63,201	63,201
Capital surplus	112,001	112,033
Retained earnings	678,792	660,566
Treasury shares	(108,771)	(108,527)
Total shareholders' equity	745,223	727,273
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	12,449	13,880
Deferred gains or losses on hedges	137	122
Remeasurements of defined benefit plans	2,137	2,034
Total accumulated other comprehensive income	14,724	16,037
Total net assets	759,948	743,311
Total liabilities and net assets	1,040,465	1,049,991

2

1. Quarterly Consolidated Statements of (Comprehensive) Income (Quarterly Consolidated Statements of Income)
   Six months ended September 30, 2021

		(Millions of yen)
	Six months ended	Six months ended
Items	September 30, 2020	September 30, 2021
(April 1, 2020	(April 1, 2021
	to September 30, 2020)	to September 30, 2021)
Net sales	59,149	97,568
Cost of sales	*1 62,604	*1 90,350
Gross profit (loss)	(3,455)	7,217
Selling, general and administrative expenses	*1 20,723	*1 26,598
Operating loss	(24,178)	(19,380)
Non-operating income
Interest income	28	69
Dividend income	340	313
Insurance received and insurance dividends	310	266
Subsidy income	-	*2 1,000
Other	486	668
Total non-operating income	1,165	2,318
Non-operating expenses
Interest expenses	129	237
Share of losses of entities accounted for using equity method	282	244
Commission expenses	399	445
Depreciation	399	438
Other	520	170
Total non-operating expenses	1,731	1,536
Ordinary loss	(24,745)	(18,598)
Extraordinary losses
Loss on temporary closure	*1 13,333	-
Total extraordinary losses	13,333	-
Loss before income taxes	(38,078)	(18,598)
Income taxes-current	319	154
Income taxes-deferred	(8,301)	(4,560)
Total income taxes	(7,982)	(4,406)
Loss	(30,095)	(14,191)
Loss attributable to owners of parent	(30,095)	(14,191)

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