Oriental Land : Consolidated Financial Statements for the Fiscal Year Ended March 31, 2021

Consolidated Financial Statements for the Fiscal Year

Ended March 31, 2021 (Japanese accounting standards)

April 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: Kyoichiro Uenishi, Representative Director and President

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

Planned Date for Annual General Meeting of Stockholders: June 29, 2021

Planned Date for Submission of Securities Report (Yuka shoken hokokusho): June 29, 2021

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

Supplementary materials for the financial statements: Yes

Briefing session on financial results:

Yes (for institutional investors)

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

1. Consolidated Results for the Fiscal Year Ended March 31, 2021 (April 1, 2020 - March 31, 2021)

(1)

Consolidated Operating Results

(Percentages represent change compared with the previous fiscal year.)

Net sales

Year-on-year

Operating

Year-on-year

Ordinary

Year-on-year

profit

profit

(¥ million)

change (%)

change (%)

change (%)

(¥ million)

(¥ million)

Fiscal Year ended

170,581

(63.3)

(45,989)

-

(49,205)

-

March 31, 2021

Fiscal Year ended

464,450

(11.6)

96,862

(25.1)

98,062

(24.2)

March 31, 2020

Note: Comprehensive income:

Fiscal year ended March 31, 2021: ¥(49,424 million) (-%)

Fiscal year ended March 31, 2020: ¥51,649 million ((44.9)%)

Profit

Operating

attributable

Year-on-

Earnings per

Earnings per

Return on

Ordinary

profit/total

to owners of

year change

share

share

equity

profit/total

net sales

parent

(%)

(¥)

(diluted) (¥)

(%)

assets (%)

(%)

(¥ million)

Fiscal Year ended

(54,190)

-

(165.51)

-

(6.9)

(4.8)

(27.0)

March 31, 2021

Fiscal Year ended

62,217

(31.1)

189.23

183.31

7.7

9.5

20.9

March 31, 2020

Reference: Equity in earnings

of affiliates:

Fiscal year ended March 31, 2021: ¥(485 million)

Fiscal year ended March 31, 2020: ¥(183 million)

(2)

Consolidated Financial Position

Total assets

Net assets

Shareholders' equity

Net assets

(¥ million)

(¥ million)

ratio(%)

per share (¥)

As of March 31, 2021

1,040,465

759,948

73.0

2,320.71

As of March 31, 2020

1,010,651

820,257

81.2

2,505.55

Reference: Shareholders'

equity:

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

As of March 31, 2020: ¥820,257 million

(3)

Consolidated Cash Flows

Net cash provided by

Net cash provided by

Net cash provided by

Cash and cash

(used in)

(used in)

(used in)

equivalents at end of

operating activities

investing activities

financing activities

period (¥ million)

(¥ million)

(¥ million)

(¥ million)

Fiscal Year ended

(23,834)

(160,738)

88,724

165,317

March 31, 2021

Fiscal Year ended

73,336

20,534

(55,257)

261,164

March 31, 2020

2. Dividends

		Annual dividends (¥)			Total			Dividends/
							dividends	Payout ratio
	First	Second	Third					Net assets
	Year-			paid	(consolidated)
	quarter-	quarter-	quarter-	Total			(consolidated)
	end		(total)	(%)
	end	end	end			(%)
				(¥ million)
Fiscal Year ended	-	22.00	-	22.00	44.00	14,451		23.2	1.8
March 31, 2020
Fiscal Year ended	-	13.00	-	13.00	26.00	8,519		-	1.1
March 31, 2021
Fiscal Year ending	-	-	-	-	-				-
March 31, 2022 (Est.)

Notes

1. Total dividends paid include dividends paid to the trust to the employee stock plan (Fiscal year ended March 31, 2020 ¥14 million, Fiscal year ended March 31, 2021 ¥6 million).

Payout ratio has been calculated by dividing total dividends paid by profit attributable to owners of parent.

1. Dividends for the first half and full fiscal year ending March 2022 are not indicated as it is difficult to reasonably calculate our forecast of operating results at this point in time.

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

Projection of consolidated results for the fiscal year ending March 31, 2022 is not indicated as it is difficult to reasonably calculate our forecast of operating results at this point in time. For specific reasons, please refer to Future Outlook on page 2.

*Notes

1. Changes in Major Subsidiaries during the Period (Changes in specified subsidiaries due to changes in the scope of consolidation): None
2. Changes in Accounting Policies, Changes in Accounting Estimates, or Restatement
3. 1. Changes in accounting policies due to changes in accounting standards: None
   2. Changes other than (a) above: None
   3. Changes in accounting estimates: None
   4. Restatement: None
4. Number of Shares Issued and Outstanding (Common stock)

(a)Number of shares issued at end of period	Year ended March 31, 2021:	363,690,160	Year ended March 31, 2020:	363,690,160
(including treasury stock)	shares	shares
(b)Number of treasury stock at end of period	Year ended March 31, 2021:	36,226,898	Year ended March 31, 2020:	36,313,892
		shares		shares
(c)Average number of shares outstanding	Year ended March 31, 2021:	327,421,164	Year ended March 31, 2020:	328,800,343
(quarterly cumulative period)	shares	shares

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

[Reference] Non-consolidated Results

Non-consolidated Results for the Fiscal Year Ended March 31, 2021 (April 1, 2020 － March 31, 2021)

1. Non-consolidatedOperating Results

					(Percentages represent change compared with the previous fiscal year.)
	Net sales	Year-on-year		Operating	Year-on-year	Ordinary	Year-on-year
		profit		profit
	(¥ million)	change (%)			change (%)	change (%)
		(¥ million)	(¥ million)
Fiscal Year ended	146,015	(63.2)			(36,405)	-	(39,184)	-
March 31, 2021
Fiscal Year ended	396,308	(11.9)			82,968		(24.3)	94,432	(20.5)
March 31, 2020
	Net profit	Year-on-	Earnings per		Earnings per
	year change			share			share
	(¥ million)
	(%)		(¥)		(diluted) (¥)
Fiscal Year ended	(37,226)	-		(113.70)			-
March 31, 2021
Fiscal Year ended	62,977	(26.5)		191.54			185.54
March 31, 2020

1. Non-consolidatedFinancial Position

	Total assets	Net assets	Shareholders' equity	Net assets
	(¥ million)	(¥ million)	ratio(%)	per share (¥)
As of March 31, 2021	1,001,469	715,398	71.4	2,184.67
As of March 31, 2020	959,056	760,688	79.3	2,323.59

Reference: Shareholders' equity:

As of March 31, 2021: ¥715,398 million

As of March 31, 2020: ¥760,688 million

• The Company's consolidated financial statements are not subject to 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.

1. Operating Results

(1) Overview of Operating Results

During the fiscal year under review, the Japanese economy continued to face a challenging situation due to the impact of the coronavirus disease 2019 (COVID-19) pandemic, although consumer spending temporarily displayed signs of picking up, driven by various government policies.

In consideration of the status of the pandemic and requests from the national and local governments, we closed Tokyo Disneyland and Tokyo DisneySea, the Theme Parks operated by the OLC Group, from February 29 to June 30, 2020. As a result, we recorded a loss of ¥12,965 million on the temporary closure, which was recorded as an extraordinary loss.

Both Theme Parks were reopened on July 1, 2020, but to prevent the spread of COVID-19 they were operated in line with the Amusement Park and Theme Park New Coronavirus Infection Containment Guidelines and in consideration of requests from the national and local governments in conjunction with the declaration of a state of emergency.

Although net sales per Guest increased, driven by such measures as limiting Park ticket types and revising ticket prices, due to the temporary closure of both Parks until June 30 and limits set on attendance after their reopening, total attendance decreased year on year. As a result, the Group recorded net sales, operating loss, and ordinary loss of ¥170,581 million (down 63.3% from the previous fiscal year), ¥45,989 million (down from an operating profit of ¥96,862 million), and ¥49,205 million (down from an ordinary profit of ¥98,062 million), respectively. Loss attributable to owners of parent of ¥54,190 million (down from a profit attributable to owners of parent of ¥62,217 million) was registered due to the recording of a loss on temporary Park closure and an impairment loss on property, plant and equipment pertaining to the Brighton Hotel business in the Hotel Business Segment.

The following is the results of each segment.

Summary of Results by Segment for the Fiscal Year Ended March 31, 2021

					(Millions of yen)
		Fiscal year ended	Fiscal year ended	Change	Change (%)
		March 31, 2020	March 31, 2021	(decrease)
Net Sales	464,450	170,581	(293,869)	(63.3)
	Theme Park	384,031	134,293	(249,737)	(65.0)
	Hotel	64,375	28,627	(35,747)	(55.5)
	Other	16,043	7,660	(8,383)	(52.3)
Operating Profit (Loss)	96,862	(45,989)	(142,852)	-
	Theme Park	79,660	(41,982)	(121,643)	-
	Hotel	14,769	(1,954)	(16,723)	-
	Other	2,161	(2,312)	(4,474)	-
	Elimination and Corporate	271	260	(11)	(4.2)
Ordinary Profit (Loss)	98,062	(49,205)	(147,268)	-
Profit (Loss) Attributable to Owners of	62,217	(54,190)	(116,408)	-
Parent

(2) Analysis of Consolidated Financial Position

[Assets]

Total assets as of March 31, 2021 were ¥1,040,465 million (up 2.9% compared with the end of the previous fiscal year). Current assets decreased to ¥274,134 million (down 13.5%) due mainly to a drop in cash and deposits, etc. Non-current assets climbed to ¥766,331 million (up 10.4%) due to an increase in property, plant and equipment, etc.

[Liabilities]

Total liabilities as of March 31, 2021 were ¥280,517 million (up 47.3%).

Current liabilities increased to ¥121,370 million (up 20.8%) as a result of a rise in current portion of bonds, etc. Non-current liabilities grew to ¥159,147 million (up 77.0%) as a result of an increase in bonds payable, etc.

1

[Net Assets]

Total net assets as of March 31, 2021 were ¥759,948 million (down 7.4%) due to various factors, including a decline in retained earnings. Shareholders' equity ratio stood at 73.0% (down 8.2 points).

(3) Cash Flows

Despite an increase in net cash from financing, the balance of cash and cash equivalents at the end of the fiscal year under review was ¥165,317 million (balance at the end of the previous fiscal year was ¥261,164 million) owing to a decrease in net cash from operating and investing activities.

[Net Cash from Operating Activities]

Net cash used in operating activities was ¥23,834 million (a net cash inflow of ¥73,336 million for the same period in the previous year) due to factors including posting of loss before income taxes.

[Net Cash from Investing Activities]

Net cash used in investing activities was ¥160,738 million (a net cash inflow of ¥20,534 million for the same period in the previous year) due to factors including a decrease in proceeds from withdrawal of time deposits.

[Net Cash from Financing Activities]

Net cash provided by financing activities was ¥88,724 million (a net cash outflow of ¥55,257 million for the same period in the previous year) due to factors including an increase in proceeds from issuance of bonds.

(4) Future Outlook

Currently, the government's "priority measures to prevent the spread of disease" are applied to Urayasu City, Chiba Prefecture, and it may take some time to restore the usual level of operations, depending on the external environment including consumer sentiment toward leisure activities.

As it is difficult to present a forecast of the Group's financial performance in such circumstances, we will disclose our consolidated forecast of results when a reasonable projection becomes possible.

2. Basic Policy on the selection of accounting standards

As the OLC group is not engaged in global business operations or capital procurement, its consolidated financial statement are formulated based on Japanese accounting standards.

2