Resorttrust : Notice of the Recording of Extraordinary Losses and the Announcement of the Financial Results Forecast and Dividend Forecast

	August 7,2020
FOR IMMEDIATE RELEASE
Company name	Resorttrust, Inc.
Representative	Ariyoshi Fushimi, President
Code	4681, First Section of the Tokyo and
	Nagoya Stock Exchanges

Notice of the Recording of Extraordinary Losses and the

Announcement of the Financial Results Forecast and Dividend Forecast

The Resorttrust Group has recorded extraordinary losses for the three months ended June 30, 2020 (April 1, 2020 to June 30, 2020), and has determined the financial results forecast and dividend forecast, designated "undecided" in the announcement on May 21, 2020, as shown below, based on factors including recent business performance and the future outlook.

1. Recording of extraordinary losses

The Group implemented temporary closures and shortened business hours in the hotels and other facilities it operates, mainly during the period from April 29 to May 31, 2020, as measures to prevent the spread of COVID-19. (The measures began before April 29 and extended beyond May 31 at some facilities.) Consequently, the Group recorded "losses due to COVID-19" of 2,972 million yen as extraordinary losses, corresponding to the fixed costs (personnel expenses, rent, depreciation, etc.) incurred during the period of temporary closures, etc.

２．Announcement of earnings forecast and dividend forecast

Revision of consolidated financial results forecast (April 1, 2020 to March 31, 2021)

					(Millions of yen)
				Net Income		Net Income
		Operating	Ordinary	Attributable to
	Net Sales	per Share
	Income	Income	Owners of
			(Yen)
				Parent
Previous Forecast	─	─	─	─		─
（ ）
A
Current Forecast						29.89
（ ）	158,000	6,300	7,800	3,200
B
Difference (B-A)	─	─	─	─		─
Change（％）	─	─	─	─		─
（Ｒeference） Results for
Previous Fiscal Year
(ended March 31, 2020)	159,145	11,652	12,476	7,135		66.65

・Dividend forecast for the year ending March 31, 2021 (April 1, 2020 to March 31, 2021)

	Dividends per Share (Yen)
End of 1st	End of 2nd	End of 3rd	Year-End	Annual
Quarter	Quarter	Quarter

Previous Forecast	─	─	─	─	─
Current Forecast	─	10.00	─	10.00	20.00
(Ｒeference)Results for Previous Fiscal	─	23.00	─	17.00	40.00
Year
(ended March 31,2020)

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・Reason for Announcement

Regarding the forecast for the full year ending March 31, 2021, membership sales of YOKOHAMA BAYCOURT CLUB, which is due to open in September 2020, are expected to grow higher than initially anticipated, and real estate profits of hotel memberships that have been deferred will be booked in a lump sum when the hotel opens. However, opening costs including those for THE KAHALA HOTEL & RESORT YOKOHAMA, the Group's first non-membership luxury hotel in Japan due to open at the same time as YOKOHAMA BAYCOURT CLUB, will be incurred upfront. Furthermore, as COVID-19 spread, during the period of April-June, sales activities shrank in Membership Operations, facilities were closed in Hotel and Restaurant Operations, and health check-up facilities were closed and the intake of new occupants in senior residences slowed in Medical Operations. Consumption also declined reflecting a sharp drop in the number of foreign tourists visiting Japan, restrictions on Japanese people's movements across prefectures, and people refraining from non-essential and non-urgent outings. These factors have had large impacts on the Company Group's business operations.

The Group has determined that a reasonable forecast of financial results for the fiscal year can be made at this point, assuming thatt nationwide state of emergency measures will not be introduced. This is based on the assumption that the impact of COVID-19 will continue into the second quarter, before heading towards a moderate recovery.

To continue stable returns under the basic dividend policy, we forecast annual dividends of 20 yen per share, which consists of an interim dividend of 10 yen and a year-end dividend of 10 yen.

Note: The above forecasts were made based on certain assumptions judged to be reasonable by the Company. Actual results may differ significantly from the above forecasts due to various factors.

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