Sekisui House : Consolidated Financial Results for the Third Quarter FY2021 NEW

Sekisui House, Ltd. (1928) Consolidated Financial Statements Summary for FY2021 Third Quarter

Consolidated Financial Statements Summary

for the Third Quarter of FY2021 (February 1, 2021 through October 31, 2021)

(Japanese Standard)

December 9, 2021

Company name	: Sekisui House, Ltd. (URL https://www.sekisuihouse.co.jp)
Listed exchanges	: Tokyo, Nagoya
Stock code	: 1928
Representative	: Yoshihiro Nakai, Representative Director
President & Executive Officer, CEO
Inquiries	: Atsushi Yoshida, Executive Officer, Chief Manager of Investor Relations Department
	Tel [phone]

Filing date of quarterly securities report

Date of scheduled payment of dividends Quarterly earnings supplementary explanatory documents

Quarterly earnings results briefing

• December 14 , 2021
• -
• Yes
• Yes (for institutional investors and analysts, in Japanese)

											(Amounts are rounded down to the nearest million yen.)
1.		Consolidated Results for the Nine Months Ended October 31, 2021 (February 1, 2021 through October 31, 2021)
		(1)Consolidated Financial Results						(% figures represent changes from the same period of the previous year.)
					Net sales		Operating income		Ordinary income	Profit attributable to
								owners of parent
					¥ million	%		¥ million	%			¥ million	%		¥ million	%
		Nine months ended Oct. 31, 2021		1,844,812	4.3		168,225	24.8		168,649	28.1	115,895	30.3
		Nine months ended Oct. 31, 2020		1,768,886	1.9		134,820	(13.0)		131,668	(18.2)	88,963	(24.3)
		(Note) Comprehensive income:
		Nine months ended Oct. 31, 2021: ¥158,046 million (96.7%)	Nine months ended Oct. 31, 2020: ¥80,356 million (24.0%)
					Profit per share		Fully diluted
						profit per share
							¥				¥
		Nine months ended Oct. 31, 2021				171.06				170.97
		Nine months ended Oct. 31, 2020				130.41				130.30
		(2)Consolidated Financial Position
				Total assets				Net assets		Equity capital ratio
					¥ million				¥ million					%
		As of October 31, 2021		2,750,912		1,456,220			51.2
		As of January 31, 2021		2,625,861		1,368,887			50.5
		(Reference) Equity capital*	As of October 31, 2021: ¥1,409,591 million	As of January 31, 2021: ¥1,326,535 million
2.		Cash Dividends
										Cash dividends per share
				End of first		End of second	End of third			Year-end		Annual
				quarter			quarter		quarter
				¥				¥					¥			¥			¥
		Year ended Jan. 31, 2021		-				45.00					-			39.00			84.00
		Year ending Jan. 31, 2022							43.00
		Year ending Jan. 31, 2022													-			45.00			88.00
		(forecast)

(Note) Revised dividend forecast for the quarter under review: None 1

Sekisui House, Ltd. (1928) Consolidated Financial Statements Summary for FY2021 Third Quarter

3. Consolidated Results Forecast for FY2021 (February 1, 2021 through January 31, 2022)

(% figures represent changes from the same period of the previous year.)

		Net sales		Operating income	Ordinary income	Profit attributable to	Profit
			owners of parent	per share
	¥ millions	%	¥ millions	%	¥ millions	%	¥ millions	%	¥
Year ending January 31, 2022	2,553,000	4.3	220,000	18.0	218,000	18.0	148,000	19.8	218.65
(Note) Revised forecast for the quarter under review: None
Notes
(1)Changes in significant subsidiaries (changes in specific subsidiaries that caused a change in scope of consolidation): Yes
New Consolidated Companies: -	Excluded: Sekisui House･Changcheng (Suzhou) Real Estate Development Co., Ltd.

1. Application of accounting treatment specific to the preparations for consolidated quarterly financial statements: Not applicable
2. Changes in accounting policies, accounting estimates and restatements

1. Changes in accounting policies due to amendment of accounting standards: Not Applicable
2. Changes in accounting policies due other than (a): Not applicable
3. Changes in accounting estimates: Not applicable
4. Restatements: Not applicable

1. Number of shares outstanding (common stock)

1. Number of shares outstanding at the end of each period (including treasury stock):

As of Oct. 31, 2021:	684,683,466 shares	As of Jan. 31, 2021:	684,683,466 shares
(ii) Number of treasury stock at the end of each period:
As of Oct. 31, 2021:	9,927,194 shares	As of Jan. 31, 2021:	3,753,722 shares
(iii) Average number of shares outstanding in each period (cumulative quarterly consolidated accounting period):
Nine months ended Oct. 31, 2021: 677,521,037 shares	Nine months ended Oct. 31, 2020: 682,177,291 shares

• This quarterly financial results report is exempt from quarterly review.
• Notes Regarding the Appropriate Use of Results Forecasts and Other Important Matters

Descriptions regarding forward-looking statements, etc. contained in these materials are based on information currently available to the Company and certain assumptions judged reasonable. The Company makes no warranty as to the feasibility of its projections. Future results may differ materially from projections due to various factors. For the assumptions underlying the earnings forecast, please see "(3) Information Regarding Consolidated Results Forecast" in "1. Quarterly Qualitative Analysis" of the "Attached Material" on page 9.

(Obtaining supplementary explanatory documents)

The Company plans to hold a briefing for institutional investors and analysts on December 9, 2021. Relevant financial explanatory documents to be handed out at the briefing will be posted on our official website on the same day.

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Sekisui House, Ltd. (1928) Consolidated Financial Statements Summary for FY2021 Third Quarter

	TABLE OF CONTENTS OF THE ATTACHED MATERIAL
1. Quarterly Qualitative Analysis ------------------------------------------------------------------------------------------------------------------------	6
(1)	Information Regarding Consolidated Business Results ---------------------------------------------------------------------------------	6
(2)	Information Regarding Consolidated Financial Conditions ----------------------------------------------------------------------------	9
(3)	Information Regarding Consolidated Results Forecast ----------------------------------------------------------------------------------	9
2. Consolidated Quarterly Financial Statements and Notes---------------------------------------------------------------------------------------	10
(1)	Consolidated Quarterly Balance Sheet --------------------------------------------------------------------------------------------------------	10
(2)	Consolidated Quarterly Statement of Income and Consolidated Quarterly Statement of Comprehensive income----	12
	Consolidated Quarterly Statement of Income
	For the nine months ended October 31, 2020 and 2021 --------------------------------------------------------------------------------	12
	Consolidated Quarterly Statement of Comprehensive Income
	For the nine months ended October 31, 2020 and 2021 --------------------------------------------------------------------------------	13
(3)	Notes to Consolidated Quarterly Financial Statements-----------------------------------------------------------------------------------	13
	(Notes Regarding Assumption of a Going Concern)-----------------------------------------------------------------------------------------	13
	(Notes on significant changes in the amount of shareholders' equity)------------------------------------------------------------------	13

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Sekisui House, Ltd. (1928) Consolidated Financial Statements Summary for FY2021 Third Quarter

Appendix: Segment breakdown for the Nine Months Ended October 31, 2021

Consolidated

(1) Sales							¥ millions
		Nine months		Nine months
		ended		ended		YOY(%)
		October 31, 2020		October 31, 2021
order-to-Built Business	Custom detached houses	235,277		254,871		8.3
Rental housing	262,509			276,458			5.3
	Architectural/Civil Engineering
	237,240		194,283		(18.1)
	Subtotal	735,026		725,613		(1.3)
Supplied Housing Business	Remodeling	98,179		111,354		13.4
Real estate management fees	416,545		437,835		5.1
	Subtotal	514,725		549,190		6.7
Development Business	Houses for sale	94,874		134,884		42.2
Condominiums	48,369			51,326			6.1
	Urban redevelopment
	61,583			87,275			41.7
	Subtotal
	204,827		273,487		33.5
Overseas Business	263,088		242,999		(7.6)
Other businesses	51,218		53,522		4.5
Consolidated	1,768,886		1,844,812		4.3
(2) Operating income and Operating margin					¥ millions
		Nine months		Nine months
		ended		ended		YOY(%)
		October 31, 2020		October 31, 2021
		Amount		Amount
		Operating margin		Operating margin
	Custom detached houses	22,511		30,696		36.4
	9.6%		12.0%
order-to-Built Business	Rental housing	32,318		39,505		22.2
6.0%		6.9%
Architectural/Civil Engineering
		12.3%		14.3%
		14,345		13,350		(6.9)
	Subtotal	69,175		83,552		20.8
	9.4%		11.5%
	Remodeling	12,947		17,458		34.8
	13.2%		15.7%
Supplied Housing Business
	Real estate management fees	33,707		39,284		16.5
	8.1%		9.0%
	Subtotal	46,655		56,742		21.6
	9.1%		10.3%
	Houses for sale	5,468		10,639		94.6
	5.8%		7.9%
Development Business	Urban redevelopment	6,407		7,275		13.5
18.0%		12.6%
	Condominiums	13.2%		14.2%
		11,064		10,976		(0.8)
	Subtotal	22,939		28,891		25.9
	11.2%		10.6%
Overseas Business	30,608		34,026		11.2
11.6%		14.0%
Other businesses	(2,355)		(1,235)		-
(4.6%)		(2.3%)
Eliminations and back office	(32,204)		(33,752)		-
Consolidated	134,820		168,225		24.8
7.6%		9.1%
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Sekisui House, Ltd. (1928) Consolidated Financial Statements Summary for FY2021 Third Quarter

(3) Orders			¥ millions
		Nine months	Nine months
		ended	ended	YOY(%)
		October 31, 2020	October 31, 2021
order-to-Built Business	Custom detached houses	238,892	270,246	13.1
Rental housing	265,130	287,909	8.6
	Architectural/Civil Engineering
	222,585	235,755	5.9
	Subtotal	726,608	793,911	9.3
Supplied Housing Business	Remodeling	104,777	120,548	15.1
Real estate management fees	416,545	437,835	5.1
	Subtotal	521,322	558,384	7.1
Development Business	Houses for sale	109,630	155,141	41.5
Condominiums	51,102	60,950	19.3
	Urban redevelopment
	64,459	79,249	22.9
	Subtotal	225,193	295,341	31.2
Overseas Business	259,194	273,210	5.4
Other businesses	46,688	57,710	23.6
Consolidated	1,779,006	1,978,557	11.2
(4) Order backlog			¥ millions
		As of	As of	YOY (%)
		January 31, 2021	October 31, 2021
order-to-Built Business	Custom detached houses	183,298	198,674	8.4
Rental housing	372,723	384,173	3.1
	Architectural/Civil Engineering
	362,407	403,879	11.4
	Subtotal	918,428	986,727	7.4
Supplied Housing Business	Remodeling	28,584	37,778	32.2
Real estate management fees	-	-	-
	Subtotal	28,584	37,778	32.2
Development Business	Houses for sale	47,705	67,962	42.5
Condominiums	91,651	101,275	10.5
	Urban redevelopment
	28,901	20,875	(27.8)
	Subtotal
	168,259	190,113	13.0
Overseas Business	199,620	229,831	15.1
Other businesses	48,527	52,715	8.6
Consolidated	1,363,421	1,497,166	9.8

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