Open House : Summary of Consolidated Financial Results for the Second 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 Second Quarter Ended September 30, 2021〔Based on Japanese GAAP〕

May 14, 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:	May 14, 2021
Scheduled starting date of dividend payments:	June 11, 2021
Supplementary materials for quarterly financial results:	Yes
Quarterly results briefing meeting :	Yes (for institutional investors and analysts in Japanese)
	(Million yen, rounded down)

1. Consolidated Financial Results for the Second Quarter Ended September 30, 2021 (October 1, 2020 to March 31, 2021)

(1) Consolidated operating results (Cumulative)					(% figures indicate year-on-year change)
	Revenue			Operating income	Ordinary income	Profit attributable to
			owners of parent
Six months ended	Million yen		%		Million yen		%	Million yen	%	Million yen	%
March 31, 2021	363,945		39.0		41,614		53.9	40,699	56.0	32,751	80.6
March 31, 2020	261,922		7.9		27,035		13.6	26,091	17.6	18,136	12.4
(Note) Comprehensive	income: Six months ended March 31, 2021	¥	34,019 million	[ 85.2％]
	Six months ended March 31, 2020	¥	18,365 million [ 16.0％]
	EPS	Diluted EPS
Six months ended	Yen			Yen
March 31, 2021	260.24			259.15
March 31, 2020	164.03			163.02

(2) Consolidated Financial Position
	Total assets	Net assets	Equity ratio
As of	Million yen	Million yen	%
March 31, 2021	829,680	313,212	31.7
September 30, 2020	569,038	233,695	41.0

(Reference) Shareholders' equity: As of March 31, 2021	¥ 262,781 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: Yes

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			532.39
	54.5	20.2	12.6
(Note) Revision of the latest consolidated results forecast:	Yes
							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 stock)
March 31, 2021:	125,947,000 shares	September 30, 2020:	125,819,100 shares
ⅱ) Treasury stock at period-end
March 31, 2021:	41 shares	September 30, 2020:	41 shares

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

March 31, 2021: 125,848,102 shares

March 31, 2020: 110,571,232 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)

2 |

Consolidated Quarterly Financial Statements

1）Consolidated Quarterly Balance Sheets

													(Million yen)
											End of FY2020	End of FY2021 2Q
											(as of September 30, 2020)	(as of March 31, 2021)
		Assets
				Current assets
						Cash and deposits					219,227			314,754
						Operating accounts receivable	620			1,176
						Real estate for sale					64,372			68,821
						Real estate for sale in process	172,914			342,549
						Operating loans					37,463			35,984
						Other	12,787			17,052
						Allowance for doubtful accounts					(262)			(374)
						Total current assets				507,123			779,963
				Non-current assets
						Property, plant and equipment	5,010			19,808
						Intangible assets			3,080			3,119
						Investments and other assets		53,798			26,767
						Total non-current assets			61,890			49,695
				Deferred assets				24			21
				Total assets			569,038			829,680
		Liabilities
				Current liabilities
						Notes payable	4,831			1,323
						Operating accounts payable			17,525			20,733
						Electronically recorded monetary claims					―		9,606
						Short-term loans payable			103,930			139,936
						Current portion of bonds	242			242
						Current portion of long-term loans payable			8,912			70,375
						Income taxes payable	10,831			18,565
						Provision			3,771			4,448
						Other			26,669			36,433
						Total current liabilities				176,713			301,665
				Non-current liabilities
						Bonds payable			847			726
						Long-term loans payable	157,347			212,837
						Provision for share awards					―			231
						Retirement benefit liability					328			349
						Asset retirement obligations			105			119
						Other					―		539
						Total non-current liabilities			158,628			214,802
				Total liabilities			335,342			516,467
		Net assets
				Shareholders' equity
						Capital stock			19,741			19,829
						Capital surplus	28,877			28,965
						Retained earnings			186,047			213,751
						Treasury shares		(0)			(0)
						Total shareholders' equity			234,666			262,546
				Accumulated other comprehensive income
						Valuation difference on available-for-sale securities			7			10
						Foreign currency translation adjustment		(1,195)			224
						Total accumulated other comprehensive income			(1,188)			235
				Subscription rights to shares			217			576
				Non-controlling interests					―			49,854
				Total net assets			233,695			313,212
		Total liabilities and net assets			569,038			829,680
											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)
					Six months ended		Six months ended
					March 31, 2020		March 31, 2021
					(From October 1, 2019		(From October 1, 2020
					to March 31, 2020)		to March 31, 2021)
	Revenue			261,922		363,945
	Cost of revenue	218,778	298,101
	Gross profit			43,143		65,843
	Selling, general and administrative expenses	16,108	24,229
	Operating income			27,035		41,614
	Non-operating income
		Interest income			59		11
		Dividends income	0	11
		House rent income			71		70
		Gain on sale of investment securities	109	-
		Share of profit of entities accounted for using equity			-		1,448
		method
		Other	166	541
		Total non-operating income			407		2,082
	Non-operating expenses
		Interest expenses		1,069		1,371
		Commission expenses	180	321
		Loss on valuation of investment securities		-		908
		Other		101	396
		Total non-operating expenses		1,350		2,997
	Ordinary income	26,091	40,699
	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			26,091		45,079
	Income taxes	7,954	12,483
	Profit			18,136		32,596
	Loss attributable to non-controlling interests	-	(155)
	Profit attributable to owners of parent			18,136		32,751

Open House Co., Ltd. (3288)

4 |

Consolidated Quarterly Statements of Comprehensive Income

						(Million yen)
				Six months ended		Six months ended
				March 31, 2020		March 31, 2021
				(From October 1, 2019		(From October 1, 2020
				to March 31, 2020)		to March 31, 2021)
	Profit	18,136		32,596
	Other comprehensive income
		Valuation difference on available-for-sale securities		(2)		2
		Foreign currency translation adjustment	231	1,416
		Share of other comprehensive income of entities		-		3
		accounted for using equity method
		Total other comprehensive income	229	1,423
	Comprehensive income	18,365		34,019
	Comprehensive income attributable to
		Comprehensive income attributable to owners of		18,365		34,178
		parent
		Comprehensive income attributable to		-	(158)
		non-controlling interests

Open House Co., Ltd. (3288)

5 |