Overseas Business Expansion Centered on China

「Overseas business revenue was ¥1.0284 trillion and operating profit was ¥137.0 billion, representing compound annual growth rates of 20.5% for revenue and 40.1% for operating profit over the eight years since fiscal 2018.」

「Overseas, in the U.S. Smile Zone linking the eastern, southern and western regions, we are expanding our business centered on three companies: Stanley Martin in the East, CastleRock in the South and Trumark in the West. The U.S. housing market has seen sluggish sales since the beginning of the year because of persistently high interest rates and increasing economic uncertainty, but within the Group, the increase in sales communities and effective sales initiatives have produced results, and cumulative orders from January to June 2025 increased year on year.」

「Overseas business revenue was ¥905 billion and operating profit was ¥51.7 billion, representing compound annual growth rates of 21.7% for revenue and 26.0% for operating profit over the seven years since fiscal 2018.」

「Overseas, in the United States, we are expanding our business in the Smile Zone linking the eastern, southern and western regions, centered on the Group's three companies: Stanley Martin in the East, CastleRock in the South and Trumark in the West. The market temporarily adopted a wait-and-see stance amid expectations of lower mortgage rates, but demand for new homes remains firm because inventories of existing homes are low, and orders are accumulating.」

「Overseas, in the United States, we are expanding our business in the Smile Zone linking the eastern, southern and western regions, centered on the Group's three companies: Stanley Martin in the East, CastleRock in the South and Trumark in the West. Although mortgage rates and housing prices remain elevated, demand for new homes is firm because inventories of existing homes are low, and signs of recovery have continued recently. To expand our share in the areas where we operate, we are increasing investment in locations that enable the supply of affordable homes and advancing initiatives to move construction off site. In July 2023, CastleRock also established a new base in Phoenix, Arizona, and has already begun securing sites for single-family residential developments.」

「To date, we have developed single-family housing and condominium businesses mainly in Sydney, but we will now undertake rental housing development in Melbourne. Including this project, we will pursue continuous business development to help address the housing shortage, which is one of Australia's social issues.」

「In particular, we will strengthen our efforts in the areas of portfolio management, challenges in new businesses, business progress toward ¥1 trillion in overseas business, and cost control through centralized group procurement, which are the most important themes for achieving the Seventh Medium-Term Management Plan. To date, we have developed single-family housing and condominium businesses mainly in Sydney, but we will now undertake rental housing development in Melbourne.」

「To achieve overseas business targets of ¥1 trillion in revenue and ¥100 billion in operating profit, we discussed management issues and measures in the U.S. housing business and shared our mission of "providing high-quality housing on a stable basis." We believe that introducing industrialized construction methods in anticipation of labor shortages will be an important key to the future development of the U.S. business.」

「Overseas, we continue to develop our single-family housing business in the United States across the Smile Zone, which links 11 eastern, southern and western states where housing demand is expected to grow as employment expands. Although underlying demand remains high, mortgage rates have continued to rise as policy rates have been repeatedly raised to curb inflation, and prospective buyers' financial capacity and willingness to purchase have tended to decline. At the same time, demand for acquisitions of rental homes was expected to increase in anticipation of higher rents, so we began selling homes in bulk to investors.」

「Overseas, we continue to develop our single-family housing business in the United States across the Smile Zone, which links 11 eastern, southern and western states where housing demand is expected to grow as employment expands.」

「Through these initiatives, we will establish a production system and aim to achieve supply of more than 10,000 homes.」

「In China, in view of the strong business performance of "Grace Residence (和風雅頌)" in Nantong and "Grace Residence (琅越龍洲)" in Changzhou, both of which have sold out all units, the Company has begun a new development project in Suzhou.」

「In September 2021, Daiwa House USA Holdings Inc. made CastleRock Communities LLC a subsidiary, while Stanley Martin Holdings, LLC entered into a business transfer agreement with Avex Homes, LLC and its affiliates, among other measures to further expand its business areas.」

「Under the Daiwa House Group Sixth Medium-Term Management Plan, which ends in the fiscal year ending March 2022, the Group is making continuous business investments in its overseas business while strengthening its management structure, with a target of ¥400 billion in revenue.」

「Overseas, the businesses of Stanley Martin Communities, LLC and Trumark Companies, LLC in the United States both performed steadily despite the COVID-19 pandemic.」

「Overseas, construction began on the second multi-tenant logistics facility, "D Project Malaysia Ⅱ," near Kuala Lumpur, Malaysia.」

「Overseas, Stanley-Martin Communities, LLC and Trumark Companies, LLC in the United States focused on sales using IT, and even amid the COVID-19 pandemic, the number of contracts and deliveries were not materially affected, with business conditions remaining favorable. Overseas, the Company opened its second service apartment complex in Vietnam at the end of April 2020. The number of residents has been increasing steadily despite the COVID-19 pandemic. Overseas, two properties in China that began sales the previous year were not affected by the COVID-19 pandemic, and applications were received on the same day for units released for sale.」

「In Southeast Asia, we are advancing the development of logistics facilities, and the scale of the business is expanding, particularly through logistics facilities serving demand for cold-chain operations that maintain specified temperatures while distributing fresh and frozen foods from production areas to consumers.」

「Overseas, housing sales by Stanley-Martin Communities, LLC in North America remained strong.」

「Overseas, a housing development project by Stanley-Martin Communities, LLC in the Washington, D.C. area of the United States matched millennials' demand to return to urban centers, and sales remained strong.」

「Overseas, a housing development project by Stanley-Martin Communities, LLC in the Washington, D.C. area of the United States matched millennials' demand to return to urban centers, and sales remained strong.」

「Following the completion on 14 February 2018 of the procedures for its consolidated subsidiary Daiwa House Australia Pty Ltd. to acquire all shares of Rawson Group Pty Ltd., the Company included Rawson Group Pty Ltd. within the scope of consolidation.」

「③ Acceleration of overseas expansion In addition to developing businesses focused on advanced economies such as the United States and Australia, where stable growth is expected, and ASEAN, where medium- to long-term growth is expected, we will expand overseas business revenue to ¥270 billion, supported in part by the contribution of overseas subsidiaries acquired last year.」

「株式会社フジタ performed steadily in both its building and civil engineering businesses, securing large projects in Japan, including logistics facilities and road tunnels, and overseas, including automotive and medical-related plants.」

「株式会社フジタ performed steadily in both its building and civil engineering businesses, securing large projects in Japan, including logistics facilities and road tunnels, and overseas, including automotive and medical-related plants.」

「To contribute to the "acceleration of overseas expansion" set out in the Company's Fifth Medium-Term Management Plan. Acquired voting rights: 82.0%」

「The Fifth Medium-Term Management Plan identifies “proactive investment in real estate development” and “accelerating overseas expansion” as basic policies, and the Company will expand its overseas business, mainly in the United States, Australia and ASEAN countries.」

「The Fifth Medium-Term Management Plan identifies “proactive investment in real estate development” and “accelerating overseas expansion” as basic policies, and the Company will expand its overseas business, mainly in the United States, Australia and ASEAN countries.」

「Fujita Corporation received orders in Japan for large-scale construction projects such as truck terminals and automobile factories, and overseas for a large-scale civil engineering project related to an airport in Hong Kong, resulting in steady performance in both its construction and civil engineering businesses.」

「The Group operates overseas businesses centered on China.」