Off-Airport Hotel and Multi-Unit Housing Development

「Revenue also declined partly because of the impact of the sale in February 2023 of leased hotels and office buildings.」

「At a meeting of the Board of Directors held on 24 November 2022, the company resolved to transfer fixed assets and entered into a transfer agreement on 30 November 2022.」

「The company recognized an impairment loss on leased hotel properties in Kyoto and decided to consider selling them to further improve asset efficiency, as the recovery in inbound demand has been delayed.」

「In the real estate leasing business, revenue was ¥4,674 million, down 1.3% year on year, and operating profit was ¥869 million, down 4.2%, despite the operation of the international student dormitory completed in March 2021. This was mainly due to the deduction from revenue of expected rent waivers provided as support for airlines and other customers.」

「Total assets at the end of the first quarter of the current consolidated fiscal year were ¥106,136 million, an increase of ¥1,652 million from the end of the previous consolidated fiscal year. This mainly reflected an increase in advances included in other current assets for construction of the Kanto Gakuin University International Student Dormitory, scheduled for completion in March 2021, and the recognition of prepaid expenses for annual usage fees for national property.」

「Cash provided by operating activities was ¥2,209 million, compared with ¥1,954 million in the same period of the previous year. This was mainly due to cash inflows from income before income taxes and other adjustments, depreciation and amortization, growth in deferred revenue, and repayments of operating loans, despite cash outflows from an increase in other assets classified as finance lease assets for student dormitory construction and related purposes.」

「In the real estate leasing business, net sales were ¥4,633 million, up 5.9% year on year, and operating income was ¥906 million, up 24.9%. This reflected progress in tenant occupancy at Haneda Airport, the Kyoto hotel operating for the full year after beginning operations in late June of the previous year, and the addition of lease income from training aircraft provided to the Civil Aviation College.」

「Outside airports, the Company views the nationwide increase and entrenchment of inbound tourism as a business opportunity and will make new investments, including responding to strong demand for hotels and constructing international student residences to accommodate the expansion of international student admissions associated with the internationalization of universities, a national policy priority.」

「The real estate leasing business recorded revenue of ¥13,540 million, up 7.0% year on year, and operating profit of ¥2,392 million, up 9.2%, reflecting improved occupancy at the Company's facilities at Tokyo International Airport, full-year operation of aviation-related facilities at regional airports, the start of leasing at a hotel acquired in Kyoto, and the inclusion of the Canadian subsidiary in the scope of consolidation, among other factors.」

「Against this economic backdrop, the Group is working to expand its business areas based on its medium-term management plan. As part of its response to inbound travelers, the five hotels in Kyoto acquired at the end of June, for which leasing had begun, commenced operations in mid-October.」

「Based on its medium-term management plan, the Group is working to expand its business areas and, as part of its response to inbound travelers, acquired five hotels in Kyoto at the end of June that are scheduled to open in October.」

「In March this year, the Company began providing its fourth multi-family housing facility for airport employees in the vicinity of Haneda Airport.」

「The real estate leasing business recorded revenue of ¥12,645 million, up 5.1% year on year, and operating profit of ¥2,188 million, up 6.0%, reflecting improved tenant occupancy at Tokyo International Airport, the Haneda Asahicho Hotel operating for the full year, and rising sales at the Singapore subsidiary, among other factors.」

「In the real estate leasing business, net sales were ¥8,431 million, up 5.3% year on year, and operating income was ¥1,493 million, up 13.3%, due to improved tenant occupancy at Tokyo International Airport, the Haneda Asahicho hotel operating for the full year, and growing sales at the Singapore subsidiary.」

「The real estate leasing business recorded revenue of ¥4,102 million, up 5.2% year on year, and operating profit of ¥745 million, up 9.7%, reflecting improved tenant occupancy at Haneda Airport, the addition of the Haneda Asahicho Hotel, which opened in September last year, and rising sales at the Singapore subsidiary, among other factors.」

「The real estate leasing business recorded revenue of ¥12,026 million, up 6.1% year on year, and operating profit of ¥2,065 million, up 35.1%, reflecting improved tenant occupancy near Tokyo International Airport and Kansai International Airport, the opening of the Haneda Asahicho Hotel, and rising sales at the Singapore subsidiary, among other factors.」

「In addition, as part of its initiatives involving facilities and assets outside airports, the Company will pursue further expansion along the Keikyu Airport Line, the development of air logistics facilities, continued acquisitions of prime assets in central Tokyo, and business expansion at overseas airports.」

「As part of its initiatives involving facilities and assets outside airports, the Company will also pursue further expansion along the Keikyu Airport Line, the development of air logistics facilities, continued acquisitions of prime assets in central Tokyo, and business expansion at overseas airports.」

「A hotel near Tokyo International Airport, the Company's second hotel, which began construction last year, is scheduled for completion in July this year. The Company will continue to develop additional accommodation facilities near the airport to meet strong lodging demand. It is also developing multi-family housing for airport employees near the airport. As demand is expected to continue increasing, the Company will continue these efforts while monitoring demand trends among airlines.」