Decrease in operating income despite higher operating revenue

「Operating income increased because higher revenue more than offset increases in personnel expenses, depreciation and amortization, and other costs.」

「During the fiscal year, although the securitization of owned properties, the capture of inbound demand in the domestic hotel business and increased demand in the railway business contributed, operating revenue decreased by ¥387,845 million, or 43.0% year on year, to ¥513,286 million, owing mainly to the reversal of the temporary boost from the securitization of Tokyo Garden Terrace Kioicho. Operating profit decreased by ¥247,212 million, or 84.4%, to ¥45,522 million, owing to the decline in revenue and higher personnel expenses, including wage increases, depreciation associated with increased capital investment and other costs.」

「During the six months ended September 30, operating revenue increased by ¥7,317 million, or 2.9% year on year, to ¥259,587 million, owing mainly to the securitization of owned properties, the capture of inbound demand in the domestic hotel business and increased demand in the railway business. Operating profit decreased by ¥2,480 million, or 7.3%, to ¥31,308 million, owing mainly to higher personnel expenses, including wage increases, and higher depreciation and other costs associated with increased capital investment. Operating profit before depreciation and amortization decreased by ¥1,890 million, or 3.1%, to ¥58,861 million.」

「During the six months ended September 30, operating revenue increased by ¥13,387 million, or 5.6% year on year, to ¥252,269 million, owing mainly to strong non-commuter railway revenue and the capture of solid inbound demand in the domestic hotel business. Operating profit increased by ¥1,970 million, or 6.2%, to ¥33,789 million, owing to the increase in revenue, while operating profit before depreciation and amortization increased by ¥2,599 million, or 4.5%, to ¥60,752 million.」

「During the nine months ended December 31, the Group steadily captured increased demand following the reclassification of COVID-19 as a Class 5 disease, and operating revenue also benefited from price increases. Operating revenue increased by ¥39,952 million, or 12.5% year on year, to ¥360,476 million. Operating profit increased by ¥27,474 million, or 136.5%, to ¥47,601 million, owing to the increase in revenue, while operating profit before depreciation and amortization increased by ¥26,224 million, or 42.7%, to ¥87,664 million.」

「During the three months ended June 30, the Group steadily captured increased demand following the reclassification of COVID-19 as a Class 5 disease, and operating revenue also benefited from price increases. Operating revenue increased by ¥12,779 million, or 12.4% year on year, to ¥116,212 million. Operating profit increased by ¥7,029 million, or 92.2%, to ¥14,653 million, owing to the increase in revenue, while operating profit before depreciation and amortization increased by ¥6,315 million, or 29.5%, to ¥27,757 million.」

「During the nine months ended December 31, although revenue declined because Seibu Construction Co., Ltd. was excluded from the scope of consolidation and because 19 properties, including The Prince Park Tower Tokyo mentioned above, were transferred, the Group steadily captured increased demand following the lifting of restrictions related to COVID-19. Operating revenue increased by ¥20,240 million, or 6.7% year on year, to ¥320,523 million. In addition to the increase in revenue, initiatives to reduce fixed costs, including a review of vehicle operations and the insourcing of operations, contributed. Operating profit therefore improved by ¥24,537 million year on year to ¥20,127 million, compared with an operating loss of ¥4,410 million in the same period of the previous year, while operating profit before depreciation and amortization increased by ¥24,434 million, or 66.0%, to ¥61,439 million.」

「Operating revenue increased by ¥17,687 million, or 9.1% year on year, to ¥212,595 million. In addition to the increase in revenue, initiatives to reduce fixed costs, including a review of vehicle operations and the insourcing of operations, contributed. Operating profit improved by ¥16,949 million year on year to ¥13,415 million, compared with an operating loss of ¥3,533 million in the same period of the previous year, while operating profit before depreciation and amortization increased by ¥17,589 million, or 74.6%, to ¥41,172 million.」

「During the three months ended June 30, although revenue declined because Seibu Construction Co., Ltd. was excluded from the scope of consolidation, the Group steadily captured increased demand following the lifting of restrictions related to COVID-19. Operating revenue increased by ¥11,669 million, or 12.7% year on year, to ¥103,432 million. In addition to the increase in revenue, initiatives to reduce fixed costs, including a review of vehicle operations and the insourcing of operations, contributed. Operating profit therefore increased by ¥13,620 million year on year to ¥7,624 million, compared with an operating loss of ¥5,995 million in the same period of the previous year.」

「Operating revenue increased by ¥59,795 million, or 17.7% year on year, to ¥396,856 million. Although the amount of fixed costs reclassified as extraordinary losses at certain facilities during suspension periods decreased, the increase in revenue, reductions in executive compensation and employee bonuses, and initiatives to reduce fixed costs, including a review of vehicle operations, the reorganization of bus routes and the insourcing of operations, also contributed. As a result, the operating loss improved by ¥38,370 million year on year to ¥13,216 million, compared with an operating loss of ¥51,587 million in the previous fiscal year, while operating profit before depreciation and amortization increased by ¥40,532 million to ¥42,415 million, compared with operating profit before depreciation and amortization of ¥1,882 million in the previous fiscal year.」

「Operating revenue increased by ¥47,836 million, or 18.9% year on year, to ¥300,282 million. Although the amount of fixed costs reclassified as extraordinary losses at certain facilities during suspension periods decreased, the increase in revenue, reductions in executive compensation and employee bonuses, and initiatives to reduce fixed costs, including a review of vehicle operations, the reorganization of bus routes and the insourcing of operations, also contributed. As a result, the operating loss improved by ¥32,662 million year on year to ¥4,410 million, while operating profit before depreciation and amortization increased by ¥34,324 million to ¥37,005 million.」

「The business environment remained challenging during the six months ended September 30, owing to the spread of COVID-19, the repeated issuance of related states of emergency and increasingly severe restrictions on going out. However, operating revenue increased by ¥40,008 million, or 25.8% year on year, to ¥194,908 million, aided by a decrease in the number of facilities that suspended operations and the provision of services tailored to customer needs during the pandemic. Although the amount of fixed costs reclassified as extraordinary losses at certain facilities during suspension periods decreased, the increase in revenue, reductions in executive compensation and employee bonuses, and initiatives to reduce fixed costs, including a review of vehicle operations, the reorganization of bus routes and the insourcing of operations, also contributed. As a result, the operating loss improved by ¥27,157 million year on year to ¥3,533 million, compared with an operating loss of ¥30,690 million in the same period of the previous year, while operating profit before depreciation and amortization increased by ¥28,653 million to ¥23,582 million, compared with an operating loss before depreciation and amortization of ¥5,070 million in the same period of the previous year.」

「Although the business environment remained difficult due to the spread of COVID-19 and the resulting declarations of a state of emergency, operating revenue increased to ¥91.763 billion, up ¥25.421 billion, or 38.3%, from the same period of the previous year, aided by a decrease in the number of facilities that were closed and services tailored to customer needs during the pandemic. Although the amount of fixed costs for some facilities reclassified as extraordinary losses during the closure period decreased, the increase in revenue, reductions in executive compensation and employee bonuses, and initiatives to reduce fixed costs, including a review of vehicle operations, the reorganisation of bus routes and the internalisation of operations, contributed to an operating loss of ¥5.995 billion, an improvement of ¥11.677 billion from the same period of the previous year, when the operating loss was ¥17.673 billion. EBITDA was ¥7.441 billion, an increase of ¥13.299 billion from the same period of the previous year, when EBITDA was an operating loss of ¥5.857 billion.」

「Due to lower demand resulting from the spread of COVID-19 and the adoption of new lifestyles, as well as facility closures, operating revenue was ¥337.061 billion, a decrease of ¥217.529 billion, or 39.2%, from the previous fiscal year. Although the Company reduced nonessential and nonurgent costs and reclassified fixed costs for some facilities during the closure period as extraordinary losses, the decline in revenue resulted in an operating loss of ¥51.587 billion, compared with operating income of ¥56.823 billion in the previous fiscal year. EBITDA was ¥1.882 billion, a decrease of ¥112.652 billion, or 98.4%, from the previous fiscal year.」

「An overview of operating results for the first quarter of the current consolidated cumulative period is as follows. Due to a decrease in customers resulting from the spread of COVID-19 and the temporary closure of some facilities, operating revenue was ¥66.341 billion, a decrease of ¥78.497 billion, or 54.2%, from the same period of the previous year. Although the Company reduced nonessential and nonurgent costs and recorded fixed costs for some facilities during the closure period as extraordinary losses, the decline in revenue resulted in an operating loss of ¥17.673 billion, a decrease of ¥39.193 billion from the same period of the previous year, when the Company recorded operating income of ¥21.520 billion. EBITDA was an operating loss of ¥5.857 billion, a decrease of ¥41.232 billion from the same period of the previous year, when the Company recorded EBITDA of ¥35.374 billion.」

「An overview of operating results for the third quarter of the current consolidated cumulative period is as follows. Operating revenue was ¥432.626 billion, an increase of ¥10.963 billion, or 2.6%, from the same period of the previous year. Operating income was ¥59.488 billion, an increase of ¥680 million, or 1.2%, and EBITDA was ¥101.834 billion, an increase of ¥3.163 billion, or 3.2%.」

「Operating revenue was ¥294.689 billion, an increase of ¥11.448 billion, or 4.0%, from the same period of the previous year. Operating income was ¥43.796 billion, an increase of ¥1.722 billion, or 4.1%, and EBITDA was ¥71.760 billion, an increase of ¥3.353 billion, or 4.9%.」

「Operating revenue was ¥144.839 billion, an increase of ¥8.579 billion, or 6.3%, from the same period of the previous year. Operating income was ¥21.520 billion, an increase of ¥1.338 billion, or 6.6%, and EBITDA was ¥35.374 billion, an increase of ¥2.089 billion, or 6.3%.」

「An overview of operating results for the third quarter of the current consolidated cumulative period is as follows. Operating revenue was ¥421.662 billion, an increase of ¥23.033 billion, or 5.8%, from the same period of the previous year. Operating income was ¥58.807 billion, an increase of ¥4.080 billion, or 7.5%, and EBITDA was ¥98.670 billion, an increase of ¥6.161 billion, or 6.7%.」

「An overview of operating results for the second quarter of the current consolidated cumulative period is as follows. Operating revenue was ¥283.240 billion, an increase of ¥16.904 billion, or 6.3%, from the same period of the previous year. Operating income was ¥42.073 billion, an increase of ¥4.238 billion, or 11.2%, and EBITDA was ¥68.406 billion, an increase of ¥5.763 billion, or 9.2%.」

「An overview of operating results for the first quarter of the current consolidated cumulative period is as follows. Operating revenue was ¥136.259 billion, an increase of ¥6.015 billion, or 4.6%, from the same period of the previous year. Operating income was ¥20.181 billion, an increase of ¥3.172 billion, or 18.6%, and EBITDA was ¥33.284 billion, an increase of ¥4.029 billion, or 13.8%.」

「An overview of operating results for the current consolidated fiscal year is as follows. Operating revenue was ¥530.631 billion, an increase of ¥18.622 billion, or 3.6%, from the previous fiscal year. Operating income was ¥64.259 billion, an increase of ¥1.803 billion, or 2.9%, due in addition to the increase in income from higher revenue, to the fact that temporary expenses related to the opening of Tokyo Garden Terrace Kioicho had been recorded in the previous fiscal year, among other factors, and」

「Operating revenue was ¥398.629 billion, an increase of ¥13.587 billion, or 3.5%, from the same period of the previous year. Operating income was ¥54.726 billion, an increase of ¥3.125 billion, or 6.1%, due in addition to the increase in income from higher revenue, to the fact that temporary expenses related to the opening of Tokyo Garden Terrace Kioicho had been recorded in the same period of the previous year, among other factors, and EBITDA was ¥92.509 billion, an increase of ¥7.619 billion, or 9.0%.」

「Operating revenue was ¥266.335 billion, an increase of ¥15.157 billion, or 6.0%, from the same period of the previous year. Operating income was ¥37.835 billion, an increase of ¥7.737 billion, or 25.7%, due in addition to the increase in income from higher revenue, to the fact that temporary expenses related to the opening of Tokyo Garden Terrace Kioicho had been recorded in the same period of the previous year, among other factors, and EBITDA was ¥62.643 billion, an increase of ¥10.807 billion, or 20.8%.」

「Operating revenue was ¥130.244 billion, an increase of ¥9.190 billion, or 7.6%, from the same period of the previous year. Operating income was ¥17.009 billion, an increase of ¥5.460 billion, or 47.3%, due in addition to the increase in income from higher revenue, to the fact that temporary expenses related to the opening of Tokyo Garden Terrace Kioicho had been recorded in the same period of the previous year, among other factors,」

「Operating revenue was ¥512.009 billion, an increase of ¥3.927 billion, or 0.8%, from the previous fiscal year. Operating income was ¥62.456 billion, a decrease of ¥3.499 billion, or 5.3%, due in part to temporary expenses related to the opening of Tokyo Garden Terrace Kioicho and higher depreciation and amortisation expenses.」

「Operating revenue was ¥385.041 billion, an increase of ¥6.179 billion, or 1.6%, from the same period of the previous year. However, due in part to temporary expenses related to the opening of Tokyo Garden Terrace Kioicho, operating income was ¥51.601 billion, a decrease of ¥4.453 billion, or 7.9%, and EBITDA was ¥84.889 billion, a decrease of ¥1.171 billion, or 1.4%.」

「Operating revenue was ¥251.178 billion, an increase of ¥328 million, or 0.1%, from the same period of the previous year. Operating income was ¥30.098 billion, a decrease of ¥8.045 billion, or 21.1%, and EBITDA was ¥51.836 billion, a decrease of ¥6.097 billion, or 10.5%.」

「Operating revenue was ¥121.053 billion, an increase of ¥1.990 billion, or 1.7%, from the same period of the previous year. Operating income was ¥11.549 billion, a decrease of ¥4.683 billion, or 28.9%, and EBITDA was ¥22.058 billion, a decrease of ¥3.991 billion, or 15.3%.」