Nomura Real Estate : December-2021 Fact Sheets(For the 3rd Quarter of Fiscal Year Ending March 31, 2022)

December-2021 Fact Sheets

(For the 3rd Quarter of Fiscal Year Ending March 31, 2022)

Released on January 27, 2022

Nomura Real Estate Holdings, Inc.

[Consolidated Financial Summary 1]														(Millions of yen)
		2019/03		2020/03			2021/03			2022/03
		3Q			3Q			1Q	2Q	3Q		1Q	2Q	3Q
		Apr-Dec '18		FY	Apr-Dec '19		FY	Apr-Jun '20	Apr-Sep '20	Apr-Dec '20	FY	Apr-Jun '21	Apr-Sep '21	Apr-Dec '21	FY(F)
Operating revenue	350,857		668,510	331,560		676,495	136,486	223,935	373,361	580,660	146,544	257,126	361,004	670,000
Operating gross profit	111,199		188,712	103,051		193,723	41,917	73,663	122,157	183,057	56,769	93,629	127,538	－
	(Gross profit ratio)	31.7%		28.2%	31.1%		28.6%	30.7%	32.9%	32.7%	31.5%	38.7%	36.4%	35.3%	－
Selling, general and administrative expenses	74,188		109,549	74,867		111,817	24,016	49,475	74,641	106,724	26,275	53,268	78,402	－
	(SG&A ratio)	21.1%		16.4%	22.6%		16.5%	17.6%	22.1%	20.0%	18.4%	17.9%	20.7%	21.7%	－
Operating profit	37,010		79,162	28,183		81,905	17,900	24,187	47,515	76,333	30,493	40,360	49,135	86,000
	(Operating profit ratio)	10.5%		11.8%	8.5%		12.1%	13.1%	10.8%	12.7%	13.1%	20.8%	15.7%	13.6%	－
Business profit(*1)	37,365		79,623	28,920		82,833	18,107	24,648	47,802	76,448	30,519	40,458	49,299	88,000
Non-operating income	517		746	1,102		1,350	301	654	597	747	172	393	555	－
	Interest and dividend income	89		114	113		208	39	75	130	159	50	100	131	－
	Other	427		631	988		1,141	261	578	467	588	122	293	423	－
Non-operating expenses	7,401		10,584	7,350		10,178	2,785	5,412	8,062	11,115	2,841	5,610	8,513	－
	Interest expenses	6,612		8,753	6,584		8,788	2,220	4,562	6,818	9,015	2,186	4,405	6,638	－
	Other	789		1,831	766		1,389	565	849	1,243	2,100	654	1,204	1,874	－
Ordinary profit	30,126		69,323	21,935		73,077	15,417	19,429	40,050	65,965	27,825	35,143	41,178	77,000
	(Ordinary profit ratio)	8.6%		10.4%	6.6%		10.8%	11.3%	8.7%	10.7%	11.4%	19.0%	13.7%	11.4%	－
Extraordinary income	－		－	393		393	－	513	548	565	－	－	－	－
Extraordinary losses	1,912		3,916	241		381	1,715	1,715	2,047	3,710	686	686	1,304	－
Profit before income taxes	28,213		65,407	22,088		73,090	13,701	18,226	38,552	62,820	27,138	34,456	39,873	－
Profit attributable to owners of parent	20,566		45,873	14,662		48,886	8,833	12,030	25,962	42,198	18,606	23,513	26,859	51,000

(*1) Business profit = operating profit + share of profit (loss) of entities accounted for using equity method + amortization of intangible assets associated with corporate acquisitions

1	NOMURA REAL ESTATE HOLDINGS
December-2021 Fact Sheets

[Consolidated Financial Summary 2]														(Millions of yen)
		2019/03		2020/03			2021/03			2022/03
		3Q			3Q			1Q	2Q	3Q		1Q	2Q	3Q
		As of		FY	As of		FY	As of	As of	As of	FY	As of	As of	As of	FY(F)
		Dec.31, 2018		Dec.31, 2019		Jun.30, 2020	Sep.30, 2020	Dec.31, 2020	Jun.30, 2021	Sep.30,2021	Dec.31, 2021
Total assets	1,733,386		1,759,455	1,811,542		1,801,273	1,862,336	1,847,576	1,862,456	1,921,306	1,957,185	1,962,998	1,986,141	－
	Current assets	784,105		849,528	889,438		906,726	958,858	945,557	944,379	1,043,321	1,074,214	1,069,356	1,095,581	－
		<645,616>		<636,925>	<725,458>		<714,734>	<754,005>	<803,487>	<804,090>	<875,520>	<877,546>	<894,198>	<906,726>	－
		<16,663>		<18,066>	<31,625>		<30,983>	<29,005>	<29,682>	<28,806>	<28,770>	<29,791>	<30,484>	<30,317>	－
	Non-current assets	949,281		909,926	922,104		894,547	903,478	902,018	918,076	877,985	882,970	893,641	890,559	－
Net assets	514,576		541,562	538,899		565,120	555,712	560,078	568,724	586,350	601,172	602,679	594,740	－
Shareholders' equity ratio	28.9%		29.9%	28.9%		30.5%	29.7%	30.2%	30.4%	30.4%	30.6%	30.6%	29.8%	－
Interest-bearing debt	972,900		914,000	1,011,000		870,000	1,029,500	1,025,500	1,029,000	1,008,500	1,028,343	1,077,969	1,107,825	－
		2019/03		2020/03			2021/03			2022/03
		3Q			3Q			1Q	2Q	3Q		1Q	2Q	3Q
		Apr-Dec '18		FY	Apr-Dec '19		FY	Apr-Jun '20	Apr-Sep '20	Apr-Dec '20	FY	Apr-Jun '21	Apr-Sep '21	Apr-Dec '21	FY(F)
Capital investment (*1)	17,325		20,824	12,518		20,363	13,285	37,233	39,840	45,665	6,694	15,166	19,494	－
Depreciation (*2)	14,162		19,201	14,735		19,805	4,925	9,966	14,892	20,021	4,712	9,441	14,142	－
		2019/03		2020/03			2021/03			2022/03
		3Q			3Q			1Q	2Q	3Q		1Q	2Q	3Q
		Apr-Dec '18		FY	Apr-Dec '19		FY	Apr-Jun '20	Apr-Sep '20	Apr-Dec '20	FY	Apr-Jun '21	Apr-Sep '21	Apr-Dec '21	FY(F)
Cash flows from operating activities	(57,611)		89,964	(116,340)		56,618	(120,573)	(152,598)	(128,935)	(63,504)	(24,444)	(77,284)	(83,556)	－
Cash flows from investing activities	(25,177)		(46,699)	(23,085)		(30,490)	4,190	(19,274)	(41,051)	(55,789)	(4,873)	(22,627)	(27,937)	－
Cash flows from financing activities	73,601		13,723	76,150		(66,821)	143,812	139,523	135,647	112,376	11,224	59,340	79,344	－
Cash and cash equivalents	52,157		118,330	54,926		77,611	104,916	45,149	43,164	70,624	52,763	30,267	38,648	－

(*1) Capital investment represents the amount shown for "Purchase of property, plant and equipment and intangible assets" on the consolidated statements of cash flows.

(*2) Depreciation represents the amount shown for "Depreciation" on the consolidated statements of cash flows.

2	NOMURA REAL ESTATE HOLDINGS
December-2021 Fact Sheets

[Business Unit Information 1]																(Millions of yen)
		2019/03		2020/03（*1,2）					2021/03				2022/03
Operating revenue	3Q			3Q				1Q	2Q	3Q			1Q	2Q	3Q
Apr-Dec '18		FY	Apr-Dec '19		FY		Apr-Jun '20	Apr-Sep '20	Apr-Dec '20	FY		Apr-Jun '21	Apr-Sep '21	Apr-Dec '21	FY(F)
Residential Development	170,646		375,373	93,313			333,966	55,286	83,908	129,417	272,577		46,602	99,094	138,301	305,000
	Housing sales(Japan)	146,557		342,055	78,367			294,376	50,300	74,864	111,632	247,609		42,679	90,121	123,892	－
	Rental housing(sale)(*3)	9,100		11,740	2,750			17,931	－	－	5,035	5,035		－	－	1,570	－
	Rental housing(leasing)(*3)	326		495	804			1,070	210	436	691	925		318	739	1,109	－
	Senior	265		377	337			451	116	269	453	651		210	436	701	－
	Other	14,395		20,701	11,054			20,136	4,658	8,338	11,605	18,355		3,394	7,795	11,027	－
Commercial Real Estate	93,875		171,612	144,658			212,133	52,872	80,402	153,248	179,227		67,600	91,721	127,799	220,000
	Leasing (offices)	41,125		53,975	36,485			48,562	11,560	23,648	35,588	47,411		11,076	22,933	34,067	－
	Leasing (retail facilities)	10,341		13,817	9,798			12,910	1,590	5,045	7,915	11,018		2,943	5,862	8,923	－
	Leasing (other)	5,816		7,974	6,190			8,375	1,499	2,979	4,361	5,776		1,002	2,055	3,089	－
	Property for sales (sale)(*4)	13,963		65,350	62,729			106,816	33,270	35,965	85,207	87,846		45,489	45,489	57,062	－
	Property for sales (leasing)(*4)	3,119		4,533	5,279			7,037	2,872	5,948	8,807	11,239		3,128	6,569	10,170	－
	Fitness	12,406		16,647	12,862			15,757	1,168	4,656	8,201	11,509		2,921	6,474	10,020	－
	Other	7,102		9,312	11,314			12,674	909	2,157	3,165	4,426		1,038	2,335	4,464	－
Investment Management	7,094		9,641	9,064			12,059	3,378	6,295	9,839	12,456		3,453	6,248	9,603	12,000
Property Brokerage & CRE	25,513		37,298	27,092			39,110	8,575	17,693	27,320	39,436		10,621	20,699	31,666	43,000
	Brokerage fee (retail)	15,769		21,618	17,390			24,017	4,843	10,556	16,257	23,334		6,774	13,416	20,415	－
	Brokerage fee (wholesale)	7,368		11,517	7,767			11,138	2,750	5,314	8,251	11,384		2,868	5,303	8,331	－
	Other	2,375		4,162	1,933			3,954	981	1,823	2,811	4,717		978	1,979	2,919	－
Property & Facility Management	65,030		91,374	70,378			98,274	19,789	43,265	66,936	98,384		21,618	46,634	69,946	100,000
	Property & facility management	38,573		51,524	41,495			55,530	14,132	28,076	42,444	56,783		14,293	28,981	43,728	－
	Construction ordered	21,118		32,371	24,943			37,327	4,377	12,359	20,285	35,863		6,013	14,893	22,098	－
	Other	5,337		7,478	3,939			5,417	1,279	2,828	4,206	5,737		1,311	2,759	4,119	－
Other	69		94	574			1,143	295	592	1,689	2,070		631	1,343	1,555	2,000
Adjustments (eliminations or corporate)	(11,373)		(16,885)	(13,520)			(20,193)	(3,711)	(8,222)	(15,090)	(23,492)		(3,983)	(8,615)	(17,867)	(12,000)
Total	350,857		668,510	331,560			676,495	136,486	223,935	373,361	580,660		146,544	257,126	361,004	670,000
Operating profit
Residential Development	3,729		25,069	(7,983)			25,351	4,197	1,777	2,212	22,421		1,726	6,121	5,850	－
Commercial Real Estate	22,351		37,600	24,487			38,941	10,237	15,101	32,287	35,138		23,174	24,612	27,470	－
Investment Management	4,478		5,943	5,195			6,853	2,147	3,716	6,057	7,296		2,204	3,725	5,788	－
Property Brokerage & CRE	4,352		8,170	4,935			9,097	1,627	3,145	5,485	8,962		3,195	5,044	8,231	－
Property & Facility Management	4,771		7,434	5,674			8,474	1,156	3,119	5,163	9,089		1,508	3,904	5,844	－
Other	(23)		(43)	(1,419)			(1,267)	(580)	(721)	(351)	(798)		(155)	(352)	(1,059)	－
Adjustments (eliminations or corporate)	(2,648)		(5,013)	(2,707)			(5,545)	(883)	(1,951)	(3,339)	(5,776)		(1,161)	(2,694)	(2,990)	－
Total	37,010		79,162	28,183			81,905	17,900	24,187	47,515	76,333		30,493	40,360	49,135	－
Business profit (*5)
Residential Development	3,715		25,032	(7,989)			25,339	4,188	1,764	2,194	22,404		1,734	6,131	5,872	31,500
Commercial Real Estate	22,697		38,043	24,724			39,247	10,362	15,295	32,550	35,469		23,273	24,779	27,706	37,500
Investment Management	4,478		5,969	5,417			7,149	2,221	3,861	6,275	7,587		2,282	3,885	6,028	7,500
Property Brokerage & CRE	4,352		8,170	4,935			9,088	1,627	3,145	5,485	8,976		3,195	5,044	8,231	10,500
Property & Facility Management	4,793		7,464	5,745			8,566	1,194	3,197	5,287	9,281		1,540	3,956	5,931	9,000
Other	(23)		(43)	(1,206)			(1,012)	(602)	(665)	(651)	(1,495)		(346)	(643)	(1,479)	(500)
Adjustments (eliminations or corporate)	(2,648)		(5,013)	(2,707)			(5,545)	(883)	(1,951)	(3,339)	(5,776)		(1,161)	(2,694)	(2,990)	(7,500)
Total	37,365		79,623	28,920			82,833	18,107	24,648	47,802	76,448		30,519	40,458	49,299	88,000

(*1) From the fiscal year ended March 31, 2021, the overseas condominium development and sales business, which had been classified under the Residential Development Business Unit in Nomura Real Estate Development Co., Ltd. and the overseas office and other properties development and leasing business, and ZEN PLAZA CO., LTD., which had been classified under the Commercial Real Estate Business Unit, have been reclassified under the Other. Due to this change, the results for the fiscal year ended March 31, 2020 are classified under the new classiification.

(*2) As of April 1, 2020, NREG TOSHIBA BUILDING FACILITIES Co., Ltd., which had been classified under the Commercial Real Estate Business Unit, has been merged with Nomura Real Estate Partners Co., Ltd. which has been classified under the Property & Facility Management Business Unit. The merger has been carried out with NREG TOSHIBA BUILDING FACILITIES Co., Ltd. being the absorbed company and Nomura Real Estate Partners Co., Ltd. being the surviving company. In line with this change, the results for the fiscal year ended March 31, 2020 are based on the changed classification under the new classification of business unit after the merger.

(*3) Rental Housing refers to properties developed for real estate investment market.

(*4) Property for sales refers to properties such as office building, retail facility and logistic facility developed for real estate investment market.

(*5) Business profit = Operating profit + Share of profit and loss of entities accounted for using equity method + Amortization expneses of intangible assets associated with corporate acquisition

3	NOMURA REAL ESTATE HOLDINGS
December-2021 Fact Sheets

[Business Unit Information 2]																(Millions of yen)
	2019/03		2020/03(※1,2）			2021/03				2022/03
	3Q			3Q			1Q	2Q		3Q		1Q	2Q		3Q
	As of		FY	As of		FY	As of	As of		As of	FY	As of	As of		As of	FY(F)
Assets	Dec.31, 2018		Dec.31, 2019		Jun.30, 2020	Sep.30, 2020		Dec.31, 2020	Jun.30, 2021	Sep.30, 2021		Dec.31, 2021
Residential Development	513,589		463,277	511,458		457,505	477,478	508,964		516,622	505,976	496,476	508,513		520,878	－
Commercial Real Estate	1,077,514		1,086,064	1,087,057		1,112,664	1,128,008	1,143,703		1,137,372	1,160,805	1,175,658	1,186,936		1,196,338	－
Investment Management	39,781		42,463	40,982		43,053	39,879	40,206		41,565	42,868	40,640	40,992		41,322	－
Property Brokerage & CRE	14,703		28,228	18,436		19,240	13,353	14,549		18,157	25,201	20,601	22,247		23,327	－
Property & Facility Management	36,291		42,294	40,426		47,106	37,148	40,651		41,753	50,095	38,613	41,771		40,873	－
Other	917		929	61,143		61,730	59,493	60,624		76,991	89,237	90,664	100,748		101,863	－
Adjustments (eliminations or corporate)	50,589		96,197	52,038		59,972	106,973	38,876		29,994	47,122	94,529	61,788		61,536	－
Total	1,733,386		1,759,455	1,811,542		1,801,273	1,862,336	1,847,576		1,862,456	1,921,306	1,957,185	1,962,998		1,986,141	－
Inventories
Residential Development	448,040		391,508	459,087		401,119	435,123	466,905		472,371	463,944	453,714	459,786		468,811	－
Commercial Real Estate	197,649		245,575	266,708		314,297	319,514	337,135		332,216	412,862	424,924	434,855		438,085	－
Investment Management	－		－	－		－	－	－		－	－	－	－		－	－
Property Brokerage & CRE	－		－	－		－	－	－		－	－	－	－		－	－
Property & Facility Management	551		397	486		69	119	198		463	44	205	165		439	－
Other	11		11	11		11	11	11		11	11	11	11		11	－
Adjustments (eliminations or corporate)	(636)		(567)	(835)		(762)	(762)	(762)		(972)	(1,342)	(1,309)	(620)		(621)	－
Total	645,616		636,925	725,458		714,734	754,005	803,487		804,090	875,520	877,546	894,198		906,726	－
Return on Assets (ROA) of Each Business Unit
Residential Development	－		5.4%	－		5.5%	－	－		－	4.4%	－	－		－	－
Commercial Real Estate	－		3.5%	－		3.5%	－	－		－	3.0%	－	－		－	－
Investment Management	－		14.0%	－		15.9%	－	－		－	17.0%	－	－		－	－
Property Brokerage & CRE	－		28.9%	－		47.2%	－	－		－	35.6%	－	－		－	－
Property & Facility Management	－		17.6%	－		18.1%	－	－		－	18.5%	－	－		－	－
Other	－		－	－		－	－	－		－	－	－	－		－	－
Total	－		4.7%	－		4.7%	－	－		－	4.1%	－	－		－	－

ROA of each business unit =(Operating profit + Share of profit (loss) of entities accounted for using equity method) / total assets at the end of the period Total ROA = (Operating profit + Non-operating profit) / Average assets during the FY

(*1) From the fiscal year ended March 31, 2021, the overseas condominium development and sales business, which had been classified under the Residential Development Business Unit in Nomura Real Estate Development Co., Ltd. and the overseas office and other properties development and leasing business, and ZEN PLAZA CO., LTD., which had been classified under the Commercial Real Estate Business Unit, have been reclassified under the Other.

Due to this change, the results for the fiscal year ended March 31, 2020 are classified under the new classification.

(*2) As of April 1, 2020, NREG TOSHIBA BUILDING FACILITIES Co., Ltd., which had been classified under the Commercial Real Estate Business Unit, has been merged with Nomura Real Estate Partners Co., Ltd. which has been classified under the Property & Facility Management Business Unit. The merger has been carried out with NREG TOSHIBA BUILDING FACILITIES Co., Ltd. being the absorbed company and Nomura Real Estate Partners Co., Ltd. being the surviving company. In line with this change, the results for the fiscal year ended March 31, 2020 are based on the changed classification under the new classification of business unit after the merger.

4	NOMURA REAL ESTATE HOLDINGS
December-2021 Fact Sheets