FY2022

Financial Results

－Held on May 17, 2023－

Keio Corporation

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Contents

  1. Progress on Medium-Term Management Plan

President and Representative Director,

Satoshi Tsumura

President and Executive Officer

II. FY2022 Results

III. FY2023 Earnings Forecasts

Director, Managing Officer

Masahiro Ono

(in charge of Finance and Information Disclosure)

IV. Reference Material

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2

Performance Summary

FY2022 Results

  • Revenues rebounded substantially compared to last fiscal year in Hotels and were up across all segments, resulting in operating revenues of 3,471 hmy.
  • Operating profit totaled 214 hmy and profit attributable to owners of parent came in at 131 hmy amid improved performance compared to last fiscal year across every segment except Other Businesses.
  • The annual dividend for FY2022 was 40.0 yen per share.

FY2023 Earnings Forecasts

  • The real estate sales business will be the main driver of operating revenues growth to 3,680
    hmy (+50 hmy compared to the Medium-Term Management Plan).
  • While Hotels will see substantial improvement, the forecast for operating profit is 210 hmy (-40hmy compared to the Medium-TermManagement Plan), due to increases in utilities, personnel, and other expenses.
  • No impact is anticipated from the railway passenger fare revision requested in March 2023.
  • We plan to increase the annual dividend to 45.0 yen per share for FY2023.

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3

I. Progress on Medium-Term Management Plan

  1. Three-yearMedium-Term Management Plan (FY2022 to FY2024)
  2. Improvement in Railways Business Safety and Service
  3. Focus on Urban Development
  4. Promotion of Business Structure Reform
  5. Enhancement of Earning Power
  6. Building a Solid Business Base

Satoshi Tsumura

President and Representative Director,

President and Executive Officer

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4

I. Progress on Medium-Term Management Plan

1. Three-yearMedium-Term Management Plan (FY2022 to FY2024)

Re Start

➢ Work on improving ease of getting around within the living sphere as a company driving new

lifestyles.

➢

Central involvement in productive and attractive urban development.

➢

Creation of new transportation demand.

Re Development

Re Structuring

Re Inforce

  • Generate new transportation demand by making it easier to get around within the living sphere.
  • Manage areas along railway lines.
  • Engage in station-centered hub development.
  • Pursue digital transformation to restructure costs and utilize data across the entire Group.
  • Identify unprofitable domains and engage in a process of selection and concentration.
  • Build a business structure that does not rely on passenger traffic and inbound business.
  • Strengthen the condominium business and other real estate sales business.
  • Focus on the exit strategy in acquisition and sale of new assets.
  • Enter the logistics business and expand B to B domains.

Railways

"Railways with excellent service and the best safety in Japan"

  • Pursue an even higher level of safety and security.
  • Provide services that anticipate customers' needs.
  • Exist harmoniously in communities and society by contributing even more to society.
  • Build a solid business management structure focused on the future.

Solid business base

  • Develop and hire human resources who possess a high degree of expertise and secure diversity.
  • Implement environmental initiatives.
  • Build a financial base that can withstand the cash outlays during the large-scale investment period.

The profit level restoration period is an important period to prepare for the large-scale investment that will get fully underway in the 2030s. In FY2024, we aim to restore profits to around 85% of FY2018 (pre-pandemic) and will target profits exceeding the record high by the 2030s.

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5

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Disclaimer

Keio Corporation published this content on 08 June 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 June 2023 07:35:09 UTC.