Financial Results (Consolidated) 2021/3
During the fiscal year ended March 31, 2021, with regard to the Japanese economy, economic activity was restricted and severely affected by people refraining from going out, a significant decrease in the number of foreign visitors to Japan, and other factors as a result of the declaration of a state of emergency in Japan in April 2020 due to the spread of the novel coronavirus disease (COVID-19). Although the economy has continued to recover following the lifting of the state of emergency, the outlook for the economy as a whole still remains uncertain amid uncertainty regarding when COVID-19 will be brought under control as there continues to be a trend of refraining from going out and restrictions on travel, as well as other factors including a declaration of second state of emergency in January 2021 due to a resurgence of COVID-19.
Under this type of environment, the Group has faced significant restrictions on business activities of all segments, mainly due to the temporarily closing or reduction in operating hours of commercial facilities, facilities and retail stores in the first quarter ended June 30, 2020. After the lifting of the state of emergency, operations gradually resumed, and results in the second quarter ended September 30, 2020 and thereafter are on a recovery trend due to various government measures, etc., but the effects have continued mainly due to the trend of refraining from going out in response to the resurgence of COVID-19.
Results for this fiscal year ended March 31, 2021 showed decreases in both revenues and profit with ¥907.7 billion in operating revenue (down 5.8% from the previous fiscal year), ¥56.5 billion in operating profit (down 28.7%) and ¥46.6 billion in ordinary profit (down 31.0%) due to the impact of the spread of COVID-19, mainly in the Wellness business and Tokyu Hands business, despite an increase in revenues and profit in the Urban Development business because of newly opened development projects and an increase in revenues from sales of properties including buildings for investors, and operation projects in the renewable energy business, as well as ¥21.7 billion in profit attributable to owners of parent (down 43.9%) due to the recording of loss, etc. as extraordinary losses due to COVID-19.