(Millions of yen)
|Net sales||Full year||3,512,909||3,795,992||4,050,000(Forecasts)|
|Operating income||Full year||310,092||347,141||354,000(Forecasts)|
|Ordinary income||Full year||300,529||344,593||352,000(Forecasts)|
|Net income attributable to
owners of the parent
|Total assets||Full year||3,555,885||4,035,059||-|
|Net assets||Full year||1,329,901||1,513,585||-|
|Net assets ratio||Full year||36.8%||36.5%||-|
|Net income per share (yen)||Full year||304.14||355.87||361.15(Forecasts)|
|Book-value per share (yen)||Full year||1,971.66||2,218.17||-|
Note: Figures are rounded down to the nearest million yen, with the exception of the net assets ratio, net income per share, and net assets per share.
Net income attributable to owners of the parent
Net assets ratio
Net income per share
Book-value per share
- Note1: Amounts below 100 million yen are omitted.
The percentage figures for breakdown of net sales and operating income by segment
Single-Family Houses Business
In the Single-Family Houses Business segment, during the period under review, we earnestly addressed our role as a home builder and pursued community-based business projects to expand sales.
In our custom-built houses business, we responded to customers’ diversifying needs with a wide-ranging product lineup, focusing particularly on the marketing of three models: the xevoΣ (zevo sigma), a single-family house that offers resistance against repeated strong earthquakes as well as extra comfort thanks to its external wall thermal insulation system and the spaciousness provided by its 2.72-meter-high ceilings; the xevo GranWood, a wooden house; and the “skye”, a single-family house that comes in three-, four-, and five-story versions. We also launched the xevoΣ PREMIUM, which features the industry’s highest standard (*) of insulation and earthquake resistance, with a structure and waterproofing that come with a 30-year guarantee. Additionally, we expanded our menu of housing models, ranging from standard single-family houses to combination housing (multi-function housing).
Additionally, our “Kaji Share House” (Chore-Sharing House; a single-family house designed to relieve working couples from some of the time constraints and mental stress of doing housework) won the Grand Prix at the Ikumen Enterprise Award 2018 as well as the Grand Prix and a special prize at the PR Award Grand Prix 2018.
Nevertheless, net sales for this segment amounted to 273,385 million yen (-0.7% year on year), while operating income came to 13,331 million yen (-14.1% year on year) due to increasing personnel costs and others.
* Results of a survey conducted by Daiwa House Industry Co., Ltd.
Rental Housing Business
In the Rental Housing Business segment, during the period under review, we worked to strengthen our range of proposals for more effective use of landholdings, making optimal use of our comprehensive services covering everything from initial estimates of site-use potential through planning, design and construction to management support. We took steps to acquire an expanded volume of orders for large-scale projects, including strengthening our efforts in three-story as well as medium- to high-rise rental housing properties.
We launched the Séjour Cube-II and Séjour Ott’s Cube-III rental housing building models, which feature a unique zigzag external shape arranged in what we call the Flying Geese pattern, making best use of the configuration of the site. We also began marketing the Du-Smica, a type of rental housing targeting dual-income households, featuring various ingenious ideas to help residents make the most of the space available when tidying up and to cut down on the time required for housework. In these and other ways, we worked to expand our product lineup and menu of specifications.
As a result, net sales for this segment amounted to 779,008 million yen (+3.8% year on year), while operating income came to 75,670 million yen (-2.3% year on year).
In the Condominiums Business segment, during the period under review, we worked to expand our supply net over the entire country and to design and develop condominium buildings that will provide a high degree of added value for both our customers and society as a whole.
Looking at sales in the Greater Tokyo Area, PREMIST Ariake Gardens (Tokyo) benefited from buyers’ perception of future improvements in the transportation infrastructure and the likelihood of an improved living environment in that location, and the sale of dwelling units thus proceeded smoothly.
In the Kinki region, applications under Phase 1 marketing of dwelling units in our PREMIST Umeda (Osaka Pref.) were received for the purchase of all units on the first day. This positive response was due to the rarity value of such condominiums in that area of the city, as well as the design of the units, which are more spacious than usual.
Also, Cosmos Initia Co., Ltd. completed sales of all units of Initia Kohoku New Town (Kanagawa Pref.) at early stage, thanks to its excellent access to central Tokyo and the large number of major commercial facilities easily accessible by residents.
However, as a result of a decline in the number of construction completions compared with the previous year, net sales for this segment amounted to 152,440 million yen (-7.9% year on year), while operating income came to 3,714 million yen (-12.6% year on year).
Existing Homes Business
In the Existing Homes Business segment, during the period under review, we maintained our policy of mainly strengthening our relationship with the owners of single-family houses and rental housing built by the Company by means of regular inspections. We also strengthened our lineups of renovation proposals for warranty extensions, and enhanced our maintenance proposals for business assets of corporate owners of properties approaching the end of their tenancy period. This initiative succeeded in expanding our orders.
We also held nationwide seminars for home owners and our corporate business partners regarding our new Groupwide “Livness” brand—an existing home sale and purchase service—to improve the circulation of pre-owned housing. This was one of a number of measures to meet the wide range of user needs in the field of existing homes, including buying, selling, and renovation.
As a result, net sales for this segment amounted to 83,055 million yen (+3.6% year on year), while operating income came to 11,433 million yen (+22.7% year on year).
Commercial Facilities Business
In the Commercial Facilities Business segment, during the period under review, we made facility-opening proposals that match the business strategies of corporate tenants, as well as a wide variety of proposals that made optimal use of the unique characteristics of each region. We also took a number of measures to expand the scope of our business. In particular, we strengthened our efforts in the field of large-scale projects such as hotels and commercial buildings. Also, for customers looking for options in the purchase of real estate for investment purposes, we took steps to expand our services to encompass land acquisition, construction, and leasing-out to tenants. Thanks to these moves, our level of order receipts held firm.
As a result, net sales for this segment amounted to 499,375 million yen (+12.7% year on year), while operating income came to 98,248 million yen (+21.0% year on year).
Logistics, Business and Corporate Facilities Business
In the Logistics, Business and Corporate Facilities Business segment, during the period under review, we worked to enhance the Group’s business scope by constructing a variety of facilities to suit the differing business needs of our corporate customers, and by providing total support services that enable customers to most effectively utilize their assets.
In the field of logistics facilities, during the term we commenced construction of 22 new facilities throughout Japan, most notably the DPL Shin-FujiⅡ, which will be the largest multi-tenant logistics facility in Shizuoka Prefecture. We also started operation of the Intelligent Logistics Center PROTO within one of our existing logistics facilities. PROTO is a new type of logistics sharing model (*1) that fully leverages AI, IoT, and robotics technologies.
In the field of medical and nursing care facilities, we targeted hospitals whose existing facilities are showing signs of aging and which do not meet current earthquake resistance standards, making proposals for reconstruction or relocation. We also strengthened our lineup of solutions to meet the management needs of healthcare corporations, such as those operating homes for senior citizens or multipurpose nursing care facilities.
In our offices and factories business, we offered proposals for building new corporate facilities or relocating existing ones, and stepped up efforts to attract companies to the industrial parks we are developing. For food factories, we held seminars for manufacturers and processors of food products for making HACCP (*2) compulsory, while also enhancing our proposals for the building of facilities adapted to safety certification.
Daiwa House Industry also collaborated with the municipalities of Kawasaki City and Kanagawa Prefecture in the KING SKYFRONT (*3). This project—whose urban development theme is to attract large numbers of companies and talented people, and to facilitate exchange—aims to be an international strategic base which will group together leading-edge companies and research institutions in the life sciences field. The construction of a hotel and two research-use buildings is completed as the primary development stage.
As a result, net sales for this segment amounted to 737,345 million yen (+22.6% year on year), while operating income came to 71,818 million yen (+5.9% year on year).
*1. This sharing model allows three companies – airCloset, Inc. (engaged in online services), waja Co., Ltd. (operation of e-commerce and e-commerce logistical support), and Tokyo Otaku Mode Inc. (e-commerce, online media and online services) – to share the same space, with the same staff, equipment and system.
*2. Hazard analysis and critical control points (HACCP) is a systematic preventive approach to food safety in production and preparation processes, in which the dangers posed by contamination by microorganisms at each stage of the process are analyzed and managed.
*3. This project is being constructed on the site of a former factory of Isuzu Motors. Daiwa House acquired Section A in June 2014. A hotel and five research-use buildings are to be constructed, with completion scheduled for fiscal 2021.
During the period under review, in our home centers business, Royal Home Center Co., Ltd. opened the Royal Home Center Adachi-Shikahama (Tokyo). This facility offers an extensive lineup of products to meet the needs of construction-site staff and a pet store that handles more than 240 different types and breeds of pets. Our nationwide network of 59 stores continues to offer customers an array of useful information relating to everyday life, as well as proposals for home improvement.
In the accommodation business, Daiwa Resort Co., Ltd. opened DAIWA ROYAL HOTEL D-CITY in two locations in Osaka and one in Nagoya. This is a new style of hotel easy for women and tourists to use and enjoy their stay. Daiwa Resort also opened DAIWA ROYAL HOTEL GRANDE KYOTO as its flagship hotel. Daiwa Royal Co., Ltd. opened four new hotels, including the Daiwa Roynet Hotel TOKYO-ARIAKE—the company’s largest hotel in terms of the number of guest rooms—as part of its strategy of developing hotels that take into account regional characteristics and the unique features of each particular location.
In the logistics business, Daiwa Logistics Co., Ltd. opened two new facilities—the Kumiyama Logistics Center (Kyoto Pref.), and the Ebina Logistics Center (Kanagawa Pref.)—enabling the company to offer its users the very best in logistics services.
In our fitness club business, Sports Club NAS Co., Ltd. opened the Sports Club NAS Nishi-Kasai (Tokyo), featuring the company’s first women-only floor under the name of BEAUTY AREA.
As a result, net sales for this segment amounted to 522,048 million yen (+11.2% year on year), while operating income came to 30,492 million yen (+7.6% year on year).
1. Net sales for each segment include internal (inter-segment) sales and transfers in addition to sales to external customers.
2. The above monetary amounts are exclusive of consumption tax, etc.