Tobu Railway : 2Q FY2024 Financial Results Briefing

About this update from Tobu Railway Co., Ltd.

2Q FY2024 Financial Results Briefing November 15, 2024 TOBU RAILWAY CO., LTD. Table of Contents Ⅰ . Financial Summary Ｐ 02 Ⅱ . 2Q FY2024 Business Results Ｐ 04 Ⅲ . FY2024 Full Year Forecast Ｐ 14 Ⅳ . Achievement of Long-Term P 22 Management Vision and Promotion of Medium-Term Business Plan All rights reserved. Copyright © TOBU RAILWAY CO.,LTD. 1 I ． Financial Summary 2Q FY2024 Business Results Operating revenues Operating profit / Ordinary profit / Profit attributable to owners of parent Despite a decrease in commission income from the Travel Business, operating revenues came to ¥301.9 billion with increased demand in Japan and overseas in the Railway Business, Hotels Business, and SKYTREE Business (down 2.1% YoY, 47.3% progress against full-year forecast) Operating profit fell to ¥38.4 billion due to decreased operating revenues (down 1.6% YoY, 56.6% progress against full-year forecast) Ordinary profit fell to ¥37.3 billion (down 2.2% YoY, 57.5% progress against full- year forecast) Profit attributable to owners of parent fell to ¥25.3 billion (down 3.9% YoY, 52.2% progress against full-year forecast) Operating profit / ordinary profit / profit attributable to owners of parent at second highest level after previous year Progress against full-year forecast is compared to FY2024 full-year forecast on p. 3. See pp. 9-13 for details by segment. All rights reserved. Copyright © TOBU RAILWAY CO.,LTD. 2 I ． Financial Summary FY2024 Full-Year Forecast Operating revenues Operating profit / Ordinary profit Despite an anticipated drop in group travel income in the Travel Business, operating revenues are forecast at ¥639.0 billion due to the Railway Business, Hotels Business, and Department Stores Business being expected to exceed initial forecasts ( ±0.0% compared to previously announced forecast) Up due mainly to increased operating revenues in the Railway Business, Hotels Business, and Department Stores Business Operating profit expected to be ¥68.0 billion ( +9.7% compared to previously announced forecast) Ordinary profit expected to be ¥65.0 billion ( +12.1% compared to previously announced forecast) Profit attributable to owners of parent Dividend amount Up due mainly to increased gain on sales of investment securities Expected to be ¥48.5 billion , a record high for the second consecutive year , exceeding the previous fiscal year ( +12.8% compared to previously announced forecast) Annual dividend to be increased to ¥55 ( +¥5 compared to previously announced forecast) with increase in income Interim: ¥25.00 → ¥27.50 Year-end: ¥25.00 → ¥27.50 (Forecast) * See pp. 17-21 for details by segment. All rights reserved. Copyright © TOBU RAILWAY CO.,LTD. 3 Ⅱ． 2Q FY2024 Business Results ― Subsidiaries ・ Affiliates Subsidiaries March Increase Decrease September Notes 2024 2024 Transportation 27 － － 27 Leisure 15 － － 15 Real Estate 3 － － 3 Retail Distribution 8 － － 8 Other 15 － － 15 Total 68 － － 68 Affiliates March Increase Decrease September Notes 2024 2024 Transportation 1 － － 1 Leisure 2 － － 2 Real Estate － － － － Retail Distribution － － － － Other － － － － Total 3 － － 3 All rights reserved. Copyright © TOBU RAILWAY CO.,LTD. 4 Ⅱ． 2Q FY2024 Business Results ― Semi-annual Consolidated statement of income Unit: Millions of yen 2Q FY2024 2Q FY2023 Change Notes Results Results Transportation ＋ 4,354 Operating revenues 301,996 308,582 ▲6,586 Leisure ▲10,341 Real Estate ＋ 414 Retail Distribution ＋ 1,519 Other ＋ 184 Transportation ＋ 2,234 Operating profit 38,478 39,087 ▲609 Leisure ▲4,742 Real Estate ＋ 912 Retail Distribution ＋ 870 Other ＋ 440 Ordinary profit 37,374 38,200 ▲826 Extraordinary income 704 627 77 Extraordinary losses 1,499 1,093 406 Profit attributable to 25,339 26,375 ▲1,035 owners of parent Ratio of Operating profit to Sales Depreciation EBITDA Capital Expenditures 12.7% 12.7% 0.0P 26,168 25,713 454 64,646 64,801 ▲154 14,458 14,574 ▲116 All rights reserved. Copyright © TOBU RAILWAY CO.,LTD. 5 Ⅱ． 2Q FY2024 Business Results ― Segment Profit Unit: Millions of yen 2Q FY2024 2Q FY2023 Change Results Results Transportation Operating revenues 107,816 103,461 4,354 Operating profit 17,878 15,643 2,234 Leisure Operating revenues 82,038 92,380 ▲10,341 Operating profit 8,447 13,189 ▲4,742 Real Estate Operating revenues 25,180 24,766 414 Operating profit 7,319 6,406 912 Retail Distribution Operating revenues 84,387 82,868 1,519 Operating profit 2,998 2,127 870 Other Operating revenues 38,556 38,371 184 Operating profit 2,803 2,362 440 Adjustment Operating revenues ▲35,983 ▲33,266 ▲2,716 Operating profit ▲967 ▲642 ▲325 Total Operating revenues 301,996 308,582 ▲6,586 Operating profit 38,478 39,087 ▲609 [Main Changes Related to Segment Information] Starting from the current interim consolidated fiscal year, expenses related to TOBU POINT and the Group Business Management Department, which were previously mostly allocated to the Real Estate segment, will now be allocated to each segment. This change is detailed on pages 7-8 of the 2Q FY2024 interim financial results. Please note that the segment information for the previous interim consolidated fiscal year has been revised retroactively. Head Office Division Expenses Group Business-related Expenses* Transportation Leisure Real Estate Transportation Head Office Division Expenses ・ Leisure Group Business-related Expenses* Real Estate All rights reserved. Copyright © TOBU RAILWAY CO.,LTD. 6 Ⅱ． 2Q FY2024 Business Results ― Semi-annual Consolidated balance sheet Unit: Millions of yen 2Q FY2024 FY2023 Change Notes Results Results Current assets Non-current assets 172,175 168,953 3,222 1,528,223 1,535,110 ▲6,886 Total assets 1,700,399 1,704,063 ▲3,664 Current liabilities Non-current liabilities 411,803 386,322 25,480 748,075 776,027 ▲27,952 Total liabilities 1,159,878 1,162,350 ▲2,471 Total net assets 540,521 541,713 ▲1,192 Total liabilities and net assets 1,700,399 1,704,063 ▲3,664 Equity ratio Interest-bearing debt balance 31.4% 31.4% ▲0.0P 771,244 749,777 21,466 All rights reserved. Copyright © TOBU RAILWAY CO.,LTD. 7 Ⅱ． 2Q FY2024 Business Results ― Semi-annual Consolidated statement of cash flows Unit: Millions of yen 2Q FY2024 2Q FY2023 Change Notes Results Results Cash flows from operating activities 38,583 35,475 3,107 Decrease in accounts payable ＋ 994 Expenditures for acquisition of fixed assets Cash flows from investing activities ▲30,940 ▲29,126 ▲1,814 ▲800 Increase in interest-bearing debt financing Cash flows from financing activities ▲2,864 ▲26,665 23,801 ＋ 44,667 Net increase in cash and 4,852 ▲20,279 25,131 cash equivalents Cash and cash equivalents 36,110 48,794 ▲12,684 at end of period All rights reserved. Copyright © TOBU RAILWAY CO.,LTD. 8 Ⅱ． 2Q FY2024 Business Results ― Transportation Unit: Millions of yen 2Q FY2024 2Q FY2023 Change Notes Results Results Operating revenues 107,816 103,461 4,354 Railways 80,719 77,801 2,918 Other 27,096 25,660 1,436 Bus and taxi business ＋ 1,129 ＋ 302 Freight business Operating profit 17,878 15,643 2,234 Railways 15,648 13,857 1,791 Other 2,229 1,786 442 Bus and taxi business ＋ 589 Freight business ▲146 Depreciation EBITDA Capital Expenditures 15,520 15,296 223 33,398 30,940 2,458 7,809 7,830 ▲21 Tobu Railway Lines 2Q FY2024 2Q FY2023 Number of Passengers Results Results (Unit: 1 Million people) Commuter Passengers 275 270 Non-Commuter Passengers 161 154 （ LimitedExpress ） 3 3 Total 435 425 Tobu Railway Lines 2Q FY2024 2Q FY2023 Passenger Revenue Results Results (Unit: Millions of yen) Commuter Passengers 31,098 30,386 Non-Commuter Passengers 41,811 39,682 （ LimitedExpress ） 3,495 2,964 Total 72,909 70,068 Non-commuter passenger revenue includes limited express fee and seat reservation fees. *As stated on page 6, due to the changes made to segment information in 2Q FY2024, the FY2023 Results have been adjusted to reflect these updates. All rights reserved. Copyright © TOBU RAILWAY CO.,LTD. 9

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