Good afternoon everyone. I am Kijima, Executive Manager of Investor Relations at Mitsui Fudosan.

I will present in detail the third quarter results for the Mitsui Fudosan Group for the fiscal year ending March 2026. As usual, I will use the Financial Results and Business Highlights materials dated February 6, which are available on our IR website.

I will begin, as always, with the key takeaways. Please turn to page 3.

First, the 9-month cumulative results for the third quarter of fiscal 2025. We reported year-on-year increases in operating revenue, operating income, business income, ordinary income, and profit attributable to owners of parent, and also hit new record highs for each.

In addition, business income for each of the 4 core segments also reached new record highs in third quarter. Next, based on the strong performances of the Property Sales to Investors business and the Management segment, we have revised up our full-year forecast.

Operating income has been revised up by ¥10 billion from ¥385 billion to ¥395 billion. Business income has been revised up by ¥10 billion from ¥430 billion to ¥440 billion.

Ordinary income has been revised up by ¥10 billion from ¥295 billion to ¥305 billion, and profit attributable to owners of parent was revised up by ¥5 billion from ¥265 billion to ¥270 billion. As a result, we project full-year operating revenue, operating income, business income, ordinary profit, and net profit to achieve new record highs.

As well, we now expect to achieve the fiscal 2026 targets of business income of ¥440 billion and net profit of ¥270 billion set out in our long-term vision &INNOVATION 2030, 1 year earlier than initially projected. With regard to the projected new record highs, the forecast represents the 14th consecutive year of new record highs for operating revenue, the 2nd consecutive year for business income, and the 4th consecutive year for each of operating income, ordinary income, and net income.

With regard to the ¥45 billion share repurchase program resolved by the board in February 2025, the full amount of acquisitions were completed last year on November 27. The board has resolved at this time to cancel the acquired shares on February 27.

I will now explain the results in detail using the financial results and business highlights as usual. Jumping forward to slide 64 of the materials, I will begin with the profit and loss statement.

Third quarter 9-month operating revenue was ¥1,981.8 billion, up ¥305 billion or 18.2% year-on-year. Business income, which is the combination of operating income and gains and losses on equity method investments and the disposal of fixed assets, was ¥355.4 billion, up ¥130.2 billion or 57.8% year-on-year.

Ordinary income was ¥247.5 billion, up ¥74.5 billion or 43.1% year-on-year. Profit attributable to owners of parent was ¥219.8 billion, up ¥75.8 billion or 52.7% year-on-year.

Progress relative to our full-year guidance is shown on the right in the table entitled Progress Rate. Relative to the upwardly revised forecast, third quarter operating revenue stood at 73.4%, business income at 80.8%, ordinary income at 81.2%, and profit attributable to owners of parent at 81.4%.

As you can see, we are making steady progress toward achieving the full-year forecast. Next, before covering the details of the segment results, please return to the table on the left.

I will discuss the major items below the line. First, under non-operating income, third quarter equity in net income or loss of affiliated companies was ¥1.2 billion, a decline of ¥3.7 billion year-on-year.

This is mainly the result of an increase in expenses such as depreciation for US rental properties completed in the previous and current fiscal year. Net interest expense in third quarter fell ¥4.7 billion year-on-year to ¥55.1 billion.

While there was an increase in the net interest burden denominated in yen, reflecting the impact of rising interest rates in Japan, the foreign currency-denominated net interest burden fell, primarily the result of rate cuts in the US. Under other non-operating income, the impact of dividends received was offset by losses on the retirement of fixed assets related to rebuilding projects for a net loss of ¥1.1 billion.

As a consequence, overall 9-month non-operating income declined ¥7.4 billion year-on-year to -¥55.1 billion. Next, for extraordinary gains and losses, please refer to the box on the upper right entitled Extraordinary Income.

As shown here, we posted ¥51.6 billion in 9-month extraordinary gains on the sale of tangible assets, in line with the policy set out in the long-term vision &INNOVATION 2030 of not distinguishing between fixed assets and real property for sales when considering asset sales. We generated profits on the sale of the Otemachi Building, Nagoya Station Front, and the former Hibiya U-1 Building.

We also generated ¥45.3 billion in extraordinary gains on the sale of investment securities. This is in line with our &INNOVATION 2030 policy related to holdings of investment securities.

We are continuing to sell down some of our equity holdings on an ongoing basis. Under extraordinary losses, we incurred ¥16.8 billion in impairment losses.

As explained at the time of first-half results, this is related to Lalaport BBCC, a retail facility in Kuala Lumpur, Malaysia. As we have a joint venture partner for this project, there are losses that are attributable to the partner in line with their share.

An amount that is roughly half of the impairment loss of ¥16.8 billion has been reflected under net loss attributable to non-controlling shareholders, as shown on the second line from the bottom of the table on the left. Overall, the resulting impact on our net profit is around ¥8 billion.

Next, I will cover the segment results in detail. I will start with the Leasing segment.

Please see slide 66. As shown at the top of the page, third quarter operating revenue was ¥695.9 billion, and business income was ¥136.3 billion.

This represents year-on-year increases of ¥53.2 billion and ¥4.7 billion, respectively. We discuss conditions for the Leasing segment in the comment section on the left.

The segment as a whole reported year-on-year increases in revenues and profits in third quarter as a result of growth in office revenues and profits driven by domestic and overseas properties such as Tokyo Midtown Yaesu and 50 Hudson Yards in New York. The office vacancy rate is shown in the box in the middle of the page.

As of the end of December, Mitsui Fudosan's non-consolidated metropolitan area office vacancy rate remained at a low level of 1.5%, reflecting the impact of corporate tenant replacement. We assume a vacancy rate in the mid-1% range at the end of this fiscal year.

Next is the Property Sales segment. Please turn to slide 67.

As shown at the top of the page, operating revenue for property sales as a whole in third quarter was ¥520.2 billion, and business income was ¥162.1 billion, up year-on-year by ¥215.1 billion and ¥110.6 billion, respectively. Looking at the subsegments, for property sales to domestic individuals, operating revenue was ¥367.2 billion and operating income was ¥102.6 billion, up ¥145.4 billion and ¥58.8 billion year-on-year, respectively.

The key driver was progress on handovers for properties such as Mita Garden Hills and Park City Takadanobaba, as shown in the comment section on the left. The contract rate for domestic condominiums as of the end of December, relative to this fiscal year's total projected units of 2,800, now stands at 98%.

We show the number of reported units in the middle of the page. The combined total of condominiums and detached housing units was 2,373, down 27 units year-on-year.

However, the average price per unit for condominium and detached housing units was very high at over ¥150 million. Near-term selling conditions remain strong and unchanged.

We show completed inventory on the lower part of the page. As you can see, completed inventory as of the end of third quarter was 37 units for condominiums and 24 for detached housing, for a scant total of just 61 units.

Inventory levels remain extremely low. Next is property sales to investors and overseas individuals.

Please return to the top of the page. Operating revenue was ¥153 billion, up ¥69.7 billion year-on-year.

Business income for the subsegment was ¥59.5 billion, the combination of operating income of ¥6.5 billion and combined gains on equity method investments and fixed asset sales of ¥53 billion. Business income was up ¥51.8 billion year-on-year.

In addition to the sale of fixed assets, Otemachi Building, Nagoya Station Front, and the former Hibiya U-1 Building, we also completed the sale of 2 MFLP properties. While not shown on the materials, all contracts for sales of property sales to investors expected to complete during the current financial year were signed as of the end of December.

Next is the Management segment. Please turn to slide 68.

Please look at the top row of the table. For the Management segment as a whole, third quarter operating revenue was ¥374 billion, and business income was ¥58.9 billion, up ¥18.4 billion and ¥7.9 billion year-on-year, respectively.

I will now discuss conditions for the individual subsegments. I will start with Property Management.

Subsegment operating revenue was ¥276.9 billion, and business income was ¥31.5 billion, up ¥8.5 billion and ¥2.7 billion year-on-year, respectively. The key factors were an increase in users at the car sharing business and the impact of measures such as a hike in parking charges at the Repark car park leasing business.

Next is the Brokerage and Asset Management subsegment. Operating revenue was ¥97.1 billion, and business income was ¥27.3 billion, up ¥9.9 billion and ¥5.1 billion year-on-year, respectively.

The main driver was an increase in project management fees. Next is the Facilities Operations segment.

Please turn to slide 69. The overall Facilities Operations segment reported third quarter operating revenues of ¥184.6 billion and business income of ¥38.2 billion, up ¥15.5 billion and ¥6.4 billion year-on-year, respectively.

We cover the key factors in the comment section on the left. The year-on-year gains are due to rising ADRs and occupancy rates for the hotel and resort business and usage fee hikes at Tokyo Dome.

Looking at the individual subsegments, the hotel and resort business reported operating revenue of ¥135.5 billion, up ¥12.2 billion year-on-year. The sports and entertainment business, which consists primarily of Tokyo Dome City, generated operating revenues of ¥49.1 billion, up ¥3.3 billion year-on-year.

As you can see, both subsegments reported year-on-year top-line growth. Next is the Other segment.

Please turn to page 70. Overall, the Other segment reported third quarter operating revenue of ¥206.9 billion and business income of ¥6.2 billion.

Reflecting the impact of factors such as a large-scale order in the lifestyle business of Mitsui Designtec, revenues and profits grew ¥2.5 billion and ¥1.5 billion year-on-year, respectively. Next, for reference, we show figures for the overseas business.

Please turn to page 71. Overall combined overseas business income for third quarter was ¥27.9 billion, up ¥7.3 billion year-on-year.

Please note there is a 3-month lag in reporting overseas income. The figures for third quarter reflect the results of the overseas business for the period from January to September 2025.

Within the overseas business, Leasing reported an ¥11.4 billion year-on-year increase in revenues, but a ¥0.2 billion year-on-year decline in profits. Revenues grew on the back of factors such as the increase in office revenues and profits from properties such as 50 Hudson Yards, but profits dipped on a rise in expenses such as depreciation on US rental properties completed in the previous and current fiscal year.

In the Property Sales segment, revenues grew ¥75.9 billion year-on-year on progress on sales of US West Coast rental residential properties. However, we incurred a ¥1.6 billion loss in business income owing to losses related to the sale of US West Coast rental residential properties, although this represents a ¥7.7 billion year-on-year narrowing of losses.

The combination of the Management and other segments reported a ¥0.5 billion year-on-year increase in revenue and a ¥0.1 billion year-on-year dip in profits. Next, I will cover the balance sheet.

Please turn to page 72. At the bottom of the page on the left, total assets as of the end of third quarter fiscal 2025 were ¥9,975.6 billion, up ¥115.8 billion compared to the end of the previous fiscal year, driven primarily by factors such as rising share prices on our holdings of investment securities.

As noted separately, changes in foreign exchange rates had a negative impact of ¥116 billion. The D/E ratio as of the end of third quarter fiscal 2025 was 1.48 times, and the equity ratio was 32%.

I will now discuss the major components of change, including cost recovery. Please turn to slide 73.

As shown in the table on the upper left, the total outstanding balance of real property for sale was ¥2,511.1 billion, up ¥10.4 billion from the end of the previous fiscal year. New investments were ¥433.9 billion, cost recovery was ¥378.5 billion, and other, which includes elements such as forex impact, was a negative ¥44.9 billion.

As you can see from the breakdown of these figures, Mitsui Fudosan Residential reported a net increase in cost recovery of ¥51.6 billion, primarily on progress on handovers of properties such as Mita Garden Hills. Mitsui Fudosan reported a net increase in investments of ¥109.1 billion.

While we made progress on the sale of properties, this was offset by continued progress on project investments. Mitsui Fudosan America reported a net increase in cost recovery of ¥105.2 billion on progress in sales of properties and other factors.

Mitsui Fudosan UK reported a net increase in investments of ¥46.6 billion due to progress on investments. Next, looking at the lower left, the outstanding balance of tangible and intangible assets was ¥4,594.4 billion, down ¥112.9 billion from the end of the previous fiscal year.

New investments were ¥162 billion due to construction investments for projects such as the renovation of Lalaport Tokyo-Bay North Wing, while depreciation was ¥111.9 billion. Other, as noted in the comment section on the lower right, declined ¥163 billion on the impact of the sale of the former Hibiya U-1 Building and the Otemachi Building, Nagoya Station Front, and changes in forex rates.

Taking this into account, there was a net overall decline of ¥112.9 billion relative to the end of the previous fiscal year. On the liability side, please see the table on the upper right.

The outstanding balance of interest-bearing debt as of third quarter fiscal 2025 was ¥4,727.5 billion, up ¥311.4 billion compared to the end of the previous fiscal year. This reflects the impact of factors such as progress on domestic and overseas investments, corporate tax payments, and the payment of dividends.

Finally, I will discuss the revisions to our full-year forecasts in more detail. Please turn to slide 74.

First, with regard to operating income and business income, both were ahead of our full-year forecasts as of first half by more than ¥10 billion. As such, we revise up our full-year operating forecast to ¥395 billion and our full-year business income forecast to ¥440 billion.

I will highlight a number of key points in breaking down the upward revision of ¥10 billion profit by segment. First, reflecting the strong situation for contracts in the Property Sales to Investors business, we revise up segment business income by ¥5 billion, raising our full-year forecast from the initial ¥190 billion to ¥195 billion.

Second, reflecting the strength of the retail brokerage Rehouse business, following the upward revision as of second quarter, we revise up our full-year business income forecast by a further ¥5 billion, raising our full-year forecast to ¥85 billion from our ¥80 billion forecast as of first half. There are no changes to our projection at the non-operating level.

Our forecast for ordinary income is also revised up by ¥10 billion to ¥305 billion. Reflecting a ¥5 billion increase in corporate taxes as a result of higher projected profits, we revise up again our full-year forecast for profit attributable to owners of parent by ¥5 billion from our forecast as of second quarter to ¥270 billion.

As a result of the upward revisions, we expect to reach new record highs for each of operating revenue, operating income, business income, ordinary income, and profit attributable to owners of parent. Also, as mentioned at the outset, as a consequence of the upward revision, we expect to achieve the fiscal 2026 profit targets set out in the group long-term vision &INNOVATION 2030 1 year earlier than initially projected.

Please turn to page 75. On the lower right, with regard to outstanding interest-bearing debt, reflecting near-term conditions such as forex rates, we now project the balance as of fiscal year-end to be ¥4,700 billion, up ¥100 billion from our initial projection of ¥4,600 billion.

Please turn back to slide 3. Reflecting earnings revisions, we had revised up our guidance for our growth metric, EPS growth, from our initial guidance of around 9.6% to around 10.3% at the end of first half.

However, factoring in our latest revisions to our earnings forecast, we again revise up our guidance to around 11.5%. With regard to ROE, we reiterate our mid-8% level forecast.

While there will be some impact from what happens with share prices, we continue to focus on achieving this target 1 year early. The group as a whole remains firmly committed to achieving our upwardly revised profit targets for this fiscal year, as well as the KPIs set out in &INNOVATION 2030.

This completes my presentation. Thank you.