Fact Sheets 2017 Year ended March 31, 2017

Transcription

1 Fact Sheets 217 Year ended March 31, CONTENTS Corporate Overview 1 Businesses, Revenue Composition 2 Service Area 3 Major businesses in consolidated segment 4 JR-West Group Medium-Term Management Plan 217 Update Operating Environment 5 Operating Area Population and Gross Production 6 Demand from Inbound Travel 7 Airport and Expressway Networks Business 8 Sanyo Shinkansen Line / Shinkansen Versus Airlines 9 Development of New Shinkansen Lines (Hokuriku Shinkansen Line) 1 Kansai Urban Area (Kyoto-Osaka-Kobe Area) 11 Development in Kansai Urban Area 12 Non-Transportation Operations (Financial Overview) 13 Non-Transportation Operations (Retail Business) 14 Non-Transportation Operations (Real Estate Business) Data 15 Uses of Cash Flows 16 Employees 17 Management Indicators 18 Consolidated Financial Data 19 Non-Consolidated Financial Data 2 Transportation Revenues 21 Transportation Data 22 Outline of Government s Regulations on Railway Fares and Charges

2 Fact Sheets 217 DATA OTHER 1 Corporate Overview Businesses, Revenue Composition CORPORATE PROFILE As of March 31, 217 ES Date of establishment : April 1, 1987 Common stock : 1 billion Shares outstanding : 193,735, Employees at work : 25,821 (non-consolidated) 47,382 (consolidated) Number of subsidiaries : 151 (incl. 63 consolidated subsidiaries) Transportation Railway Services route length Shinkansen Conventional lines Number of stations : 1,2 Number of passenger cars : 6,562 : 5,8.7 kilometers kilometers 4,196.1 kilometers * The total route length is the sum of the Shinkansen and conventional lines. Number of passengers : 1,89 million Shinkansen 83 million Conventional lines 1,826 million Kansai Urban Area 1,519 million 362 million Passenger-kilometers : 58,271 million Shinkansen 2,348 million Conventional lines 37,923 million Kansai Urban Area 29,592 million 8,33 million Train-kilometers per day Shinkansen Conventional lines : 514 thousand 122 thousand 392 thousand Bus Services Ferry Services Retail : Sales of goods and food services, department store, wholesale of various goods Real Estate : Shopping center operations, real estate lease and sale Businesses : Hotel services, travel services, rental of goods, construction, etc. REVENUE COMPOSITION FY ended March 31, 217 REVENUES (REVENUES FROM THIRD PARTIES) 11.7% 11.4% INCOME 13.% RAILWAY REVENUES TOTAL ASSETS (As of March 31, 217) 13.% 7.6% 17.9% 16.2% 1,441.4 billion 64.5% 2.9% billion 67.8% 35.9% billion 51.1% 18.9% 3.% 3,7.8 billion 65.1% Transportation billion Retail billion Real Estate billion Businesses billion Transportation billion Retail... billion Real Estate billion Businesses billion Shinkansen billion Kansai Urban Area (Kyoto-Osaka-Kobe Area) billion Conventional Lines billion Transportation... 2,38.9 billion Retail... 9 billion Real Estate billion Businesses billion

3 WEST JAPAN RAILWAY COMPANY CORPORATE CONTENTS Fact Sheets 217 DATA OTHER 2 Corporate Overview Service Area SHINKANSEN Western part of Honshu, the main island of Japan, and northern part of Kyushu Approx. 1/3 of Japan s population and GDP Boundary Stations between JR-West and JR Companies Omi-Shiotsu Shinkansen Line (Bullet Train) Intercity Lines Regional Lines CONVENTIONAL LINES Maibara Tanikawa Yamashina Kusatsu Kyoto Kakogawa Tokaido and Sanyo Shinkansen N7A Operating section : Tokyo Hakata Train configuration : 16 cars Maximum speed : 3km/h Tsuge Shin-Kobe Kyobashi Ama gasaki Osaka Nishi-Akashi Kobe 225 series commuter train Operating section : Kansai Urban Area Typical train configuration : 8 cars Maximum speed : 13km/h Kameyama Shin-Osaka Himeji Aioi Kansai-airport Oji Tennoji Nara Kansai Urban Area Hokuriku Shinkansen (JR-West) Takada Joetsu Myoko JR-East Toyama Wakayama Kanazawa Toyama Takasaki Ishikawa Nagano Fukui Shinagawa Tottori Shimane Thunderbird limited express Operating section : Osaka Kanazawa, Wakura-onsen Typical train configuration : 9 cars Maximum speed : 13km/h Hyogo Okayama Okayama HiroshimaHiroshima Nagoya Kyoto Shin-Kobe Osaka Kokura Fukuoka Shiga Shin-Osaka Yamaguchi Hakata Kyoto Tokyo Sanyo Shinkansen Nara Wakayama Sanyo and Kyushu Shinkansen N7 Operating section : Shin-Osaka Kagoshima-Chuo Train configuration : 8 cars Maximum speed : 3km/h Mie Tokaido Shinkansen Sanyo Shinkansen Hokuriku Shinkansen Kyushu Shinkansen Kumamoto 1km 1mile Conventional Lines Kansai Urban Area Area of Conventional Lines Kagoshima-Chuo Hokuriku Shinkansen W7 Operating section : Tokyo Kanazawa Train configuration : 12 cars Maximum speed : 26km/h

4 Fact Sheets 217 DATA OTHER 3 Corporate Overview Major businesses in consolidated segment Numbers of consolidated subsidiaries as of March 31, 217 Transportation Railway Services Shinkansen, Conventional lines Consolidated subsidiary: 1 company Subsidiary: Sagano Scenic Railway Bus Services Express buses, conventional buses Consolidated subsidiaries: 2 companies Subsidiaries: West Japan JR Bus Company Chugoku JR Bus Company Ferry Services Consolidated subsidiary: 1 company Subsidiary: JR West Miyajima Ferry Co., Ltd. Real Estate Shopping Centers Operation of shopping centers in station buildings and surrounding areas of stations Consolidated subsidiaries: 12 companies Main subsidiaries: JR West Japan Shopping Center Development Company Tennoji Shopping Center Development Co., Ltd. KOBE SC DEVELOPMENT COMPANY Real Estate Lease and Sale Operation of station buildings and development of commercial facilities surrounding areas of stations and underneath elevated tracks Development of condominiums and community along railway belts Consolidated subsidiaries: 4 companies Subsidiaries: Kyoto Station Building Development Co., Ltd. Osaka Terminal Building Company JR WEST REAL ESTATE & DEVELOPMENT COMPANY Ryoju Properties Co., Ltd. Retail Sales of Goods and Food Services Operation of stores within railway stations (convenience stores, gift shops, restaurants, etc.) Operation of VIA INN accommodation-oriented budget hotels Consolidated subsidiaries: 7 companies Main subsidiaries: West Japan Railway Daily Service Net Company West Japan Railway Food Service Net Company West Japan Railway Fashion Goods Co., Ltd. Department Store Operation of JR Kyoto Isetan and isetan shops in LUCUA osaka Consolidated subsidiary: 1 company Subsidiary: West Japan Railway Isetan Limited Wholesale and others Consolidated subsidiaries: 2 companies Subsidiaries: Japan Railway West Trading Company, West Japan Railway Sanin Development Company Businesses Hotels Operation of hotels directly connected to main stations Consolidated subsidiaries: 6 companies Main subsidiaries: West Japan Railway Hotel Development Limited Hotel Granvia Osaka Co., Ltd. Travel Services Consolidated subsidiary: 1 company Subsidiary: Nippon Travel Agency Co., Ltd. Construction Construction, Maintenance Works, Electric Works, etc. Consolidated subsidiaries: 9 companies Main subsidiaries: DAITETSU KOGYO Co., LTD. WEST JAPAN RAILWAY TECHNOS CORPORATION West Japan Electric System Co., Ltd. s Advertising Services, Cleaning and Maintenance Works, etc. Consolidated subsidiaries: 17 companies Main subsidiaries: West Japan Marketing Communications, Inc., West Japan Railway MAINTEC Co., LTD.

5 Fact Sheets 217 DATA OTHER 4 Corporate Overview JR-West Group Medium-Term Management Plan 217 Update The Form of the New JR-West Group for the next era. RESULTS FORECAST FOR FY218.3 (CONSOLIDATED) Medium-Term Management Plan 217 Three Basic Strategies Safety: Safety Think-and-Act Plan 217 Customer satisfaction: Customer-based management Technologies: Continuous innovation Four Business Strategies Shinkansen: Enhance Kansai Urban Area: Improve West Japan Area: Invigorate Business Development: Develop Complement Review and evaluation of first 2 years Our Future Direction The Ideal Form for JR-West We will fulfill Our Mission. We will become a company that coexists with communities. Update Operating environment changes Future priority measures (Revised and amended content) 3 topics Hokuriku Shinkansen and Invigoration of Hokuriku Region New LUCUA osaka Response to Inbound Visitor Demand Operating Revenues Transportation Retail Real estate businesses Operating Income Transportation Retail Real estate businesses Recurring Profit Profit attributable to owners of parent Transportation Revenues ROA ROE EBITDA FY217.3 Results 1, % 1.% CASH EARMARKING AND PRIORITIZATION Cash flows from operating activities Forecast as of update* 1, % 9.8% FY218.3 Forecast as of April 217 1, % 11.1% Notes: Operating revenues are the revenues from third parties ( = customers). Operating income by segment is before eliminating internal transactions. Transportation revenues are JR-West s railway revenues, which are also included in operating revenues of transportation business. * Medium-Term Management Plan update (April 215) Revised objectives Investment for safety and growth CAPITAL EXPENDITURE PLAN (CONSOLIDATED) FY214.3 FY218.3 plan: 96. billion (As of April 215) 984. billion (As of April 217) Investment for growth 26. billion (As of April 215) 279. billion (As of April 217) Hokuriku Shinkansen Line Establish new stations and renew stations Expand lifestyle-related service businesses (business alliance with Seven-Eleven Japan, etc.) Investment needed for ongoing management of operations Barrier free, CS investment Investment for introduction of information technologies, etc. Safety-related investment 48. billion (As of April 215) billion (As of April 217) Rolling stock renewal New ATC New safety system Natural disaster countermeasures, etc. Appropriation prioritization Returns to shareholders Returns to shareholders Debt reduction In principle, maintain level of long-term debt and payables ( 1 trillion consolidated). However, control level in light of market interest rates. We recognize it important to distribute profits to its shareholders on a long-term and constant basis. Reflecting the policy, we continue providing returns to shareholders based on consideration of total shareholders equity. Specifically, in light of the progress toward the achievement of the current Medium-Term Management Plan, we aim to attain an approximately 3% rate of total distribution on net assets * on a consolidated basis for FY * Rate of total distribution on net assets (%) = (total dividends + acquisitions of treasury stock) consolidated net assets 1

6 Fact Sheets 217 DATA OTHER 5 Operating Environment Operating Area Population and Gross Production POPULATION AND GROSS PRODUCTION (Thousands of people; ) MAP OF WEST JAPAN AND POPULATION GROWTH IN KANSAI AREA (Thousands of people) Kansai Area Shiga Kyoto Osaka Hyogo Nara Population (As of January 1, 216) 1,42 2,575 8,866 5,621 1,388 Gross Production (FY ended March 31, 214) 5, , , , ,52.6 Hyogo Actual Projection Change FY21 5,537 FY26 5,577 FY211 5,58 FY216 5, FY221 5, FY226 5, FY231 5, FY236 4, FY241 4, Kyoto Actual Projection Change FY21 2,563 FY26 2,566 FY211 2,547 FY216 2, FY221 2, FY226 2, FY231 2, FY236 2, FY241 2, Shiga Actual Projection Change FY21 1,335 FY26 1,365 FY211 1,391 FY216 1,42 1. FY221 1, FY226 1, FY231 1, FY236 1, FY241 1, Japan Actual Projection Change FY21 126,285 FY26 127,55 FY ,231 FY ,66 1. FY , FY226 12, FY , FY , FY241 Nigata 17, Service Areas Wakayama Kansai Area Niigata Toyama Ishikawa Fukui Nagano 994 2,863 2,319 1,8 1, ,138 3, , , , , , ,752.2 Yamaguchi JR-West Shimane Hiroshima Okayama Tottori Hyogo Kyoto Shiga Toyama Ishikawa Fukui Nagano JR-Central Kansai Area Actual Projection Change FY21 2,6 FY26 JR-East2,664 FY211 2,632 FY216 2, FY221 2, FY226 19, FY231 19, FY236 18, FY241 17, Mie Tottori Shimane Okayama Hiroshima Yamaguchi Fukuoka Service Areas 1, ,934 2,863 1,42 5,122 42,827 7, , ,35.8 7, , , , ,95 Reference Tokyo Area Nagoya Area Kyushu Area Japan 36,141 11,436 13, ,66 163, , , ,645.6 Note: Kansai Area: Shiga, Kyoto, Osaka, Hyogo, Nara, Wakayama Tokyo Area: Tokyo, Kanagawa, Saitama, Chiba Nagoya Area: Aichi, Gifu, Mie Kyushu Area: Fukuoka, Saga, Nagasaki, Kumamoto, Oita, Miyazaki, Kagoshima Source: Ministry of Internal Affairs and Communications, Cabinet Office Fukuoka JR-Kyushu JR-Shikoku Osaka Nara Wakayama Osaka Actual Projection Change Wakayama Actual Projection Change Nara Actual Projection Change FY21 8,629 FY21 1,88 FY21 1,449 FY26 8,664 FY26 1,62 FY26 1,43 FY211 8,682 FY211 1,26 FY211 1,47 FY216 8, FY FY216 1, FY221 8, FY FY221 1, FY226 8, FY FY226 1, FY231 8,118 9 FY FY231 1, FY236 7, FY FY236 1, FY241 7, FY FY241 1, Note: FY21, etc., refer to the fiscal years ending March 21, etc. Source: Actual: Directory of population, Ministry of Internal Affairs and Communications Projection: Population Projections by Prefecture (March 213), National Institute of Population and Social Security Research Mie Service Area Actual Projection Change FY21 42,986 FY26 42,966 FY211 42,665 FY216 42, FY221 41, FY226 4, FY231 38, FY236 37, FY241 35,

7 WEST JAPAN RAILWAY COMPANY CORPORATE CONTENTS Fact Sheets 217 DATA 6 OTHER Operating Environment Demand from Inbound Travel VISITING RATE BY PREFECTURE (CY216 result) INBOUND VISITORS TO JAPAN BY REGION Quantity of responses: 39,956, Check all that apply Ranking Prefecture Visiting rate % 1 Tokyo Chiba Osaka Kyoto Fukuoka Kanagawa 9.6 South Korea 7 Aichi : 5.9 million 8 Hokkaido Nara Okinawa Hyogo 6.2 Europe, U.S., and others 216: 3.61 million China 216: 8.21 million Operating Area JR-West s Shanghai 15 Hiroshima 3.5 Note: Blue shaded areas are JR-West s operating area. Source: Japan Tourism Agency Taiwan 216: 2 6: 4.16 million Thailand TRENDS IN INBOUND TRAVELERS TO JAPAN TRENDS IN PEOPLE USING JR-WEST* Millions of people Millions of people 5 Target Target : 215:.9 million :.39 million Singapore 16:.36 million 2 216: Malaysia 1 Asian Countries 216: 2 6: 1.3 million JR-West s Singapore Office Source: Japan Tourism Agency, Japan National Tourism Organization, Ministry of Justice Inbound visitors to Japan Foreigners entering Japan at Kansai International Airport FY213.3 FY214.3 FY215.3 FY216.3 FY217.3 FY218.3 * People using JR-West: Indicates number of users of exclusive products for inbound tourism (amount of sales and exchange in the JR-West service area)

8 Fact Sheets 217 DATA OTHER 7 Operating Environment Airport and Expressway Networks As of March 31, 217 Tokyo Fukuoka Tokyo Hiroshima Tokyo Okayama Tokyo Kanazawa Tokyo Toyama Travel Time Fare ( ) Frequency Travel Time Fare ( ) Frequency Travel Time Fare ( ) Frequency Travel Time Fare ( ) Frequency Travel Time Fare ( ) Frequency Shinkansen 4h 46m 22,95 31 Airlines 3h m 41,39 54 (19) Shinkansen 3h 44m 19, Airlines 3h 3m 34,89 17 Shinkansen 3h 9m 17,34 6 Airlines 3h 1m 33,99 1 Shinkansen 2h 28m 14,12 24 Airlines 2h 5m 24,89 1 Shinkansen 2h 8m 12,73 24 Airlines 2h 3m 24,89 4 Niigata Airport Travel Time and Fare: JAL or ANA Frequency: All airlines. Numbers in parentheses are frequency excluding those of JAL or ANA. Noto Airport Kanazawa Izumo Airport Yonago Airport Komatsu Airport Toyama Airport Sasebo Nagasaki Nagasaki Airport Hakata Saga Airport Yamaguchi Ube Airport Kitakyushu Fukuoka Airport Tosu Kumamoto Airport Yamaguchi Kitakyushu Airport Oita Airport Saiki Hagi Iwami Airport Gotsu Hamada Iwakuni Kintaikyo Airport Hiroshima Matsuyama Airport Izumo Hiroshima Airport Imabari Onomichi Kochi Airport Yonago Sakaide Okayama Airport Okayama Kurashiki Tottori Airport Tajima Airport Kobe Itami Airport Suita Kobe Airport Shin-Osaka Takamatsu Airport Naruto Kansai Airport Kansai International Airport Tokushima Airport Tsuruga Maibara Komaki Airport Chubu International Airport Ise Nagoya Shizuoka Airport Tokyo Haneda Airport Ibaraki Airport Narita Airport Yatsushiro Nanki-Shirahama Airport Nanki Tanabe Kagoshima Airport Kyoto-Osaka-Kobe Metropolitan Area Kumamoto Kyoto-Osaka-Kobe Metropolitan Area Kagoshima Kyoto-Osaka-Kobe Metropolitan Area Fukuoka Aichi Fukuoka Kagoshima Miyazaki Miyazaki Airport Travel Time Fare ( ) Frequency Shinkansen 2h 57m 18,85 23 Airlines 3h m 26,3 1 (1) Travel Time Fare ( ) Frequency Shinkansen 3h 41m 22,21 22 Airlines 3h 1m 3, 18 (5) Travel Time Fare ( ) Frequency Shinkansen 2h 21m 15,31 59 Airlines (Itami Airport) 2h 2m 24,6 1 Travel Time Fare ( ) Frequency Shinkansen 3h 12m 18,54 34 Airlines (Chubu Intl. Airport) 2h 3m 28, (5.5) Travel Time and Fare: JAL or ANA Frequency: All airlines. Numbers in parentheses are frequency excluding those of JAL or ANA. Travel Time and Fare: JAL or ANA Frequency: All airlines. Numbers in parentheses are frequency excluding those of JAL or ANA. Airlines (Kansai Intl. Airport) 3h m 24,6 6.5 (5.5) Travel Time and Fare: JAL or ANA Frequency: All airlines. Numbers in parentheses are frequency excluding those of JAL or ANA. Airlines (Komaki Airport) 2h 2m 28,5 5 Travel Time and Fare: JAL or ANA Frequency: All airlines. Numbers in parentheses are frequency excluding those of JAL or ANA. Airport Shinkansen [Expressway] Already constructed Under construction or at planning stage Notes 1. Travel time for the Shinkansen is the shortest on Nozomi, Mizuho, and Kagayaki trains. Travel time for the airlines is an estimate. For airlines, in addition to the travel time required from the airport to the city center, the calculation includes 1 minutes of travel time between the Airport Limousine Bus or station nearest the airport to the boarding gate, 2 minutes of waiting time at the boarding gate, and 1 minutes from the gate to the Airport Limousine Bus or station nearest the airport. 2. Fare for the Shinkansen is the regular Nozomi, Mizuho, and Kagayaki fare, and for airlines is the regular fare. The cost includes the passenger facilities usage fee for airports ( 29 for Haneda Airport and 31 for Chubu Intl. Airport).

9 Fact Sheets 217 DATA OTHER 8 Business Sanyo Shinkansen Line / Shinkansen Versus Airlines Years ended March 31 SHARE OF PASSENGER MARKETSHINKANSEN VERSUS AIRLINES Kyoto-Osaka-Kobe Area Fukuoka JR (Number of passengers) Airlines (Number of passengers) (89.3) Debut of Grand Hikari (93.3) Debut of 3-Series Nozomi (95.1) The Hanshin-Awaji Earthquake (97.3) Debut of 5-Series Nozomi (.3) Debut of Hikari Rail Star (3.1) Timetable Revision: more Nozomi departures (6.7) Express Reservation Service Started (7.7) Debut of N7-Series Nozomi (11.3) Direct service operations between the Sanyo and Kyushu Shinkansen services JR s Market Share (right) % * Kyoto-Osaka-Kobe Area: Kyoto, Osaka, and Hyogo Prefecture * Figures for the fiscal year ended March 217 are preliminary. Tokyo Okayama % Tokyo Yamaguchi % Aichi Fukuoka % Tokyo Hiroshima 2 % 1 Tokyo Fukuoka 2 % 1 Kyoto-Osaka-Kobe Area Kumamoto 2 Kyoto-Osaka-Kobe Area Kagoshima % Note: Each vertical graph bar represents the number of passengers using JR and the number of passengers using airlines; the bars indicate the total number of passengers using JR or using airlines compared to the base year index of 1 (the fiscal year ended March 1997). For the Kyoto-Osaka-Kobe area to Kumamoto and Kagoshima, the base year index of 1 (the fiscal year ended March 28). Source: Ministry of Land, Infrastructure, Transport and Tourism

10 Fact Sheets 217 DATA OTHER 9 Business Development of New Shinkansen Lines (Hokuriku Shinkansen Line) FIVE NEW SHINKANSEN LINES PROPOSED IN 1973 UNDER THE NATIONWIDE SHINKANSEN RAILWAY DEVELOPMENT LAW Line Lines in Operation Approved Zone for Construction Implementation Plan Tohoku (Morioka Aomori) Hokuriku (Tokyo Osaka) Hokkaido (Aomori Sapporo) Kyushu (Fukuoka Kagoshima) Morioka Shin-Aomori (opened in December 21, 178km) Takasaki Nagano (opened in October 1997, 117km) Nagano Kanazawa (opened in March 215, 228km) Shin-Aomori Shin-Hakodate-Hokuto (opened in March 216, 149km) Hakata Kagoshima-Chuo (opened in March 211, 289km) Kanazawa Tsuruga (125km) Shin-Hakodate-Hokuto Sapporo (211km) Expense Burden Central government (existing Shinkansen transfer revenues, public utilities expenses) Local governments (one-half of the central government) JR (usage fees with the upper limit to be determined by the range of expected benefits) TRAVEL TIME AND MARKET SHARE Ishikawa Kanto region Toyama Kanto region JR Before opening* 1 After opening* 2 Airlines* 3 JR market share before opening* 4 About 3h 5m 2h 28m About 2h 5m 38.3% About 3h 1m 2h 8m About 2h 3m 6% *1. Using the Joetsu Shinkansen and Hakutaka limited express train *2. Time required for fastest Kagayaki *3. Includes airport access and egress time *4. Source: Statistical survey of Ministry of Land, Infrastructure, Transport and Tourism (FY214.3, preliminary) Kyushu (Fukuoka Nagasaki) Takeo-Onsen Nagasaki (66km) PLANNING OF NEW SHINKANSEN LINES As of March 31, 217 In Operation Planned New Shinkansen Line (Under construction) Planned New Shinkansen Line (To be determined) Oshamanbe Shin-Otaru Sapporo Shin-Hakodate-Hokuto JR-West JR-West 451km Shin-Aomori Hachinohe 125km 169km Akita Morioka Shinjo Niigata Shin-Shimonoseki Hakata Hiroshima Takeo-Onsen Isahaya Shin-Tosu Nagasaki Okayama Tsuruga Fukui Kanazawa Toyama Hakusan Nagano Car Maintenance Center Joetsu Myoko Takasaki Yamagata Sendai Fukushima Hokuriku Shinkansen Kagoshima-Chuo Kumamoto Shin-Yatsushiro Shin-Osaka Kyoto Nagoya Omiya Tokyo Nagano Hakusan Car Maintenance Center Opened on March 14, 215. Hakusan Car Maintenance Center Tsuruga Scheduled to be completed by end of FY Note: Hakusan Car Maintenance Center is located from Kanazawa station to the west about 12 kilometers.

11 Fact Sheets 217 DATA OTHER 1 Business Kansai Urban Area Kyoto-Osaka-Kobe Area MAJOR LINES IN KYOTO-OSAKA-KOBE AREA TRAFFIC VOLUME (Years ended March 31) Ten million passenger-kilometers Kobe- Sannomiya Sannomiya Kobe- Sannomiya Kansai-airport Takarazuka Takarazuka Osaka Namba JR-Namba Umeda Osaka Umeda Yodoyabashi Namba Tennoji Sanjo Kawaramachi Kyoto Kyoto Kintetsu-Nara Nara JR-West Hankyu Hanshin 4, 3,5 3, 2,934 2,5 2, 1,987 3,369 3,369 3,435 3,481 (13) (12) (1) 3,439 (1) 3,416 (1) 3,377 3,317 3,314 (96) 3,311 3,17 2,356 2,13 2,184 2,33 (1) (13) 2,65 2,574 2,64 2,474 (14) 2,855 (93) 3,81 (91) 3,1 (89) 2,946 (87) 2,893 (85) 2,819 (139) 2,834 (139) (142) (142) (142) (14) (138) (138) 2,827 2,88 2,896 2,893 (139) 2,844 2,811 2,85 2,822 2,849 2,854 2,844 2,844 2,8312,833 2,846 2,88 2,784 (14) (14) (14) (139) (139) (14) (138) 2,718 2,712 2,684 2,682 2,668 (84) (82) (82) (81) (81) (81) 2,622 (79) 2,61 (79) 2,592 (78) (143) (14) 2,91 2,68 (79) 2,657 (8) (142) 2,883 2,634 (8) Wakayamashi Wakayama Keihan Kintetsu Nankai 1,5 76 JR-West Private Railways in Kyoto-Osaka-Kobe Area Note: Figures in parentheses are indexed at the fiscal year ended March 1988 = COMPARISON WITH 5 PRIVATE RAILWAYS IN KYOTO-OSAKA-KOBE AREA MARKET SHARE Traffic Volume Base (Years ended March 31) Route Railway Company Distance Normal Fare Train Pass Charges (Business Commuters) Travel Time (km) ( ) Monthly Pass ( ) Six-month Pass ( ) (min.) Osaka Kyoto JR-West ,53 79,31 28 Hankyu (Umeda Kawaramachi) ,51 83,76 42 Keihan (Yodoyabashi Sanjo) ,37 83, 47 Osaka Sannomiya JR-West ,3 59,9 2 Hankyu (Umeda Kobe-Sannomiya) ,84 69,34 27 Hanshin (Umeda Kobe-Sannomiya) ,84 69,34 31 Osaka Takarazuka JR-West ,4 48,21 24 Hankyu (Umeda Takarazuka) ,14 6,16 3 Tennoji Nara JR-West ,26 68,42 33 Kintetsu (Osaka Namba Kintetsu-Nara) ,6 15,84 36[34]* 1 Tennoji Wakayama JR-West ,46 124,42 6[4]* 2 Nankai (Namba Wakayamashi) ,77 139,16 58 Tennoji JR-West 46. 1,6 29,9 152,55 47[3]* 3 Kansai-airport Nankai (Namba Kansai-airport) ,92 172,37 43[36]* 1 Note: Travel time assumes the fastest possible method in the daytime on a weekday. *1 [ ] denotes the travel time by Limited Express. Express charge ( 51) is required. *2 [ ] denotes the travel time by Limited Express. Express charge (reserved seats in normal cars: 1,49) is required. *3 [ ] denotes the travel time by Limited Express. Express charge (reserved seats in normal cars: 1,17) is required. % JR-West 5 Private Railways in Kyoto-Osaka-Kobe Area Railways Note: 5 private railways in Kyoto-Osaka-Kobe area: Hankyu, Hanshin, Keihan, Kintetsu, and Nankai

12 Fact Sheets 217 DATA OTHER 11 Business Development in Kansai Urban Area DEVELOPMENT in KANSAI URBAN AREA *New station names are provisional. (As of May 217) MAJOR PROJECTS Himeji Higashi-Himeji New station Opened in March 216 Kakogawa Tanikawa Nishi-Akashi Maya New station Opened in March 216 Ibaraki Station improvement and development inside station Spring 218 Shin-Osaka JR Shichijyo* New station Spring 219 Shin-Kobe Kyobashi Sannomiya Kobe Amagasaki Osaka Tennoji Kyoto Yamashina JR Soujiji* New station Spring 218 Oji Takada Nara Kyoto Railway Museum Opened in April 216 Nara Line Double track Spring 223 Relocate a portion of a branch line of the Tokaido Line underground and open a new station Project overview cost: approx. 69. billion yen Length: approx. 2.4 km New station plan: underground station with two unattached platforms and four train lines Project leaders Construction: City of Osaka, West Japan Railway Company Operations: West Japan Railway Company Project timeline Nov. 215 Construction started Spring 223 Scheduled switchover to underground operations and opening of a new station Osaka Higashi Line construction project Project overview cost: Approx. 12. billion yen (excl. opening of new stations) length: Approx. 2.3 km No. of stations: 14 (incl. existing stations) Project leaders Construction: Osaka Soto-Kanjo Railway Co., Ltd. Operations: West Japan Railway Company Project timeline Jun Construction started on southern part (Hanaten-Kyuhoji) Nov. 27 Construction started on northern part Mar. 28 (Shin Osaka-Hanaten) Opening of southern part (Hanaten-Kyuhoji) (9.2 km) Spring 219 Scheduled opening of northern part (Shin Osaka-Hanaten) (11.1 km) Kansai-airport DEVELOPMENT in OSAKA LOOP LINE AREA JR Kobe Line Nishikujo JR-Namba Osaka Higashi Line Shin-Osaka (northern part) Hanaten Shin-Osaka Relocate a portion of a Spring 219 branch line of the Tokaido Line underground and open a new station Osaka Spring 223 Hanaten Kyobashi Gakkentoshi Line Tennoji JR Tozai Line Momodani Morinomiya Tamatsukuri Yamatoji Line Osaka Higashi Line (southern part) JR Kyoto Line Kyuhoji Osaka Loop Line Renovation Project Momodani Station improvement August 216 Kizuri* New station Spring 218 New 323 series rolling stock FY217 ~ Introduction Umekita Phase II plan Planned site for new station Umekita Phase I (Grand Front Osaka) ALBi Umesan Koji HOTEL VISCHIO OSAKA by GRANVIA (Spring 218) LUCUA 11 Eki Marché Osaka Hotel Granvia Osaka Yodobashi Camera (Development plan) Yodobashi Camera LUCUA Osaka Station Hanshin Umeda Station Daimaru Department Store Hankyu Umeda Station Hankyu Sanbangai SC Hankyu Department Store Hanshin Department Store (Reconstruction plan) : JR-West related facilities

13 Fact Sheets 217 DATA OTHER 12 Business Non-Transportation Operations (Financial Overview) Years ended March 31 REVENUES BY SEGMENT Year ended March 31, 217 () REVENUES OF NON-TRANSPORTATION OPERATIONS INCOME OF NON-TRANSPORTATION OPERATIONS Real estate % Retail % businesses % 1,441.4 billion Transportation % % businesses Real estate Retail Ratio of nontransportation operations (Right axis) % businesses Real estate Retail Ratio of nontransportation operations (Right axis) Retail Real estate businesses SALES OF GOODS AND FOOD SERVICES SHOPPING CENTER OPERATIONS HOTELS Operating income (Right axis) Operating revenues (Left axis) Operating income (Right axis) Operating revenues (Left axis) Operating income (Right axis) Operating revenues (Left axis) DEPARTMENT STORE REAL ESTATE LEASE AND SALE TRAVEL AGENCY Operating income (Right axis) Operating revenues (Left axis) <1.7><6.9> <6.9> <3.1> <2.5> <4.8> <19.1> <5.8> <19.5> <16.1> Operating income (Right axis) Figures in brackets < > are the sales of condominiums (Revenues from third parties) (Included in Real estate lease and sale) (Left axis) Operating revenues (Left axis) Operating income (Right axis) Operating revenues (Left axis) Notes: 1. Operating revenues are the revenues from third parties ( = customers). The breakdown of operating revenues by each segment is the sum of revenues of major subsidiaries. 2. The breakdown of operating income by each segment is the sum of incomes of major subsidiaries before eliminating internal transactions.

14 Fact Sheets 217 DATA OTHER 13 Business Non-Transportation Operations (Retail Business) As of March 31, 217 Sales of Goods and Food Services Business Names of major stores No. of stores Overview VIA INN details Sales of Goods Seven-Eleven 335 Seven-Eleven franchised stores Name Opened Rooms Name Opened Rooms Eki Marché 3 Commercial facilities inside stations 1 VIA INN Shimonoseki * 1 Mar VIA INN Shinsaibashi Apr episode 17 Variety and general goods stores inside stations 2 VIA INN Shin Osaka July VIA INN Shinjuku Feb Garland of Dew 9 Selected accessory shops 3 VIA INN Shin Osaka West Mar VIA INN Higashi Ginza Mar Food Services DELI CAFE 13 Self-service cafés 4 VIA INN Himeji Oct VIA INN Okayama Oct ESTACIÓN CAFÉ 9 Full-service cafés inside stations 5 VIA INN Hiroshima Apr VIA INN Nagoya Shinkansen Gate July KARAFUNEYA COFFEE 9 Urban full-service cafés 6 VIA INN Kyoto Shijo Muromachi Apr VIA INN Shinsaibashi Nagahoridori June Menya 2 Fast food noodle shops 7 VIA INN Kanazawa June VIA INN Asakusa* 2 June Tabi Bento 1 Shops specializing in train station boxed lunches 8 VIA INN Tokyo Oimachi July VIA INN Hiroshima Kanayamacho* 2 June VIA INN 17 Accommodation-oriented budget hotels 9 VIA INN Akihabara Mar *1 Unconsolidated business *2 Business segment Department Store Major Store Opened Commercial floor space Comments JR Kyoto Isetan Sept Approx. 44,2 m 2 Including the commercial facility inside stations SUVACO Location of VIA INN Number of Seven-Eleven franchised stores Target 5 Eki Marché details Name Opened Floor space Eki Marché Takarazuka Mar. 21 Approx. 9 m 2 Eki Marché Osaka Oct. 212 Approx. 5,5 m 2 Eki Marché Shin-Osaka Mar. 215 Approx. 2,2 m FY215.3 FY216.3 FY217.3

15 Fact Sheets 217 DATA OTHER 14 Business Non-Transportation Operations (Real Estate Business) As of March 31, 217 Shopping Center Operations Shopping Centers (No. of facilities: 43) List of major SC SC tenant revenues SC name MARIER Toyama Kanazawa Hyakubangai Prism Fukui Date opened Sept Mar Apr. 25 Floor space 9,6 m 2 18, m 2 2,7 m 2 SC name ALBi Osaka Tennoji MIO Wakayama MIO Date opened June 211 Sept Mar Floor space 3, m 2 4, m 2 7,3 m 2 SC name Okayama Ichi Ban Gai SUN STATION TERRACE OKAYAMA SUN STATION TERRACE FUKUYAMA Date opened Aug Oct. 26 Nov. 27 Floor space 8,4 m 2 8,2 m 2 1,1 m Kyoto Station Building Shop Street The CUBE Oct ,5 m 2 MONTetMER Oct ,5 m 2 SHAMINE MATSUE* Oct ,5 m Shopping Mall Kyoto Porta arde! SHIN-OSAKA LUCUA osaka Nov. 198 Feb May 211 1,2 m 2 5,1 m 2 53,3 m 2 Liv PLiCO ROKKOMICHI piole AKASHI Mar Nov Dec ,2 m 2 5, m 2 9,2 m 2 SHAMINE TOTTORI* SOUVENIR SHOP & RESTAURANT (Hiroshima Station) ASSE Oct Mar Mar ,6 m 2 3, m 2 1, m 2 FY28.3 FY29.3 FY21.3 FY211.3 FY212.3 FY213.3 FY214.3 FY215.3 FY216.3 FY217.3 Note: Includes other segments and unconsolidated SC. EST Nov ,8 m 2 piole HIMEJI Dec , m 2 ripie SHIMONOSEKI Mar ,5 m 2 * Retail Business Segment Real Estate Lease and Sale Development of station buildings and surrounding areas of stations (No. of facilities: 77) List of major facilities Commercial facilities Office buildings Leasing space 1, sq. m Facility name VIERRA Otsu VIERRA Nara VIERRA Tsugaguchi VIERRA Morinomiya VIERRA Momodani Date opened Oct. 216 Mar. 212 Apr. 216 Sept. 213 Aug. 216 Floor space 2,2 m 2 5,3 m 2 5,4 m 2 4, m 2 1, m 2 Facility name JR Kanazawa Station West Gate No.1 NK Building Shin-Osaka Station Front Chuo Building North Gate Building (Office) JR Amagasaki Station West Gate NK Building JR Amagasaki Station North Gate NK Building Date opened June 214 Feb May 211 Apr. 23 July 29 Floor space 9,6 m 2 31, m 2 21, m 2 6,5 m 2 13,6 m 2 5 VIERRA Kobe Dec. 23 6,6 m 2 JR Kobe Station NK Building Apr ,3 m 2 FY28.3 FY29.3 FY21.3 FY211.3 FY212.3 FY213.3 FY214.3 FY215.3 FY216.3 FY217.3 VIERRA Himeji Dec ,1 m 2 Hiroshima Inarimachi NK Building May ,3 m 2 Condominiums and detached houses Number of condominiums completed (cumulative) Major recent condominium properties domiciles 1, 8,39 Property name Date of delivery units Property name Date of delivery units 8, 6, 4, 2, 6,399 4,812 4,979 2,783 2,873 3,92 3,442 3,774 2,32 J.GRAN L SAKAI KYOTO KATSURAGAWA GRAN SQUARE KYOTO KATSURAGAWA MARK SQUARE J.GRAN L IBARAKI Sept Sept Mar Mar Maya City COMFORT GRACIA CITY KAWASAKI DAISHIGAWARA BRANZ CITY TENJIMBASHISUJI 6-CHOME KYOTO KATSURAGAWA BRIGHT SQUARE Mar Mar Mar Mar FY28.3 FY29.3 FY21.3 FY211.3 FY212.3 FY213.3 FY214.3 FY215.3 FY216.3 FY217.3 Note: Does not take into account business shares in joint ventures. TSUKAGUCHI MARK FRONT Mar TSUKAGUCHI MARK FOREST Mar

16 Fact Sheets 217 DATA OTHER 15 Data Uses of Cash Flows Capital Expenditures (Consolidated, Non-Consolidated) CAPITAL EXPENDITURES (Consolidated, Own Funds) Years ended March LONG-TERM DEBT AND PAYABLES (Consolidated) As of March 31 2, , , , , , , , ,2.7 1, ,8 1,12.6 1, ,4.2 1,38.9 1,68.8 1, , , 5 Capital Expenditures (Consolidated, Own Funds) Depreciation and Amortization (Consolidated) Long-Term Debt and Payables (Consolidated, Non-Consolidated) % CAPITAL EXPENDITURES (Non-Consolidated, Own Funds) Years ended March , Dividends Years ended March 31 (Plan) Yen 14 % Safety-related Depreciation and Amortization Dividend per Share ( ) Payout Ratio (%) (Right axis) LONG-TERM DEBT AND PAYABLES (Non-Consolidated) As of March 31 % 2, , ,5 1, , , , , , , ,64. 1, , , ,22. 1, Note: One common share is divided into 1 shares from July 1, 211. Dividends per share have been recalculated based on the number of shares after division. BREAKDOWN OF SHINKANSEN PURCHASE LIABILITY (Fiscal year ended March 217) Liability Balance Billions of yen Interest Rate % Term Years No until Mar. 217 No until Mar. 217 No Fixed until Sept. 251 Payment Recipient 12 1 Japan Railway Construction, Transport and Technology Agency Long-Term Debt and Payables (Consolidated) Average Interest Rate (Consolidated)* (Right axis) Shinkansen Purchase Liability Bonds Average Interest Rate* (Right axis) * Average interest rate before FY ended March 1999 was calculated as follows: Average Interest Rate = [Interest Expenses + Interest on Bonds] / [(Long-term Debt and Payables at the end of the previous fiscal year + Long-term Debt and Payables at the end of the fiscal year under review) / 2]

17 Fact Sheets 217 DATA OTHER 16 Data Employees (Consolidated, Non-Consolidated) NUMBER OF EMPLOYEES (Non-Consolidated) As of April 1 Number of people 6, 51,33 48,41 48, 47,8 51,54 5,9 48,63 48,19 47,98 47,26 5, 4, 3, 2, 1, 46,39 45,1 42,57 4,79 39,26 34,56 31,21 29,62 29,87 29,9 29,85 3,23 29,15 36,49 32,85 3,35 29,61 29,95 29,59 3,17 29,68 NEW EMPLOYEES (Non-Consolidated) FY ended March 31 Number of people 1,4 1,2 1, ,13 1,161,22 1,31 1,14 1, Note: Beginning the fiscal year ended March 27, a new personnel system was adopted that promoted contract employees during the year to the status of full employees. These employee figures have been included in the fiscal year ended March 27 and for years thereafter. (Please note, however, that in the fiscal year ending March 218, this figure represents employees who joined the Company on April 1, 217.) The employee figures do not include medical-related employees (doctors, technicians, nurses, etc.) and specialist employees recruited mid-career. NUMBER OF EMPLOYEES AT WORK (Consolidated) As of March 31 AGE DISTRIBUTION (Non-Consolidated) As of April 1, 217 Number of people 5, 47,794 45,995 43,394 45,25 44,8 45,24 46,14 45,73 45,42 45,326 46,6 47,565 47,456 47,382 43,118 43,93 43,354 44,21 4, 33,56 32,117 1,314 3, 29,875 28,688 2,353 27,581 26,525 25,83 25,465 25,466 25,824 26,443 26,75 26,778 26,889 27,3 26,886 26,555 25,821 2, 1, 16,957 26,758 Number of people 1, 8, 6, 4, 2, 1% 39 7% 1,99 15% 4,5 21% 6,8 12% 3,57 5% 1,5 3% 8 8% 2,45 27% 7, ~19 2~24 25~29 3~34 35~39 4~44 45~49 5~54 55~ Transportation Retail Real Estate Businesses Non-Consolidated

18 Fact Sheets 217 DATA OTHER 17 Data Management Indicators Years ended March * Consolidated Operating Income Ratio (%) Recurring Profit Ratio (%) Return on Operating Revenues (%) (.7) Return on Assets (ROA) (%)* Return on Equity (ROE) (%)* (2.8) Current Ratio (%) Equity Ratio (%) Debt-Equity Ratio (times)* Interest-coverage Ratio (times) EBITDA ( billions)* Earnings (Net Income) per Share (EPS) ( ) 18,948 16,454 15,593 4,12 13,699 17,819 9,966 (4,57) 12,546 15,481 22,769 2,74 23,423 29,463 23,282 28,415 28,954 27,729 12,837 18, Book-value (Net Assets) per Share (BPS) ( )* 5 121, , , , , , , ,39 174,424 26,823 25,74 22, , , ,245 33,96 322, , , ,712 3, , , , , ,857.5 Dividend per Share ( )* 6 5, 5, 5, 5, 5, 6, 5, 5, 5, 5, 5, 5, 6,5 6, 6, 6, 6, 7, 7, 8, Payout Ratio (%) Dividend on Equity (DOE) (%)* Rate of total distribution on net assets (%)* Consolidated/Non-Consolidated Ratio (Operating Revenues) (times) Consolidated/Non-Consolidated Ratio (Net Income) (times) Non-Consolidated Operating Income Ratio (%) Recurring Profit Ratio (%) Return on Operating Revenues (%) (.6) Note: Results before fiscal year ended March 1998 = Before Enterprise Tax Readjustment *1 Return on Assets (ROA) = Operating Income / [( Assets at the end of the previous fiscal year + Assets at the end of the fiscal year under review) / 2] *2 Return on Equity (ROE) = Net Income / [(Equity at the end of the previous fiscal year + Equity at the end of the fiscal year under review) / 2] *3 Debt-Equity Ratio = Long-term Debt and Payables / Shareholders Equity *4 EBITDA = Operating Income (After Enterprise Tax Readjustment) + Depreciation Expense + Amortization of goodwill *5 Book-value (Net Assets) per Share (BPS) = Equity at the end of the fiscal year under review / Number of Shares at the end of the fiscal year under review *6 Figure for dividend per share for FY ended March 217 is the projected figure. For this reason, figures for payout ratio, dividend on equity (DOE) and rate of total distribution on net assets are the projected figures for the same period. *7 Dividend on Equity (DOE) = Dividend per Share / [(BPS at the end of the previous fiscal year + BPS at the end of the fiscal year under review) / 2] *8 Rate of total distribution on net assets = (total dividends + acquisitions of treasury stock) / consolidated net assets *9 The Company conducted a stock split on July 1, 211, at a ratio of 1 ordinary shares for each ordinary share.

19 Fact Sheets 217 DATA OTHER 18 Data Consolidated Financial Data Years ended March 31 Assets Liabilities Shareholders Equity Minority Interests* 5 Net Assets* * * 2 99* 3 1* , , [4.9] 2, , [5.7] 2,46.5 2, [5.7] 2, , [13.9] 2, , [14.9] 2,67. 2, [15.6] 2, , [13.4] 2, , ,561. 2, , , , , , , ,41.3 1, , , , , ,4 1,763.8 [3.3] , ,791.9 [3] , ,772.2 [32.9] , ,844.2 [32.9] 7 2, ,951.1 [32.4] , ,99.4 [3.1] , ,845.5 [22.4] , ,88.5 [23.4] , ,939.7 [45.4] () , ,916.8 [48.5] ,7.8 1,97 [9] 1,32.6 Operating Revenues (Revenues from third parties) 1,78.5 1,87.5 1,19.4 1,92.8 1, ,29.2 1, ,25. 1,191. 1, ,19.6 1, , ,22.8 1,24. 1, ,29.1 1, ,19.1 1, , , ,331. 1,35.3 1, ,441.4 Transportation Retail Sales of goods Real estate businesses Operating Income Transportation Retail (2.9) (.4) Sales of goods (.2) Real estate businesses Elimination and intergroup.3.1 (.) (.8).1 (1.2) (1.) (1.2) (.8) (.) (.7) (.5) (.8) (.6) (.7) (.7) (1.) (.7) (1.) (.6) (.3) (.4) (.5) (3.3) (4.1) (3.3) Non-operating revenues Non-operating expenses Balance of financial expenses (81.8) (74.8) (71.7) (7.4) (66.9) (61.8) (53.8) (48.8) (45.3) (42.3) (39.4) (36.9) (34.9) (34.) (33.6) (33.3) (32.4) (3.) (27.5) (24.9) (23.3) (2) Interest and dividend income Interest expenses Recurring Profit Extraordinary profit (loss) (13.5) (.7) (51.1) (3.4) (.8) 13.2 (1.1) (22.2) (3.2) (7.2) (.1) (4.4) (7.9) (2.2) (4.9) (1.2).7 (17.1) (23.) Extraordinary profit Extraordinary loss Profit attributable to owners of parent (9.) Cash Flows From Operating Activities (A) Cash Flows From Investing Activities (B) (99.2) (63.3) (9) (84.9) (11.7) (131.7) (179.2) (172.6) (28.7) (246.2) (199.1) (154.7) (165.3) (212.9) (233.2) (295.8) Free Cash Flows (A+B) (47.4) (23.) (6) Cash Flows From Financing Activities (C) (66.5) (133.2) (167.1) (7) (67.9) (66.4) (69.3) (54.6) (55.8) (1.1) (36.8) (8) (47.8) (31.3) 44.3 Net increase (decrease) in cash equivalents (A+B+C) (8.) 14.8 (49.7) (4.7) (18.6) (8.4) (6.8) (12.9) (3.4) (29.1) (1.9) (4.6) (17.3) Note: Figures in parentheses are negative values; Record high figures. *1 The Hanshin-Awaji Earthquake struck in January *2 Kyoto Station Building opened in September *3 In accordance with the Law on the Disposition of the Liability owed by the Japan National Railways Settlement Corporation (JNRSC), the Company paid 44.5 billion to the Japan Railways Group Mutual Aid Association in March *4 Since the fiscal year ended March 21, the food and beverages business, which had been previously included in the businesses segment, has been included in the Sales of goods and food services segment in accordance with the restructuring of related subsidiaries. To describe their businesses properly, the Sales of goods segment has changed its name to the Sales of goods and food services segment. Also, two subsidiaries have been transferred to the Real estate segment from the Sales of goods segment. *5 Minority interests were included in liabilities prior to the fiscal year ended March 1998, and are accounted for as part of net assets from the fiscal year ended March 27. All these are indicated by [ ]. *6 Shareholders Equity has been replaced by Net Assets pursuant to Japan s Companies Act, which came into force on May 1, 26. The disclosure of related figures and items has been adjusted to reflect this change.