Fiscal Year ending March 2026 Financial Results [Japanese GAAP] (Consolidated)

Overview of Performance

The consolidated financial results for the fiscal year ending March 2026 show sales of 15,155 million yen (up 15.2% YoY), operating income of 2,462 million yen (up 73.6% YoY), ordinary income of 3,204 million yen (up 67.1% YoY), and net income attributable to owners of the parent of 2,321 million yen (up 29.9% YoY). The main factors for the increased revenue include the reopening of the TOC Building after renovation completion in March 2024, which led to increased tenant acquisition and customer attraction through events.

Segment Performance

The real estate segment achieved sales of 11,308 million yen (up 19.6% YoY) and an operating profit of 2,388 million yen (up 73.9% YoY), driven by lower vacancy rates and increased rent levels for office buildings. The linen supply and laundry services segment posted sales of 1,813 million yen (up 4.9% YoY) and operating income of 52 million yen (up 221.0% YoY), supported by increased orders from the hotel industry. Other segments recorded sales of 2,033 million yen (up 3.2% YoY) and an operating profit of 13 million yen (down 32.7% YoY).

Financial Condition and Cash Flows

Total assets stand at 122,226 million yen (up 7,329 million yen YoY), and net assets are 104,719 million yen (up 3,894 million yen YoY). Cash flows from operating activities amounted to 5,731 million yen (significantly increased YoY), cash flows from investing activities were an expenditure of 2,911 million yen, and cash flows from financing activities were an expenditure of 1,101 million yen. The ending balance of cash and cash equivalents is 31,148 million yen.

Future Outlook

The consolidated earnings forecast for the fiscal year ending March 2027 anticipates sales of 17,400 million yen (up 14.8% YoY), operating income of 3,800 million yen (up 54.3% YoY), ordinary income of 4,600 million yen (up 43.6% YoY), and net income attributable to owners of the parent of 3,100 million yen (up 33.5% YoY). The company plans to focus on long-term renovations of the new TOC Building, acquisition of revenue-generating properties, and improving investment efficiency.

Dividend Policy

The year-end dividend is scheduled at ¥5 per share, with an interim dividend of ¥5, making a total annual dividend of ¥10. The fundamental policy is to maintain stable and continuous dividends, and the company is also considering share buybacks as part of shareholder returns.