Fiscal Year 2025 Q3 Supplementary Financial Results Presentation

Performance Overview

In the third quarter of fiscal year 2025, operating revenue reached JPY 195.392 billion (up 4.4% YoY), and operating income was JPY 34.171 billion (up 17.0% YoY), both record highs. The positive impacts of the Osaka-Kansai Expo, expanding inbound demand, and contributions from consolidated subsidiaries Meiko Bus and Tsutenkaku Tourism led to increased revenue and profit primarily in the transportation segment. Ordinary income was JPY 33.154 billion (up 8.3% YoY), and net income attributable to owners of parent was JPY 22.258 billion (up 10.1% YoY). Although extraordinary profits and losses significantly decreased due to the absence of dividend income from a special purpose company recorded in the same period last year, the growth in operating income lifted overall performance.

Segment Performance and Financial Condition

Transportation segment operating revenue was JPY 89.051 billion (up 5.9% YoY), and operating income was JPY 14.958 billion (up 20.2% YoY), supported by increased ridership in railway and bus operations. The real estate segment recorded operating revenue of JPY 35.362 billion (up 15.4% YoY) and operating income of JPY 10.122 billion (up 4.6% YoY), driven by strong hotel occupancy and steady condominium sales. The distribution and leisure & service sectors also posted increased revenue and profits. Conversely, the construction segment experienced a revenue decline but improved profit margins led to higher operating income. Total assets stood at JPY 1.234 trillion (an increase of approximately JPY 42.4 billion from the previous fiscal year-end), while interest-bearing debt was JPY 457.3 billion (up JPY 24.4 billion from the previous fiscal year-end).