FY2025 Supplementary Financial Explanation Materials

Overview of FY2025 Financial Results

Operating revenue for FY2025 was 264.7 billion yen, up 1.5% year-on-year, and operating income was 39.9 billion yen, up 15.2%, both achieving record highs. The effects of the Osaka-Kansai Expo, expanded inbound demand, and full-year contributions from consolidated subsidiaries Meiko Bus and Tsutenkaku Tourism contributed to revenue and profit growth. Net income attributable to owners of the parent increased 11.5% to 25.1 billion yen, and the annual dividend was raised to 50 yen (payout ratio 22.0%). Share Buyback amounted to 12.0 billion yen.

FY2026 Earnings Forecast and Investment Plans

For FY2026, operating revenue is projected at 287.5 billion yen (up 8.6% year-on-year) and operating income at 40.0 billion yen (slight increase), aiming to set new record profits. The impact of the Osaka-Kansai Expo’s post-event slowdown and worsening Japan-China relations will be offset by adjustments in limited express fare and increased real estate income. The annual dividend is planned to increase to 55 yen (payout ratio 25.0%). Investment is planned to rise focused on acquiring income-producing properties, development projects around Namba, and safety and renewal investments related to rail transport, promoting revenue growth and sustainable business operations.