Fiscal Year Ending March 2026, Q3 Supplementary Earnings Materials

Performance Overview

Consolidated results for the third quarter of the fiscal year ending March 2026 showed an increase in revenue from the Osaka-Kansai Expo and fare revisions by Keihan Electric Railway; however, the real estate segment experienced a significant decline due to a rebound in condominium sales from the previous year’s same period. Overall, net sales decreased by 3.5% YoY to ¥225,741 million. Operating income declined by 0.8% to ¥36,250 million, and ordinary income dropped 2.2% to ¥35,111 million. Nonetheless, the increase in gains from fixed asset sales and a decrease in fixed asset disposal losses led to a 2.7% increase in net income attributable to owners of parent, rising to ¥25,563 million.

Segment Performance Trends

The transportation segment saw increased revenue and profit due to fare revisions and the Osaka-Kansai Expo effect, with operating revenue of ¥73,091 million (up 5.8% YoY) and operating income of ¥12,278 million (up 5.2% YoY). The real estate segment faced declines from a rebound in condominium sales, with operating revenue of ¥83,802 million (down 17.9% YoY) and operating income of ¥14,362 million (down 20.4% YoY). The distribution segment was nearly flat with operating revenue of ¥43,222 million (up 1.8% YoY) despite a drop in inbound customers to department stores, supported by contributions from shopping malls, while operating income slightly decreased to ¥2,213 million (down 2.0% YoY). The leisure and service segment saw significant profit growth due to the Osaka-Kansai Expo, with operating revenue rising 15.0% to ¥35,235 million and operating income surging 51.3% to ¥7,253 million.