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83Important
Scored from 4 of 6 sectionsDirection
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Direction inferred from the company’s description.Scale
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Conditional
How definitive the wording is.Contents of this document
Summary of Q&AFiscal year ending August 20267 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Operating profit margin
RateForecast for the fiscal year ending August 2027: 20%
Year on year against the same period last yearPlanned to increase from 16.3% in the previous fiscal year
Full-year earnings forecast
Operating profit marginForecast for the fiscal year ending August 2027: 20%
What the company explained in this material
Key points of the Q&AKey questions raised by investors at the briefing and the company's answers
- Issues Holding policy for balance-sheet-based investments / Summary of response The company prioritises turnover rather than long-term holding and will control its inventory of real estate for sale at an appropriate level.
- Issues Funding / Summary of response During the period covered by the medium-term management plan, the company will generally fund operations through borrowings under a financial discipline of a net D/E ratio of 1x, and is basically not considering an equity offering.
- Issues Competitive Environment / Summary of response The company does not currently anticipate a major impact from the increase in real estate data service providers and views this as a tailwind for market expansion.
- Issues Medium-Term Management Plan / Summary of response Although revenue is expected to be achieved ahead of schedule, the company will not revise the plan at this stage and will prioritise achieving its operating profit target.
- Issues Earnings for the fiscal year ending August 2027 / Summary of response Against a backdrop of approximately ¥5.5 billion in contracted and prospective deals, the company believes it has a high degree of confidence in achieving its earnings forecast.
- Issues Operating margin / Summary of response The 20% operating margin forecast is based on the accumulation of gross profit from the pipeline. The increase in the proportion of balance-sheet-based investments will create a gap between the margin and the level assumed when the medium-term plan was formulated.
- Issues Project Areas / Summary of response The company is becoming more active in pursuing factory-related deals and is also focusing on hazardous materials warehouses.
- Issues Profit for the first quarter of the fiscal year ending August 2027 / Summary of response Costs related to the head office relocation and upfront fees related to borrowings are expected, with the approximately ¥80 million upfront fee being the primary factor.
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Factors behind the decline in profit levels in the first quarter of the fiscal year ending August 2027
- Costs related to the head office relocation
- Upfront fees related to borrowingsApproximately ¥80 million
New initiatives
- Become more active in originating factory-related deals
- Develop deals involving hazardous materials warehouses
- Fundraising for balance-sheet-based investments, generally through borrowings
- Control the inventory of real estate for sale at an appropriate level
Key KPIsA metric the company considers important as a management benchmark.
- Average holding period of balance-sheet-based investment dealsApproximately 3.8
- Gross margin on balance-sheet-based investmentsApproximately 20 on average
- Contracted and prospective dealsApproximately 55
Medium-term management plan targets
Net Sales¥12 billion (fiscal year ending August 2028)
Operating profit margin25%～30%
Financial targets
Net debt-to-equity ratio1x
Market Size / Share
CRE marketApproximately ¥500 trillion
| Item | Details |
|---|---|
| Document type | Summary of Q&A |
| Fiscal Period Covered | Fiscal year ending August 2026 |
| Operating profit margin | Rate Forecast for the fiscal year ending August 2027: 20% / Year on year against the same period last year Planned to increase from 16.3% in the previous fiscal year |
| Full-year earnings forecast | Operating profit margin Forecast for the fiscal year ending August 2027: 20% |
| Breakdown of Factors Affecting the Change | Factors behind the decline in profit levels in the first quarter of the fiscal year ending August 2027 Factors Costs related to the head office relocation / Amount Not disclosed, Factors Upfront fees related to borrowings / Amount Approximately ¥80 million |
| Key KPIs | Indicator Average holding period of balance-sheet-based investment deals / Value Approximately 3.8 / Year on year against the same period last year Not disclosed, Indicator Gross margin on balance-sheet-based investments / Value Approximately 20 on average / Year on year against the same period last year Not disclosed, Indicator Contracted and prospective deals / Value Approximately 55 / Year on year against the same period last year Not disclosed |
| Medium-term management plan targets | Net Sales ¥12 billion (fiscal year ending August 2028) / Operating profit margin 25%～30% |
| Financial targets | Net debt-to-equity ratio 1x |
| Market Size / Share | CRE market Approximately ¥500 trillion |
| Key points of the Q&A | Issues Holding policy for balance-sheet-based investments / Summary of response The company prioritises turnover rather than long-term holding and will control its inventory of real estate for sale at an appropriate level., Issues Funding / Summary of response During the period covered by the medium-term management plan, the company will generally fund operations through borrowings under a financial discipline of a net D/E ratio of 1x, and is basically not considering an equity offering., Issues Competitive Environment / Summary of response The company does not currently anticipate a major impact from the increase in real estate data service providers and views this as a tailwind for market expansion., Issues Medium-Term Management Plan / Summary of response Although revenue is expected to be achieved ahead of schedule, the company will not revise the plan at this stage and will prioritise achieving its operating profit target., Issues Earnings for the fiscal year ending August 2027 / Summary of response Against a backdrop of approximately ¥5.5 billion in contracted and prospective deals, the company believes it has a high degree of confidence in achieving its earnings forecast., Issues Operating margin / Summary of response The 20% operating margin forecast is based on the accumulation of gross profit from the pipeline. The increase in the proportion of balance-sheet-based investments will create a gap between the margin and the level assumed when the medium-term plan was formulated., Issues Project Areas / Summary of response The company is becoming more active in pursuing factory-related deals and is also focusing on hazardous materials warehouses., Issues Profit for the first quarter of the fiscal year ending August 2027 / Summary of response Costs related to the head office relocation and upfront fees related to borrowings are expected, with the approximately ¥80 million upfront fee being the primary factor. |
| New initiatives | Become more active in originating factory-related deals, Develop deals involving hazardous materials warehouses, Fundraising for balance-sheet-based investments, generally through borrowings, Control the inventory of real estate for sale at an appropriate level |
Items this document does not state (20)
Net SalesOperating profitOrdinary incomeNet incomeGross Profit MarginSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planSegment resultsUnit price and quantity metricsNumber of stores and locationsNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookAnnual DividendPayout ratioAcquisition of treasury sharesCapital expendituresOrders received and order backlog
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.The company acquires properties with prospective buyers in mind, adds value through renovations and other measures as needed, and passes them on to the next owner, so it prioritises turnover rather than long-term holding. Given uncertainty over the interest-rate environment and the outlook for the global economy, it will avoid accumulating excessive real estate for sale and maintain the flexibility to respond to changes in the operating environment. Regarding its earnings forecast for the fiscal year ending August 2027, the company explained that it has a high degree of confidence in achieving it because it has approximately ¥5.5 billion in contracted and prospective deals and because companies' need to sell assets is increasing.
How to read this page
This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.