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How definitive the wording is.Contents of this document
Earnings presentationFirst quarter of the fiscal year ending December 202610 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥8,103 million-2.8%
Operating profit¥1,246 million+6.1%
Ordinary income¥900 million-5.9%
Net income¥593 million-11.9%
Results for the three months of the current quarter
Net Sales
¥8,103 million
Operating profit
¥1,246 million
Ordinary income
¥900 million
Profit attributable to owners of parent for the quarter
¥593 million
Full-year earnings forecast
Net Sales
¥61,000 million
Operating profit
¥17,500 million
Ordinary income
¥16,700 million
Net income for the current fiscal year
¥11,600 million
Progress against full-year forecast 通期の予想に対して、いまどこまで進んだかの割合です。
Operating profit7.1%
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Progress in line with the company’s planBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
- Gross profit decline due to lower sales¥-50 million
- Higher gross profit due to an improved gross profit margin¥288 million
- Higher sales commissions¥-31 million
- Increase in personnel expenses¥-34 million
- Increase in other SG&A expenses¥-101 million
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Progress is expected to remain low through the first half because profits are concentrated in the second half.New initiatives
- Investment in ドーガン, a regional revitalization fund manager
- Formation and launch of the private real estate fund Sanitas I GK with Takashimaya Group and others
- Upward revision of the interim dividend forecast to ¥177
- Three-for-one stock split scheduled for 1 July 2026
- Introduction of a shareholder benefit program
- Introduction of a 6% DOE floor
Key KPIsA metric the company considers important as a management benchmark.
- Inventories¥708 hundred million
- Number of development pipeline projects63 Engagements
- Development pipeline value¥1,704 hundred million
- Leased assets¥109 hundred million
Segment results
DX New-Build Real Estate Business
Sales
¥2,096 million-2.6%
Gross profit
¥620 million-24.2%
Gross Profit Margin
29.6%
yoy_change_pt-8.4
DX Redevelopment Real Estate Business
Sales
¥3,393 million+38.0%
Gross profit
¥532 million+14.1%
Gross Profit Margin
15.7%
yoy_change_pt-3.3
DX Real Estate Value-Enhancement Business
Sales
¥2,298 million-33.7%
Gross profit
¥699 million+91.0%
Gross Profit Margin
30.4%
yoy_change_pt19.8
Real Estate Leasing Business
Sales
¥303 million+19.3%
Gross profit
¥182 million+20.9%
Gross Profit Margin
60.2%
yoy_change_pt0.8
Medium-term management plan targets
ROE20% or higher
Equity ratio20% or higher
Payout ratio40% target
Net Sales
¥61,000 million
Target fiscal yearFiscal year ending December 2026
Operating profit
¥17,500 million
Target fiscal yearFiscal year ending December 2026
Financial targets
ROE20% or higher
Equity ratio20% or higher
Annual Dividend
Annual dividend per share¥522.00 per share (on a pre-stock-split basis)
Interim¥177.00 (pre-stock-split basis)
End of period¥345.00 (on a pre-stock-split basis)
Payout ratio
40% target; 38.6% forecast for the fiscal year ending December 2026 (on a post-stock-split basis)| Item | Details |
|---|---|
| Document type | Earnings presentation |
| Fiscal Period Covered | First quarter of the fiscal year ending December 2026 |
| Net Sales | ¥8,103 million (YoY -2.8%) |
| Operating profit | ¥1,246 million (YoY +6.1%) |
| Ordinary income | ¥900 million (YoY -5.9%) |
| Net income | ¥593 million (YoY -11.9%) |
| Results for the three months of the current quarter | Net Sales ¥8,103 million / Operating profit ¥1,246 million / Ordinary income ¥900 million / Profit attributable to owners of parent for the quarter ¥593 million |
| Full-year earnings forecast | Net Sales ¥61,000 million / Operating profit ¥17,500 million / Ordinary income ¥16,700 million / Net income for the current fiscal year ¥11,600 million |
| Progress against full-year forecast | Operating profit 7.1% |
| Self-assessment against the plan | Progress in line with the company’s plan |
| Segment results | DX New-Build Real Estate Business Sales ¥2,096 million (YoY -2.6%) / Gross profit ¥620 million (YoY -24.2%) / Gross Profit Margin 29.6% / DX Redevelopment Real Estate Business Sales ¥3,393 million (YoY +38.0%) / Gross profit ¥532 million (YoY +14.1%) / Gross Profit Margin 15.7% / DX Real Estate Value-Enhancement Business Sales ¥2,298 million (YoY -33.7%) / Gross profit ¥699 million (YoY +91.0%) / Gross Profit Margin 30.4% / Real Estate Leasing Business Sales ¥303 million (YoY +19.3%) / Gross profit ¥182 million (YoY +20.9%) / Gross Profit Margin 60.2% |
| Breakdown of Factors Affecting the Change | Factors Gross profit decline due to lower sales / Amount ¥-50 million, Factors Higher gross profit due to an improved gross profit margin / Amount ¥288 million, Factors Higher sales commissions / Amount ¥-31 million, Factors Increase in personnel expenses / Amount ¥-34 million, Factors Increase in other SG&A expenses / Amount ¥-101 million |
| Key KPIs | Indicator name Inventories / Value ¥708 hundred million / Year on year against the same period last year Not disclosed, Indicator name Number of development pipeline projects / Value 63 Engagements / Year on year against the same period last year Not disclosed, Indicator name Development pipeline value / Value ¥1,704 hundred million / Year on year against the same period last year Not disclosed, Indicator name Leased assets / Value ¥109 hundred million / Year on year against the same period last year Not disclosed |
| Assumptions Underlying the Business Outlook | Progress is expected to remain low through the first half because profits are concentrated in the second half. |
| Medium-term management plan targets | ROE 20% or higher / Equity ratio 20% or higher / Payout ratio 40% target / Net Sales ¥61,000 million / Operating profit ¥17,500 million |
| Financial targets | ROE 20% or higher / Equity ratio 20% or higher |
| Annual Dividend | Annual dividend per share ¥522.00 per share (on a pre-stock-split basis) / Interim ¥177.00 (pre-stock-split basis) / End of period ¥345.00 (on a pre-stock-split basis) |
| Payout ratio | 40% target; 38.6% forecast for the fiscal year ending December 2026 (on a post-stock-split basis) |
| New initiatives | Investment in ドーガン, a regional revitalization fund manager, Formation and launch of the private real estate fund Sanitas I GK with Takashimaya Group and others, Upward revision of the interim dividend forecast to ¥177, Three-for-one stock split scheduled for 1 July 2026, Introduction of a shareholder benefit program, Introduction of a 6% DOE floor |
Items this document does not state (12)
Gross Profit MarginOperating profit marginSelling, general and administrative expensesUnit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookAcquisition of treasury sharesCapital expendituresOrders received and order backlogMarket Size / ShareKey points of the Q&A
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.Operating income increased despite lower revenue, driven by a gross profit margin for the DX New-Build Real Estate Business that exceeded the planning assumption and contributions from high-margin projects in the DX Real Estate Value Enhancement Business. Ordinary income declined due to higher interest expense.
How to read this page
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Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.