Earnings Volatility Based on the Timing of Property Sales
First written in FY2016. 13 of 24 entries say "Materialised", first in FY2018-Q1. Latest entry: 2026-08-10.
Intrance moved to the "Worse" side of this theme in 2017, 5 years before the typical company in this theme (2022).
The whole theme swung hardest in 2026: 11 of 27 companies on the "Worse" side.
10 other companies' latest entry also says "Materialised".
- FY2025-H1MaterialisedAnnual report
「Although the absence of sales of properties for sale and the reversal of the allowance for doubtful accounts recognized against long-term accounts receivable in the previous interim consolidated accounting period resulted in a significant decrease in selling, general and administrative expenses, revenue in the current interim consolidated accounting period was ¥104.966 million, down 76.2% from the previous interim consolidated accounting period, and segment profit (operating profit) was ¥2.666 million, down 98.8%, due in part to the disappearance of these special factors.」
The timing of property sales and the disappearance of special factors from the previous fiscal year resulted in a 76.2% decline in real estate revenue and a 98.8% decline in profit. Fluctuations in performance due to the timing of sales were reflected in interim results. - FY2024Full-year revenue growth and narrower losses, but operating loss continuedAnnual report
「Revenue was ¥1,292.217 million, up 116.0% year on year, operating loss was ¥154.220 million, compared with an operating loss of ¥416.169 million in the previous fiscal year, and ordinary loss was ¥162.432 million, compared with an ordinary loss of ¥471.007 million.」
Full-year revenue increased 116.0% year on year, and operating loss narrowed from ¥416.169 million to ¥154.220 million, but operating and ordinary losses remained. - FY2024-Q2Returned to operating profitability during the cumulative second-quarter periodAnnual report
「As a result, revenue was ¥747.055 million, up 157.3% year on year, operating profit was ¥1.306 million, compared with an operating loss of ¥214.224 million in the same quarter of the previous year, ordinary loss was ¥1.060 million, compared with an ordinary loss of ¥208.594 million, and net income attributable to owners of the parent was ¥35.979 million, compared with net loss attributable to owners of the parent of ¥208.714 million in the same quarter of the previous year.」
During the cumulative second-quarter period, operating profit was ¥1.306 million and net income attributable to owners of the parent was ¥35.979 million, an improvement from the operating loss and net loss recorded in the same period of the previous year. However, an ordinary loss of ¥1.060 million remained. - FY2024-Q1Revenue growth and narrower loss in the first quarterAnnual report
「As a result, revenue was ¥229.537 million, up 74.4% year on year, operating loss was ¥16.644 million, compared with an operating loss of ¥94.392 million in the same quarter of the previous year, ordinary loss was ¥17.667 million, compared with an ordinary loss of ¥85.013 million, and net loss attributable to owners of the parent was ¥17.043 million, compared with net loss attributable to owners of the parent of ¥84.785 million in the same quarter of the previous year.」
First-quarter revenue increased 74.4% year on year, while operating loss, ordinary loss and net loss attributable to owners of the parent all narrowed from the same period of the previous year. - FY2023-Q3Sharp revenue decline and continued loss during the cumulative third-quarter periodAnnual report
「As a result, revenue was ¥483.017 million, down 78.5% year on year, operating loss was ¥319.553 million, compared with operating profit of ¥292.413 million in the same quarter of the previous year, ordinary loss was ¥317.450 million, compared with ordinary profit of ¥288.259 million, and net loss attributable to owners of the parent was ¥318.392 million, compared with net income attributable to owners of the parent of ¥247.076 million in the same quarter of the previous year.」
Revenue declined 78.5% year on year during the cumulative third-quarter period, and operating profit, ordinary profit and net income attributable to owners of the parent all turned into losses. Fluctuations in performance due to the timing of property sales and other factors continue to be evident. - FY2023-Q2Sharp revenue decline and return to loss during the cumulative second-quarter periodAnnual report
「As a result, revenue was ¥290.346 million, down 86.1% year on year, operating loss was ¥214.224 million, compared with operating profit of ¥381.941 million in the same quarter of the previous year, ordinary loss was ¥208.594 million, compared with ordinary profit of ¥376.651 million, and net loss attributable to owners of the parent was ¥208.714 million, compared with net income attributable to owners of the parent of ¥308.802 million in the same quarter of the previous year.」
Amid continued fluctuations in performance depending on the timing of property sales, the cumulative second-quarter period saw operating loss, ordinary loss and net loss attributable to owners of the parent replace the corresponding profits recorded in the same period of the previous year, resulting in a sharp revenue decline. - FY2022-Q3Sold 4 properties during the cumulative third-quarter period and remained profitableAnnual report
「In the Principal Investment Business, we sold 4 properties held for sale during the cumulative third quarter. As a result, revenue was ¥1,895,068 thousand, up 207.0% year on year, and segment profit (operating profit) was ¥528,154 thousand, compared with a segment operating loss of ¥265,353 thousand in the same period of the previous year.」
During the cumulative third-quarter period, 4 properties were sold, generating revenue of ¥1,895.068 million and segment profit of ¥528.154 million. Although performance continues to fluctuate depending on the timing of property sales, the business has returned to profitability from an operating loss in the same period of the previous year. - FY2022-Q2Sales progressed and profitability continued through the second-quarter cumulative periodAnnual report
「In the principal investment business, the company sold 2 properties held for sale during the six months ended the second quarter of the current consolidated fiscal year and recognized an inventory valuation loss of ¥45.374 million on property held for sale in Asahikawa and Mobara for which sale and purchase agreements had been signed. As a result, revenue was ¥1,840.056 million, up 311.5% year on year, and segment profit (operating profit) was ¥533.653 million, compared with a segment operating loss of ¥234.559 million in the same quarter of the previous year.」
During the cumulative second-quarter period, the Principal Investment Business sold 2 properties for sale, generating revenue of ¥1,840.056 million and segment profit of ¥533.653 million, and returned to profitability from an operating loss in the same period of the previous year. - FY2022-Q1Returned to profitability on first-quarter salesAnnual report
「As a result, revenue was ¥1,961.074 million, up 982.8% year on year; operating profit was ¥513.361 million, compared with an operating loss of ¥238.885 million in the same quarter of the previous year; ordinary profit was ¥505.917 million, compared with an ordinary loss of ¥412.036 million; and profit attributable to owners of the parent was ¥427.010 million, compared with a net loss attributable to owners of the parent of ¥411.903 million.」
Sales of property held for sale, including Wakayama Marina City, caused the first quarter to shift from operating, ordinary and net losses in the same quarter of the previous year to profitability. Earnings volatility based on the timing of high-value, low-volume sales continues to be evident. - FY2021-Q3MaterialisedAnnual report
「In the Principal Investment Business, we sold 6 properties held for sale during the cumulative third quarter. As a result, revenue was ¥617,196 thousand (revenue in the same quarter of the previous year: ¥— thousand), and segment loss (operating loss) was ¥265,353 thousand (operating loss in the same period of the previous year: ¥208,258 thousand).」
Although 6 properties held for sale were sold, the business recorded an operating loss of ¥265.353 million, demonstrating earnings volatility based on the timing of sales of a small number of high-value properties. - FY2021-Q2MaterialisedAnnual report
「In the principal investment business, the company sold 5 properties held for sale during the six months ended the second quarter of the current consolidated fiscal year. As a result, revenue was ¥447.146 million (revenue in the same quarter of the previous year was ¥— million), and segment loss (operating loss) was ¥234.559 million (operating loss of ¥55.893 million in the same quarter of the previous year).」
Although 5 properties were sold in the six months ended the second quarter, the business recorded an operating loss of ¥234.559 million, and earnings volatility based on the timing of high-value, low-volume sales continues to materialize. - FY2021-Q1MaterialisedAnnual report
「In the principal investment business, the company sold 1 property held for sale during the three months ended the first quarter of the current consolidated fiscal year. As a result, revenue was ¥50.663 million (there were no sales in the same quarter of the previous year), and segment loss (operating loss) was ¥166.453 million (operating loss of ¥27.286 million in the same quarter of the previous year).」
Only 1 property held for sale was sold in the first quarter, and the operating loss in the business widened to ¥166.453 million from an operating loss in the same quarter of the previous year. Earnings volatility based on the number and timing of sales continues to materialize. - FY2020MaterialisedAnnual report
「As a result, revenue was ¥587.558 million, down 72.1% year on year, and segment loss (operating loss) was ¥390.826 million, compared with operating profit of ¥551.163 million in the same period of the previous year.」
Only 2 properties held for sale were sold, resulting in a substantial decline in revenue in the principal investment business and a shift from operating profit in the previous year to an operating loss. Earnings volatility based on the timing of sales occurred over the full fiscal year. - FY2020-Q3Deficit with no sales through the third-quarter cumulative periodAnnual report
「During the nine months ended the third quarter of the current consolidated fiscal year, the company signed a real estate sale and purchase agreement for property held for sale in Shinjuku-ku, Tokyo, but recorded no revenue because no property held for sale was handed over during the period. As a result, revenue was ¥— million (revenue in the same quarter of the previous year was ¥2,103.901 million), and segment loss (operating loss) was ¥208.258 million (operating profit of ¥583.649 million in the same quarter of the previous year).」
Although a sale and purchase agreement was signed, no property held for sale was handed over, resulting in zero revenue and an operating loss of ¥208.258 million in the principal investment business. Earnings volatility based on the timing of sales continues to emerge in actual results. - FY2020-Q2MaterialisedAnnual report
「In the principal investment business, no property held for sale was sold during the six months ended the second quarter of the current consolidated fiscal year. As a result, revenue was ¥— million (revenue in the same quarter of the previous year was ¥2,103.901 million), and segment loss (operating loss) was ¥55.893 million (operating profit of ¥607.849 million in the same quarter of the previous year).」
No property held for sale was sold during the six months ended the second quarter, resulting in zero revenue and a segment operating loss of ¥55.893 million in the principal investment business. Earnings volatility based on the timing of sales continues to materialize. - FY2020-Q1MaterialisedAnnual report
「In the Principal Investment Business, no properties held for sale were sold during the cumulative first quarter.」
No property held for sale was sold in the first quarter either, and the earnings volatility based on the timing of sales continues to materialize, reflecting the structure in which earnings fluctuate because only a small number of high-value properties are sold. - FY2019-Q3No sales in the third-quarter accounting period eitherAnnual report
「In the Principal Investment Business, although no property held for sale was sold during the current third-quarter consolidated accounting period, we acquired the income-producing building in Setagaya Ward, Tokyo.」
No property held for sale was sold during the third-quarter accounting period, demonstrating the earnings volatility caused by the large amount per transaction and small number of sales. - FY2019-Q1MaterialisedAnnual report
「In the principal investment business, the company actively pursued sales of properties held, but was unable to record revenue because internal coordination at the prospective buyer stalled and no agreement was reached. As a result, revenue was ¥— million (revenue in the same quarter of the previous year was ¥— million), and segment loss (operating loss) was ¥20.186 million (operating loss of ¥19.352 million in the same quarter of the previous year).」
Because internal coordination at the prospective buyer stalled, no revenue was recorded in the principal investment business, and the segment operating loss expanded from the same quarter of the previous year. Earnings volatility based on the timing of sales has materialized. - FY2018RestatedAnnual report
「Because the amount per transaction is very large and the number of properties sold annually is small, earnings fluctuate significantly depending on the timing of sales. Accordingly, the timing of property sales may affect the group's operating results.」
The annual report also reaffirms the structural volatility in earnings caused by the timing of sales of a small number of high-value properties. - FY2018-Q1MaterialisedAnnual report
「In the principal investment business, the company actively pursued sales of properties held, but was unable to record revenue because of delays in the prospective buyers' desired purchase timing and financing arrangements, among other factors. As a result, revenue was ¥— million (revenue in the same quarter of the previous year was ¥1,871.404 million), and segment loss (operating loss) was ¥19.352 million (operating profit of ¥741.852 million in the same quarter of the previous year).」
Delays in the prospective buyers' desired purchase timing and financing shifted the timing of sales, leaving the principal investment business with zero revenue and an operating loss in the current quarter. Earnings volatility based on the timing of sales has materialized. - FY2017RestatedAnnual report
「Because the amount per transaction is very large and the number of properties sold each year is small, operating results fluctuate significantly depending on the timing of sales.」
The company reaffirms the structural volatility in earnings caused by the timing of sales of a small number of high-value properties. - FY2016First statedAnnual report
「Because the amount per transaction is very large and the number of properties sold each year is small, operating results fluctuate significantly depending on the timing of sales.」
The Company explains that large transaction sizes and a small number of annual property sales create significant timing-related earnings volatility.