Worth reading
34Immaterial
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Mixed performance
Direction inferred from the company’s description.Scale
80
¥100 million (full-year net income forecast)Wording
Conditional
How definitive the wording is.Contents of this document
Summary of Q&AFirst quarter of the fiscal year ending December 20268 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Full-year earnings forecast
Net income for the current fiscal year
¥80 100 million
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Progress in line with expectationsKey points of the Q&AKey questions raised by investors at the briefing and the company's answers
- Issues Achievability of the full-year net income forecast / Answer Both acquisitions and sales are progressing as expected, making the ¥8 billion full-year net income forecast achievable. Property sales are planned to be concentrated in the fourth quarter.
- Issues Risk of fourth-quarter sales falling short or being delayed / Answer Sales to JINUSHI REIT will be the main focus, and as in the past, the likelihood of completing the sales is high.
- Issues JINUSHI REIT funding environment / Answer It remains solid. Equity offerings have been completed for 10 consecutive years since launch, and the number of investors has grown from 31 to 359 companies.
- Issues Sales environment outside JINUSHI REIT / Answer The creation of a ground lease market has improved liquidity and valuations, and investment demand is strong.
- Issues Impact of rising interest rates / Answer The business plan already incorporates interest-rate levels assuming two hikes in total.
- Issues Impact of construction costs and inflation / Answer There is no impact because the company does not own buildings, while demand from tenants seeking to limit their land investment burden is driving growth in acquisitions.
- Issues Material shortages and construction delays due to the situation in the Middle East / Answer There is no impact on results because the timing of land lease payments is stipulated in the contracts.
- Issues Competitiveness of ground leases with fixed rents / Answer Competitiveness is being maintained through long-term, stable cash flows and low earnings volatility. The company is also working to introduce interest-rate-linked clauses and revise land rents upward when contracts expire.
- Issues Impact of the decline in the equity ratio / Answer The decline was caused by accelerated acquisitions, and the equity ratio is expected to recover to approximately 30% through property sales in the fourth quarter.
- Issues Demand for JINUSHI sale-and-leaseback transactions / Answer Inquiries have increased amid rising interest rates and accelerating inflation.
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Variation in the timing of profit recognition due to the timing of property sales. Property sales for the fiscal year ending December 2026 are planned to be concentrated in the fourth quarter.
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
- 2 timesAssumptionsNumber of interest-rate hikes
New initiatives
- Promoting the introduction of interest-rate-linked clauses in fixed-term land lease agreements
- Expanding acquisitions of JINUSHI sale-and-leaseback properties
- Fourth-quarter property sales centered on sales to JINUSHI REIT
- Expanding the investor base to include pension funds and operating companies
Key KPIsA metric the company considers important as a management benchmark.
- JINUSHI REIT assets under management¥2,911 100 million
- Number of JINUSHI REIT properties215 Property
- Number of JINUSHI REIT investors359 companiesYear on year against the same period last yearUp from 31 companies at launch
- JINUSHI REIT distribution yield4 Approximately %
- JINUSHI REIT LTV33 Approximately %
- JINUSHI REIT credit ratingAA− (stable)
- Fixed-rate ratio of JINUSHI REIT borrowings95.1 %
- Ground lease market size¥10 trillion
- Period from acquisition to sale in the JINUSHI business1～1.5
Financial targets
Equity ratio: 24.3% at the end of the first quarter, expected to recover to approximately 30% at the end of the fiscal year. However, the financial target is listed as not disclosed.Market Size / Share
- Ground lease market size¥10 trillion
- Rank by JINUSHI REIT assets under management7th out of 61 issues
- Rank by number of JINUSHI REIT properties1st out of 61 issues
| Item | Details |
|---|---|
| Document type | Summary of Q&A |
| Fiscal Period Covered | First quarter of the fiscal year ending December 2026 |
| Full-year earnings forecast | Net income for the current fiscal year ¥80 100 million |
| Self-assessment against the plan | Progress in line with expectations |
| Breakdown of Factors Affecting the Change | Variation in the timing of profit recognition due to the timing of property sales. Property sales for the fiscal year ending December 2026 are planned to be concentrated in the fourth quarter. |
| Key KPIs | JINUSHI REIT assets under management ¥2,911 100 million, Number of JINUSHI REIT properties 215 Property, Number of JINUSHI REIT investors 359 companies, JINUSHI REIT distribution yield 4 Approximately %, JINUSHI REIT LTV 33 Approximately %, JINUSHI REIT credit rating AA− (stable), Fixed-rate ratio of JINUSHI REIT borrowings 95.1 %, Ground lease market size ¥10 trillion, Period from acquisition to sale in the JINUSHI business 1～1.5 |
| Assumptions Underlying the Business Outlook | 2 times |
| Financial targets | Equity ratio: 24.3% at the end of the first quarter, expected to recover to approximately 30% at the end of the fiscal year. However, the financial target is listed as not disclosed. |
| Market Size / Share | Ground lease market size ¥10 trillion, Rank by JINUSHI REIT assets under management 7th out of 61 issues, Rank by number of JINUSHI REIT properties 1st out of 61 issues |
| Key points of the Q&A | Issues Achievability of the full-year net income forecast / Answer Both acquisitions and sales are progressing as expected, making the ¥8 billion full-year net income forecast achievable. Property sales are planned to be concentrated in the fourth quarter., Issues Risk of fourth-quarter sales falling short or being delayed / Answer Sales to JINUSHI REIT will be the main focus, and as in the past, the likelihood of completing the sales is high., Issues JINUSHI REIT funding environment / Answer It remains solid. Equity offerings have been completed for 10 consecutive years since launch, and the number of investors has grown from 31 to 359 companies., Issues Sales environment outside JINUSHI REIT / Answer The creation of a ground lease market has improved liquidity and valuations, and investment demand is strong., Issues Impact of rising interest rates / Answer The business plan already incorporates interest-rate levels assuming two hikes in total., Issues Impact of construction costs and inflation / Answer There is no impact because the company does not own buildings, while demand from tenants seeking to limit their land investment burden is driving growth in acquisitions., Issues Material shortages and construction delays due to the situation in the Middle East / Answer There is no impact on results because the timing of land lease payments is stipulated in the contracts., Issues Competitiveness of ground leases with fixed rents / Answer Competitiveness is being maintained through long-term, stable cash flows and low earnings volatility. The company is also working to introduce interest-rate-linked clauses and revise land rents upward when contracts expire., Issues Impact of the decline in the equity ratio / Answer The decline was caused by accelerated acquisitions, and the equity ratio is expected to recover to approximately 30% through property sales in the fourth quarter., Issues Demand for JINUSHI sale-and-leaseback transactions / Answer Inquiries have increased amid rising interest rates and accelerating inflation. |
| New initiatives | Promoting the introduction of interest-rate-linked clauses in fixed-term land lease agreements, Expanding acquisitions of JINUSHI sale-and-leaseback properties, Fourth-quarter property sales centered on sales to JINUSHI REIT, Expanding the investor base to include pension funds and operating companies |
Items this document does not state (20)
Net SalesOperating profitOrdinary incomeNet incomeGross Profit MarginOperating profit marginSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastSegment resultsUnit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookMedium-term management plan targetsAnnual 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 timing of profit recognition in quarterly results varies depending on when properties are sold, and property sales for the fiscal year ending December 2026 are planned to be concentrated in the fourth quarter. Regarding interest-rate increases, the plan already incorporates interest-rate levels assuming two hikes in total.
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.
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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.