Pressure on Real Estate Profits from Depreciation and Repair Expenses for Rental Buildings
First written in FY2017-Q2. 4 of 9 entries say "Worsened", first in FY2020-Q1. Latest entry: FY2025-H1.
Wakita & moved to the "Worse" side of this theme in 2019.
0 other companies' latest entry also says "Mitigated".
- FY2025-H1MitigatedAnnual report
「In the real estate business, the sales division had no sales of income-producing properties through the interim period, unlike in the same period of the previous year. In the rental division, occupancy rates at owned commercial buildings, apartments and other properties remained solid, and hotel operations also showed signs of recovery. In addition, revenue and profit both increased as rental costs, including utilities and repairs, were optimized.」
While there were no sales of income-producing properties, revenue and profit in the rental division increased due to the recovery in hotel operations and the optimization of rental costs, including utilities and repairs. - FY2025-Q1MitigatedAnnual report
「In addition to the recovery in hotel operations, revenue and profit both increased as rental costs, including utilities and repairs, were optimized.」
In response to the increase in rental costs caused by higher utility expenses and other factors reported in the first quarter of the previous fiscal year, real estate business profit increased after rental costs were optimized. - FY2024-Q1WorsenedAnnual report
「In the real estate business, occupancy rates at owned commercial buildings, apartments and other properties in the rental division remained solid, and hotel operations also showed signs of recovery, resulting in higher revenue. However, profit declined due to higher rental costs, including increases in utility expenses.」
While occupancy rates at real estate properties and hotel operations recovered, higher rental costs, including increased utility expenses, became a new factor weighing on profit and led to an actual decline in profit. - FY2022WorsenedAnnual report
「In the real estate business, occupancy rates at owned commercial buildings, apartments and other properties in the rental division remained solid and stable earnings were secured, but major repair work was carried out to increase the asset value of owned properties. In addition, initial costs were incurred in connection with the opening of a hotel. As a result, revenue increased but profit declined for the business as a whole.」
While occupancy rates and stable earnings were maintained, major repair work and initial costs associated with the opening of a hotel added to the cost burden and weighed on profit. - FY2022-Q3WorsenedAnnual report
「In the real estate business, occupancy rates at owned office buildings, apartments and other properties in the rental division remained solid. Major repair work was carried out to increase the asset value of owned properties, and initial costs were incurred in connection with the opening of a hotel.」
While occupancy rates remained solid, major repair work and initial costs associated with the opening of a hotel added to the cost burden on the real estate business. - FY2020-Q1WorsenedAnnual report
「In the real estate business, higher occupancy rates at rental properties resulted in steady rental-division revenue, but the increase in costs associated with purchasing rental properties could not be absorbed, resulting in higher revenue but lower profit for the business as a whole.」
Although occupancy rates at rental properties increased, higher costs associated with purchasing rental properties weighed on profit, giving more concrete form to the previously identified cost burden. - FY2017RestatedAnnual report
「Costs increased due to higher depreciation expenses and major repairs to existing buildings, weighing on profit.」
The report continues to explain that higher depreciation expenses and the cost burden of major repairs to existing buildings weighed on real estate business profit. - FY2017-Q3RestatedAnnual report
「Costs increased due to front-loaded depreciation and repairs to existing buildings, weighing on profit.」
The explanation that depreciation expenses for rental buildings and repair expenses for existing buildings increased costs and weighed on real estate business profit is reiterated. - FY2017-Q2First statedAnnual report
「Costs increased due to front-loaded depreciation and repairs to existing buildings, weighing on profit.」
The report explains that depreciation expenses related to rental buildings and repair expenses for existing buildings actually increased, weighing on real estate business profit.