Presentation Materials for the Second Quarter of the Fiscal Year Ending March 2027 | TOKYU CORPORATION (9005) timely disclosure

Worth reading

58In focus

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Direction

Mixed performance

Direction inferred from the company’s description.

Scale

¥100 million (year-on-year decrease in operating profit)

Wording

Conditional

How definitive the wording is.

Contents of this document

Earnings presentationFiscal year ending March 2027: second quarter8 items taken from the company’s own explanation

Financial Results Figures (The key points of this material are explained below)

Net Sales¥5,401 billion+4.1%

Operating profit¥542 billion-7.8%

Ordinary income¥533 billion-24.0%

Net income¥584 billion+4.0%

Full-year earnings forecast

Revenue

¥11,350 billion

Operating profit

¥1,000 billion

Business profit

¥1,015 billion

Ordinary income

¥1,024 billion

Profit attributable to owners of the parent

¥900 billion

What the company explained in this material

Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.

Real estate sales+¥3.1 billion
Real estate leasing-¥3.2 billion
Real estate management business±¥0 billion
Hotel Operations-¥1.6 billion
Tokyu Railway and others+¥0.0 billion
Tokyu Bus-¥100 million
Retail-¥900 million
ICT and media-¥1.8 billion

Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.

Fiscal 2026 passenger numbers1,145 million people
Year on year against the same period last year+2.5%
Fiscal 2026 fare revenue¥157,334 million
Year on year against the same period last year+2.9%
Condominium units delivered259 units
Year on year against the same period last year+17 units
Full-year hotel occupancy rate79.5 %
Year on year against the same period last year-0.1 percentage points
Full-year hotel ADR¥28,106
Year on year against the same period last year+¥1,425
Increase in personnel expenses70 Approximately ¥100 million
Year on year against the same period last yearApproximately +¥7.0 billion

New initiatives

Launch of the new "Tokyu Entermate" brand
Opening of "Shibuya Snack Alley" next to Shibuya Hikarie
Strategic partnership with Tokyu REIT
Sale of the fresh and processed meat business to an external party
Opening the membership-based extended-stay resort business to the public and integrating its membership organization and operations

Key KPIsA metric the company considers important as a management benchmark.

Railway and bus passenger numbers
Year on year against the same period last year+2.5%
Railway and bus fare revenue
Year on year against the same period last year+2.4%
Hotel occupancy rate79.6 %
Year on year against the same period last year+0.1 percentage points year on year

Unit price and quantity metricsThese figures show sales broken down by price and volume.

Tokyu Store customer numbers-2.5 % year on year
Year on year against the same period last year-2.5%
Tokyu Store average basket value2 % year on year
Year on year against the same period last year+2.0%
Tokyu Store average item price2.8 % year on year
Year on year against the same period last year+2.8%
Tokyu Store items per transaction-0.8 % year on year
Year on year against the same period last year-0.8%
Average daily rate per hotel room (ADR)¥28,106
Year on year against the same period last year+¥1,425

Segment results

Transportation
Revenue¥1,159 billion
Operating profit¥191 billion
Real Estate
Revenue¥1,278 billion
Operating profit¥223 billion
Lifestyle Services
Revenue¥2,709 billion
Operating profit¥85 billion
Hotels and Resorts
Revenue¥690 billion
Operating profit¥42 billion

Medium-term management plan targets

Against a 3-year total asset sale plan of ¥70 billion, asset sales of approximately ¥100 billion are expected. The overseas business profit target for fiscal 2035 is more than ¥15 billion.

Financial targets

ROE

9.5 %

ROA

3.4 %

Interest-bearing debt/Tokyu EBITDA

6.5 times

Net interest-bearing debt/EBITDA multiple

7.3 times

Contents of this document
Item	Details
Document type	Earnings presentation
Fiscal Period Covered	Fiscal year ending March 2027: second quarter
Net Sales	¥5,401 billion (YoY +4.1%)
Operating profit	¥542 billion (YoY -7.8%)
Ordinary income	¥533 billion (YoY -24.0%)
Net income	¥584 billion (YoY +4.0%)
Full-year earnings forecast	Revenue ¥11,350 billion / Operating profit ¥1,000 billion / Business profit ¥1,015 billion / Ordinary income ¥1,024 billion / Profit attributable to owners of the parent ¥900 billion
Segment results	Segment Transportation / Revenue ¥1,159 billion / Operating profit ¥191 billion / Year on year against the same period last year Not disclosed, Segment Real Estate / Revenue ¥1,278 billion / Operating profit ¥223 billion / Year on year against the same period last year Not disclosed, Segment Lifestyle Services / Revenue ¥2,709 billion / Operating profit ¥85 billion / Year on year against the same period last year Not disclosed, Segment Hotels and Resorts / Revenue ¥690 billion / Operating profit ¥42 billion / Year on year against the same period last year Not disclosed
Breakdown of Factors Affecting the Change	Factors Real estate sales / Amount +¥3.1 billion, Factors Real estate leasing / Amount -¥3.2 billion, Factors Real estate management business / Amount ±¥0 billion, Factors Hotel Operations / Amount -¥1.6 billion, Factors Tokyu Railway and others / Amount +¥0.0 billion, Factors Tokyu Bus / Amount -¥100 million, Factors Retail / Amount -¥900 million, Factors ICT and media / Amount -¥1.8 billion
Key KPIs	Indicator name Railway and bus passenger numbers / Value Not disclosed / Year on year against the same period last year +2.5%, Indicator name Railway and bus fare revenue / Value Not disclosed / Year on year against the same period last year +2.4%, Indicator name Hotel occupancy rate / Value 79.6 % / Year on year against the same period last year +0.1 percentage points year on year
Unit price and quantity metrics	Indicator name Tokyu Store customer numbers / Value -2.5 % year on year / Year on year against the same period last year -2.5%, Indicator name Tokyu Store average basket value / Value 2 % year on year / Year on year against the same period last year +2.0%, Indicator name Tokyu Store average item price / Value 2.8 % year on year / Year on year against the same period last year +2.8%, Indicator name Tokyu Store items per transaction / Value -0.8 % year on year / Year on year against the same period last year -0.8%, Indicator name Average daily rate per hotel room (ADR) / Value ¥28,106 / Year on year against the same period last year +¥1,425
Assumptions Underlying the Business Outlook	Item Fiscal 2026 passenger numbers / Value 1,145 million people / Year on year against the same period last year +2.5%, Item Fiscal 2026 fare revenue / Value ¥157,334 million / Year on year against the same period last year +2.9%, Item Condominium units delivered / Value 259 units / Year on year against the same period last year +17 units, Item Full-year hotel occupancy rate / Value 79.5 % / Year on year against the same period last year -0.1 percentage points, Item Full-year hotel ADR / Value ¥28,106 / Year on year against the same period last year +¥1,425, Item Increase in personnel expenses / Value 70 Approximately ¥100 million / Year on year against the same period last year Approximately +¥7.0 billion
Medium-term management plan targets	Against a 3-year total asset sale plan of ¥70 billion, asset sales of approximately ¥100 billion are expected. The overseas business profit target for fiscal 2035 is more than ¥15 billion.
Financial targets	ROE 9.5 % / ROA 3.4 % / Interest-bearing debt/Tokyu EBITDA 6.5 times / Net interest-bearing debt/EBITDA multiple 7.3 times
New initiatives	Launch of the new "Tokyu Entermate" brand, Opening of "Shibuya Snack Alley" next to Shibuya Hikarie, Strategic partnership with Tokyu REIT, Sale of the fresh and processed meat business to an external party, Opening the membership-based extended-stay resort business to the public and integrating its membership organization and operations

Items this document does not state (16)

Gross Profit MarginOperating profit marginSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookAnnual DividendPayout ratioAcquisition 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.

Although the real estate sales business sold a large-scale property, costs increased in the real estate leasing business, procurement costs rose in the electricity retail business, and the previous year's recognition of an amount equivalent to negative goodwill created a negative comparison. The downward revision to the full-year forecasts reflects higher costs in the real estate leasing business and rising procurement costs in the electricity retail business in the second quarter results.

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