Materials for the Briefing on Financial Results for the First Quarter of the Fiscal Year Ending March 2027 | Kyushu Railway Company (9142) timely disclosure

Worth reading

74In focus

Scored from 5 of 6 sections

Direction

Mixed performance

Direction inferred from the company’s description.

Scale

¥100 million (year-on-year increase in consolidated operating revenue)

Wording

Conditional

How definitive the wording is.

Contents of this document

Financial results presentationFirst quarter of the fiscal year ending March 202713 items taken from the company’s own explanation

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

Net Sales1,258 Hundreds of millions of yen+7.1%

Operating profit208 Hundreds of millions of yen+4.4%

Ordinary income209 Hundreds of millions of yen+2.5%

Net income157 Hundreds of millions of yen-4.2%

Results for the three months of the current quarterFirst-quarter results are provided by segment. Transportation services recorded operating revenue of ¥47.3 billion and operating income of ¥9.5 billion, while real estate and hotels recorded operating revenue of ¥42.0 billion and operating income of ¥9.9 billion. Consolidated income statement figures are presented as cumulative first-quarter results.

Full-year earnings forecast

Operating revenue

5,205 Hundreds of millions of yen

Operating profit

750 Hundreds of millions of yen

Ordinary income

709 Hundreds of millions of yen

Profit attributable to owners of the parent

516 Hundreds of millions of yen

EBITDA

1,162 Hundreds of millions of yen

What the company explained in this material

Self-assessment against the planThe company's self-assessment against its own plan.

For transportation services, railway passenger revenue from commuter passes is in line with assumptions, while non-commuter-pass revenue is tracking above assumptions. Railway business expenses are in line with assumptions. New store openings in retail and food services are progressing smoothly against plan.

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

Transition to new commuter pass pricing+¥1.5 billion
Sales Initiatives+¥1.1 billion
Underlying trend-driven increase+¥1.3 billion
Decrease due to special factors in the fiscal year ended March 2026-¥1.3 billion

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

Hotel occupancy rateApproximately 85%
Hotel ADRApproximately ¥26,000
Station-building tenant salesApproximately 104% of the previous year
Segment store salesApproximately 107% of the previous year
Annual operating revenue from sales of owned propertiesApproximately ¥16.0 billion

New initiatives

Upgrade station departure boards to support real-time service information. Planned at 18 stations during the current fiscal year
Renovate station restrooms. Planned at 8 stations during the current fiscal year
Renovation of the interiors of 883 series trains planned for spring 2027
Additional introduction of new-model and new-type rolling stock planned
Cross-selling among businesses through the JR Kyupo Waku Waku Program and the JR Kyupo Benefits Unlimited-Ride Ticket
Waku Waku Odekake Campaign from July through September 2026
Resumption of services between Yoshimatsu and Hayato on the Hisatsu Line

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

Passenger-kilometers2,144 million passenger-kilometers
Year on year against the same period last year102.1%
JR Kyushu Web membership482 10,000 members at the end of June 2026
Growth in JR Kyushu Web membership107 % year on year
Inbound guest ratio57 %
Hotel occupancy rate84.1 %
Hotel ADR25,500 Approximately ¥

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

JR-KYUSHU RAIL PASS sales volume45,000 passes
Year on year against the same period last year74.4%
JR-KYUSHU RAIL PASS sales¥780 million
Year on year against the same period last year80.6%
JR-KYUSHU RAIL PASS average priceApproximately ¥17,100
Year on year against the same period last year108.3%
Passenger-kilometers2,144 million passenger-kilometers
Year on year against the same period last year102.1%

Segment results

Transportation services
Operating revenue¥47.3 billion
Year on year against the same period last year104.6%
Operating profit¥9.5 billion
Year-on-year operating profit100.3%
Real estate and hotels
Operating revenue¥42.0 billion
Year on year against the same period last year105.4%
Operating profit¥9.9 billion
Year-on-year operating profit106.7%
Retail and restaurants
Operating revenue¥18.1 billion
Year on year against the same period last year108.1%
Operating profit¥800 million
Year-on-year operating profit90.4%
Construction
Operating revenue¥20.7 billion
Year on year against the same period last year116.9%
Operating profit-¥300 million
Business services
Operating revenue¥21.0 billion
Year on year against the same period last year108.9%
Operating profit¥1.1 billion
Year-on-year operating profit107.3%

Medium-term management plan targets

PlanMedium-Term Management Plan 2025–2027

Operating revenue¥564.0 billion

Operating profit¥81.0 billion

EBITDA¥125.5 billion

ROEApproximately 10%

Target fiscal yearFiscal year ending March 2027

Financial targets

ROEApproximately 10% (medium-term management plan target)

Equity ratio40.4% for the fiscal year ended March 2026; 40.3% at the end of the first quarter of the fiscal year ending March 2027

Capital expenditures

Under cash allocation, ¥130.0 billion for maintenance and renewal investments and ¥80.0 billion for safety investments

Annual Dividend

Annual Dividend¥121 per share

Interim Dividend¥60.5 per share

Year-end dividend¥60.5 per share (presented as the difference from the annual dividend)

Payout ratio

Consolidated dividend payout ratio of at least 35%. The forecast for the fiscal year ending March 2027 is 36.1%.

Acquisition of treasury shares

Policy of making flexible share repurchases. The repurchase authorization amount, number of shares and period are not disclosed

Contents of this document
Item	Details
Document type	Financial results presentation
Fiscal Period Covered	First quarter of the fiscal year ending March 2027
Net Sales	1,258 Hundreds of millions of yen (YoY +7.1%)
Operating profit	208 Hundreds of millions of yen (YoY +4.4%)
Ordinary income	209 Hundreds of millions of yen (YoY +2.5%)
Net income	157 Hundreds of millions of yen (YoY -4.2%)
Results for the three months of the current quarter	First-quarter results are provided by segment. Transportation services recorded operating revenue of ¥47.3 billion and operating income of ¥9.5 billion, while real estate and hotels recorded operating revenue of ¥42.0 billion and operating income of ¥9.9 billion. Consolidated income statement figures are presented as cumulative first-quarter results.
Full-year earnings forecast	Operating revenue 5,205 Hundreds of millions of yen / Operating profit 750 Hundreds of millions of yen / Ordinary income 709 Hundreds of millions of yen / Profit attributable to owners of the parent 516 Hundreds of millions of yen / EBITDA 1,162 Hundreds of millions of yen
Self-assessment against the plan	For transportation services, railway passenger revenue from commuter passes is in line with assumptions, while non-commuter-pass revenue is tracking above assumptions. Railway business expenses are in line with assumptions. New store openings in retail and food services are progressing smoothly against plan.
Segment results	Segment Transportation services / Operating revenue ¥47.3 billion / Year on year against the same period last year 104.6% / Operating profit ¥9.5 billion / Year-on-year operating profit 100.3%, Segment Real estate and hotels / Operating revenue ¥42.0 billion / Year on year against the same period last year 105.4% / Operating profit ¥9.9 billion / Year-on-year operating profit 106.7%, Segment Retail and restaurants / Operating revenue ¥18.1 billion / Year on year against the same period last year 108.1% / Operating profit ¥800 million / Year-on-year operating profit 90.4%, Segment Construction / Operating revenue ¥20.7 billion / Year on year against the same period last year 116.9% / Operating profit -¥300 million, Segment Business services / Operating revenue ¥21.0 billion / Year on year against the same period last year 108.9% / Operating profit ¥1.1 billion / Year-on-year operating profit 107.3%
Breakdown of Factors Affecting the Change	Factors Transition to new commuter pass pricing / Amount +¥1.5 billion, Factors Sales Initiatives / Amount +¥1.1 billion, Factors Underlying trend-driven increase / Amount +¥1.3 billion, Factors Decrease due to special factors in the fiscal year ended March 2026 / Amount -¥1.3 billion
Key KPIs	Indicator Passenger-kilometers / Value 2,144 million passenger-kilometers / Year on year against the same period last year 102.1%, Indicator JR Kyushu Web membership / Value 482 10,000 members (at the end of June 2026) / Year on year against the same period last year Not disclosed, Indicator Growth in JR Kyushu Web membership / Value 107 % year on year / Year on year against the same period last year Not disclosed, Indicator Inbound guest ratio / Value 57 % / Year on year against the same period last year Not disclosed, Indicator Hotel occupancy rate / Value 84.1 % / Year on year against the same period last year Not disclosed, Indicator Hotel ADR / Value 25,500 Approximately ¥ / Year on year against the same period last year Not disclosed
Unit price and quantity metrics	Indicator JR-KYUSHU RAIL PASS sales volume / Value 45,000 passes / Year on year against the same period last year 74.4%, Indicator JR-KYUSHU RAIL PASS sales / Value ¥780 million / Year on year against the same period last year 80.6%, Indicator JR-KYUSHU RAIL PASS average price / Value Approximately ¥17,100 / Year on year against the same period last year 108.3%, Indicator Passenger-kilometers / Value 2,144 million passenger-kilometers / Year on year against the same period last year 102.1%
Assumptions Underlying the Business Outlook	Item Hotel occupancy rate / Value Approximately 85%, Item Hotel ADR / Value Approximately ¥26,000, Item Station-building tenant sales / Value Approximately 104% of the previous year, Item Segment store sales / Value Approximately 107% of the previous year, Item Annual operating revenue from sales of owned properties / Value Approximately ¥16.0 billion
Medium-term management plan targets	Plan Medium-Term Management Plan 2025–2027 / Operating revenue ¥564.0 billion / Operating profit ¥81.0 billion / EBITDA ¥125.5 billion / ROE Approximately 10% / Target fiscal year Fiscal year ending March 2027
Financial targets	ROE Approximately 10% (medium-term management plan target) / Equity ratio 40.4% for the fiscal year ended March 2026; 40.3% at the end of the first quarter of the fiscal year ending March 2027
Annual Dividend	Annual Dividend ¥121 per share / Interim Dividend ¥60.5 per share / Year-end dividend ¥60.5 per share (presented as the difference from the annual dividend)
Payout ratio	Consolidated dividend payout ratio of at least 35%. The forecast for the fiscal year ending March 2027 is 36.1%.
Acquisition of treasury shares	Policy of making flexible share repurchases. The repurchase authorization amount, number of shares and period are not disclosed
Capital expenditures	Under cash allocation, ¥130.0 billion for maintenance and renewal investments and ¥80.0 billion for safety investments
New initiatives	Upgrade station departure boards to support real-time service information. Planned at 18 stations during the current fiscal year, Renovate station restrooms. Planned at 8 stations during the current fiscal year, Renovation of the interiors of 883 series trains planned for spring 2027, Additional introduction of new-model and new-type rolling stock planned, Cross-selling among businesses through the JR Kyupo Waku Waku Program and the JR Kyupo Benefits Unlimited-Ride Ticket, Waku Waku Odekake Campaign from July through September 2026, Resumption of services between Yoshimatsu and Hayato on the Hisatsu Line

Items this document does not state (10)

Gross Profit MarginOperating profit marginSelling, general and administrative expensesProgress against full-year forecastNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookOrders 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 revenue increased, mainly due to higher railway passenger revenue. Operating income also increased, while quarterly net income attributable to owners of the parent declined because gains on sales of non-current assets decreased.

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.

Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.

Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.