Profit growth constrained by renovation and opening costs
First written in FY2017-Q2. 9 of 22 entries say "Restated". Latest entry: 2026-08-07.
No other company in this theme has enough history to compare yet.
- FY2025-H1RestatedAnnual report
「Revenue and profit increased substantially, absorbing the costs of large-scale renovation work to improve customer satisfaction and the impact of cost inflation.」
The company continued to explain that revenue and profit increased after absorbing the costs of large-scale renovations and the impact of cost inflation. - FY2024Profit growth absorbed the expenses incurredAnnual report
「Operating profit was ¥5,881 million, up 29.0% year on year, as the increase in revenue from higher occupancy rates at the beginning of the period and an increase in the number of operating sites associated with new openings offset new-opening costs, higher food costs and other factors.」
In the dormitory business, new-opening costs and higher food costs were absorbed by increased revenue from higher occupancy rates and an increase in the number of operating sites, resulting in higher operating profit. - FY2023WorsenedAnnual report
「Operating profit was ¥4,558 million, up 0.1% year on year, despite new-opening costs and higher energy costs, among other factors.」
Although revenue increased in the dormitory business, new-opening costs and higher energy costs were cited as factors weighing on profit. - FY2023-Q3WorsenedAnnual report
「As a result, revenue was ¥36,706 million, up 7.9% year on year, but operating profit was ¥2,835 million, down 5.4%, due to new opening costs and rising energy costs, among other factors.」
Revenue increased in the dormitory business, but operating profit fell 5.4% year on year due to new-opening costs and higher energy costs. - FY2023-Q2WorsenedAnnual report
「As a result, revenue was ¥24,910 million, up 7.0% year on year, but operating profit was ¥2,239 million, down 10.8%, due to new opening costs and rising energy costs, among other factors.」
The dormitory business incurred new opening costs and higher energy costs, and despite higher revenue, operating profit fell 10.8% year on year. - FY2021WorsenedAnnual report
「The fourth-quarter consolidated accounting period recorded a substantial loss due in part to new opening costs in the dormitory and hotel businesses and expenses associated with entering into a committed syndicated loan agreement.」
Although opening preparation costs and other expenses had previously been absorbed, the company was unable to absorb new opening costs and financing costs in the fourth quarter of the full fiscal year, resulting in a substantial loss. - FY2020WorsenedAnnual report
「However, the impact of the novel coronavirus during the fourth quarter of the consolidated fiscal year caused a sharp decline in inbound demand and lower occupancy in the Dormy Inn business, mainly in the Tokyo metropolitan and Kansai regions, due to restraints on business travel, resulting in lower profit.」
The hotel business shifted from expecting to absorb the impact of typhoons and new opening costs to recording lower profit as demand fell sharply and occupancy declined due to the novel coronavirus. - FY2020-Q3Resort business unable to absorb opening preparation costsAnnual report
「During the current fiscal year, the impact of the typhoon that occurred in October continued in some regions, and although conditions were gradually improving, this was not enough to cover the opening preparation costs and other expenses for new properties.」
While the Group as a whole absorbed the expenses, the resort business was still affected by typhoons and was unable to cover the opening preparation costs and other expenses for new properties. - FY2020-Q2RestatedAnnual report
「As a result, revenue was ¥25,177 million, up 3.7% year on year, while operating profit was ¥3,841 million, up 3.1%, after absorbing approximately ¥190 million in opening preparation costs and other expenses associated with opening new properties and approximately ¥70 million in large-scale renovation costs and other expenses for existing properties.」
The dormitory business incurred approximately ¥190 million in opening preparation costs and approximately ¥70 million in renovation costs, but absorbed these expenses and achieved higher operating profit. The hotel business also absorbed approximately ¥890 million in opening preparation costs and other expenses and approximately ¥64 million in renovation costs and other expenses. - FY2020-Q1RestatedAnnual report
「Although opening preparation costs and large-scale renovation costs to improve customer satisfaction were incurred, profit from real estate securitization also contributed, and operating profit was ¥3,154 million, up 23.7% year on year.」
Although opening preparation costs and large-scale renovation costs were incurred, these were absorbed by profit from real estate securitization and other sources, resulting in higher operating profit. - FY2019RestatedAnnual report
「In addition to the impact of natural disasters, the company incurred approximately ¥1,870 million in opening preparation costs and other expenses and approximately ¥290 million in large-scale renovation costs and other expenses to improve customer satisfaction. However, the dormitory business remained steady, while in the hotel business RevPAR, a key operating metric calculated as room occupancy multiplied by average room rate, remained strong and above the previous fiscal year's level. Together with profit from real estate securitization, this absorbed these temporary factors reducing profit, resulting in higher profit.」
Although approximately ¥1.87 billion in opening preparation costs and approximately ¥290 million in renovation costs were incurred, these were absorbed by strong performance in the dormitory and hotel businesses and profit from real estate securitization, resulting in higher profit. - FY2019-Q2RestatedAnnual report
「Although approximately ¥940 million in opening preparation costs and other expenses and approximately ¥220 million in large-scale renovation costs to improve customer satisfaction were incurred, there was also profit from real estate securitization,」
Although approximately ¥940 million in opening preparation costs and approximately ¥220 million in large-scale renovation costs were incurred, profit from real estate securitization also contributed, resulting in higher profit overall. - FY2019-Q1MitigatedAnnual report
「Profit was ¥2,549 million, up 1.7% year on year, after absorbing ¥520 million in opening preparation costs and other expenses and ¥219 million in large-scale renovation costs to improve customer satisfaction.」
Although ¥520 million in opening preparation costs and other expenses and ¥219 million in large-scale renovation costs were incurred, these were absorbed and operating profit increased. - FY2018RestatedAnnual report
「In the current fiscal year, the dormitory business steadily increased profit, while the hotel business was affected by approximately ¥1.8 billion in opening costs and other expenses for 13 newly opened properties. However, occupancy and room rates both steadily exceeded the previous fiscal year's levels, and as a result the company absorbed the opening costs and other expenses and recorded increases in both revenue and profit.」
Although approximately ¥1.8 billion in opening costs and other expenses were incurred for 13 new properties, these were absorbed through high occupancy and room rates, resulting in higher revenue and profit. - FY2018-Q3RestatedAnnual report
「As a result, revenue was ¥53,029 million, up 16.2% year on year, while operating profit was ¥6,714 million, up 6.5%, after absorbing ¥1,070 million in opening costs and other expenses during the nine-month period ended 31 December.」
Operating profit increased year on year after the hotel business absorbed ¥1,070 million in opening costs and other expenses during the nine-month period ended 31 December. - FY2018-Q2RestatedAnnual report
「Profit increased year on year, absorbing opening costs and other expenses, and reached a record high.」
The company continues to report as part of its operating performance that profit increased after absorbing opening costs for the hotel and other businesses. - FY2018-Q1RestatedAnnual report
「As a result, revenue was ¥34,314 million, up 5.8% year on year, and operating profit was ¥2,507 million, up 1.4%, after absorbing opening preparation costs associated with advance development」
Operating profit increased after absorbing opening preparation costs associated with advance development. The hotel business states that it absorbed ¥275 million in opening preparation costs for new properties. - FY2017-Q3MitigatedAnnual report
「As a result, the company continued to build momentum toward higher revenue and profit, absorbing opening costs, renovation costs and other expenses, with revenue of ¥45,634 million, up 13.1% year on year, and operating profit of ¥6,301 million, up 10.5%.」
The company states that renovation and opening costs had constrained profit growth previously, but were absorbed this time while the trend toward higher revenue and profit continued. - FY2017-Q2First statedAnnual report
「The slower growth in profit compared with the cumulative period through the first quarter was due to the impact of typhoons, renovation costs for the dormitory business and opening costs for the Dormy Inn business, a business hotel operation.」
Renovation costs for the dormitory business and opening costs for the Dormy Inn business are identified as factors that constrained profit growth.