Sluggish Hotel Revenue

「Performance was strong at Sapporo Hotel by Granbell, which entered full-scale operation during the current period, Otaru Granbell Hotel, which opened in July 2025, and hotels in the Osaka area, where the Expo was held, as occupancy rates and room rates increased. The impact of the decline in Chinese visitors to Japan remained limited as of the end of the current period. Domestic resort hotels reported higher revenue and profit, partly due to the incremental contribution from Hotel Zuiho and Akiu Grand Hotel in Akiu Onsen, acquired in September 2025.」

「The domestic hotel business reported higher revenue and profit due mainly to increased domestic travel demand and the number of visitors to Japan. Domestic resort hotels reported higher revenue as occupancy rates and room rates increased, particularly in the Hokkaido area, but profit declined due to weak performance in the wedding business at Karuizawa Hotel & Resort and higher food costs and labor expenses. All domestic city hotels performed steadily and reported higher revenue and profit. Occupancy rates and room rates increased substantially, particularly in the Sapporo area and the Kansai area, where the Osaka-Kansai Expo was held. Otaru Granbell Hotel, which opened in July 2025, also performed steadily. Consequently, revenue was ¥21,206 million, up 27.4% year on year, and segment profit was ¥3,495 million, up 25.1%.」

「The domestic hotel business reported higher revenue and profit due mainly to increased domestic travel and inbound tourism demand. Domestic resort hotels reported higher revenue and profit because occupancy rates and room rates increased, particularly in the Hokkaido area, while hotels in other areas generally performed steadily in terms of revenue and profit. All domestic city hotels reported higher revenue and profit, with room rates rising substantially, particularly at hotels in the Sapporo area and Ginza. The overseas hotel business also performed steadily, reporting higher revenue and profit.」

「The domestic hotel business reported substantial increases in revenue and profit due mainly to higher domestic travel and inbound tourism demand. In domestic resort hotels, room rates increased, particularly at hotels in the Hokkaido area, as domestic travel demand was strong amid the extreme heat and renovation work was carried out. In addition, while competitors struggled with labor shortages, the replenishment of foreign personnel, one of our strengths, enabled us to maintain high occupancy rates. In domestic city hotels, occupancy rates and room rates increased, partly because the hotels are located in areas popular with inbound tourists, including Sapporo, Ginza, Kyoto, and Osaka. In the overseas hotel business, revenue and profit increased as the large hotel in Colombo, Sri Lanka, entered its third year of operation and brand recognition became established.」

「In the hotel business, the recovery in domestic travel, business-trip, and inbound tourism demand following the end of the COVID-19 pandemic increased occupancy rates and room rates at existing hotels in Japan and overseas. The full-year contribution from new domestic hotels also resulted in higher revenue and profit. Consequently, revenue was ¥30,851 million, up 54.4% year on year, and segment profit was ¥4,143 million, up 203.2%.」

「In the hotel business, the easing of restrictions on activities to prevent the spread of COVID-19 and restrictions on entry by foreign nationals led to a recovery in lodging demand from domestic travel, inbound tourism, and business trips. Occupancy rates and room rates improved substantially, particularly at city hotels. The addition of newly operating domestic hotels also contributed to substantial increases in revenue and profit. Consequently, revenue was ¥21,718 million, up 64.0% year on year, and segment profit was ¥2,366 million, up 202.2%.」

「In the hotel business, the easing of restrictions on activities to prevent the spread of COVID-19 and restrictions on entry by foreign nationals led to a recovery in lodging demand for travel and business trips, improving occupancy rates and room rates at existing hotels. The addition of newly operating domestic hotels also contributed to substantial increases in revenue and profit. Consequently, revenue was ¥14,305 million, up 70.8% year on year, and segment profit was ¥1,751 million, up 370.5%.」

「In the hotel business, the easing of restrictions on activities to prevent the spread of COVID-19 and restrictions on entry by foreign nationals led to a recovery in lodging demand for travel and business trips. Occupancy rates and room rates at existing hotels improved, resulting in substantial increases in revenue and profit. Consequently, revenue was ¥6,333 million, up 95.8% year on year, and segment profit was ¥209 million, compared with a segment loss of ¥219 million in the same period of the previous year.」

「In the hotel business, the impact of domestic travel restrictions imposed by government agencies and restrictions on entry by foreign nationals was smaller than in the same period of the previous year. In addition, improved occupancy rates at hotels newly opened in the previous fiscal year resulted in substantial increases in revenue and profit.」

「In the hotel business, the impact of domestic travel restrictions imposed by government agencies and restrictions on entry by foreign nationals was smaller than in the same period of the previous year. In addition, operations at hotels newly opened in the previous fiscal year contributed to substantial revenue growth.」

「In the hotel business, the negative impact of the spread of COVID-19 had run its course and was smaller than in the same period of the previous year. However, costs for newly opened hotels were incurred ahead of revenue, and in the third quarter occupancy rates at existing hotels declined because the GoTo Travel campaign, which had been in place during the same period of the previous year, was no longer available. As a result, the hotel business reported a substantial increase in revenue but a decline in profit.」

「Although domestic travel restrictions imposed by government agencies to prevent the spread of COVID-19 and restrictions on entry by foreign nationals continued to have an impact on the hotel business, the impact was smaller than in the same period of the previous year. In addition, sales of overseas real estate contributed to revenue of ¥10,775 million, up 246.4% year on year, and segment profit of ¥973 million, compared with a segment loss of ¥46 million in the same period of the previous year.」

「Although domestic travel restrictions imposed by government agencies to prevent the spread of COVID-19 and restrictions on entry by foreign nationals continued to have an impact on the hotel business, the impact was smaller than in the same period of the previous year. In addition, sales of overseas real estate contributed to revenue of ¥4,688 million, up 323.3% year on year, and segment profit of ¥102 million, compared with a segment loss of ¥297 million in the same period of the previous year.」

「In the hotel business, the impact of domestic travel restrictions imposed by government agencies to prevent the spread of COVID-19 and restrictions on entry by foreign nationals resulted in revenue of ¥6,983 million, down 19.6% year on year, and segment profit of ¥6 million, down 99.0%.」

「In the hotel business, the impact of domestic travel restrictions imposed by government agencies to prevent the spread of COVID-19 and restrictions on entry by foreign nationals resulted in revenue of ¥5,410 million, down 19.6% year on year, and segment profit of ¥197 million, down 54.5%.」

「In the hotel business, the impact of domestic travel restrictions imposed by government agencies to prevent the spread of COVID-19 and restrictions on entry by foreign nationals resulted in revenue of ¥3,110 million, down 30.1% year on year, and a segment loss of ¥46 million, compared with segment profit of ¥300 million in the same period of the previous year.」

「In the hotel business, the impact of domestic travel restrictions imposed by government agencies to prevent the spread of COVID-19 and restrictions on entry by foreign nationals resulted in revenue of ¥1,107 million, down 43.6% year on year, and a segment loss of ¥297 million, compared with segment profit of ¥51 million in the same period of the previous year.」

「Revenue from a hotel opened in the previous fiscal year and other factors resulted in total revenue of ¥6,725 million, up 3.6% year on year.」

「In addition to revenue contributed by a hotel opened in the previous fiscal year, the absence of costs for opening new hotels during the current period and other factors resulted in total revenue of ¥4,452 million, up 37.6% year on year, and segment profit of ¥300 million, up 64.2%.」

「Revenue from a hotel opened in the previous consolidated fiscal year contributed to total revenue of ¥1,964 million, up 62.2% year on year, and segment profit of ¥51 million, up 12.1%.」

「Seven hotels had opened by the fiscal year ending March 2019. Although profit declined due to opening costs and other factors, the business was expected to monetize in the fiscal year ending March 2020. In addition, five hotels were scheduled to open over the following 3 years, comprising 4 in Japan and 1 overseas.」

「Higher hotel business revenue contributed to total revenue of ¥6,489 million, up 33.3% year on year. Segment profit was ¥530 million, down 24.2%, due mainly to higher costs associated with opening new hotels.」

「Although higher hotel business revenue contributed, the absence of real estate sales resulted in total revenue of ¥3,235 million, down 8.1% year on year. Segment profit was ¥183 million, down 64.4%, due mainly to higher costs associated with preparing to open new hotels.」

「Higher hotel business revenue contributed to total revenue of ¥1,210 million, up 20.1% year on year. Segment profit, however, was ¥46 million, down 41.5%, due mainly to higher costs associated with preparing to open new hotels.」

「The hotel business reported higher revenue and profit due to improved occupancy rates at existing hotels, including Urabandai Lake Resort and Le Grand Karuizawa, and the opening of Kyoto Granbell Hotel. In the fiscal year ending March 2019, hotels are scheduled to open in Karuizawa, Galle in the Democratic Socialist Republic of Sri Lanka, and the Republic of Maldives.」

「Operating profit was ¥9,352 million, up 21.3% year on year, due to improved profitability in the general mail-order and store-based retail businesses, real estate sales in the Property Business, and improved hotel profitability, among other factors.」

「Sales of real estate for sale and hotel business revenue contributed to total revenue of ¥3,519 million, up 93.1% year on year, and segment profit of ¥513 million, compared with segment profit of ¥18 million in the same period of the previous year.」

「Hotel business revenue contributed to total revenue of ¥1,007 million, up 33.6% year on year, and segment profit of ¥78 million, up 62.0%.」

「Hotel revenue was sluggish, resulting in revenue of ¥754 million, down 0.2% year on year, although segment profit increased 62.2% to ¥48 million.」