Kasumigaseki Capital positioned land sales to development funds as a driver of profit growth and outlined plans to monetize its Miami project in the US, expand AUM and increase the dividend for the fiscal year ending August 2027. The company also set out plans to expand its business, including hotel and infrastructure development in Japan and overseas.
The key points disclosed at the financial results briefing were that land sales to development funds are driving profit growth and that the company plans to increase the dividend to ¥200 per share for the fiscal year ending August 2027. Net income for the fiscal year ended August 2026 was ¥16.6 billion, meeting the published budget, and net income of approximately ¥24.0 billion is forecast for the fiscal year ending August 2027. The company is targeting AUM of more than ¥1 trillion, while ending inventory assets expanded to ¥71.2 billion.
The company is monetizing its first Miami project in the US by converting it into a fund and has begun the full-scale rollout of its US business. As part of its overseas expansion, including in the US, project contracts are progressing in Nevada, Texas and Florida, with tax incentives providing additional support. The company indicated its intention to expand across a range of business areas, including logistics, data centers and hotels.
Regarding progress under its medium-term management plan, the company reported progress on its roadmap targeting net income of ¥50.0 billion for the fiscal year ending August 2029. AUM is continuing to grow from approximately ¥950 billion, while the total pipeline expanded to approximately ¥1.218 trillion. ROE was approximately 27.2% for the fiscal year ended August 2026, with targets of at least 25% and ultimately 30% for the fiscal year ending August 2029.
In terms of its financial strategy, the company is shifting from reliance on equity to the use of debt financing. The equity ratio was 39.1% and cash and deposits totaled ¥41.7 billion, with borrowing capacity estimated at approximately ¥70.0 billion. The company outlined a policy of strengthening its capital base while limiting equity offerings.