Nankai Tatsumura Construction (1850) investor relations material

Executive summary

• Achieved record highs in operating revenue and operating income for the first quarter, driven by strong real estate sales despite declines in transportation due to post-EXPO 2025 effects and deteriorating Japan-China relations.

• Operating revenue rose 12.6% year-over-year to ¥70.6 billion for the quarter ended June 30, 2026.

• Operating income was ¥11.3 billion, nearly flat year-over-year, while profit attributable to owners of parent grew 2.6% to ¥7.8 billion.

• Comprehensive income surged 53.0% year-over-year to ¥13.6 billion.

• Operating income exceeded initial forecasts due to expense timing and cost reductions.

Financial highlights

• Basic earnings per share increased to ¥72.54 from ¥67.57 year-over-year.

• Total assets stood at ¥1,062.0 billion as of June 30, 2026, with net assets at ¥364.5 billion.

• Equity-to-asset ratio improved to 32.4% from 31.3% at the previous fiscal year-end.

• Cash and deposits increased to ¥25.3 billion from ¥24.5 billion at March 31, 2026.

• Extraordinary income surged due to gains on sale of non-current assets.

Outlook and guidance

• FY2026 forecasts remain unchanged: operating revenue projected at ¥287.5 billion (+8.6% YoY), operating income at ¥40.0 billion (+0.1% YoY), and profit attributable to owners of parent at ¥23.8 billion (-5.3% YoY).

• Annual dividend per share is forecast to rise to ¥55.00 from ¥50.00.

• Revenue growth expected from fare revisions, new property leasing, and property sales, despite waning EXPO 2025 impact.