Seibu Holdings Inc (9024) Q1 2027 earnings summary

Executive summary

• Operating revenue for the quarter ended June 30, 2026, was ¥154.5 billion, up 16.7% year-over-year, driven by the consolidation of e'grand Co., Ltd., property securitization, railway fare revisions, and increased hotel revenue.

• Operating profit rose to ¥26.0 billion, up 41.5% year-over-year, with profit growth across all major segments despite higher personnel and depreciation expenses.

• Profit attributable to owners of parent increased 24.4% year-over-year to ¥16.7 billion.

• Both revenue and profit exceeded initial forecasts, mainly due to the e'grand consolidation, strong professional baseball attendance, and higher-than-expected transportation revenue.

• Comprehensive income increased 14.9% year-over-year to ¥10,736 million.

Financial highlights

• Operating revenue: ¥154.5 billion (+16.7% YoY); Operating profit: ¥26.0 billion (+41.5% YoY); EBITDA: ¥41.9 billion (+30.5% YoY); Net income attributable to owners: ¥16.7 billion (+24.4% YoY).

• Ordinary profit for the quarter was ¥25,538 million, up 48.0% year-over-year.

• Total assets: ¥1,742.1 billion; Net interest-bearing debt: ¥644.5 billion; Equity-to-asset ratio: 32.9%.

• Segment revenue YoY: Real Estate +¥12.7B, Hotel & Leisure +¥4.8B, Urban Transportation & Regional +¥3.0B.

• Basic earnings per share for the quarter were ¥65.90, compared to ¥51.35 in the prior year.

Outlook and guidance

• Full-year consolidated earnings forecast for FY ending March 2027 remains unchanged: operating revenue ¥559.0B (+8.9% YoY), operating profit ¥53.0B (+16.3% YoY), EBITDA ¥118.0B.

• Profit attributable to owners is forecast to decrease due to one-off gains in the prior year and higher tax expenses.

• Basic earnings per share for the full year are forecast at ¥106.22; dividend forecast is ¥42.00 per share, unchanged from the previous year.

• Revenue growth expected from railway fare revisions, hotel RevPAR increases, and property investments; profit growth to continue despite higher costs.