TBS Holdings (9401) Investor presentation summary

Financial performance and targets

• FY2025 net sales reached ¥424.8bn and operating profit ¥24.7bn, both exceeding year-on-year growth targets.

• Operating profit goal for MTBP 2026 achieved a year ahead of schedule; FY2026 targets updated to ¥440bn net sales and ¥26bn operating profit.

• ROIC adopted as a key KPI, with FY2025 actual at 3.2% and a target of 5% by FY2030.

• Operating profit margin improved to 5.83% in FY2025, with a goal of 7% by FY2030.

Capital efficiency and balance sheet strategy

• Focus on a leaner balance sheet and improved capital efficiency through disciplined capital control.

• Reviewing segment classifications and invested capital to optimize WACC and prepare for segment-based ROIC management.

• Considering increased debt financing, especially for large projects like Akasaka Entertainment City.

Capital allocation and shareholder returns

• FY2026 positioned as a phase to streamline the balance sheet, with investment security sales exceeding targets.

• Debt financing for Akasaka Entertainment City scaled from ¥40bn to ¥84bn.

• Shareholder returns increased to ¥105bn over three years, up ¥45bn from the initial plan.

• Dividend per share projected to rise to ¥50 by FY2026.