Tokyo Tatemono (8804) Q1 2026 earnings summary

Executive summary

• Revenue and profit declined year-over-year due to lower sales and gross profit from for-sale condominiums, but progress is generally in line with the full-year forecast.

• Operating revenues for Q1 2026 were ¥98,619 million, down 22.1% year-over-year.

• Operating profit decreased 46.7% to ¥12,645 million compared to the same quarter last year.

• Profit attributable to owners of parent fell 60.2% year-over-year to ¥5,717 million.

• Major redevelopment projects advanced, including completion of TOFROM YAESU TOWER and approval for Kyobashi 3-chome project.

Financial highlights

• Q1 FY2026 operating revenue: ¥98.6B (down ¥28.0B YoY); operating profit: ¥12.6B (down ¥11.0B YoY); profit attributable to owners: ¥5.7B (down ¥8.6B YoY).

• Business profit: ¥12.3B (down ¥12.0B YoY); ordinary profit: ¥9.2B (down ¥11.3B YoY).

• Total assets at Q1-end: ¥2,388.5B, up ¥115.8B from prior year-end, driven by increased real estate for sale and redevelopment investments.

• Net assets as of March 31, 2026, were ¥603.6B; equity-to-asset ratio stood at 24.8%.

• Interest-bearing debt rose to ¥1,469.1B, with a debt-equity ratio of 2.5x.

Outlook and guidance

• FY2026 full-year forecast: operating revenue ¥524.0B, operating profit ¥100.0B, business profit ¥102.0B, profit attributable to owners ¥63.0B.

• Business profit and payout ratio targets for FY2027 expected to be achieved one year ahead of schedule.

• Dividend per share projected at ¥122 for FY2026, payout ratio 40.2%.