East Japan Railway Company (9020) investor relations material

Executive summary

• Operating revenues and income reached record highs in FY2026.3, driven by strong passenger traffic, fare revisions, and new business openings such as TAKANAWA GATEWAY CITY and OIMACHI TRACKS.

• All business segments—Transportation, Retail & Services, Real Estate & Hotels, and Others—achieved year-over-year revenue and income growth.

• The company advanced its dual-axis management strategy, focusing on Mobility and Lifestyle Solutions, and launched the "To the Next Stage 2034" vision.

• Safety initiatives and governance reforms were prioritized following operational disruptions and misconduct cases.

• Comprehensive income surged 30.5% to ¥272.1 billion.

Financial highlights

• FY2026.3 operating revenues: ¥3,084.7 billion (+6.8% YoY); operating income: ¥414.3 billion (+9.9% YoY); EBITDA: ¥842.9 billion (+7.7% YoY); net income attributable to owners: ¥247.8 billion (+10.5% YoY).

• ROE improved to 8.4% (from 8.0%); ROA at 3.9%.

• Dividend payout ratio increased to 33.7% with annual dividends of ¥74 per share.

• Net interest-bearing debt rose to ¥5,162.2 billion; net interest-bearing debt/EBITDA at 5.8x.

• Total assets: ¥10,820.7 billion; net assets: ¥3,060.1 billion; equity ratio: 28.2%.

Outlook and guidance

• FY2027.3 forecast: operating revenues ¥3,295.0 billion (+6.8% YoY), operating income ¥429.0 billion (+3.6% YoY), EBITDA ¥887.0 billion (+5.2% YoY), net income ¥255.0 billion (+2.9% YoY), EPS ¥225.85.

• Dividend forecast for FY2027.3: ¥84 per share (payout ratio 37.2%).

• Major capital investments planned in safety, platform gates, earthquake countermeasures, and new lines (e.g., Haneda Airport Access Line).

• Long-term targets for FY2032.3: operating revenue approx. ¥4.3 trillion, EBITDA approx. ¥1.2 trillion, ROE 10%+.

• Dividend payout ratio targeted to rise to 40% by fiscal 2027.