Ichigo (2337) investor relations material

Executive summary

• Business profit rose 25% year-over-year, with EPS up 24% and cash EPS up 19%, driven by strong hotel, real estate, and asset sales performance.

• Revenue increased 27.6% to JPY 73.0 billion, with operating profit up 46.5% and net income up 18.3%.

• Forecasting record full-year earnings, with net income guidance at JPY 16 billion and EPS at JPY 38.13.

• Shareholder returns enhanced by JPY 15 billion buybacks, 6.7% of shares cancelled, and a 10% dividend increase.

• Recognized for environmental leadership, achieving CDP Double A List status for climate change and water security.

Financial highlights

• Revenue: JPY 73.0 billion (+27.6% YoY); Operating profit: JPY 15.1 billion (+46.5% YoY); Net income: JPY 10.5 billion (+18.3% YoY); Cash net income: JPY 13.6 billion (+13.5% YoY).

• Business profit (core) for Q3 was JPY 19,031M (+25.4% YoY); full-year forecast is JPY 28,400M (+14.2%).

• Stock earnings up 9% YoY, flow earnings up 31% YoY, with hotel business profit up 103% and Ichigo Owners up 87%.

• Shareholders' equity ratio at 25.6%, net D/E ratio at 2.2x, and cash and cash equivalents at JPY 51.4 billion.

• Stock earnings/fixed expenses coverage ratio at 202%.

Outlook and guidance

• On track for record FY26/2 earnings, with both stock and flow earnings expected to hit record levels.

• Full-year guidance: Operating profit JPY 19.5 billion (+19.6% YoY), net income JPY 16.0 billion (+5.4% YoY), EPS JPY 38.13 (+9.4% YoY).

• Dividend forecast raised to JPY 11.5 (+10% YoY), maintaining a progressive dividend policy.

• Owners segment may exceed forecast if transactions close in Q4; otherwise, strong start expected for next year.

• No changes to previously announced earnings forecasts.