Mitsui Fudosan (8801) investor relations material

Executive summary

• Record first quarter highs in operating revenue, operating income, business income, ordinary income, and net profit attributable to owners, with all major segments posting record business income, especially property sales due to accelerated asset turnover.

• Business income rose 79.2% year-on-year to ¥187.7 billion, and net profit increased 91.1% to ¥124.2 billion.

• Office vacancy rate in Tokyo dropped to 1.1%, and the contract progress rate for new condominiums reached 93.3%.

• First female internal director appointed, raising board diversity to 23%.

• Officer compensation system revised to link with KPIs such as ROE, EPS, net income, and business income.

Financial highlights

• Operating revenue rose to ¥802.3 billion, up 27.3% year-on-year; business income reached ¥187.7 billion, up 79.2%.

• Ordinary income increased 59.7% to ¥144 billion; net profit attributable to owners surged 91.1% to ¥124.2 billion.

• EPS for 1Q FY2025 was ¥44.81, up from ¥23.20 in 1Q FY2024.

• Extraordinary gains included ¥7.8 billion from investment securities sales and ¥26.4 billion from tangible asset sales.

• Equity ratio improved to 32.9% from 31.9% at the previous fiscal year-end.

Outlook and guidance

• Full-year forecasts remain unchanged: revenue ¥2.7 trillion, operating income ¥380 billion, business income ¥425 billion, net profit ¥260 billion.

• Business income progress rate at 44% and net profit at 48% of full-year forecast after 1Q.

• Annual dividend forecast is ¥33 per share, up from ¥31 in the previous year.

• Office vacancy rate remains low at 1.1%, with year-end guidance unchanged at around 2%.

• Management expects continued growth in property sales, management, and facility operations segments.