Open House Group (3288) investor relations material

Executive summary

• FY2026 net sales reached ¥1,477.986B, up 10.6% YoY; operating profit rose 24.6% to ¥181.804B and parent-attributable profit rose 18.4% to ¥119.231B.

• Strong single-family home demand and higher condominium deliveries supported growth; rising inventories drove operating cash flow negative.

• FY2027 forecasts further record highs, with net sales of ¥1,640.0B, operating profit of ¥185.0B and parent-attributable profit of ¥120.0B.

• Strategy shifts from fixed three-year management plans to annual plans, emphasizing agile execution, sustainable growth and capital efficiency.

Financial highlights

• FY2026 ordinary profit was ¥168.844B, up 21.0% YoY; gross profit rose to ¥287.388B from ¥243.167B, while SG&A was ¥105.584B.

• Operating margin rose to 12.3% from 10.9%; SG&A declined to 7.1% of sales from 7.3%.

• Total assets increased to ¥1,584.134B and net assets to ¥620.042B; comprehensive income was ¥127.785B, up 18.1%.

• Cash and deposits were ¥403.563B at year-end, down ¥18.335B; inventory increased ¥133.565B to ¥903.561B.

Outlook and guidance

• FY2027 forecasts net sales of ¥1,640.0B (+11.0%), operating profit of ¥185.0B (+1.8%), ordinary profit of ¥170.0B (+0.7%) and parent-attributable profit of ¥120.0B (+0.6%).

• FY2027 operating margin target is 11.3%; basic EPS forecast is ¥1,092.50.

• Planned FY2027 sales/operating profit: single-family homes ¥855B/¥87B; condominiums ¥328B/¥49B; wealth management ¥390B/¥44B; general construction ¥79B/¥6B.

• FY2027 annual dividend is forecast at ¥220 per share, split equally between interim and year-end payments.