Arealink (8914) Q2 2026 earnings summary

Executive summary

• Achieved double-digit year-over-year growth in both revenue and profit for FY12/26 2Q, exceeding targets, driven by strong self-storage management and flow-type businesses.

• Upward revision of earnings and dividend forecasts due to robust self-storage management performance.

• Announced a tender offer for STORAGE-OH Co., Ltd. to accelerate growth, expand managed units, and maximize group synergies.

Financial highlights

• Net sales rose 16.1% YoY to ¥16,338 million, with 56.9% achievement of the FY12/26 plan.

• Operating income increased 19.4% YoY to ¥3,607 million, 59.6% of the annual plan; operating profit margin improved to approximately 22.1%.

• Ordinary income up 15.5% YoY to ¥3,375 million; net income up 13.7% YoY to ¥2,360 million.

• SG&A expenses rose 21.0% YoY, mainly due to higher commission expenses from real estate transactions.

• Cash and cash equivalents rose by ¥1,166 million to ¥17,837 million.

Outlook and guidance

• Revised full-year FY12/26 guidance: net sales ¥28,700 million (+8.6% YoY), operating income ¥6,050 million (+10.6% YoY), net income ¥3,815 million (+3.0% YoY), and basic EPS forecast at ¥75.03.

• Ordinary profit forecast at ¥5,670 million (up 9.2%).

• Dividend forecast revised upward to ¥27.50 per share for FY2026; payout ratio target raised to 35% starting FY12/24.

• Targeting 200,000 self-storage units under management by 2029, with projected net sales of ¥33.5 billion and operating income of ¥8.0 billion.