GLP J-REIT (3281) Q4 2025 earnings summary

Executive summary

• Record Aug. 2025 DPU of ¥3,643, 34.8% above the initial forecast; annual DPU, DONAV and NAV-per-unit targets were achieved ahead of schedule.

• Six-month revenue was ¥30.505bn, operating income ¥17.647bn and net income ¥16.062bn; portfolio occupancy was 98.7% across 86 properties.

• Mid-term target is 2.5% annual stabilized DPU growth, supported by rent increases, selective acquisitions and dispositions, and flexible financing.

Financial highlights

• Revenue rose 4.9% to ¥30.505bn, operating income rose 6.8% to ¥17.647bn, and ordinary and net income rose 6.8% to ¥16.063bn and ¥16.062bn, respectively, versus the prior period.

• DPU totaled ¥3,643, including ¥3,348 excluding OPDs and ¥295 of OPDs; the OPD included a temporary ¥25 per unit for GLP Narashino II redevelopment.

• Gain on property sales was ¥4.487bn, versus ¥3.266bn in the prior period; property-leasing operating income excluding sale gains was ¥16.846bn.

• Operating cash flow was ¥37.079bn; investing and financing cash outflows were ¥8.144bn and ¥16.477bn. Period-end cash and equivalents were ¥37.356bn.

Outlook and guidance

• Feb. 2026 forecast: revenue ¥28.745bn, operating income ¥16.264bn, ordinary and net income ¥14.605bn, and DPU ¥3,339 including OPDs; DPU excluding OPDs is ¥3,044.

• Aug. 2026 forecast: revenue ¥28.049bn, operating income ¥15.088bn, ordinary and net income ¥13.238bn, and DPU ¥3,057 including OPDs; DPU excluding OPDs is ¥2,759.

• Forecast DPU declines mainly as prior sale gains diminish; forecasts include temporary OPDs of ¥25 per unit in both periods for GLP Narashino II redevelopment.

• Feb. 2026 average occupancy is forecast at 97.8%, book-value LTV at 45.4%; forecast lease increases are 8–9% at maturity and 8–9% through CPI-linked clauses.

• Medium-term financing plans target annual all-in cost increases of ~15 bps; actual results may vary with rents, interest rates, repairs, portfolio changes and capital expenditure.