Japan Post (6178) Corporate presentation summary

Strategic positioning and vision

• Real estate is positioned as a new pillar for revenue growth amid declining mail volumes and rising costs, supporting the sustainability of universal service and diversification into new business areas.

• The segment aims to transform into a comprehensive developer, leveraging group-owned assets and expanding into leasing, built-for-sale, and management businesses.

• The long-term vision includes improving postal/logistics network efficiency, responding to market changes, and building an investor symbiosis business.

Business structure and organization

• The segment is managed by 935 employees (180 at Japan Post Real Estate), with a strong base of qualified real estate professionals.

• Centralized management and streamlined decision-making have accelerated growth since the establishment of Japan Post Real Estate in 2018 and the creation of the segment in 2024.

Financial performance and targets

• Net operating income for FY2025 reached ¥23.9 billion, exceeding the target by 217%, with total assets at ¥1,605.6 billion.

• FY2028 targets include income of ¥28.0 billion, assets of ¥1.1 trillion, ROA of 2.6%, and a D/E ratio below 1.0x.

• The portfolio consists mainly of offices and residences in major cities, with high occupancy rates (offices: 98.8%, residences: 97.5%).