KATITAS (8919) Q2 2026 earnings summary

Executive summary

• Net sales for 1H FY2025 rose 13.1% year-over-year to ¥72,415 million, with operating profit up 32.1% to ¥9,010 million, both exceeding plan targets.

• Number of properties sold increased 10.6% YoY to 4,064, with inventory real estates up 33.4% YoY, supporting future growth.

• Gross profit margin improved by 0.9 percentage points year-on-year, with adjusted gross profit margin at 24.8% (up 1.9pt YoY), reflecting underlying competitiveness despite accounting changes from litigation.

• The company revised its full-year earnings forecast upward, projecting operating profit of ¥17,800 million (+25.2% YoY) and net sales of ¥147,500 million (+13.9% YoY).

• The company operates solely in the used housing refurbishing and remodeling business.

Financial highlights

• Net sales: ¥72,415 million (+13.1% YoY); Operating profit: ¥9,010 million (+32.1% YoY); Net income: ¥5,986 million (+32.0% YoY); EPS for 1H FY2025 was ¥76.56, up 31.8% YoY.

• 2Q FY2025 net sales grew 13.8% YoY to ¥37,352 million; operating profit rose 26.0% to ¥4,679 million.

• Gross profit: ¥17,222 million (up from ¥14,645 million YoY); gross margin increased by 0.9 percentage points.

• Cash and deposits decreased 42.0% YoY, while inventory real estates rose 33.4% YoY.

• Comprehensive income matched net income at ¥5,986 million.

Outlook and guidance

• Full-year sales forecast revised to ¥147,500 million (+13.9% YoY), with operating profit forecast at ¥17,800 million (+25.2% YoY), net income at ¥11,900 million (+24.6% YoY), and EPS ¥152.11.

• Adjusted gross profit margin expected to recover to 24.6% for the year, offsetting the impact of consumption tax litigation.

• Dividend forecast raised to ¥78.0 per share, with a payout ratio of 50%+.