Mitsui Fudosan (8801) Q2 2026 earnings summary

Executive summary

• Achieved record highs in operating revenue and all profit levels for the first half of fiscal 2025, with significant year-over-year growth across all metrics, prompting upward revisions of full-year forecasts.

• Announced a dividend increase to JPY 34 per share and a JPY 57 billion share buyback, raising the total payout ratio to 56.6%.

• Two-year CAGR for EPS growth expected to reach 10.3%, with projected ROE revised up to the mid 8% range.

• Comprehensive income increased 28.9% year-on-year to JPY 124.4 billion.

Financial highlights

• First-half operating revenue: JPY 1,353.4 billion, up 16.4% year-on-year; operating income: JPY 218.7 billion, up 29.1%; business income: JPY 246.4 billion, up 42.3%; ordinary income: JPY 183.5 billion, up 33.7%; net income: JPY 152.1 billion, up 72.3%.

• EPS for 2Q: JPY 54.88 (vs. JPY 31.55 YoY); equity ratio: 32.9%.

• Full-year forecast: revenue JPY 2,700 billion, operating income JPY 385 billion, business income JPY 430 billion, ordinary income JPY 295 billion, net income JPY 265 billion, EPS JPY 95.59.

• Net cash used in operating activities: JPY 85.5 billion; investing activities: JPY 92.3 billion; net cash provided by financing activities: JPY 159.7 billion.

• Gross profit for the period was JPY 351.0 billion, up from JPY 296.3 billion year-on-year.

Outlook and guidance

• Full-year forecasts revised upward due to strong Management segment performance and improved net interest burden.

• EPS CAGR expected at 10.3% (revised), with ROE forecast in the mid-8% range.

• Annual dividend per share guidance raised to JPY 34; interim and year-end dividends revised to JPY 17 each.

• Business income forecast up by JPY 5 billion to JPY 430 billion; ordinary income up by JPY 10 billion to JPY 295 billion; net profit attributable to owners forecast up by JPY 5 billion to JPY 265 billion.

• Management segment business income forecast raised by JPY 5 billion to JPY 80 billion, driven by strong brokerage and car park leasing.