ORIX JREIT (8954) Q4 2025 earnings summary

Executive summary

• 46th fiscal period ended Feb. 28, 2025: net income ¥11,015m and distribution ¥3,991/unit, ¥111 above forecast; payout ratio was 100.0%.

• Portfolio occupancy was 98.9%; total assets were ¥685,775m and net assets ¥350,300m at period-end.

Financial highlights

• 25/2 operating revenue was ¥25,642m, operating income ¥12,239m and net income ¥11,015m; each declined period-on-period.

• Rental revenue was ¥22,966m, other operating revenue ¥2,665m and gains on property sales ¥11m.

• AFFO was ¥12,621m, up ¥209m period-on-period; FFO was ¥14,975m, down ¥95m, and CAPEX was ¥2,354m, down ¥304m.

Outlook and guidance

• Distribution forecast at ¥4,540/unit for 25/8 and ¥4,700/unit for 26/2; increases reflect rental growth, hotel income and capital gains, partly offset by financing costs and other expenses.

• 25/8 and 26/2 operating revenue forecasts are ¥28,295m and ¥30,202m; net income forecasts are ¥12,258m and ¥13,812m, respectively.

• Internal reserves of ¥1,273 per unit and unrealized gains of ¥243.9bn are identified as resources supporting distribution growth and potential upside.