Sekisui House (1928) Q3 2025 earnings summary

Executive summary

• Net sales rose 30.8% year-over-year to ¥2,863.0 billion, with operating profit up 24.6% to ¥232.6 billion and profit attributable to owners of parent up 16.2% to ¥164.8 billion, driven by stable growth in Japan and strong U.S. expansion following the MDC acquisition.

• All major business segments reported year-over-year sales and profit growth, except for condominiums, which saw a decline in operating profit.

• The company maintained its full-year forecast, expecting net sales of ¥4,000.0 billion and profit attributable to owners of parent of ¥209.0 billion.

Financial highlights

• Net sales rose 30.8% year-over-year to ¥2,863.0 billion; operating profit up 24.6% to ¥232.6 billion.

• Profit attributable to owners of parent increased 16.2% to ¥164.8 billion; EPS up to ¥254.36.

• Gross profit margin declined by 0.8 points to 19.4%; operating profit margin decreased to 8.1%.

• Total assets increased to ¥4,454.1 billion, mainly due to the MDC acquisition.

• Net assets reached ¥1,818.8 billion, with a capital adequacy ratio of 39.8%.

Outlook and guidance

• Full-year FY2024 plan targets net sales of ¥4,000.0 billion (+28.7%), operating profit of ¥320.0 billion (+18.1%), and EPS of ¥322.56.

• Overseas business expected to nearly triple in net sales year-over-year, with significant profit growth.

• Annual dividend per share planned at ¥129, with a payout ratio of 40%.