Sun Frontier Fudousan (8934) Q4 2026 earnings summary

Executive summary

• FY2026 net sales reached a record ¥116,083mn, ordinary profit a third consecutive record at ¥23,298mn, and attributable profit a fourth consecutive annual increase to ¥15,986mn.

• Real Estate Revitalization and Real Estate Services delivered higher sales and profits; stock-type gross profit covered fixed costs at 112% for the first time.

• FY2027 guidance is ¥130,000mn net sales and ¥26,000mn ordinary profit; FY2028 targets were raised to ¥150bn and ¥30bn, respectively.

Financial highlights

• FY2026 net sales rose 12.5% to ¥116,083mn, gross profit 18.3% to ¥38,114mn, and operating profit 19.2% to ¥25,356mn.

• Ordinary profit increased 13.9% to ¥23,298mn and attributable profit 12.9% to ¥15,986mn; EPS was ¥327.76.

• Total assets increased 21.2% to ¥264,463mn; equity-to-total-assets ratio was 45.3%.

• FY2026 annual dividend was ¥76 per share; FY2027 guidance is ¥80, up ¥4.

Outlook and guidance

• FY2027 forecast: net sales ¥130,000mn (+12.0%), operating profit ¥28,150mn (+11.0%), ordinary profit ¥26,000mn (+11.6%) and attributable profit ¥17,400mn (+8.8%).

• FY2028 targets: net sales ¥150bn, ordinary profit ¥30bn, ordinary profit margin 20% and ROE above 14%.

• FY2027 plans include 10 hotel openings; occupancy and ADR are expected to ease with new openings.

• Revised three-year plan targets flow-type sales growth of 25% and stock-type growth of over 90% versus FY2025; stock-type share target is 40%, up from 37%.