Hulic (3003) investor relations material

Executive summary

• Operating revenue rose 44.8% year-over-year to JPY226.8 bn, driven by stable leasing income and strong real estate sales.

• Underlying profits excluding special items grew over 20% YoY, with net income up 5.6% and operating profit up nearly 20% on an adjusted basis.

• Segment operations progressed as planned, with notable growth in real estate, hotels/ryokans, tourism, and new businesses, but "Others" posted a loss due to additional goodwill amortization.

• Real estate investments exceeded JPY160 bn domestically and JPY25 bn internationally, with major completions and new projects underway.

• Additional goodwill amortization of JPY6.9 bn was recorded, not classified as impairment, due to share price fluctuations.

Financial highlights

• Operating revenue: JPY226.8 bn (+44.8% YoY); adjusted operating profit: JPY38.1 bn (+19.8% YoY); reported operating profit: JPY31.1 bn (−2.0% YoY) due to special items.

• Adjusted ordinary profit was JPY33.9 bn (+21.1% YoY); net income attributable to owners was JPY25.1 bn (+46.1% YoY, adjusted); reported net income was JPY18.1 bn (+5.6% YoY).

• EPS for the quarter was JPY23.89, up from JPY22.57 a year earlier.

• Comprehensive income increased 13.2% YoY to JPY22.2 bn.

• Total assets as of March 31, 2026, were JPY3,552.9 bn, up JPY46.9 bn from December 31, 2025.

Outlook and guidance

• FY2026 is expected to achieve record-high profit for the 18th consecutive year.

• Full-year 2026 forecasts: operating revenue JPY210 bn (+12.4% YoY), operating profit JPY185 bn (+6.9% YoY), net income JPY121 bn (+5.8% YoY), EPS JPY159.41.

• Medium- and long-term plan targets ordinary profit of JPY220 bn in FY2029 and JPY300 bn in FY2036.

• Dividend payout ratio to be raised to 45% by 2029, with annual dividend planned at 67 yen (+5 yen YoY).

• No changes to previously announced forecasts as business performance is proceeding according to plan.