Daito Trust Construction (1878) Q4 2025 earnings summary

Executive summary

• Net sales rose 6.4% year-over-year to ¥1,842.3bn, with operating income up 13.4% to ¥118.8bn and net income attributable to owners up 25.7% to ¥108.7bn for FY2025, surpassing planned performance.

• Growth was driven by strong construction contract sales, expansion in real estate development, and strategic acquisitions, including Housecom and Ascot Corp.

• ROE improved to 21.5% (+3.1p YoY); annual dividend increased to ¥714 with a 50% payout ratio.

• Orders received rose 1.1% YoY to ¥596.9bn; occupancy rate (rent basis) at 97.8% as of March.

• Initiated a 5-for-1 stock split effective October 1, 2025.

Financial highlights

• Net sales grew 6.4% YoY to ¥1,842.3bn; operating income up 13.4% to ¥118.8bn; ordinary income increased 19.1% to ¥129.4bn.

• Net income attributable to owners up 25.7% to ¥108.7bn, aided by special factors (sale of shares, exchange gains).

• Total assets at March 2025 were ¥1,222.7bn (+¥142.7bn YoY); equity ratio 38.3%.

• EPS rose to ¥1,428.29; BPS at ¥7,073.15.

• Cash and cash equivalents at year-end: ¥223.5bn; major outflows for acquisitions and dividends.

Outlook and guidance

• FY2026 net sales forecasted at ¥1,970.0bn (+6.9% YoY); operating income at ¥125.0bn (+5.2%).

• Net income expected to decrease 4.1% to ¥90.0bn due to absence of special factors.

• Real Estate Development Business net sales forecast at ¥130.0bn (+153.3%).

• Orders received projected at ¥620.0bn (+3.9% YoY); tenancy recruitment to rise 1.0% to 348,400.

• Annual dividend planned at ¥685 for FY2026; payout ratio remains at 50%, with adjustments for stock split.