Odakyu Electric Railway (9007) Q1 2026 earnings summary

Executive summary

• 1Q FY2025 revenue from operations was ¥98,264M, down 10.3% YoY, mainly due to absence of prior year extraordinary gains and consolidation changes.

• Operating income fell 9.0% to ¥15,279M, and net income dropped 44.5% to ¥13,936M, reflecting a reactionary fall from one-time gains.

• Comprehensive income declined 56.2% YoY to ¥11,226M.

• FY2025 full-year forecasts remain unchanged: revenue expected at ¥425,000M (+0.5% YoY), operating income at ¥53,000M (+3.0%), and net income at ¥35,000M (-32.6%).

• Extraordinary factors in prior year included gains from UDS transfer and Sotetsu Holdings share sale, not repeated this year.

Financial highlights

• Basic earnings per share for the quarter was ¥40.37, down from ¥70.22 YoY.

• Total assets at quarter-end: ¥1,298,086M, equity ratio: 37.0%.

• Net assets increased to ¥481,800M, mainly from higher retained earnings.

• Ordinary income decreased by ¥2,368M (-12.9% YoY) to ¥16,039M.

• Extraordinary profit fell by ¥13,489M due to absence of prior year gains.

Outlook and guidance

• FY2025 revenue forecast: ¥425,000M (+0.5% YoY); operating income: ¥53,000M (+3.0%); net income: ¥35,000M (-32.6%).

• Basic earnings per share for the full year is forecast at ¥101.39.

• Dividend planned at ¥50 per share; total payout ratio target of at least 40% for FY2023–FY2026.

• No revision to forecasts since May 2025.

• Transportation segment to benefit from increased passenger numbers; Life Services to improve at existing stores and hotels.