Asset sales shift below the operating line
Ichigo Inc. (TSE: 2337), the Tokyo-based real-estate, hotel and clean-energy investor, reported consolidated results for the first half of FY2/2027, the six months from March 1 to August 31, 2026, on October 14, 2026 under Japanese GAAP. Net sales fell 22.0% to ¥39,817 million, operating profit 5.7% to ¥10,621 million and ordinary profit 1.0% to ¥8,952 million. Business profit, defined as operating profit plus gains and losses on value-add and hotel asset sales booked as special items, rose 2.6% to ¥15,514 million. Net profit attributable to owners of the parent fell 1.9% to ¥8,462 million, while cash net profit rose 9.8% to ¥12,119 million.
Special gains rose 25.0% to ¥4,934 million, including ¥3,017 million from selling shares in a property-holding subsidiary and ¥1,875 million from selling value-add real estate. Non-operating income rose to ¥1,456 million on derivative valuation gains from interest-rate hedges, while interest expense rose with new borrowing for acquisitions.
Segments
Shinchiku, Ichigo's value-add business, saw sales fall 21.7% to ¥9,544 million against a year-earlier sale of an investment stake, but segment profit rose 38.2% to ¥7,115 million. Hotel sales rose 4.0% to ¥7,795 million as properties bought last year contributed, but profit fell 57.5% to ¥2,250 million without last year's hotel sale gain. Ichigo Owners, which sells properties to individual investors, saw sales drop 35.7% to ¥16,807 million after last year's bulk sales, while profit rose 38.7% to ¥3,463 million. Asset management profit rose 66.4% to ¥1,713 million on a disposition fee, and clean energy profit fell 17.0% to ¥1,006 million after lightning stopped some plants.
Balance sheet, dividend and outlook
Total assets rose 2.3% to ¥445,648 million, mainly as residential purchases lifted real estate for sale by ¥21,633 million, while net assets fell 1.2% to ¥115,393 million after ¥4,623 million of dividends and ¥5,163 million of share buybacks, for an equity ratio of 25.7%. Ichigo raised its dividend-on-equity target to 5% or more this year and still forecasts a dividend of ¥15.5, up 35%.
The full-year forecast is unchanged: operating profit of ¥20,600 million (+0.7%), business profit of ¥34,000 million (+21.2%), ordinary profit of ¥14,900 million (−12.8%) and net profit of ¥18,000 million (+8.2%). Ichigo gives full-year guidance only.
| Metric | H1 FY2/2027 | H1 FY2/2026 | Change |
|---|---|---|---|
| Net sales (¥ million) | 39,817 | 51,024 | −22.0% |
| Operating profit (¥ million) | 10,621 | 11,261 | −5.7% |
| Business profit (¥ million) | 15,514 | 15,128 | +2.6% |
| Ordinary profit (¥ million) | 8,952 | 9,047 | −1.0% |
| Net profit attrib. to owners of parent (¥ million) | 8,462 | 8,624 | −1.9% |
| Shinchiku (value-add) — revenue (¥ million) | 9,544 | 12,187 | −21.7% |
| Shinchiku (value-add) — segment profit (¥ million) | 7,115 | 5,147 | +38.2% |
| Hotels — revenue (¥ million) | 7,795 | 7,493 | +4.0% |
| Hotels — segment profit (¥ million) | 2,250 | 5,290 | −57.5% |
| Ichigo Owners — revenue (¥ million) | 16,807 | 26,129 | −35.7% |
| Ichigo Owners — segment profit (¥ million) | 3,463 | 2,496 | +38.7% |
| Total assets (¥ million) | 445,648 | 435,821 | +2.3% |
| Net assets (¥ million) | 115,393 | 116,754 | −1.2% |
| Equity ratio | 25.7% | 26.6% | −0.9 pt |
| FY2/2027 guidance — operating profit (¥ million) | 20,600 | — | +0.7% |
| FY2/2027 guidance — ordinary profit (¥ million) | 14,900 | — | −12.8% |
| FY2/2027 guidance — net profit (¥ million) | 18,000 | — | +8.2% |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.