Tosei Corp
TSE:8923
Tosei Corp
Tosei Corp. engages in real estate and investment business. The company is headquartered in Minato-Ku, Tokyo-To and currently employs 638 full-time employees. The company went IPO on 2004-02-27. The Real Estate Revitalization segment sells real estate properties revitalized through implementation. The Real Estate Development segment engages in sale of condominiums and detached houses to individual customers, and rental condominiums and office buildings to investors. The Real Estate Leasing segment leases offices and condominiums. The Real Estate Fund Consulting segment engages in asset management business of real estate funds. The Real Estate Management segment provides comprehensive property management services.
Tosei Corp. engages in real estate and investment business. The company is headquartered in Minato-Ku, Tokyo-To and currently employs 638 full-time employees. The company went IPO on 2004-02-27. The Real Estate Revitalization segment sells real estate properties revitalized through implementation. The Real Estate Development segment engages in sale of condominiums and detached houses to individual customers, and rental condominiums and office buildings to investors. The Real Estate Leasing segment leases offices and condominiums. The Real Estate Fund Consulting segment engages in asset management business of real estate funds. The Real Estate Management segment provides comprehensive property management services.
Revenue Growth: Tosei reported revenue of JPY 45 billion for the first 6 months, up 30.8% year-on-year, driven by strong performance especially in the Revitalization Business.
Operating Profit Drop: Operating profit fell sharply to JPY 2.1 billion, down 72% year-on-year, mainly due to a large valuation loss of JPY 7.6 billion on inventories, especially hotels and commercial facilities.
Guidance Cut: Full-year revenue guidance was reduced from JPY 80.3 billion to JPY 64.8 billion, and profit for the year from JPY 8.8 billion to JPY 2.4 billion, reflecting pandemic impacts and conservative assumptions.
Dividend Reduction: The annual dividend was slashed from JPY 47 per share to JPY 13 per share, but the payout ratio remains above 25%. Share buybacks are ongoing.
Fund & Consulting Resilience: Despite the tough environment, the Fund and Consulting business saw revenue and profit guidance raised with robust AUM growth and strong overseas investor interest.
Hotel & Development Weakness: Hotel business revenue and profit forecasts were cut heavily, with very low occupancy rates expected for the rest of the year.
Stable Segments: Rental and Property Management businesses are expected to maintain or increase profit despite minor revenue drops, providing stability for the company.
