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Relo Group, Inc. — Earnings Release 2026
May 14, 2026
13210_rns_2026-05-14_2555220d-06a8-4b26-a382-cc0ad42c2fdd.pdf
Earnings Release
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Financial Results
for the Fiscal Year Ending March 31, 2026 [Consolidated]
(From April 1, 2025 to March 31, 2026)
[under IFRS]
May 14, 2026
Company name: Relo Group, Inc. Listed Exchange: Tokyo Stock Exchange Security code.: 8876 URL: https://www.relo.jp/ Representative: Kenichi Nakamura, Representative Director, CEO Contact: Yasushi Kadota, Director, CFO and CIO TEL: 03-5312-8704 Scheduled Date of Ordinary General Meeting of Shareholders: June 24, 2026 Scheduled Date to Submit the Securities Report: June 19, 2026 Scheduled Date to Start Distributing Dividends: June 25, 2026 Supplemental documents for the financial results provided: Yes Results briefing for the period under review provided: Yes (for institutional investors)
(Millions of yen, rounded down)
1. Consolidated Financial Results for the Year Ended March 31, 2026 (From April 1, 2025 to March 31, 2026)
(1) Consolidated Operating Results
(% figures represent change from the same period of the previous fiscal year)
| Fiscal Year ended |
|---|
| March 31, 2026 |
| Fiscal Year ended |
| March 31, 2025 |
| Revenue | Operating pr | ofit | Profit before in taxes |
come | Profit attributa owners of the |
ble to parent |
|
|---|---|---|---|---|---|---|---|
| Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % |
| 151,074 | 5.7 | 30,815 | 1.2 | 30,943 | (41.5) | 20,665 | (52.3) |
| 142,908 | 7.8 | 30,437 | 10.2 | 52,863 | - |
43,317 | - |
| Fiscal Year ended |
|---|
| March 31, 2026 |
| Fiscal Year ended |
| March 31, 2025 |
| Basic earnings per share |
Diluted net income per share |
Ratio of profit to equity attributable to owners of the parent company |
Ratio of profit before income taxes to total assets |
Ratio of operating profit to revenue |
|---|---|---|---|---|
| Yen | Yen | % | % | % |
| 137.11 | 130.48 | 27.1 | 9.9 | 20.4 |
| 286.85 | 272.03 | 81.1 | 17.8 | 21.3 |
(Reference) Share of loss (profit) of investments accounted for using equity method:
Fiscal Year ended March 31, 2026 : 190 million yen Fiscal Year ended March 31, 2025 : 3,656 million yen
(2) Consolidated Financial Positions
| Total assets | Total equity | Equity attributable to owners of parent |
Equity ratio attributable to owners of parent |
Equity attributable to owners of parent per share |
|
|---|---|---|---|---|---|
| Millions of yen | Millions of yen | Millions of yen | % | Yen | |
| As of March 31, 2026 | 324,288 | 86,579 | 84,568 | 26.1 | 558.36 |
| As of March 31, 2025 | 303,176 | 70,512 | 68,198 | 22.5 | 455.64 |
(3) Consolidated cash flows
| Cash flows from operating activities |
Cash flows from investing activities |
Cash flows from financing activities |
Cash and cash equivalents |
|
|---|---|---|---|---|
| Millions of yen | Millions of yen | Millions of yen | Millions of yen | |
| As of March 31, 2026 | 22,541 | (8,870) | (14,948) | 63,398 |
| As of March 31, 2025 | 25,947 | 30,000 | (41,283) | 64,021 |
2. Dividends
| 1st quarter End |
Di 2nd quarter End |
vidends per sha 3rd quarter End |
re Fiscal Year End |
Total | Total dividends |
Dividend payout ratio (Consolidated) |
Dividend / net assets ratio (Consolidated) |
|
|---|---|---|---|---|---|---|---|---|
| Yen | Yen | Yen | Yen | Yen | Millions of yen |
% | % | |
| Fiscalyear ended March 31, 2025 | - |
0.00 | - |
42.00 | 42.00 | 6,286 | 14.6 | 11.9 |
| Fiscalyear endedMarch 31, 2026 | - |
0.00 | - |
69.00 | 69.00 | 10,450 | 50.3 | 13.6 |
| Fiscal Year endedMarch 31, 2027(Projected) |
- |
34.50 | - |
40.50 | 75.00 | 50.5 |
(Note) 1. “Total Dividends” in the above table excludes dividends of 0 million yen for the fiscal year ended March 31, 2025 to shares held by the Stock Granting Trust (J-ESOP trust). “Total Dividends” in the above table excludes and dividends of 1 million yen for the fiscal year ended March 31, 2026 to shares held by the Stock Granting Trust (J-ESOP trust) .
(Note) 2. Breakdown of year-end dividend for the fiscal year ended March 31, 2025: ordinary dividend of 38.00 yen and special dividend of 4.00 yen
3. Projected Consolidated Results for the Fiscal Year Ending March 31, 2027 (From April 1, 2026 to March 31, 2027)
(% figures represent change from the same period of the previous fiscal year)
| Revenue | Operating profit | Profit bef income ta |
ore xes |
Profit attributable to owners of the parent |
Basic earnings per share |
||
|---|---|---|---|---|---|---|---|
| Millions of yen | % | Millions of yen % |
Millionsof yen |
% | Millions of yen % |
Yen | |
| Year ending March 31, 2027 | 165,000 | 9.2 | 34,000 10.3 |
33,600 | 8.6 | 22,500 8.9 |
148.56 |
- Notes
(1) Changes in significant subsidiaries during the Fiscal Year (Changes in specified subsidiaries associated with changes in the scope of consolidation) : None Newly consolidated : - - Excluded :
- (2) Changes in accounting policies, changes in accounting estimates and restatements:
| 1. Changes in accounting policies required by IFRS | : None |
|---|---|
| 2. Changes in accounting policies other than (1) | : None |
| 3. Changes in accounting estimates | : None |
- (3) Number of shares issued and outstanding (common stock)
| 1. Number of shares issued at the end of period (including treasury stock) |
As of March 31, 2026 | 153,016,200 shares |
As of March 31, 2025 | 153,016,200 shares |
|---|---|---|---|---|
| 2. Number of treasury stock at the end of period | Asof March 31, 2026 | 1,557,885 shares |
Asof March 31, 2025 | 3,341,095 shares |
| 3. Average number of shares during the period | Fiscal year ended March 31, 2026 |
150,724,008 shares |
Fiscal year ended March 31, 2025 |
151,008,807 shares |
- Statement concerning the status of financial audit procedures
This Financial Results is not subject to audit procedures under the financial instruments and exchange act. at the time of disclosing this document, audit procedures specified in the financial instruments and exchange act have not been completed.
- Statement regarding the proper use of financial forecasts and other specific remarks
The forward-looking statements, such as forecasts, contained in this document are based on available information and certainassumptions that are regarded as reasonable. The Company does not guarantee the achievement of these statements. Actual results may differ significantly due to a range of factors. For assumptions for the projected financial results and notes on use thereof, please refer to (4) Future outlook on page 4 of the attached material.
Given that the Company is a holding company and that most of its financial results are based on internal transactions inside the Group, disclosure of its non-consolidated financial results and projected non-consolidated financial results is omitted.
This translation is to be used solely as a reference and the consolidated financial statements in this release are unaudited.
Index
| 1. Overview of Operating results, etc .............................................................................................................................................2 |
|---|
| (1) Overview of Results of Operations .......................................................................................................................................... 2 |
| (2) Management Discussion of Financial Condition ......................................................................................................................3 |
| (3) Management Discussion of Cash Flows ...................................................................................................................................3 |
| (4) Future Outlook ..........................................................................................................................................................................4 |
| 2. Basic Approach to the Selection of Accounting Standards ....................................................................................................... 4 |
| 3. Consolidated Financial Statements ............................................................................................................................................ 5 |
| (1) Consolidated Statements of Financial Position ........................................................................................................................ 5 |
| (2) Consolidated Statements of Income and Consolidated Statement of Comprehensive Income ................................................7 |
| (3) Consolidated Statements of Changes in Equity ........................................................................................................................9 |
| (4) Consolidated Cash Flow Statements ........................................................................................................................................ 10 |
| (5) Notes to Consolidated Financial Statements ............................................................................................................................ 11 |
| (Notes on assumptions for going concern) .................................................................................................................................. 11 |
| (Segment information) ................................................................................................................................................................... 11 |
| (Earning per share) .........................................................................................................................................................................14 |
| (Significant subsequent events) ..................................................................................................................................................... 15 |
- 1 -
1. Overview of Operating Results, etc.
- (1) Overview of Results of Operations
In an environment of intensifying global competition where Japanese companies are stepping up efforts to expand overseas, the Group has shaped its mission: to support the non-core operations of Japanese companies, enabling them to concentrate on their core operations and compete on the world stage, to facilitate their global expansion and empower them to unleash their true potential, and in doing so, to aid in the great transformation that awaits Japan. Based on this mission we uphold the vision of creating an industry of comprehensive lifestyle support services provided globally. With a view to making the vision a reality, we developed and launched a four-year-long medium-term management plan starting in the fiscal year ending March 31, 2026, titled the Fourth Olympic Plan. This plan identifies three social issues that we should address intensively, namely human capital investment, the labor shortage, and seniors and inheritance. On the basis of these issues, we will deepen our existing businesses, create new businesses and make strategic investments to support them in an integrated manner. In the BtoB-based Outsourcing Business, we will continue to expand our support to help Japanese companies with increased productivity and enhanced fringe benefits as a measure to address aggravating labor shortage. In BtoC-based Property Management Business and Tourism Business, we will address regional revitalization and respond to growing demand from inbound tourists to support the regional economy and business succession.
In the fiscal year under review, revenues and operating profit of the Relo Group, Inc. increased year on year, reflecting a steady gain in the stock base as both the number of units under management in the Leased Corporate Housing Management Business and the number of employee members in the Fringe Benefits Business increased. As stated in the Notice Concerning the Execution of a Subscription Agreement for a Tender Offer for Shares of an Equity-Method Subsidiary and the Expected Recording of Finance Income published on May 9, 2024, in the previous fiscal year, the Company recorded a gain on the sale of investments accounted for using the equity method of 18.7 billion yen. As a result of this and other factors, profit before income taxes and profit attributable to owners of the parent decreased.
Results of operations in the first six months of the fiscal year under review are as shown below.
Revenue 151,074 million yen (up 5.7% year on year) Operating profit 30,815 million yen (up 1.2% year on year) Profit before income taxes 30,943 million yen (down 41.5% year on year) Profit attributable to owners of the parent 20,665 million yen (down 52.3% year on year)
Results of operations by segment are as shown below.
In the first three months of the fiscal year under review, we revised the business segments disclosed as reportable segments. Specifically, the previously reported segments—“Relocation Business,” “Fringe Benefit Business,” and “Tourism Business”— have been reclassified into “Outsourcing Business,” “Residential Property Management Business,” and “Tourism Business.” Comparisons and analyses with the consolidated cumulative period of the previous third quarter are based on the revised segment classifications.
(i) Outsourcing Business
In this business, we provide outsourcing services in the BtoB area through the Fringe Benefit Business, Leased Corporate Housing Management Business and Global Relocation Support Business. In the Fringe Benefit Business, we offer employee benefit-related services, including a support menu and extra privileges to employee members of client companies in order to contribute to reducing companies’ operational burdens and costs. We also provide emergency home care services as part of comprehensive support to livelihood of employee members of client companies. In the Leased Corporate Housing Management Business, we provide mainstay leased corporate housing management as well as housing relocation assistance through real estate searches and house sitting. In the Global Relocation Support Business, we provide comprehensive services to mainly assist employees of Japanese companies on overseas assignments from before their departure for locations of assignments until their return to Japan.
In the fiscal year under review, both revenue and profit increased, chiefly reflecting an increase in membership fees due to new members in our employee benefit-related services, a rise in management fee income after year-on-year growth in the stock of units under management in the Leased Corporate Housing Management Business, and a hike in the number of cases using housing relocation assistance through real estate search and other means.
As a result, the Relocation Business recorded revenue of 80,769 million yen (up 8.8% year on year) and operating profit of 22,899 million yen (up 3.4%).
-
2 -
-
(ii) Residential Property Management Business
This business provides services centering on lease property management for real estate owners under the brand of Relo no Chintai. We offer an extensive range of one-stop services associated with management, including lease property brokerage, repairs and renovation. Using our nationwide network, we offer a great deal of information and a wide range of services. In the fiscal year year under review, revenue increased year-on-year, supported by a rise in the number of lease units under management and a steady accumulation of stock-based income; however, profit declined mainly due to higher personnel expenses associated with strategic investments in human capital.
As a result, the Fringe Benefit Business recorded revenue of 52,956 million yen (up 2.3% year on year) and operating profit of 8,012 million yen (down 1.9%).
(iii) Tourism Business
In Tourism Business, we conduct a hotel operation business and vacation home time-share business, utilizing the membership base in Fringe Benefit Business and management know-how concerning company rest houses and small to midsize hotels and inns in rural areas. We also work on the renewal of hotels and inns which have difficulty in finding successors. In the fiscal year under review, revenue rose, supported by a steady hotel occupancy rate and contributions from newly opened facilities, while profit also increased, supported by higher utilization fee income from the vacation home timeshare business. As a result, Tourism Business recorded revenue of 16,399 million yen (up 4.0% year on year) and operating profit of 4,344 million yen (up 3.5%).
(v) Other Business
In this segment, we operate financial business, etc., leveraging the core business frameworks. As a result, Other Business recorded revenue of 948 million yen (down 17.8% year on year) and an operating loss of 206 million yen (compared to an operating loss of 166 million yen a year ago).
(2) Management Discussion of Financial Condition
Total assets as of the end of this fiscal year under review came to 324,288 million yen, an increase of 21,111 million yen compared to the end of the previous fiscal year.
Total liabilities amounted to 237,709 million yen, an increase of 5,045 million yen compared to the end of the previous fiscal year.
Total equity came to 86,579 million yen, an increase of 16,066 million yen compared to the end of the previous fiscal year.
(3) Management Discussion of Cash Flows
Cash and cash equivalents at the fiscal year under review came to 63,398 million yen, a decline of 623 million yen compared to the end of the previous fiscal year.
The status of cash flows during the current consolidated fiscal year is as follows.
(Cash flows from operating activities)
Net cash provided by operating activities amounted to 22,541 million yen (down 3,406 million yen year-on-year). The main factors were profit before taxes of 30,943 million yen and depreciation and amortization of 18,708 million yen,while it recorded 9,486 million yen income tax paid.
(Cash flows from investing activities)
Net cash used in investing activities amounted to 8,870 million yen in the fiscal year , compared with net cash provided by investing activities of 30,000 million yen in the same period of the previous fiscal year. The main factor were 7,748 million yen from purchase of investment property and purchase of property plant and equipment of 4,754 million yen.
(Cash flows from financing activities)
Net cash used in financing activities amounted to 14,948 million yen (down 26,334 million yen year on year) in the fiscal year. The main factors were repayments of long-term borrowings of 8,020 million yen and dividends paid of 6,283 million yen.
- 3 -
(4) Future Outlook
Outlook for the next fiscal year (from April 1, 2026 to March 31, 2027)
With a view to becoming a troubleshooting company needed for Japan’s major changes, the Company formulated and kicked off a medium-term management plan that started in the fiscal year ending March 31, 2026, titled the Fourth Olympic Plan. For the B2B-based Outsourcing Business, the plan envisions enlarging the support for Japanese companies in productivity enhancement and global expansion in a situation where the workforce shortage aggravates. For the Property Management Business and the Tourism Business, the plan states that the Group will serve as the foundation for the two B2C industries to support regional revitalization and respond to growing demand from inbound tourists.
For the next fiscal year, the Group will endeavor to increase employees members in the Fringe Benefit Business and units under management in the Leased Corporate Housing Management Business and in the Property Management Business. It will also work to expand the stock base including the units under management in the Property Management Business and to boost revenue in the Global Relocation Support Business and in the Tourism Business. Revenue is forecast at 165,000 million yen , operating profit at 34,000 million yen , profit before income taxes at 33,600 million yen and profit attributable to owners of parent at 22,500 million yen.
Against this backdrop, having set ROE as an important financial target in its Medium-Term Management Plan “The Fourth Olympic Plan” (April 2025-March 2029), the Company has now decided to raise the previous ROE target of 20% or more and to target an ROE of between 25% and 30%, with a view to further improving capital efficiency. In light of this, as part of capital policy measures to improve ROE, the Company decided to seek further enhancement of shareholder returns and to raise the dividend payout ratio to 50% while also newly introducing a policy of targeting a total return ratio, including share buybacks, of 60%. Furthermore, from the viewpoint of expanding opportunities to return profits to shareholders and distributing profits more consistently, the Company shall commit to a progressive dividend policy as well as to the distribution of dividends twice a year, with a newly introduced interim dividend as well as the year-end dividend.
2. Basic Approach to the Selection of Accounting Standards
Starting in the first three months of the fiscal year ended March 31, 2022, the Group adopted IFRS for the purpose of strengthen management foundation for full-scale global expansion and improving comparability of the company’s financial information in the world’s capital markets.
- 4 -
3. Consolidated Financial Statements
(1) Consolidated Statements of Financial Position
(Millions of yen)
| As of March 31, 2025 | As of March 31, 2026 | |
|---|---|---|
| Assets | ||
| Current assets | ||
| Cash and cash equivalents | 64,021 | 63,398 |
| Trade and other receivables | 89,196 | 101,215 |
| Inventories | 7,322 | 9,057 |
| Other financial assets | 2,209 | 1,672 |
| Other current assets | 4,295 | 5,001 |
| Total current assets | 167,045 | 180,345 |
| Non-current assets | ||
| Property, plant and equipment | 17,203 | 19,798 |
| Right-of-use assets | 34,896 | 34,617 |
| Goodwill | 16,657 | 17,088 |
| Intangible assets | 9,548 | 9,454 |
| Investment property | 19,769 | 22,360 |
| Investments accounted for using equity method | 976 | 2,317 |
| Other financial assets | 24,462 | 26,216 |
| Deferred tax assets | 11,621 | 10,928 |
| Other non-current assets | 995 | 1,160 |
| Total non-current assets | 136,131 | 143,943 |
| Total assets | 303,176 | 324,288 |
- 5 -
(Millions of yen)
| As of March 31, 2025 As of March 31, 2026 |
|
|---|---|
| Liabilities and equity | |
| Liabilities | |
| Current liabilities | |
| Trade and other payables | 65,985 74,687 |
| Bonds and borrowings | 12,084 12,088 |
| Lease liabilities | 9,832 10,300 |
| Income taxes payable | 4,925 4,673 |
| Contract liabilities | 8,732 9,704 |
| Other financial liabilities | 19,619 19,480 |
| Provisions | 377 436 |
| Other current liabilities | 5,223 5,275 |
| Total current liabilities | 126,778 136,647 |
| Non-current liabilities | |
| Bonds and borrowings | 43,151 38,547 |
| Lease liabilities | 22,865 21,833 |
| Contract liabilities | 17,151 16,152 |
| Other financial liabilities | 11,178 12,004 |
| Provisions | 9,547 10,610 |
| Deferred tax liabilities | 1,196 1,091 |
| Other non-current liabilities | 794 820 |
| Total non-current liabilities | 105,884 101,061 |
| Total liabilities | 232,663 237,709 |
| Equity | |
| Share capital | 2,667 2,667 |
| Capital surplus | 555 257 |
| Retained earnings | 63,010 77,418 |
| Treasury shares | (5,551) (2,533) |
| Other components of equity | 7,517 6,759 |
| Total equity attributable to owners of parent | 68,198 84,568 |
| Non-controlling interests | 2,314 2,010 |
| Total equity | 70,512 86,579 |
| Total liabilities and equity | 303,176 324,288 |
- 6 -
(2) Consolidated Statements of Income and Consolidated Statement of Comprehensive Income
Consolidated Statements of Income
| (Millions of yen) | ||
|---|---|---|
| Year ended March 31, 2025 |
Year ended March 31, 2026 |
|
| Revenue | 142,908 | 151,074 |
| Cost of sales | 76,600 | 80,768 |
| Gross profit | 66,308 | 70,306 |
| Selling, general and administrative expenses | 39,894 | 42,759 |
| Other income | 4,509 | 3,644 |
| Other expenses | 485 | 375 |
| Operating profit | 30,437 | 30,815 |
| Finance income | 541 | 719 |
| Finance costs | 496 | 781 |
| Share of profit of investments accounted for using equity method | 3,656 | 190 |
| Gain on sale of investemets accounted for using equity method | 18,724 | - |
| Profit before tax | 52,863 | 30,943 |
| Income tax expense | 9,063 | 9,913 |
| Profit | 43,800 | 21,030 |
| Profit attributable to | ||
| Owners of parent | 43,317 | 20,665 |
| Non-controlling interests | 483 | 365 |
| Profit | 43,800 | 21,030 |
| Earnings per share | ||
| Basic earnings per share (Yen) | 286.85 | 137.11 |
| Diluted earnings per share (Yen) | 272.03 | 130.48 |
- 7 -
Consolidated Statement of Comprehensive Income
| (Millions of yen) | ||
|---|---|---|
| Year ended March 31, 2025 |
Year ended March 31, 2026 |
|
| Profit | 43,800 | 21,030 |
| Other comprehensive income | ||
| Items that will not be reclassified to profit or loss | ||
| Net change in fair value of financial assets measured through other comprehensive income |
(145) | (245) |
| Share of other comprehensive income of investments accounted for using the equity method |
(16) | - |
| Total | (162) | (245) |
| Items that may be reclassified to profit or loss | ||
| Exchange differences on translation of foreign operations | (2,293) | 1,111 |
| Share of other comprehensive income of investments accounted for using equity method |
(254) | (4) |
| Total | (2,547) | 1,107 |
| Other comprehensive income | (2,710) | 861 |
| Comprehensive income | 41,089 | 21,892 |
| Comprehensive income attributable to: | ||
| Owners of parent | 40,614 | 21,515 |
| Non-controlling interests | 474 | 377 |
| Comprehensive income | 41,089 | 21,892 |
- 8 -
(3) Consolidated Statements of Changes in Equity
(From April 1, 2024 to March 31, 2025)
(Millions of yen)
| Equity at | tributable to | owners of t | he parent | |||||
|---|---|---|---|---|---|---|---|---|
| Non- |
Total | |||||||
| Share capital |
Capital surplus |
Retained earnings |
Treasury shares |
Other components of equity |
Total | controlling interests |
equity | |
| Balance at April 1, 2024 |
2,667 | 552 | 25,314 | (51) | 10,142 | 38,624 | 1,726 | 40,350 |
| Profit | - |
- |
43,317 | - |
- |
43,317 | 483 | 43,800 |
| Other comprehensive income | - |
- |
- |
- |
(2,702) | (2,702) | (8) | (2,710) |
| Total comprehensive income |
- |
- |
43,317 | - |
(2,702) | 40,614 | 474 | 41,089 |
| Purchase of treasury shares | - |
- |
- |
(5,499) | - |
(5,499) | - |
(5,499) |
| Dividends | - |
- |
(5,655) | - |
- |
(5,655) | (70) | (5,726) |
| Share-based payment transactions |
- |
227 | - |
- |
118 | 346 | - |
346 |
| Changes in ownership interest in subsidiaries |
- |
(176) | - |
- |
(0) | (176) | 176 | - |
| Other | - |
(47) | 34 | - |
(42) | (54) | 7 | (47) |
| Total transactions with owners of theparent, etc. |
- |
3 | (5,620) | (5,499) | 76 | (11,040) | 113 | (10,926) |
| Balance at March 31, 2025 |
2,667 | 555 | 63,010 | (5,551) | 7,517 | 68,198 | 2,314 | 70,512 |
(From April 1, 2025 to March 31, 2026)
(Millions of yen)
| Equity at | tributable to | owners of t | he parent | |||||
|---|---|---|---|---|---|---|---|---|
| Non- |
Total | |||||||
| Share capital |
Capital surplus |
Retained earnings |
Treasury shares |
Other components of equity |
Total | controlling interests |
equity | |
| Balance at April 1, 2025 |
2,667 | 555 | 63,010 | (5,551) | 7,517 | 68,198 | 2,314 | 70,512 |
| Profit | - |
- |
20,665 | - |
- |
20,665 | 365 | 21,030 |
| Other comprehensive income | - |
- |
- |
- |
849 | 849 | 11 | 861 |
| Total comprehensive income |
- |
- |
20,665 | - |
849 | 21,515 | 377 | 21,892 |
| Disposal of treasury shares | - |
(1,211) | - |
3,017 | (1,805) | 1 | - |
1 |
| Dividends | - |
- |
(6,287) | - |
- |
(6,287) | (81) | (6,368) |
| Share-based payment transactions |
- |
305 | - |
- |
237 | 542 | - |
542 |
| Changes in ownership interest in subsidiaries |
- |
607 | - |
- |
8 | 616 | (617) | (1) |
| Other | - |
- |
29 | - |
(47) | (17) | 18 | 0 |
| Total transactions with owners of theparent, etc. |
- |
(298) | (6,257) | 3,017 | (1,607) | (5,144) | (681) | (5,825) |
| Balance at March 31, 2026 |
2,667 | 257 | 77,418 | (2,533) | 6,759 | 84,568 | 2,010 | 86,579 |
- 9 -
(4) Consolidated Cash Flow Statements
| (Millions of yen) | ||
|---|---|---|
| Year ended March 31, 2025 |
Year ended March 31, 2026 |
|
| Cash flows from operating activities | ||
| Profit before tax | 52,863 | 30,943 |
| Depreciation and amortization | 17,348 | 18,708 |
| Finance income and finance costs |
211 | 232 |
| Share of loss (profit) of investments accounted for using equity method |
(3,656) | (190) |
| Gain on sale of investemets accounted for using equity method | (18,724) | - |
| Loss (gain) on sale of fixed assets | (3,024) | (2,666) |
| Decrease (increase) in inventories | (342) | (1,734) |
| Decrease (increase) in trade and other receivables | (6,361) | (11,120) |
| Increase (decrease) in trade and other payables | 4,480 | 8,699 |
| Decrease in lease liabilities | (8,805) | (9,136) |
| Other | (2,452) | (1,571) |
| Subtotal | 31,537 | 32,163 |
| Interest and dividends received | 604 | 412 |
| Interest paid | (443) | (548) |
| Income taxes paid | (5,750) | (9,486) |
| Net cash provided by (used in) operating activities | 25,947 | 22,541 |
| Cash flows from investing activities | ||
| Purchase of property, plant and equipment | (4,068) | (4,754) |
| Proceeds from sale of property, plant and equipment | 2,177 | 2,263 |
| Purchase of intangible assets | (2,053) | (2,294) |
| Purchase of investment property | (6,762) | (7,748) |
| Proceeds from sale of investment property | 8,446 | 5,985 |
| Purchase of investment securities | (398) | (71) |
| Proceeds from sale of investment securities | 38 | 159 |
| Payments for acquisition of subsidiaries | (56) | (263) |
| Payments for loans receivable | (3) | (710) |
| Proceeds from sale of investments accounted for using equity method |
33,229 | - |
| Other | (549) | (1,435) |
| Net cash provided by (used in) investing activities | 30,000 | (8,870) |
| Cash flows from financing activities | ||
| Net increase (decrease) in short-term borrowings | (21,402) | 1,303 |
| Proceeds from long-term borrowings | 5,934 | 1,848 |
| Repayments of long-term borrowings | (11,833) | (8,020) |
| Purchase of treasury shares | (5,499) | - |
| Proceeds from sale of treasury shares | - |
1 |
| Dividends paid | (5,653) | (6,283) |
| Dividends paid to non-controlling interests | (66) | (81) |
| Other | (2,760) | (3,715) |
| Net cash provided by (used in) financing activities | (41,283) | (14,948) |
| Effect of exchange rate changes on cash and cash equivalents | (128) | 654 |
| Net increase (decrease) in cash and cash equivalents | 14,536 | (623) |
| Cash and cash equivalents at beginning of period | 49,484 | 64,021 |
| Cash and cash equivalents at end of period | 64,021 | 63,398 |
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10 -
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(5) Notes to Consolidated Financial Statements
(Notes on assumptions for going concern)
Not applicable
(Segment information)
(1) Outline of reportable segments
The Company’s reportable segments are those units of the Company for which separate financial information is available and for which the Board of Directors regularly conducts a review for the purpose of making decisions on the allocation of managerial resources to the segments and assessing the segments’ performance.
The Group is engaged in outsourcing services related to employee benefits for companies, spanning both housing and leisure / lifestyle support areas, as its core business, as well as the lease management business and hotel management business, leveraging the operating base of the core business.
An outline of each business segment is as described below.
Outsourcing Business : Benefit outsourcing services, Customer retention outsourcing services, Emergency home care services, Total outsourcing services by subleasing leased corporate housing, Supports for overseas assignment, Supports for Return, Expatriate Regulations Consulting, etc. Residential Property Residential Property Management, Repair and Maintenance, Real Estate Brokerage, Real Management Business : Estate Sales, etc. Tourism Business : Vacation home timeshare business, Hotel operation business, etc.
- (2) Information of reportable segments
Profit by reportable segment is based on operating profit. Intersegment sales and transfers are based on prevailing market prices.
During the fiscal year under review, with a view to becoming a troubleshooting company needed for Japan’s major changes, the Company formulated and kicked off a medium-term management plan that started in the fiscal year ending March 31, 2026, titled the Fourth Olympic Plan. In the BtoB-based Outsourcing Business, we will help Japanese businesses through increased productivity and the enrichment of fringe benefits at a time when workforce shortages are becoming more serious. In the BtoC-based Property Management Business and Tourism Business, we will support regional revitalization and respond to growing demand from inbound tourists. We will also provide support for business succession.
Accordingly, we reorganized our business management structure for the purpose of generating synergy between different businesses and increasing efficiency in the allocation of management resources such as system investments. Formerly, our reportable segments were the Relocation Business, Fringe Benefit Business and Tourism Business. Starting from the first three months of the fiscal year under review, the new composition of reportable segments, namely the Outsourcing Business, Property Management Business and Tourism Business, applies.
The segment information for the previous fiscal year reflects the change based on the new composition of reportable segments.
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Fiscal year ended March 31, 2025 (From April 1, 2024 to March 31, 2025)
(Millions of yen)
| Business s | egment | |||
|---|---|---|---|---|
| Outsourcing Business | Residential Property Management Business |
Tourism Business | Subtotal | |
| Revenue | ||||
| Revenue from external customers |
74,222 | 51,759 | 15,771 | 141,753 |
| Intersegment revenue | 454 | 280 | 73 | 807 |
| Total | 74,676 | 52,039 | 15,844 | 142,561 |
| Segment profit (loss) | 22,154 | 8,166 | 4,197 | 34,517 |
| Other (Note 1) |
Total | Adjustments (Note 2) |
Consolidated Statement of Profit or Loss |
|
| Revenue | ||||
| Revenue from external customers |
1,154 | 142,908 | - |
142,908 |
| Intersegment revenue | 213 | 1,021 | (1,021) | - |
| Total | 1,368 | 143,930 | (1,021) | 142,908 |
| Segment profit (loss) | △166 |
34,351 | (3,913) | 30,437 |
(Note) 1. Other Business is a business segment that is not included in the reportable segments and includes financial business.
-
Intersegment revenue and the segment profit (loss) adjustment is the result of elimination of intersegment transactions.
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Fiscal year ended March 31, 2026 (From April 1, 2025 to March 31, 2026)
(Millions of yen)
| Business s | egment | |||
|---|---|---|---|---|
| Outsourcing Business | Residential Property Management Business |
Tourism Business | Subtotal | |
| Revenue | ||||
| Revenue from external customers |
80,769 | 52,956 | 16,399 | 150,126 |
| Intersegment revenue | 509 | 377 | 76 | 963 |
| Total | 81,278 | 53,333 | 16,476 | 151,089 |
| Segment profit (loss) | 22,899 | 8,012 | 4,344 | 35,256 |
| Other (Note 1) |
Total | Adjustments (Note 2) |
Consolidated Statement of Profit or Loss |
|
| Revenue | ||||
| Revenue from external customers |
948 | 151,074 | - |
151,074 |
| Intersegment revenue | 234 | 1,197 | (1,197) | - |
| Total | 1,183 | 152,272 | (1,197) | 151,074 |
| Segment profit (loss) | (206) | 35,049 | (4,234) | 30,815 |
(Note) 1. Other Business is a business segment that is not included in the reportable segments and includes financial business.
- Intersegment revenue and the segment profit (loss) adjustment is the result of elimination of intersegment transactions.
Reconciliation from operating profit to profit before tax
| (Millions of yen) | ||
|---|---|---|
| Year ended March 31, 2025 | Year ended March 31, 2026 | |
| Operating profit | 30,437 | 30,815 |
| Finance income | 541 | 719 |
| Finance costs | 496 | 781 |
| Share of profit of investments accounted for using equity method |
3,656 | 190 |
| Gain on sale of investemets accounted for using equity method |
18,724 | - |
| Profit before income taxes | 52,863 | 30,943 |
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(Earnings per share)
(1) The basis for calculating basic earnings per share
The basic for calculating basic earnings per share is as follows.
(Millions of yen)
| Year ended March 31,2025 | Year ended March 31, 2026 | |
|---|---|---|
| Profit attributable to | ||
| ordinary equity holders of parent | ||
| Profit attributable to owners of parent | 43,317 | 20,665 |
| Profit not attributable to ordinary equity holders of parent |
- |
- |
| Profit used for calculating basic earnings per share |
43,317 | 20,665 |
| Weighted-average number of ordinary shares outstanding | 151,008,807 | 150,724,008 |
| Basic earnings per share | 286.85 | 137.11 |
(2) The basis for calculating diluted earnings per share is as follows.
The basis for calculating diluted earnings per share
(Millions of yen)
| Year ended March 31,2025 Year ended March 31, 2026 |
|
|---|---|
| Diluted profit attributable to | |
| ordinary equity holders of parent | |
| Profit used for calculating basic earnings per share |
43,317 20,665 |
| Adjustments to profit | 24 24 |
| Profit used for calculating diluted earnings per share |
43,341 20,689 |
| Weighted-average number of ordinary shares outstanding | 151,008,807 150,724,008 |
| Diluted effect | |
| Stock options | 1,523,125 999,212 |
| Proceeds from issuance of convertible bonds with stock acquisition rights |
6,795,686 6,842,997 |
| Weighted - average shares- diluted | 159,327,618 158,566,217 |
| Diluted earnings per share | 272.03 130.48 |
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(Significant subsequent events)
Relo Group, Inc. (the “Company”) hereby announces that a resolution was passed at a meeting of the Board of Directors held on May 14, 2026 regarding the purchase of Zero Coupon Convertible Bonds due in 2027 (the “Bonds”) issued by the Company. The Company plans to cancel the Bonds so purchased. If any of the Bonds remain after the said cancellation and their total face value amount falls below 10% of the total face value amount of the Bonds at the time they were issued, the Company plans to redeem all of those Bonds at 100% of the total face value early pursuant to the clean-up clause stipulated in the conditions of the Bonds.
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