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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
  • 10 -

  • (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.

  • 11 -

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.

  1. Intersegment revenue and the segment profit (loss) adjustment is the result of elimination of intersegment transactions.

  2. 12 -

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.

  1. 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
  • 13 -

(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
  • 14 -

(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.

  • 15 -