Es-con Japan Ltd. · TSE:8892
Es-con Japan — FY3/2025 Earnings Presentation
34 slides from Es-con Japan's earnings presentation, May 19, 2025
Slide 1: Financial Results for Fiscal Year Ended March 2025
Financial Results for Fiscal Year Ended March 2025 ES-CON JAPAN Ltd. (TSE Prime: 8892) May 19, 2025
Slide 2: Table of Contents
Table of Contents Financial Results for Fiscal Year Ended March 2025 Sustainability Topics Summary of Topics P. 2 Envirometnally-Friendly Real Estate Development P. 27 About the Company’s New Name P. 3 Organizational Restructuring to Strengthen the P. 28 Synergies within the Chubu Electric
Slide 3: Summary of Topics for FY3/2025
Summary of Topics for FY3/2025 New company name finalized (see p. 3) ES-CON JAPAN has decided to change its Japanese trade name from "Nihon ES-CON" to "ES CON“. Strengthening synergies within Chubu Electric Power Group (see p. 4) Acquired two large urban development sites in the Chubu area. Chub
Slide 4: About the Company’s New Name
About the Company’s New Name Marking an important milestone, our 30th anniversary, we plan to change our Japanese trade name from Nihon ES-CON to ES-CON. The goal is to further strengthen the Company’s brand and enhance societal trust.* 株式会社日本エスコン 株式会社エスコン (in English: ES-CON Japan Ltd.) (in English
Slide 5: Synergies within the Chubu Electric Group
Synergies within the Chubu Electric Group We will generate additional synergies within the Chubu Electric Group in various ways, including acquiring land for major urban developments in the Chubu area and personnel exchange with Chubu Electric Power Business development in the Chubu area (major urba
Slide 6: FY3/2025 Profit and Loss Statement
FY3/2025 Profit and Loss Statement Profits at every stage exceeded initial plans, setting a new record high Achieved real growth in revenue and profit compared to the previous 15- month fiscal period (Unit: million yen) 12-month period 15-month period FY3/2025 Full Term FY3/2024 Full Term (April 1,
Slide 7: FY3/2025 Segment Overview
FY3/2025 Segment Overview Effective increases in revenue and profit compared to the previous 15-month period in segments excluding Other Business Sales 113,603 million yen Segment profit 30,595 million yen 1,645 million yen 1,020 million yen Share 1.4% 997 million yen 319 million yen Share 0.9% Shar
Slide 8: FY3/2025 Results by Segment
FY3/2025 Results by Segment Condominium business Pivoting on major projects like Le JADE City Senri Fujishirodai South/East Residence (244 units total) and Le JADE Shin-Omura Station Front/Parkside (191 units total), we were able to absorb increased construction costs and steadily secure profits. (U
Slide 9: FY3/2025 Results by Segment
FY3/2025 Results by Segment Condominium business Percentage of net sales by area Development of large urban development sites contributes to sales in FY3/25 and profits. (Condominiums) Le JADE City Senri Fujishirodai Le JADE Shin-Omura East/South Residence Station Front/Parkside (Suita City, Osaka P
Slide 10: FY3/2025 Results by Segment
FY3/2025 Results by Segment Real estate development business Sold various assets, including logistics facilities, commercial facilities, office buildings, hotels, and rental residences. Sales of LOGITRES Narashino Shibazono, ESCON Kudankita Building, and tonarie Hoshida, etc. made a contribution as
Slide 11: FY3/2025 Results by Segment
FY3/2025 Results by Segment Real estate leasing business Asset management business Other business Real estate leasing business: Shijo Omiya Building, which became a subsidiary in July 2023, operated for the full year, with sales and profits exceeding the previous term (15 months). Asset management b
Slide 12: FY3/2025 Balance Sheet
FY3/2025 Balance Sheet Increase in real estate for sale in process mainly due to the acquisition of sites in Kariya City and Toyota City, Aichi Prefecture While the equity ratio declined due to the acquisition of major properties, purchases proceeded at a pace exceeding plans. Overseas investm
Slide 13: Shareholder Returns
Shareholder Returns FY3/2025: Dividend of 48 yen Effective increase from previous term (15-month period) Maintain progressive dividend policy 60 yen Make the previous year’s dividend per share (DPS) the lower limit of the dividend per share (DPS) and in principle we have a dividend 130.0% policy of
Slide 14: Progress on 5th Medium-Term Management Plan
Progress on 5th Medium-Term Management Plan
Slide 15: Financial Results Plan
Financial Results Plan Condominium sales and sales of properties in the real estate development business proceeded smoothly in FY3/2025. Operating profits exceeded the targets set in initial plans. Consolidated operating profit forecasts for FY3/2026 and FY3/2027 were upwardly revised. (Unit: 100
Slide 16: Investment Plan
Investment Plan FY3/2025 investment plan made steady progress Investment plans for FY3/2026 and FY3/2027 have been partially changed, but there is no change in the planned figure for gross investment amount on a three-year cumulative basis. (Unit: 100 million yen) FY3/25 FY3/26 FY3/27 Three-year c
Slide 17: Management Targets
Management Targets NS Capital efficiency indicators exceeded plans thanks to higher than projected profits. Overall, safety indicators met the figures targeted in the plans. FY3/25 FY3/26 FY3/27 Actual Plan Achievement rate Plan Plan Stock revenue ratio*2 26.2% 30.4% -4.2% 28.2% 30.0% Stock revenue
Slide 18: Management Based on an Awareness of Capital Costs and Stock Price
Management Based on an Awareness of Capital Costs and Stock Price Currently continuing initiatives targeting sustained growth Indicators of emphasis ROE>Shareholder equity costs Shareholder equity costs (Around 2.5%) ROIC>WACC FY3/24 FY3/25 FY3/26 (planned) FY3/27 (planned) Basic approach and initia
Slide 19: Progress on Long-Term Vision 2030
Progress on Long-Term Vision 2030
Slide 20: Overview of Long-Term Vision 2030
Overview of Long-Term Vision 2030 Currently promoting various initiatives to move toward Deepening and Evolution by fiscal 2030 Deepening Evolution Priority themes for business strategy 1 3 1 4 Further Diversificiation Challenge of new Profit growth Further growth stabilizing the of development busi
Slide 21: Financial Results Trends
Financial Results Trends Continuation of consistent revenue growth since the 1st Medium-Term Management Plan Efforts to strengthen corporate value steadily under Long-Term Vision 2030 will continue. (Unit: 100 million yen) Toward Sales Ordinary income 1 trillion yen in 4,252 real estate Real estate
Slide 22: Topics
Topics ES CON JAPAN $i
Slide 23: JR Kitahiroshima Station West Area Vitalization Project
JR Kitahiroshima Station West Area Vitalization Project The first stage is now open. In a place connected by pedestrian decks from JR Kitahiroshima Station, a mixed-use facility intended to encourage interactions is now open, which comprises the commercial facility tonarie Kitahiroshima and ES CON F
Slide 24: Development of High-End Residences
Development of High-End Residences Continuing to provide high value-added products that take full advantage of the site and its characteristics Handover completed Scheduled handover SEVENS VILLA Karuizawa Sept. 2023 Grand Le JADE Mishukudori March 2026 Residences seamlessly integrated with Karuizawa
Slide 25: Further Stability of the Earnings Structure
Further Stability of the Earnings Structure Shiba Real Estate Inc. becomes subsidiary in April 2025. A portion of the real estate business of Mitsubishi Chemical Corporation and its subsidiary DIA RIX CORPORATION was spun off and absorbed by a new company, Shiba Real Estate, Inc. (established Januar
Slide 26: Expanding Development Types and Areas
Expanding Development Types and Areas Three properties acquired from ESCON JAPAN REIT Overseas business development Investment Corporation, plus one property sold We launched sales and marketing activities for the Ālia luxury We acquired two land sites and one commercial facility from EJR. In each c
Slide 27: Sustainability Topics
Sustainability Topics ES CON JAPAN $i
Slide 28: Environmentally-Friendly Real Estate Development
<Environment> Envirometnally-Friendly Real Estate Development Promoting a carbon zero society Promoting the development of ZEH condominiums ZEH condominiums: certifications acquired and plans (Unit: Buildings) FY12/2021 FY12/2022 FY3/2024 FY3/2025 FY3/2026 (Actual) (Actual) (Actual) (Actual) (Plan
Slide 29: Organizational Restructuring to Strengthen the Compliance/Sustainability Management System
<Governance> Organizational Restructuring to Strengthen the Compliance/Sustainability Management System Compliance Office reorganized into the Compliance Department The Compliance Office, established directly under the president in 2022, was reorganized into the Compliance Department. The workfo
Slide 30: Hiring Diverse Human Resources and Promoting Their Participation and Advancement
<Society> Hiring Diverse Human Resources and Promoting Their Participation and Advancement Initiatives to strengthen employee productivity and job satisfaction We conducted an engagement survey (satisfaction survey) of all employees in May 2024. Based on the results, we established a Feedback Bo
Slide 31: Initiatives for Local Communities (Kitahiroshima City, Hokkaido)
<Society> Initiatives for Local Communities (Kitahiroshima City, Hokkaido) Corporate Hometown Tax (Furusato nozei) program We’ve donated on a continuing basis since 2022 to contribute to the further development of Kitahiroshima City, Hokkaido. Drawing on the Corporate Hometown Tax program in FY2024,
Slide 32: Sustainability Management
Sustainability Management We will carry out various initiatives taking the achievement targets tied to materiality as a guideline. Achievemen Materiality (key issue) Achievement target FY3/2025 (Progress) FY3/2024 (Actual) t fiscal year Each fiscal Female hiring ratio of 35% of higher 30.8% 48% year
Slide 33: Inquiries related to IR
Inquiries related to IR IR Office, Management Planning Division Kimura, Tokunaga, Saito, Takakura TEL: +81-3-6230-9415 Email: ir@escon.jp Press release distribution service Register here While very effort has been made to ensure the quality of the information provided in this document, no guarantees
Slide 34: IDEAL to REAL
IDEAL to REAL