Tobu Railway Co., Ltd.TSE: 9001

2Q FY2024 Financial Results Briefing

Nov 29, 2024 at 1:19 AM UTC · Issued by Tobu Railway Co., Ltd.

2Q FY2024

Financial Results Briefing

November 15, 2024

TOBU RAILWAY CO., LTD.

Table of Contents

Ⅰ . Financial Summary

Ｐ02

Ⅱ. 2Q FY2024 Business Results

Ｐ04

Ⅲ. FY2024 Full Year Forecast

Ｐ14

Ⅳ. Achievement of Long-Term

P 22

Management Vision and Promotion of

Medium-Term Business Plan

I． Financial Summary

2Q FY2024 Business Results

Operating revenues

Operating profit / Ordinary profit

Profit attributable to owners of parent

Despite a decrease in commission income from the Travel Business, operating revenues came to ¥301.9 billion with increased demand in Japan and overseas in the Railway Business, Hotels Business, and SKYTREE Business

(down 2.1% YoY, 47.3% progress against full-year forecast)

Operating profit fell to ¥38.4 billion due to decreased operating revenues (down 1.6% YoY, 56.6% progress against full-year forecast)

Ordinary profit fell to ¥37.3 billion (down 2.2% YoY, 57.5% progress against full- year forecast)

Profit attributable to owners of parent fell to ¥25.3 billion (down 3.9% YoY, 52.2% progress against full-year forecast)

Operating profit / ordinary profit / profit attributable to owners of parent at second highest level after previous year

Progress against full-year forecast is compared to FY2024 full-year forecast on p. 3.
See pp. 9-13 for details by segment.

I． Financial Summary

FY2024 Full-Year Forecast

Operating revenues

Operating profit

Ordinary profit

Despite an anticipated drop in group travel income in the Travel Business, operating revenues are forecast at ¥639.0 billion due to the Railway Business, Hotels Business, and Department Stores Business being expected to exceed initial forecasts (±0.0% compared to previously announced forecast)

Up due mainly to increased operating revenues in the Railway Business, Hotels Business, and Department Stores Business

Operating profit expected to be ¥68.0 billion (+9.7% compared to previously announced forecast)

Ordinary profit expected to be ¥65.0 billion (+12.1% compared to previously announced forecast)

Profit attributable to owners of parent

Dividend amount

Up due mainly to increased gain on sales of investment securities

Expected to be ¥48.5 billion, a record high for the second consecutive year, exceeding the previous fiscal year

(+12.8% compared to previously announced forecast)

Annual dividend to be increased to ¥55 (+¥5 compared to previously announced forecast) with increase in income

Interim: ¥25.00 →¥27.50

Year-end: ¥25.00 →¥27.50 (Forecast)

* See pp. 17-21 for details by segment.

Ⅱ．2Q FY2024 Business Results ― Subsidiaries・Affiliates

Subsidiaries	March	Increase	Decrease	September	Notes
	2024			2024
Transportation	27	－	－	27

Leisure	15	－	－	15

Real Estate	3	－	－	3
Retail Distribution	8	－	－	8

Other	15	－	－	15

Total	68	－	－	68


Affiliates	March	Increase	Decrease	September	Notes
	2024			2024
Transportation	1	－	－	1

Leisure	2	－	－	2
Real Estate	－	－	－	－

Retail Distribution	－	－	－	－

Other	－	－	－	－

Total	3	－	－	3

Ⅱ．2Q FY2024 Business Results	― Semi-annual Consolidated statement of income

Unit: Millions of yen	2Q FY2024	2Q FY2023	Change	Notes
	Results	Results


				Transportation	＋4,354
Operating revenues	301,996	308,582	▲6,586	Leisure	▲10,341
Real Estate	＋414
				Retail Distribution ＋1,519
				Other	＋184

				Transportation	＋2,234
Operating profit	38,478	39,087	▲609	Leisure	▲4,742
Real Estate	＋912
				Retail Distribution	＋870
				Other	＋440

Ordinary profit	37,374	38,200	▲826

Extraordinary income	704	627	77

Extraordinary losses	1,499	1,093	406

Profit attributable to	25,339	26,375	▲1,035
owners of parent

Ratio of Operating profit to Sales

Depreciation

EBITDA

Capital Expenditures

12.7%	12.7%	0.0P
26,168	25,713	454

64,646	64,801	▲154
14,458	14,574	▲116

Ⅱ．2Q FY2024 Business Results	― Segment Profit

	Unit: Millions of yen	2Q FY2024		2Q FY2023	Change
	Results		Results

Transportation	Operating revenues	107,816		103,461	4,354

Operating profit	17,878		15,643	2,234


Leisure	Operating revenues	82,038		92,380	▲10,341

Operating profit	8,447		13,189	▲4,742


Real Estate	Operating revenues	25,180		24,766	414

Operating profit	7,319		6,406	912


Retail Distribution	Operating revenues	84,387		82,868	1,519

Operating profit	2,998		2,127	870


Other	Operating revenues	38,556		38,371	184

Operating profit	2,803		2,362	440



Adjustment	Operating revenues	▲35,983	▲33,266	▲2,716
Operating profit	▲967	▲642	▲325


Total	Operating revenues	301,996		308,582	▲6,586
Operating profit	38,478		39,087	▲609

[Main Changes Related to Segment Information]

Starting from the current interim consolidated fiscal year, expenses related to TOBU POINT and the Group Business Management Department, which were previously mostly allocated to the Real Estate segment, will now be allocated to each segment. This change is detailed on pages 7-8 of the 2Q FY2024 interim financial results.

Please note that the segment information for the previous interim consolidated fiscal year has been revised retroactively.

Head Office Division Expenses

Group Business-related Expenses*

Transportation

Leisure

Real Estate

Transportation

Head Office Division Expenses

・

Leisure

Group Business-related Expenses*

Real Estate

Ⅱ．2Q FY2024 Business Results	― Semi-annual Consolidated balance sheet

Unit: Millions of yen	2Q FY2024	FY2023	Change	Notes
Results	Results

Current assets Non-current assets

172,175	168,953	3,222
1,528,223	1,535,110	▲6,886

Total assets

1,700,399

1,704,063

▲3,664

Current liabilities Non-current liabilities

411,803	386,322	25,480
748,075	776,027	▲27,952

Total liabilities

1,159,878 1,162,350 ▲2,471

Total net assets

540,521

541,713

▲1,192

Total liabilities and net assets

1,700,399 1,704,063 ▲3,664

Equity ratio Interest-bearing debt balance

31.4%	31.4%	▲0.0P
771,244	749,777	21,466

Ⅱ．2Q FY2024 Business Results	― Semi-annual Consolidated statement of cash flows

Unit: Millions of yen	2Q FY2024		2Q FY2023	Change	Notes
Results		Results

Cash flows from operating activities	38,583		35,475	3,107	Decrease in accounts payable＋994
					Expenditures for acquisition of fixed assets
Cash flows from investing activities	▲30,940		▲29,126	▲1,814
					▲800
					Increase in interest-bearing debt financing
Cash flows from financing activities	▲2,864		▲26,665	23,801
					＋44,667
Net increase in cash and	4,852		▲20,279	25,131
cash equivalents

Cash and cash equivalents
36,110		48,794	▲12,684
at end of period

Ⅱ．2Q FY2024 Business Results	― Transportation

Unit: Millions of yen	2Q FY2024		2Q FY2023	Change		Notes
Results		Results

Operating revenues	107,816		103,461	4,354

Railways	80,719		77,801	2,918
Other	27,096		25,660	1,436	Bus and taxi business	＋1,129
	＋302
					Freight business
Operating profit	17,878		15,643	2,234

Railways	15,648		13,857	1,791
Other	2,229		1,786	442	Bus and taxi business	＋589

					Freight business	▲146

Depreciation

EBITDA

Capital Expenditures

15,520	15,296	223

33,398	30,940	2,458

7,809	7,830	▲21

Tobu Railway Lines	2Q FY2024	2Q FY2023
Number of Passengers
Results	Results
(Unit: 1 Million people)


Commuter Passengers	275	270

Non-Commuter Passengers	161	154

（LimitedExpress）	3	3

Total	435	425

Tobu Railway Lines	2Q FY2024	2Q FY2023
Passenger Revenue
Results	Results
(Unit: Millions of yen)

Commuter Passengers	31,098	30,386

Non-Commuter Passengers	41,811	39,682

（LimitedExpress）	3,495	2,964

Total	72,909	70,068

Non-commuterpassenger revenue includes limited express fee and seat reservation fees.

*As stated on page 6, due to the changes made to segment information in 2Q FY2024, the FY2023 Results have been adjusted to reflect these updates.