| 指標 | 当期 | 前年同期 | YoY |
|---|---|---|---|
| 売上高 | ¥642.3B | ¥634.2B | +1.3% |
| 営業利益 | ¥41.1B | ¥30.4B | +35.0% |
| 持分法投資損益 | - | - | - |
| 経常利益 | ¥43.0B | ¥26.0B | +65.3% |
| 純利益 | ¥29.0B | ¥16.9B | +71.7% |
| ROE | 3.3% | 2.0% | - |
For the cumulative Q2 of FY2026 (Oct 2025–Mar 2026), Yokohama Reito reported Revenue of ¥642.3B (YoY +¥8.0B +1.3%), Operating Income of ¥41.1B (YoY +¥10.6B +35.0%), Ordinary Income of ¥43.0B (YoY +¥17.0B +65.3%), and Net Income attributable to owners of the parent of ¥28.5B (YoY +¥11.8B +70.5%). While topline growth was limited, gross margin improved from 12.1% to 13.7% (+1.6pt) and SG&A ratio remained largely flat at 7.3%, resulting in Operating Margin improvement from 4.8% to 6.4% (+1.6pt). At the ordinary level, foreign exchange gains of ¥4.3B (no FX gains/losses in the prior year) lifted non-operating income, causing Ordinary Income growth to exceed Operating Income growth. In extraordinary items, gain on sale of available-for-sale securities of ¥1.6B was recorded, down from ¥3.4B in the prior-year period, limiting one-off profit contribution. By segment, the Refrigerated Warehouse Business maintained high margin with Revenue ¥214.0B (+9.0%) and Operating Income ¥47.9B (+10.7%) (margin 22.4%), while the Food Sales Business had Revenue ¥438.5B (-2.5%) but Operating Income ¥14.5B (+107.4%), markedly improving margin to 3.3%. Progress against full-year guidance stood at Revenue 51.4%, Operating Income 58.7%, Ordinary Income 67.2%, exceeding the mid-year benchmark (50%), with particularly pronounced front-loading at the ordinary level.
[Revenue] Revenue was ¥642.3B (YoY +1.3%), a marginal increase. By segment, the Refrigerated Warehouse Business grew to ¥214.0B (+9.0%) while the Food Sales Business declined to ¥438.5B (-2.5%), constraining consolidated topline growth. Refrigerated Warehouse growth was mainly driven by higher storage fee tariffs and maintained utilization, whereas the Food Sales decline was due to adjustments in handled volumes. Revenue composition was Refrigerated Warehouse Business 33.3%, Food Sales Business 68.3%, with Food Sales representing roughly 70% of consolidated revenue. No disclosure was made on regional revenue or product mix changes, but the strong Refrigerated Warehouse performance contributed to overall profitability improvement.
[Profitability] Cost of sales was ¥554.4B, yielding Gross Profit ¥87.9B (Gross Margin 13.7%), up from 12.1% in the prior-year period (+1.6pt). Gross margin improvement reflected sustained high margins in the Refrigerated Warehouse Business and product-mix improvement in the Food Sales Business. SG&A was ¥46.8B (SG&A ratio 7.3%), roughly flat YoY, and cost containment led to Operating Income ¥41.1B (Operating Margin 6.4%), a substantial YoY increase of +35.0%. In non-operating items, interest income ¥1.6B and dividend income ¥1.1B plus foreign exchange gains ¥4.3B (no FX losses in prior year) boosted non-operating income; after deducting interest expense ¥4.1B and foreign exchange losses ¥3.5B, non-operating income increased net, resulting in Ordinary Income ¥43.0B (YoY +65.3%). Note that FX gains/losses are non-recurring and fluctuate with spot rates. Extraordinary income included gain on sale of available-for-sale securities ¥1.6B (down from ¥3.4B prior year), so one-off contributions were limited. Income taxes were ¥15.6B (effective tax rate 35.0%), producing Net Income attributable to owners of the parent of ¥28.5B (YoY +70.5%). In summary, despite limited revenue growth, gross margin improvement, cost control, and non-operating FX-related income combined to deliver high profit growth.
The Refrigerated Warehouse Business posted Revenue ¥214.0B (YoY +9.0%) and Operating Income ¥47.9B (YoY +10.7%), achieving revenue and profit growth and maintaining very high profitability with an Operating Margin of 22.4%. Tariff revisions for storage fees and maintained utilization were primary drivers, and the segment generated 116.6% of consolidated Operating Income (on an unadjusted segment profit basis). The Food Sales Business recorded Revenue ¥438.5B (YoY -2.5%) but delivered Operating Income ¥14.5B (YoY +107.4%), with Operating Margin improving from 1.6% to 3.3% (+1.7pt). Product-mix improvements and a profitability-focused sales policy succeeded, delivering substantial margin improvement despite declining revenue. Segment profit total was ¥62.7B; after deducting corporate expenses ¥21.6B (mainly HQ administrative costs), consolidated Operating Income was ¥41.1B. The combination of stable, high-margin Refrigerated Warehouse operations and profitability improvements in Food Sales drove consolidated profit growth.
[Profitability] Operating Margin was 6.4%, up from 4.8% in the prior-year period (+1.6pt), and Gross Margin was 13.7%, up from 12.1% (+1.6pt). ROE was 3.2% (annualized 6.6%), indicating room to improve capital efficiency. Segment Operating Margins were Refrigerated Warehouse Business 22.4% and Food Sales Business 3.3%, showing wide disparity between businesses. [Cash Quality] Operating Cash Flow (OCF) was ¥97.2B, 3.4x Net Income ¥28.5B, and OCF/EBITDA (Operating Income ¥41.1B + Depreciation ¥43.5B = ¥84.6B) was 1.15x, indicating high quality. Free Cash Flow was ¥18.7B (OCF ¥97.2B - Investing CF ¥78.6B), positive, and large capex in the first half of ¥106.4B (2.4x depreciation ¥43.5B) was funded largely from internal resources. [Investment Efficiency] Total Asset Turnover was 0.30x (annualized 0.59x), slow turnover driven by fixed assets comprising 84.7% of total assets. Cash Conversion Cycle (CCC) was long at 131 days (Days Sales Outstanding 77 + Inventory Days 89 - Days Payable Outstanding 35), weighing on working capital efficiency. [Financial Soundness] Equity Ratio was 39.6% (Net Assets Ratio 40.5%), up 1.0pt from 38.6% a year ago, but given the fixed-asset-heavy business structure, a degree of borrowing dependence remains. Debt/Equity was 1.47x. Interest-bearing liabilities (Long-term borrowings ¥701.3B + Short-term borrowings ¥114.9B + Bonds ¥100.0B + Bonds due within 1 year ¥100.0B) totaled ¥916.2B, which is 1.04x of Net Assets ¥877.6B. Current Ratio was 82.9%, below 1.0x, so short-term liquidity merits attention; however, interest coverage (Operating Income ¥41.1B / Interest expense ¥4.1B) was 10.0x, indicating adequate interest-bearing capacity.
OCF was ¥97.2B, a large increase of ¥82.2B (+550.0%) from ¥15.0B in the prior-year period, and 3.4x Net Income ¥28.5B. OCF subtotal (before working capital changes) was ¥98.2B; reductions in inventories ¥9.5B, reductions in trade receivables ¥2.2B, and increases in trade payables ¥4.2B contributed to working capital improvement, with inventory compression boosting OCF. Corporate tax payments were limited to ¥1.6B, suggesting tax refunds or similar receipts offset payments. Investing CF was -¥78.6B, with Capex ¥106.4B (mainly new construction/renewal of refrigerated warehouses) partly offset by proceeds from sale of available-for-sale securities ¥22.6B. Construction in progress was ¥136.4B (prior-year ¥35.7B), +¥100.7B YoY, indicating large investment projects underway. Financing CF was -¥20.6B, reflecting net reductions in borrowings combining long-term borrowings procured ¥40.0B, reduction in short-term borrowings -¥24.6B, long-term borrowings repayments -¥28.3B, bond redemption -¥100.0B, plus dividend payments ¥7.1B. Free Cash Flow was positive at ¥18.7B (OCF ¥97.2B - Investing CF ¥78.6B), indicating the first-half large capex was funded by internal cash and some borrowings. Cash and deposits were ¥35.6B, largely flat from ¥36.6B a year ago, maintaining a balanced funding posture between investment and borrowings. OCF/EBITDA (¥84.6B) was 1.15x, confirming high profit quality, and completion/operation of construction in progress is expected to contribute to EBITDA in subsequent fiscal years.
Quality of earnings is high: OCF ¥97.2B is 3.4x Net Income ¥28.5B, and the accrual ratio (Net Income - OCF)/Total Assets is -3.2%, negative and indicative of high quality. Non-operating income composition was interest income ¥1.6B, dividend income ¥1.1B, insurance dividends ¥0.3B, and FX gains ¥4.3B; note FX gains ¥4.3B are non-recurring and depend on spot rates. Non-operating expenses were interest expense ¥4.1B, FX losses ¥3.5B, and other ¥1.0B; net FX-related items increased non-operating income, contributing materially to the large Ordinary Income increase. Extraordinary income was gain on sale of available-for-sale securities ¥1.6B, down from ¥3.4B in the prior-year period, so one-off contributions were limited. Comprehensive income was ¥58.8B (Owners of parent ¥56.3B), significantly exceeding Net Income ¥28.5B; Other Comprehensive Income totaled ¥29.8B, comprised of Foreign Currency Translation Adjustments ¥9.3B, Valuation Difference on Available-for-Sale Securities ¥20.6B, Deferred Hedge Gains/Losses ¥0.2B, and Remeasurements of Defined Benefit Plans -¥0.3B. Valuation Difference on Available-for-Sale Securities ¥20.6B reflects unrealized gains from market movements, not realized profit. The gap between Operating Income ¥41.1B and OCF ¥97.2B is mainly due to working capital improvements (inventory decrease ¥9.5B, etc.) and non-cash depreciation ¥43.5B; operating-level profitability is high, while FX-related non-operating items introduce variance risk as non-recurring elements.
Full-year guidance is maintained at Revenue ¥1,250.0B (YoY -0.4%), Operating Income ¥70.0B (YoY +65.2%), Ordinary Income ¥64.0B (YoY +74.9%), and Net Income attributable to owners of the parent ¥48.0B. First-half progress against full-year guidance was Revenue 51.4%, Operating Income 58.7%, Ordinary Income 67.2%, Net Income 59.4% — profit indicators from Operating Income onward exceeded the mid-year benchmark (50%). In particular, Ordinary Income progress of 67.2% is +17.2pt ahead, reflecting the first-half contribution of FX gains and other non-operating income. Although FX volatility and seasonal factors may reverse in the second half, continuation of first-half gross margin improvements and cost restraint could allow upside to full-year guidance. Full-year Revenue guidance assumes a second-half decline (despite first-half +1.3%), but strong Refrigerated Warehouse performance and continued profitability improvement in Food Sales could provide downside support. Operating Income reached 58.7% of full-year guidance in H1, so if margins are maintained in H2, upside is likely. Ordinary Income, however, is exposed to second-half FX movements, so full-year outcomes depend on FX trends. Forecast assumptions presumably include stable energy prices (electricity), unspecified exchange rate assumptions, and expected timing of large investment project startups; changes in these factors could affect H2 results.
Interim dividend is ¥13 (same as prior-year interim), and full-year dividend forecast is ¥14 (prior year ¥12), indicating an expected increase. H1 payout ratio is interim dividend ¥13 / Basic EPS 48.24 = 27.0%, a conservative level; the ratio of total dividends to Free Cash Flow (Interim dividend ¥13 × shares outstanding 59.149M ≒ ¥7.7B) is 41.2%, indicating sufficient FCF coverage. Forecast full-year payout ratio on expected EPS ¥81.27 is 17.2%, conservative and sustainable. No share buyback disclosure was made; shareholder returns are via dividends only. Considering cash and deposits ¥35.6B and OCF ¥97.2B (H1), dividend payment capacity is sufficient and full-year dividend of ¥14 appears feasible. The dividend increase is supported by large H1 profit growth and improved earnings quality, but payout ratio remains low; further dividend increases are possible if profit growth and deleveraging continue. No explicit dividend policy was disclosed, but the company appears to prioritize conservative payout ratios and stable FCF generation.
Short-term liquidity risk: With Current Ratio 82.9% and Cash & Deposits ¥35.6B versus Short-term borrowings ¥114.9B + Bonds due within 1 year ¥100.0B + Trade payables ¥53.0B, short-term liquidity is in a watch area. Quick Ratio is 49.1% (Cash + Trade receivables ¥169.4B / Current liabilities ¥399.1B), so the quality of liquidity depends on receivables collection speed (DSO 77 days). If high OCF ¥97.2B continues, liquidity pressure is limited, but working capital swings or debt repayment schedules in H2 could necessitate close funding management.
Leverage & capital efficiency risk: Interest-bearing liabilities ¥916.2B versus Net Assets ¥877.6B yields Debt/Equity 1.47x and Debt/EBITDA (annualized) about 9.7x — high leverage. Fixed-asset concentration (84.7% of total assets) and slow capital turnover (Total Asset Turnover 0.30x) contribute to low ROE 3.2%. Delays or cost overruns in large investments (Construction in progress ¥136.4B) could raise leverage and further weaken capital efficiency. Interest coverage 10.0x suggests resilience to interest, but rising rates would increase interest burdens and could compress Net Income.
FX & energy cost volatility risk: A portion of H1 Ordinary Income improvement derived from FX gains ¥4.3B (non-operating income); H2 Ordinary Income will vary with FX rates. Net FX contribution was +¥0.8B (FX gains ¥4.3B less FX losses ¥3.5B), but FX upside can reverse, slowing ordinary-level profit growth. Additionally, the Refrigerated Warehouse Business is sensitive to electricity costs; rising power prices would pressure gross and operating margins. H1 gross margin improvement +1.6pt was driven by tariff revisions and mix improvements, but sustained energy cost increases would undermine margin improvement sustainability.
Profitability & Returns
| 指標 | 自社 | 中央値 (IQR) | Delta |
|---|---|---|---|
| 営業利益率 | 6.4% | – | – |
| 純利益率 | 4.5% | 7.0% (6.4%–7.5%) | -2.5pt |
Net Income margin is 2.5pt below the industry median 7.0%, but continuation of H1 strong improvement could narrow the gap.
Growth & Capital Efficiency
| 指標 | 自社 | 中央値 (IQR) | Delta |
|---|---|---|---|
| 売上高成長率（前年比） | 1.3% | 4.5% (2.2%–5.8%) | -3.1pt |
Revenue growth trails the industry median 4.5% by 3.1pt, placing Yokohama Reito in the lower tier for topline growth, though profit growth rates (Operating +35.0%, Net Income +70.5%) substantially exceed industry averages.
※Source: Company compilation
H1 saw material profitability improvement with Gross Margin +1.6pt and Operating Margin +1.6pt, and progress vs. full-year guidance at Operating Income 58.7%, Ordinary Income 67.2%, Net Income 59.4% — all front-loaded. High Refrigerated Warehouse margins (22.4%) and marked profitability improvement in Food Sales (Operating Income +107.4%) drove consolidated profit growth. OCF ¥97.2B is 3.4x Net Income ¥28.5B and OCF/EBITDA 1.15x, indicating high earnings quality; Free Cash Flow ¥18.7B remained positive despite H1 capex ¥106.4B, showing internal funding capacity.
However, Current Ratio 82.9% and Cash & Deposits ¥35.6B versus Short-term borrowings ¥114.9B + Bonds due within 1 year ¥100.0B imply caution on short-term liquidity and require close cash management. Debt/Equity 1.47x and Debt/EBITDA ~9.7x reflect high leverage; fixed-asset concentration (84.7% of assets) and slow asset turnover (Total Asset Turnover 0.30x) contribute to low ROE 3.2%. Completion and startup of Construction in progress ¥136.4B will be catalysts to boost EBITDA and lower leverage, but schedule delays or cost overruns are risks. H1 FX gains ¥4.3B were non-recurring; H2 FX movement could cause Ordinary Income volatility, so monitoring operating-level profit trends and cash generation is necessary.
This report is an AI-generated earnings analysis document produced from XBRL financial statement data. It does not constitute a recommendation to invest in any specific security. Industry benchmarks are reference data compiled by our firm from public financial statements. Investment decisions are your responsibility; consult a professional advisor as needed.