Odakyu Electric Railway (9007): 1Q results: Slight overshoot, but within expected range

研报英文原文证据摘录

J P M O R G A N

Asia Pacific Equity Research

07 August 2026

Odakyu Electric Railway (9007)

1Q results: Slight overshoot, but within expected range

Overweight

9007.T, 9007 JP

Price (07 Aug 26):¥1,707

Price Target (Dec-26):¥1,900

Neutral: 1Q operating profit grew 6.9% YoY to ¥16.3 billion (we estimated ¥15.4

billion, and the Bloomberg consensus estimate was ¥16.0 billion). Profit beat

guidance by ¥1.5 billion (by ¥0.9 billion in transportation and ¥0.6 billion in real

estate), but management commented that 1Q results were broadly in line with

guidance given some transportation segment costs were pushed back beyond 1Q.

Odakyu Electric Railway kept full-year FY2026 operating profit guidance at 2.5%

YoY growth to ¥54.0 billion (our estimate: ¥54.2 billion, Bloomberg consensus

estimate: ¥54.5 billion).

Results overview: By segment, 1Q operating profit rose ¥1.0 billion YoY to

¥11.5 billion in transportation (full-year guidance: -¥0.8 billion YoY to ¥28.7

billion), fell ¥0.1 billion to ¥3.2 billion (+¥3.7 billion to ¥19.1 billion) in real

estate, and grew ¥0.2 billion to ¥1.6 billion (-¥1.5 billion to ¥6.2 billion) in

lifestyle services. Full-year guidance for the railway business has profit falling

due to growth in personnel and scrapping costs, depreciation (platform doors

and new rolling stock), and other costs, but profit rose in 1Q as incurring of

these costs was delayed. Full-year guidance for the real estate segment is for

profit growth driven by condo sales in Ebina and short-term turnover-type real

estate sales, but 1Q profit fell due to a low volume of property sales booked and

growth in survey design and personnel costs at the leasing business. Real estate

segment profit beat guidance by ¥0.6 billion due to lower spending on condo

sales promotion. Full-year guidance for the lifestyle services segment is for a

profit decline due to the remodeling of Hotel Century Southern Tower in

Shinjuku, but profit rose in 1Q partly because the incurring of remodeling costs

did not start.

Shareholder returns: Odakyu left FY2026 DPS guidance unchanged at ¥60

(53.2% dividend payout ratio). It has added progressive dividends to the

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