We would like to express our sincere appreciation to our shareholders and investors for their continuous support.
Although the aviation industry is facing difficult circumstances, including the yen’s depreciation and rising prices, the number of air travel passengers is steadily increasing, supported by robust in-bound tourism demand. On the other hand, it is necessary to continue paying careful attention to the situation, as rising material costs and increasing logistics and labor costs due to labor shortages are affecting a broader range of costs and prices, including construction cost.
Under these circumstances, the Airport Facilities Group recorded sales and profit increases in the first half of the business year ending in March 2025, with ¥14,090 million in net sales, ¥2,520 million in operating profit, ¥2,640 million in ordinary profit, and ¥1,740 million in profit attributable to owners of parent.
Reflecting the financial performance, the Group has decided to pay an interim dividend of ¥9 per share, up ¥2 from the same period of the previous year. We plan to pay an annual dividend of ¥18 per share. As its basic policy, the Group aims for a dividend payout ratio of over 40% while maintaining a stable business foundation and strengthening its financial position in principle. We will continue efforts to ensure a stable and sustainable return to shareholders.
The Group is improving profitability by reviewing the lease terms of existing properties in the Airport Real Estate Business and is acquiring real estate properties for sale in the non-asset business, which is part of the Non-Airport Real Estate Business, as it did in the previous business year. In September 2024, the Group acquired a real estate property in Nagoya City for the first time. We will continue to build our portfolio of excellent real estate properties and promote the non-asset business while closely watching the conditions of the real estate market.
The Group contributes to the resolution of environmental problems and other social challenges through its businesses in order to help realize a sustainable society. In August 2024, we replaced existing refrigeration machines used in the area heating and cooling business with equipment that is highly efficient and very environment-friendly.
We will continue to strive to achieve sustainable growth as an airport and real estate business professional and further expand our business field.
We would like to ask for continued understanding and support from our shareholders and investors.
