LogProstyle Inc. reported first‑half fiscal 2026 revenue of JPY 10,324 million (US$ 69.8 million), a 2% decline from JPY 10,518 million in the same period a year earlier. The modest dip is largely attributable to a 1.3% decline in real‑estate revenue, which fell to JPY 9,498 million, while the hotel segment grew 10.7% to JPY 1,826 million, offsetting the real‑estate weakness and keeping overall sales near year‑ago levels.
Gross profit rose to JPY 2,196 million (US$ 14.8 million), up 25% from JPY 1,750 million. Gross margin expanded to 21.3%, a 463‑basis‑point lift from 16.6% a year earlier. The margin gain reflects stronger pricing power in the hotel business, where average daily rates increased from JPY 19.6 thousand to JPY 21.4 thousand, and disciplined cost controls that limited the impact of higher operating expenses.
Operating income climbed to JPY 884 million (US$ 6.0 million), a 31% increase from JPY 673 million, while net income rose to JPY 494 million (US$ 3.3 million), up 34% from JPY 369 million. The operating‑income growth is driven by the margin expansion and the hotel segment’s higher contribution margin, while the net‑income lift is supported by the same cost‑control measures and a favorable tax environment.
Hotel occupancy improved from 68.2% to 70.8%, and the average daily rate grew by 9.2%, reflecting a rebound in domestic tourism and a stronger demand for mid‑scale accommodations. The real‑estate segment, although slightly down, remains a stable revenue base, and the company’s focus on renovating and repositioning properties is expected to support future growth.
CEO Yasuyuki Nozawa said the results demonstrate the resilience of LogProstyle’s business model and the continued progress across its core real‑estate and hospitality lines. He highlighted disciplined expense management and the hotel segment’s performance as key drivers of the company’s profitability, underscoring confidence in its long‑term strategy.
No forward guidance was disclosed in the announcement, and analyst consensus estimates for revenue or earnings per share were not available at the time of reporting.
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