Ichigo Co., Ltd. announced its consolidated financial results for the first quarter of the fiscal year ending February 2025 (March-May 24). Revenue increased significantly by 147.2% compared to the same period last year, reaching 25.096 billion yen. Operating profit increased by 72.7% to 4.221 billion yen, ordinary profit increased by 153.0% to 3.716 billion yen, and net profit attributable to the parent company's shareholders increased by 146.8% to 3.591 billion yen. The company discloses the ALL-IN indicator, which is the fixed asset sale profit or loss belonging to the Shinchiku segment, as part of operating profit to illustrate the actual situation of its main Shinchiku business. In ALL-IN operating income, revenue increased by 118.5% to 5.88 billion yen, while ALL-IN ordinary profit increased by 213.3% to 5.376 billion yen.

The revenue of the Shinchiku business increased by 185.6% compared to the same period last year, reaching 22.864 billion yen, and the ALL-IN segment profit increased by 188.9% to 4.989 billion yen. The RevPAR (Average room price considering occupancy rate) of the hotels they own increased by 21% compared to the same period last year. Hotel revenue is expanding rapidly from both the hotel owner and the management perspective. In addition, they acquired two new hotels last term and introduced an AI revenue management system called PROPERA to maximize revenue and operational efficiency, positioning themselves to enjoy the increased demand in the future. These situations are leading to an increase in stock earnings for two consecutive periods and reaching the highest profit ever. The security token investment product, Ichigo Residence Token, which is popular with individual investors and business owners for its excellent safety features, has sold seven properties in the first quarter, all in the residence segment, for a total of 10.2 billion yen. The introduction of a new investment product that allows individuals as well as businesses to invest in excellent residences with professional guidance and simple procedures contributes to expanding the customer base, increasing stock earnings through entrusted asset management, and expanding the sales channels for real estate, leading to active property acquisition.

The revenue of the asset management business increased by 13.8% to 0.822 billion yen, and the segment profit increased by 4.9% to 0.404 billion yen. At Ichigo Hotel, the revenue has improved due to the continued increase in lodging demand, and the profits of investment owners and asset management companies have increased due to a reward system that aligns the interests of both parties. Ichigo supports Ichigo Office REIT Investment Corporation (Ticker: 8975) by providing four new offices for sponsee support (sold for a total of 9.1 billion yen). With the acquisition of two offices, they spent 13 billion yen to acquire real estate this quarter, and 22.1 billion yen was sold.

Furthermore, the company announced its acquisition of private REIT and asset management companies to accelerate the expansion of its asset management business in the future.

The revenue of the clean energy business increased by only 1.1% to 1.546 billion yen due to adverse weather conditions and power output restrictions nationwide. Segment profit decreased by 16.0% to 0.484 billion yen. Although stock earnings decreased compared to the same period last year, they are expecting to see revenue growth from the Ebi-no-Suenaga ECO power plant (13.99 MW/FIT price of 40 yen), their second-largest solar power station starting this period, and further contributions from it. At the end of the first quarter, the company had developed and operated 64 power plants (outputting 188.2 MW). They also decided to invest 4.37 billion yen (24.39% stake) in GIGA.GREEN GmbH, a German clean energy provider, aiming to contribute to global environmental problems and further expand their clean energy business worldwide.

Their ALL-IN operating profit, which illustrates their actual situation, is expected to be 24 billion yen, a 13.2% increase from the previous year's plan (16 billion yen for operating profit, up 23.5% from the previous year, 20 billion yen for ALL-IN ordinary profit, up 7.4% from the previous year, and 14 billion yen for net income attributable to the parent company's shareholders, up 15.6% from the previous year).