SUMITOMO REAL.&DEV. (JP), a company active in the Real Estate Holding & Development industry, is favoured by a more supportive environment. The independent financial analyst theScreener has confirmed the fundamental rating of the title, which shows 4 out of 4 stars, as well as its unchanged, moderately risky market behaviour. The title leverages a more favourable environment and raises its general evaluation to Slightly Positive. As of the analysis date February 22, 2022, the closing price was J...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
Sumitomo Realty reported net profit of JPY 131 billion for the year ended March 2019, in line with expectations, and guided for net profit of JPY 140 billion for the new year. The company has generated annual return on equity between 10% and 15% every year since the mid-2000s and is poised to continue to do so. Its higher and more stable ROE than its peers partly reflects some peers’ lack of financial leverage but also Sumitomo Realty’s focus on a few business areas where it has competitive ...
Sumitomo Realty manages more than 220 office buildings in Tokyo, the most of any real estate company. More than half of its buildings are in Minato and Shinjuku wards, including two flagship properties in Roppongi and a half dozen in Nishi-Shinjuku. Just 20% are in Chiyoda and Chuo wards that are the main areas of its two larger rivals and which generally command higher rents. Its dispersed portfolio of buildings in slightly less central locations reflects Sumitomo Realty’s relative late entry...
Sumitomo Realty reported net profit of JPY 131 billion for the year ended March 2019, in line with expectations, and guided for net profit of JPY 140 billion for the new year. The company has generated annual return on equity between 10% and 15% every year since the mid-2000s and is poised to continue to do so. Its higher and more stable ROE than its peers partly reflects some peers’ lack of financial leverage but also Sumitomo Realty’s focus on a few business areas where it has competitive ...
Sumitomo Realty reported a relatively weak bottom line for the October-December quarter, with annualized ROE of 6.5%, versus its 10-year average ROE of 10.5%. However, after strong performance in the fiscal first and second quarters, the firm remains well on track to achieving its guidance of JPY 213 billion in operating profit and JPY 130 billion in net profit for the year ending March 2019. The guidance achievement rate is 82% at the operating-profit level and 76% at the bottom line with one q...
Sumitomo Realty reported a relatively weak bottom line for the October-December quarter, with annualized ROE of 6.5%, versus its 10-year average ROE of 10.5%. However, after strong performance in the fiscal first and second quarters, the firm remains well on track to achieving its guidance of JPY 213 billion in operating profit and JPY 130 billion in net profit for the year ending March 2019. The guidance achievement rate is 82% at the operating-profit level and 76% at the bottom line with one q...
Sumitomo Realty reported a relatively weak bottom line for the October-December quarter, with annualized ROE of 6.5%, versus its 10-year average ROE of 10.5%. However, after strong performance in the fiscal first and second quarters, the firm remains well on track to achieving its guidance of JPY 213 billion in operating profit and JPY 130 billion in net profit for the year ending March 2019. The guidance achievement rate is 82% at the operating-profit level and 76% at the bottom line with one q...
Sumitomo Realty reported a relatively weak bottom line for the October-December quarter, with annualized ROE of 6.5%, versus its 10-year average ROE of 10.5%. However, after strong performance in the fiscal first and second quarters, the firm remains well on track to achieving its guidance of JPY 213 billion in operating profit and JPY 130 billion in net profit for the year ending March 2019. The guidance achievement rate is 82% at the operating-profit level and 76% at the bottom line with one q...
Sumitomo Realty & Development, Mitsubishi Estate, and Mitsui Fudosan are the leading Japanese real estate developers. All three share similar profiles, including an office-leasing portfolio concentrated in Tokyo, residential trading of condominiums, and easy financing through their respective zaibatsu banks. What sets Sumitomo apart is its heavy use of debt financing to sustain an asset-heavy business model.The company has reaped the most benefits from the low-interest-rate environment through i...
For the six-month period ended September 2018, Sumitomo Realty & Development reported in line results with revenue and net profit up 10% and 8% year on year to JPY 541 billion and JPY 80 billion, respectively. The growth was attributed to strong residential sales during the period, with segment revenue and operating income up 16% and 24% year on year, respectively. The six-month operating income accounted for 95% of the company's full-year target for the segment. The leasing business performed a...
For the six-month period ended September 2018, Sumitomo Realty & Development reported in line results with revenue and net profit up 10% and 8% year on year to JPY 541 billion and JPY 80 billion, respectively. The growth was attributed to strong residential sales during the period, with segment revenue and operating income up 16% and 24% year on year, respectively. The six-month operating income accounted for 95% of the company's full-year target for the segment. The leasing business perform...
For the three months ended June 2018, Sumitomo Realty & Development, or SRD, reported both revenue and net profit up 14% to JPY 308 billion and JPY 49 billion, respectively. The growth was attributed to strong residential sales during the quarter, achieving revenue and operating income up 26% and 34% year on year, respectively. The first-quarter operating income accounted for 72% of the company's full-year target for the segment. The leasing business perform as expected, recording small top line...
For the three months ended June 2018, Sumitomo Realty & Development, or SRD, reported both revenue and net profit up 14% to JPY 308 billion and JPY 49 billion, respectively. The growth was attributed to strong residential sales during the quarter, achieving revenue and operating income up 26% and 34% year on year, respectively. The first-quarter operating income accounted for 72% of the company's full-year target for the segment. The leasing business perform as expected, recording small top line...
For the three months ended June 2018, Sumitomo Realty & Development, or SRD, reported both revenue and net profit up 14% to JPY 308 billion and JPY 49 billion, respectively. The growth was attributed to strong residential sales during the quarter, achieving revenue and operating income up 26% and 34% year on year, respectively. The first-quarter operating income accounted for 72% of the company's full-year target for the segment. The leasing business perform as expected, recording small top ...
For fiscal year 2017, Sumitomo Realty & Development, or SRD, reported record results with net profit increasing 16% to JPY 120 billion, slightly above our estimate of JPY 115 billion and in line with the consensus estimate. Revenue was broadly in line at 948.4 billion, up 3% year on year. The increase in profit was supported by improving operating margin, lowered interest expenses, and smaller allocation to minority interests. The company declared dividends of JPY 27 per share for the fiscal...
Sumitomo Realty & Development, or SRD, reported first-half results slightly above our high expectations. For the six months ended September 2017, the company reported another historic high, with higher profits and revenue while maintaining better operating margin. Net profits increased 25% to JPY 74 billion, outpacing operating profits and revenue increases of 17% and 5%, respectively. The ongoing upward asset price momentum has led to better margin expansion than its peers with operating ma...
We raise our fair value estimate for Sumitomo Realty & Development, or SRD, to JPY 3,800 per share, from JPY 3,000 per share previously, representing price/forward earnings at 14.6 times from 14.3 times previously. Our key assumption changes are: (1) better-than-expected margin expansion supported by lower acquisition cost than its peers; and (2) better-than-expected market share gain while Tokyo’s condominium market supply remains tight. We think the share has near-term upside to our fair v.....
We raise our fair value estimate for Sumitomo Realty & Development, or SRD, to JPY 3,000 per share from JPY 2,450 per share previously. Our key assumption changes are: (1) better-than-expected net demand absorption even after adjusting for aggressive capital investment planned in the coming years; (2) lower-than-expected cost of debt after management has secured 98% of its interest-bearing debt for longer-dated maturity beyond the next 10 years. Our cost of debt assumption remains low at 1.8...
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