JR Tokai boosts forecasts, shareholder returns amid strong performance

Central Japan Railway Company (JR Tokai) announced increased revenue and profit for the second quarter (interim period) of the fiscal year ending March 2026, on both a standalone and consolidated basis. Transportation revenue for the first half rose 14% year-on-year. This was primarily driven by the Osaka/Kansai Expo (6%), inbound tourism (3%), and other factors, including recovery from previous transport disruptions and increased business demand (5%).

In light of these strong results, the company has revised its full-year earnings forecasts upwards for revenue and all profit metrics. The forecast for full-year operating revenue is now JPY19,370 million (consolidated) and JPY16,060 million (standalone), while net profit attributable to parent company shareholders is projected at JPY4,800 million.

Regarding shareholder returns, JR Tokai will maintain stable dividends and plans an additional share buyback of JPY10 billion, supplementing the previously announced JPY100 billion. The total construction cost for the Chuo Shinkansen between Shinagawa and Nagoya is estimated at JPY11.0 trillion, an increase of JPY4 trillion from previous estimates, mainly due to rising material costs and complex construction challenges.