JR East transfers development, sales business to real estate subsidiary

East Japan Railway Company (JR East) announced a simplified absorption-type company split, effective April 1, 2026, to transfer its company-owned land development and sales business to JR East Real Estate Co., Ltd. The move aims to accelerate group-wide growth by strengthening real estate liquidation for growth investments, particularly in the sales business. This transaction, approved by JR East's board on December 2, 2025, involves no share allotment or monetary compensation as JR East Real Estate is a 100% subsidiary.

The transferred business generated operating revenues of 4,519 million yen in the fiscal year ended March 31, 2025. It will include assets totaling 7,181 million yen (3 million yen current assets, 7,177 million yen fixed assets) and liabilities of 0 million yen as of September 30, 2025. The company split will not alter JR East's or JR East Real Estate's company name, business description, location, representative, capital, or fiscal year-end, and is not expected to materially impact JR East's consolidated financial results.