Park24 hikes dividend, repays loan early despite profit dip

Park24 announced its consolidated financial results for the fiscal year ended October 31, 2025, revealing net sales of JPY 406,168 million, a 9.5% increase year-over-year. However, operating profit decreased by 2.9% to JPY 37,561 million, and profit attributable to owners of parent fell by 14.5% to JPY 15,917 million, primarily due to an additional leap year day in February 2024 and weak Mobility Business performance. The company also reported an extraordinary loss of JPY 3,350 million from the termination of a UK subsidiary's retirement benefit plan and a JPY 2,453 million impairment loss.

Park24 resolved to pay a dividend of JPY 30.0 per share for the fiscal year ended October 31, 2025, a significant increase from JPY 5.0 in the previous year. This decision aligns with the company's policy of stable shareholder returns while maintaining internal reserves for future growth. Furthermore, the company will propose a reduction in its legal capital surplus by JPY 28,000 million to enhance financial flexibility, transferring the reduced amount to other capital surplus.

Park24 also disclosed the early repayment of a JPY 50 billion subordinated syndicated loan on December 30, 2025, utilizing cash on hand and new borrowings to optimize its financial structure. The board of directors also announced candidates for director elections, including reappointments for Koichi Nishikawa, Norifumi Kawakami, and Takao Miki, and new appointments for independent outside directors Yoshimitsu Oura and Shoko Kuroki. The company forecasts net sales of JPY 445,000 million and a profit attributable to owners of parent of JPY 24,000 million for the fiscal year ending October 31, 2026.