SMT Holdings <187A> announced the consolidated financial results for the second quarter of the fiscal year ended December 2024 (December 2023 - May 2024) of its wholly-owned subsidiary, SAMTY Co., Ltd. Revenue decreased by 11.9% YoY to 57.54 billion yen, operating profit decreased by 32.6% YoY to 4.449 billion yen, ordinary profit decreased by 95.0% YoY to 0.165 billion yen, and net loss attributable to the parent company for the quarter was 0.613 billion yen (compared to net profit of 1.311 billion yen in the same period of the previous year). The company has changed its fiscal year-end from November 30 to December 31 annually from the current period, in response to the approval of the Amendment of Part of the Articles of Incorporation at the 42nd Ordinary General Meeting of Shareholders held on February 27, 2024.

Revenue from the real estate development business decreased by 17.4% YoY to 26 billion yen, and operating profit decreased by 22.4% to 4.4 billion yen. Sales of 19 real estate properties for sale were made.

Revenue from the real estate solution business increased by 71.3% to 16.5 billion yen, and operating profit increased by 25.1% to 1.9 billion yen. In the cumulative second quarter of the consolidated period, 23 real estate properties for sale were sold.

Revenue from overseas business decreased by 96.3% YoY to 0.4 billion yen, and operating loss was 0.3 billion yen (compared to profit of 1.6 billion yen in the same period of the previous year). The smart city housing development project in Hanoi, Vietnam, launched for sale from the fiscal year ending November 2021, is making good progress in sales. Nevertheless, the operating loss was recorded due to the company's participation in the second phase of the condominium development project, "THE STAR Project," in Ho Chi Minh City, Vietnam, as well as the advanced investment.

Revenue from the real estate rental business decreased by 11.0% YoY to 3.7 billion yen, and operating profit decreased by 9.6% to 1.4 billion yen. Property acquisitions during the cumulative second quarter of the consolidated period have progressed smoothly, with 19 revenue-generating properties totaling approximately 17.9 billion yen being acquired, as well as 31 development properties being completed.

Revenue from the hotel rental and management business increased by 39.2% to 8 billion yen, and operating loss was 0.2 billion yen (compared to a loss of 0.8 billion yen in the same period of the previous year). The occupancy rates and room rates of the owned and operated hotels are recovering due to the increase in inbound international tourists.

Revenue from the real estate management business increased by 43.3% to 2.6 billion yen, and operating profit increased by 53.4% to 0.4 billion yen. The company manages condominiums, office buildings, and commercial facilities.

The company has announced an upward revision of its earnings forecast for the fiscal year ending December 2024. It anticipates revenue of 230 billion yen (a 12.2% increase from the previous forecast), operating profit of 30 billion yen (a 42.9% increase), ordinary profit of 21 billion yen (a 51.1% increase), and net income attributable to the parent company of 12 billion yen (a 5.3% increase). The fiscal year ending December 2024, which is the interim period for the fiscal year-end change, will be an irregular 13-month settlement period from December 1, 2023 to December 31, 2024.