SANKEI REAL ESTATE Inc. [2972.T]
TOKYO, Apr 01 (Pulse News Wire) – Sankei Real Estate Inc. (2972.T) reported significant revenue and profit declines expected for its fiscal quarter ending February 28, 2027, due to ongoing tenant changes at the Fukuoka Green Building.
The company previously terminated lease agreements with Hitachi Corporation but has yet to initiate necessary renovations due to rising construction costs and labor shortages. Sankei Real Estate anticipates substantial delays in leasing out the property and does not expect completion until after the fiscal quarter ending February 28, 2027. Additionally, the sale of the building remains under consideration but will also face similar delays. As a result, there will be no rental income or proceeds from the sale during the fiscal quarter ending February 28, 2027.
Given these circumstances, the company forecasts a sharp decline in operating performance compared to the previous period. Specifically, revenues and profits for the fiscal quarter ending February 28, 2027, are projected to drop significantly below those recorded in the fiscal quarter ending August 31, 2025. Consequently, dividend distributions are anticipated to decrease substantially. Detailed projections for the fiscal quarter ending February 28, 2027, will be released during the earnings report scheduled for April 15, 2026.
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