SG Holdings (9143): FY2025 Results Summary — Record Package Volume Lifts Revenue Past 1.6 Trillion Yen as Global Logistics Stalls

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Note: SG Holdings labels the fiscal year covered by this presentation as “FY2026/3”; on this site the most recently completed fiscal year is classified as FY2025. All labels used in the text, tables and charts below follow the company’s own presentation.

SG Holdings Co., Ltd. reported FY2026/3 operating revenue of 1,644.7 billion yen (111.2% year on year) and operating income of 90.2 billion yen (102.7%), with ordinary income of 91.7 billion yen (103.3%) and net income attributable to owners of the parent of 59.0 billion yen (101.6%). The company describes the year as achieving revenue and income growth as expected, with operating income broadly in line with its earnings forecast, and states that it achieved a certain level of progress in the first year of the Mid-Term Management Plan while challenges remain in the Global Logistics Business. The number of packages increased through efforts such as capturing cross-border e-commerce, identified as a growth area, while Expolanka’s performance deteriorated on freight rate declines caused by the impact of U.S. tariff policies. For FY2027/3 the company forecasts operating revenue of 1,740.0 billion yen and operating income of 97.0 billion yen, with the annual dividend rising to 54 yen.

Consolidated Results (Full-Year Actual)

Against the FY2026/3 earnings forecast announced on February 6, 2026, operating revenue came in at 100.6% of plan and operating income at 100.3%. ROE was 10.5%, and the company notes that ROE exceeded the initial plan set at the beginning of the fiscal year (10.3%) through measures such as the use of financial leverage, optimization of equity capital, and selection and concentration of assets. Net income came in line with expectations, reflecting measures to improve asset efficiency: the transfer of the equity interest in Shanghai Runbow Logistics & Technology Co., Ltd. produced an extraordinary loss of 3.1 billion yen, while disposal of real estate and cross-shareholdings, etc. produced an extraordinary gain of 5.4 billion yen.

(Units: billions of yen)	FY2025/3 results	FY2026/3 earnings forecast (Announced on February 6, 2026)	FY2026/3 results	YoY (%)	Comparison with forecast
Operating revenue	1,479.2	1,635.0	1,644.7	111.2%	100.6%
Operating income	87.8	90.0	90.2	102.7%	100.3%
[Operating margin]	[ 5.9% ]	[ 5.5% ]	[ 5.5% ]
Ordinary income	88.8	89.0	91.7	103.3%	103.1%
Net income attributable to owners of the parent	58.1	59.0	59.0	101.6%	100.1%
ROE	10.0%	10.5%	10.5%	+ 0.5pt	±0.0pt
ROIC	8.2%	6.9%	7.0%	(1.2)pt	+ 0.1pt

Segment Results

The Delivery Business grew operating revenue to 1,048.5 billion yen (104.5%) and operating income to 70.1 billion yen (102.6%). The company notes the number of packages has been trending positive for both BtoB and BtoC since June, and that although efforts to receive appropriate freight tariffs were pushed forward, the average unit price fell below the previous year’s level due to an increase in cross-border e-commerce, etc., resulting in income generally in line with the plan. The Logistics Business rose to 202.7 billion yen in revenue (141.7%) and 6.2 billion yen in operating income (148.5%) on the effect of consolidation of low-temperature logistics (Meito/Hutech) and the receipt of appropriate fees and improvement of productivity in domestic 3PL. The Global Logistics Business increased revenue to 321.5 billion yen (125.4%) but operating income fell to 0.1 billion yen (3.9%): at Expolanka, due to factors such as the impact of U.S. tariffs, air and ocean freight rates continued to trend downward from June onward, resulting in a year-on-year decrease in both revenue and profit, while Morrison progressed broadly in line with the plan. The Real Estate Business declined to 15.4 billion yen in revenue (64.4%) and 10.3 billion yen in operating income (98.6%), while Other Businesses rose to 56.4 billion yen (106.9%) and 2.6 billion yen (139.3%) on strong sales of large trucks and systems-related business.

(Units: billions of yen)	FY2025/3	FY2026/3	YoY change	YoY (%)
Total operating revenue	1,479.2	1,644.7	+ 165.5	111.2%
Delivery Business	1,003.0	1,048.5	+ 45.5	104.5%
Logistics Business	143.0	202.7	+ 59.7	141.7%
Global Logistics Business	256.3	321.5	+ 65.2	125.4%
Real Estate Business	23.9	15.4	(8.5)	64.4%
Other Businesses	52.7	56.4	+ 3.6	106.9%
Total operating income	87.8	90.2	+ 2.4	102.7%
Delivery Business	68.3	70.1	+ 1.7	102.6%
Logistics Business	4.2	6.2	+ 2.0	148.5%
Global Logistics Business	3.5	0.1	(3.3)	3.9%
Real Estate Business	10.5	10.3	(0.1)	98.6%
Other Businesses	1.8	2.6	+ 0.7	139.3%
Adjustments	(0.6)	0.6	+ 1.3	—

Delivery Business: Packages and Unit Price

The total number of packages reached 1,360 million packages (YoY 104.0%), up from 1,308 million packages, with cross-border e-commerce adding 38 million packages (YoY +46%) and other categories adding 14 million packages. In the fourth quarter alone the number of packages rose from 308 million to 333 million, with cross-border e-commerce contributing +12 million (YoY +67%) and other categories +11 million (YoY +4%). The average unit price was 656 yen, down 5 yen year on year from 661 yen, as a +3 yen unit price raising effect was outweighed by an (8) yen impact from cross-border e-commerce, size mix, etc. TMS sales were 137.9 billion yen (YoY 110.4%). Progress on package volume exceeded the assumption for the final year of the Mid-term management plan (1.35 billion packages).

FY2027/3 Forecast

SG Holdings forecasts FY2027/3 operating revenue of 1,740.0 billion yen (+ 95.2 billion yen, 106%), operating income of 97.0 billion yen (+ 6.7 billion yen, 107%), ordinary income of 95.0 billion yen (104%) and net income attributable to owners of the parent of 60.0 billion yen (102%), with an ROE forecast of 11.0% (+ 0.5pt). The company states there are no changes to the consolidated targets from the business plan disclosed in February 2026, although the segment breakdown of operating income for the Real Estate Business and Other Businesses has been revised slightly following a review of intra-group cost allocation while the total amount remains unchanged. Assumptions for FY2027/3 include 1.39 billion packages (102%), an average unit price of 663 yen (+ 7 yen), TMS sales of 142.0 billion yen (103%) and an exchange rate of 1$=157 yen. For the first half of FY2027/3 the company forecasts operating revenue of 846.0 billion yen (108%) and operating income of 36.0 billion yen (93%), as costs will be weighted toward the first half due to a revision to the allocation method for accrued bonuses.

(Units: billions of yen)	FY2026/3 results	FY2027/3 earnings forecast	YoY change	YoY (%)
Operating revenue	1,644.7	1,740.0	+ 95.2	106%
Operating income	90.2	97.0	+ 6.7	107%
[Operating margin]	[ 5.5% ]	[ 5.6% ]
Ordinary income	91.7	95.0	+ 3.2	104%
Net income attributable to owners of the parent	59.0	60.0	+ 0.9	102%
ROE	10.5%	11.0%	+ 0.5pt	—
ROIC	7.0%	6.8%	(0.2)pt	—

Shareholder Returns

The dividend per share for FY2026/3 totalled 53 yen (interim 26 yen, year-end 27 yen), and the FY2027/3 forecast is 54 yen (interim 27 yen, year-end 27 yen), an increase of +1 yen. Under the optimization of equity capital, share repurchases in FY2026/3 amounted to 45.0 billion yen. The equity ratio moved from 55.8% at the end of FY2025/3 to 44.4% at the end of FY2026/3, with the company stating that bank borrowings are utilized in executing growth investments and that it will control the equity ratio at around 40%. In the consolidated statement of cash flows, purchase of treasury shares was (74.9) billion yen and cash dividends paid were (32.3) billion yen.

Dividend per share (Units: yen)	FY2026/3 results	FY2027/3 earnings forecast
Interim	26	27
Year-end	27	27
Total	53	54

Mid-Term Management Plan / Topics

SG Holdings reports that the Delivery Business and the Logistics Business are performing steadily toward the Mid-Term Management Plan, that issues have emerged in the Global Logistics Business due to gaps between the assumed and actual business environment with a response policy formulated, and that overall no revision is needed to the direction of key strategies. Within the Delivery Business, cross-border e-commerce reached 122 million packages in FY2026/3 against an FY2028/3 target of 105 million packages, exceeding projections for the final year of the Mid-Term Management Plan; low-temperature logistics reached 46 million packages against a 61 million package target; and Real Commerce added +0.7 million packages against a target of +5 million packages (vs. FY2025/3), with the company noting progress is slightly behind but catch-up is able to be achieved from the next fiscal year onward. On infrastructure, the Kanto Hub Center (Tokyo prefecture) is scheduled to operate in July 2026 and the Kansai Hub Center (Hyogo prefecture) in January 2027, together adding processing capacity of approximately 0.8 million packages per day. On capital efficiency, the company is targeting ROE of 15.0% in FY2031/3 under SGH Vision 2030, with 11.0% forecast for FY2027/3 and 12.0% for FY2028/3.

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