Announces Full-Year Financial Results for the Fiscal Year Ending March 2026

LogProstyle Inc. (NYSE American: LGPS, headquarters: Minato-ku, Tokyo; President and CEO: Yasuyuki Nozawa, hereinafter "the Company") today announces its full-year financial results for the fiscal year ending March 2026 (April 1, 2025 – March 31, 2026).

Key Highlights for the Fiscal Year Ending March 2026 (vs. Fiscal Year Ending March 2025):

● Revenue: ¥22,221 million (up 7.6% YoY)

● Real Estate Business Revenue: ¥20,600 million (up 9.5% YoY)

⮚ Number of Real Estate Units Sold: 261 units (up 74 units YoY)

● Hotel Operations Revenue: ¥1,310 million (up 4.9% YoY)

● Gross Profit: ¥4,408 million (up 23.9% YoY)

● Operating Income: ¥1,572 million (up 17.1% YoY)

● Net Income: ¥760 million (up 0.8% YoY)

● Earnings Per Share (EPS): ¥32.16 (down ¥2.60 YoY)

● Adjusted EBITDA: ¥1,644 million (up 10.6% YoY)

President and CEO Yasuyuki Nozawa stated, "The fiscal year ending March 2026 was a strong year in which we achieved disciplined, sustainable growth across all core businesses. Driven by solid momentum in real estate and steady growth in our hotel operations, we delivered solid revenue growth while significantly improving our operating margin through disciplined cost management. Reflecting our confidence in our business and our ongoing commitment to shareholder returns, the Board has approved the initiation of quarterly cash dividends during this fiscal year. Looking ahead to the fiscal year ending March 2027, we will continue to focus on continuous innovation, operational excellence, and disciplined execution of our strategy. We sincerely thank our employees, partners, and customers who continue to support our mission to 'Redefine life style' and create long-term value for our shareholders."

Financial Highlights:

For the fiscal year ended March 31, 2026, revenue reached ¥22,221 million, an increase of 7.6% compared to ¥20,651 million in the prior year. Revenue from the real estate segment was ¥20,600 million, up 9.5% from ¥18,819 million in the previous year, primarily due to an increase in the number of units sold. Hotel operations revenue reached ¥1,310 million, up 4.9% from ¥1,249 million in the prior year, driven by higher room rates. Other revenue amounted to ¥311 million.

Gross profit was ¥4,408 million, up 23.9% from ¥3,559 million in the prior year. The gross profit margin improved from 17.2% to 19.8%, an increase of 2.6 percentage points.

Selling, general and administrative expenses were ¥2,837 million, up 28.0% from ¥2,217 million in the prior year. This increase was primarily due to costs associated with being a listed company, including ongoing compliance and investor relations activities, as well as higher corporate inhabitant taxes resulting from increased capital. Operating income for FY2026 was ¥1,572 million, up 17.1% from ¥1,343 million in FY2025.

The operating margin improved to 7.1% from 6.5% the previous year, supported by revenue growth and rigorous cost management.

Adjusted EBITDA was ¥1,644 million, an increase of 10.6% year-on-year.

Pre-tax income was ¥1,251 million, up 9.0% from ¥1,148 million in the prior year. Net income was ¥760 million (up 0.8% YoY), marking the second consecutive year of profit growth, although the growth rate was modest compared to pre-tax income. This was primarily due to increased interest expenses from higher borrowings related to growth investments and rising interest rates (from ¥210 million to ¥329 million), and an increase in the effective tax rate from 34.4% to 39.3% due to retained earnings taxation, resulting in higher income taxes (from ¥395 million to ¥491 million). These factors are attributable to business expansion and accumulated retained earnings, while core profitability, as reflected in operating and pre-tax income growth, continues to strengthen steadily. Earnings per share (EPS) was ¥32.16. The year-on-year decrease of ¥2.60 was due to an increase in the weighted average number of shares outstanding following the IPO in March 2025.

Cash and cash equivalents as of March 31, 2026, were ¥2,282 million, up from ¥2,121 million in the prior year.

Segment Overview:

Revenue from the real estate business (approximately 93% of total revenue) was ¥20,600 million, up 9.5% YoY. The number of units sold totaled 261, an increase of 74 units from 187 in the prior year. Institutional investor-focused bulk sales (PROSTYLE WEALTH) expanded significantly to 127 units (from 78 units the previous year), while 93 income-generating properties were sold through LogLife and 41 renovated condominium units (LogSuite) were sold.

Revenue from hotel operations (approximately 6% of total revenue) was ¥1,310 million, up 4.9% YoY, driven by higher room rates.

Operational Highlights:

To maximize shareholder value, the Board of Directors on July 13, 2026, approved a cash dividend of $0.046 per share, totaling $1,086,047.

This cash dividend will be paid in installments on corresponding dates to shareholders of record on the close of business on each of the following record dates for LogProstyle.

Earnings Presentation and Video:

On July 13, 2026, the Company published its earnings presentation materials and earnings explanation video for the fiscal year ending March 2026. These materials and video are available on the Company's website (https://logprostyle.co.jp/ja/ir-materials/).

Forward-Looking Statements Disclaimer:

This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements regarding proposed dividends, the Annual General Meeting (AGM), future financial performance, capital allocation, and shareholder return strategy.

These statements are based on current expectations and assumptions and involve risks and uncertainties that could cause actual results or outcomes to differ materially from those expressed or implied. These risks and uncertainties include general economic conditions, changes in market conditions, shareholder approval at the AGM, and other factors disclosed in the Company's filings with the U.S. Securities and Exchange Commission (SEC), particularly the Form 20-F annual report filed with the SEC on July 13, 2026.

Forward-looking statements are made only as of the date they are made, and appropriate