Sep. 26 at 7:16 PM
$LRE The management announcement of cash dividend (10 JPY per ADR / approx.
$0.07 per ADR) payable Sept 30, 2025 is nice... A quick deep dive into their short term profitability and financial situation is iffy.
[Profitability Outlook for Short Term]
• The firm reported an operating and net loss in the six-month period reported — short-term profitability is uncertain and looks unlikely unless operating margins and sales volumes improve or non-recurring gains occur.
[Financial Assessment for Short Term (next 3–12 months)]
• Cash only is small: ~
$2.3M USD. That is insufficient to cover the company’s short-term debt principal amounts reported in the interim balance sheet — the current portion of notes payable alone is ¥10,054,610 (thousands) i.e., roughly ¥10.05B (≈
$67.6M USD at 0.00672). The company therefore depends on converting inventory (property sales) or refinancing maturing debt to meet obligations.
• Ops loss (6 mths) ≈
$3.99M USD
• Net loss (6 mths) ≈
$4.06M USD.
