Open House Group Co., Ltd.
3288・Prime Market・Real Estate
Business
Open House Group Co., Ltd. is an independent comprehensive real estate company founded in 1997. Centered on its detached-housing-related business, it operates a diversified portfolio spanning the condominium business, income-producing real estate business, Presance Corporation (investment and family condominiums), U.S. real estate business, and other segments. Its main customers range from dual-income households and families seeking affordably priced housing in central urban areas, to corporate clients and high-net-worth individuals seeking investment in income-producing real estate and U.S. real estate. Consolidated net sales for FY2025 (ending September 2025) were ¥1,336,468 million, and the group as a whole—including 63 subsidiaries—operates 73 sales centers across major metropolitan areas such as Tokyo, Kanagawa, Aichi, Fukuoka, and Osaka.
Business Model
In the detached-housing-related business, OHD purchases and constructs on urban land, while OH handles brokerage under an integrated manufacturing-and-sales system, enabling stable supply of reasonably priced housing while curbing outsourcing costs. In the income real estate business, the company acquires small-scale, short-cycle properties, adds value, and sells them to corporate entities and wealthy individuals. Pressance Corporation develops and sells investment and family condominiums in the Kinki and Tokai regions. The U.S. real estate business captures the asset diversification needs of wealthy individuals. Each segment shares customers, land information, and construction functions with one another, creating group synergies.
Company Strengths
The company has built an integrated system encompassing land acquisition (OHD), construction (OHA), and brokerage sales (OH) within the group, a structure unmatched elsewhere in the industry. OHA's number of units delivered increased by 2,134 units since becoming a subsidiary to reach 4,307 units, while Hawk One's OH brokerage transactions increased by 1,700 units to reach 1,725 units, demonstrating notable scale expansion achieved through M&A.
In FY2025 (ending September 2025), gross profit margin improved 2.2 points year on year to 18.2%, while operating margin improved 1.7 points to 10.9%. The gross profit margin of the Detached Housing-Related Business reached 17.1%, an improvement of 3.1 points, driven by successful inventory turnover. Operating profit in the Income-Producing Real Estate Business increased 31.4% year on year, and the Others segment increased 41.0%, with profitability improving across all segments.
At the end of FY2025 (ending September 2025), the equity ratio stood at 38.1% (exceeding the 35.0% target by 3.1 points), the net D/E ratio was 0.6x (0.4x below the target of 1.0x or lower), and ROE was secured at 20.1%. The three-year cumulative net income assumption was also revised upward from an initial ¥250.0 billion to ¥305.5 billion, with all financial targets being exceeded.
ENVALITH's Perspective
Performance Trend
Revenue over the past five fiscal years has expanded consistently, from ¥810,540 million (FY2021) to ¥1,336,468 million (FY2025). In H1 FY2026 (ending September 2026), revenue reached ¥689,176 million (up 7.1% year on year), operating profit ¥84,398 million (up 14.4% year on year), and net income attributable to owners of the parent for the interim period ¥57,017 million (up 22.4% year on year), with the pace of profit growth accelerating. The operating margin improved to 12.2% (versus 11.5% in the same period of the prior year). While external factors such as continued high demand for urban real estate and a buoyant investment property market provided tailwinds, interest expenses rose 47.4% year on year to ¥4,796 million, reflecting the impact of rising interest rates spreading to financial costs. Full-year earnings guidance was revised upward to revenue of ¥1,485,000 million to ¥1,500,000 million and operating profit of ¥176,500 million to ¥180,000 million.
Growth Strategy
Accelerating diversified growth through M&A, pursuit of synergies, and the U.S. real estate business based on the three-year management policy
To capture demand for detached housing in urban areas, the company continues multi-store expansion while maintaining an integrated manufacturing-and-sales structure. The integration of Meldia Co., Ltd. and Eidai Holdings has expanded the group's sales area and product lineup, and gross profit margin improvement through successful inventory turnover is also progressing. In the first half of FY2026 (ending September 2026), the segment achieved net sales of ¥380,930 million and operating income of ¥43,118 million.
Following full subsidiarization and delisting in April 2025, the parent-subsidiary listing structure was resolved, accelerating unified group management. The company is pursuing synergies in the metropolitan investment condominium business by combining Open House Group's land information and fundraising capabilities with Presance's sales power and expertise. Operating income for the first half of FY2026 (ending September 2026) was ¥14,222 million, maintaining a 0.3% year-on-year increase.
The business maintains high growth amid investment demand from corporate clients and high-net-worth individuals for rental apartments, office buildings, and similar properties. The company is promoting profit margin improvement through a focus on small-scale, short-turnover properties, and expanding its business domain (subdivided rental apartments, rental management) through the integration of Meldia DC and MAI. In the first half of FY2026 (ending September 2026), the segment achieved net sales of ¥113,358 million (up 18.2% year on year) and operating income of ¥13,251 million (up 21.1% year on year).
Capturing demand from wealthy Japanese individuals for asset diversification from yen to dollars, the company is strengthening its integrated sales, management, and financial services structure through collaboration between Open House Realty & Investments, Inc. and its domestic affiliated companies. In the first half of FY2026 (ending September 2026), the segment posted net sales of ¥71,278 million (down 2.8% year on year) and operating income of ¥8,175 million (down 8.7% year on year), reflecting a decline in both revenue and profit; addressing foreign exchange and market risk remains a challenge.
The company is strengthening product appeal through brand renewal to INNOVAS and INNOVACIA, while promoting urban condominium development in the greater Tokyo, Nagoya, and Fukuoka areas. Although property deliveries are seasonally concentrated in the fourth quarter, the first half of FY2026 (ending September 2026) saw a significant improvement, with net sales of ¥26,048 million (up 331.4% year on year) and operating income of ¥4,451 million (compared with an operating loss of ¥1,808 million in the same period of the previous year). Sales contracts are progressing smoothly, securing a pipeline for the following period and beyond.
Last updated: July 17, 2026