East Japan Railway Co. reported Tuesday an increase in revenue and consolidated profit in fiscal 2002, despite seeing a 3 billion yen decline in its core transport business due to the sluggish business environment, officials said.

After suffering a decline in group revenue and profit the previous year, the company enjoyed record group revenue, current profit and current net profit in 2002, they said.

The company's group revenue grew 22.2 billion yen, or 0.9 percent, to 2.56 trillion yen, thanks to increased income from businesses setting up shops in its stations, office and shopping complexes. It also booked sales from publishing and monorail companies it has taken control of.

Group operating profit increased 26.7 billion yen, or 8.5 percent, to 343 billion yen, with operating expenses down 4.4 billion yen due to an ongoing effort to cut personnel expenses by reducing the number of employees.

Current profit increased 49.2 percent to 202.6 billion yen, exceeding the 200 billion yen mark for the first time due to a decrease in interest-bearing debts and interest payments through the introduction of a cash management system, which is designed to integrate the financial functions of individual group firms into the financial divisions of the parent.

Current net profit swelled by a hefty 106.1 percent to 97.9 billion yen thanks to increased profit from sales of fixed property and a decrease in re-evaluation losses on holdings of bank and other stocks.

Parent-only revenues fell 2.4 billion yen to 1.89 trillion yen, with revenue from bullet train lines declining 1 billion yen and that of local lines slipping 1.9 billion yen.

Nonconsolidated operating profit meanwhile increased 21.8 billion yen to 301.3 billion yen, thanks to a reduction in personnel expenses. Current profit was up 64.7 billion yen to 164 billion yen due to a decline in interest payments and losses on corporate bond redemption. Parent-only current net profit increased 15 billion yen to 86.9 billion yen.

The company's long-term debt slipped 214 billion yen to 4 trillion yen in fiscal 2002.

It expects a consolidated revenue of 2.56 trillion yen in the current fiscal year. Current profit is forecast at 210 billion yen, up 7.3 billion yen, and current net profit is expected to come in at 104 billion yen, up 6 billion yen.