TOKAI (9729) investor relations material

Executive summary

• Consolidated net sales for 1Q FY3/27 reached ¥40,582mn, up 3.6% year-over-year, with operating profit at ¥2,072mn (+11.5%) and ordinary profit at ¥2,244mn (+10.1%), all record highs.

• Profit attributable to owners of parent increased 7.2% year-over-year to ¥1,438mn, and comprehensive income rose 10.1% to ¥1,724mn.

• Profits are progressing faster than the average rate of the past, exceeding expectations relative to the full-year forecast.

• Full-scale entry into the Rehabilitation-Type Daycare Business through the acquisition of QLC Produce Corporation, expected to contribute to earnings from 3Q onward.

Financial highlights

• Gross profit for the quarter was ¥9,872mn, up from ¥9,108mn year-over-year.

• Basic earnings per share for the quarter were ¥46.57, compared to ¥39.67 in the prior year.

• Healthcare Services and Pharmacy Services were the main contributors to sales and profit growth.

• Total assets increased to ¥116,600mn as of June 30, 2026, from ¥114,695mn at the previous fiscal year-end.

• Net assets rose to ¥85,315mn, with an equity-to-asset ratio of 72.5%.

Outlook and guidance

• Net sales are progressing in line with previous years, while profits are ahead of the average progress rate for 1Q.

• Full-year forecast for FY3/27: net sales ¥165,400mn (+3.6%), operating profit ¥8,985mn (-4.2%), ordinary profit ¥9,437mn (-6.5%), profit attributable to owners ¥6,117mn (+0.8%).

• Annual dividend forecast is ¥80.00 per share, including a commemorative dividend.

• Upside factors include higher-than-planned prescription unit prices and the addition of QLC Produce Corporation.