Business Brain Showa-Ota (9658) Q1 2026 earnings summary

Executive summary

• Revenue for the three months ended June 30, 2025, rose 15.0% year-over-year to ¥10,052 million, with all segments contributing to growth.

• Operating profit surged 105.4% year-over-year to ¥655 million, and profit attributable to owners of parent increased 188.1% to ¥551 million.

• Orders received totaled ¥9,932 million (up 11.8% year-over-year), and order backlog reached ¥12,878 million (up 11.3%).

• Progress rate toward interim outlook: 48.7% for revenue and 45.8% for business profit.

• FY2025 marks the second year of the medium-term plan BBS2026, with a solid start in Q1.

Financial highlights

• Gross profit increased 20.0% year-over-year, driven by higher revenue and reduced loss on orders received.

• Basic earnings per share for the quarter was ¥50.91, up from ¥16.52 a year earlier.

• Total assets as of June 30, 2025, were ¥44,581 million, down ¥742 million from March 31, 2025.

• Total equity attributable to owners of parent was ¥28,785 million, with an equity ratio of 64.6%.

• 10-year revenue CAGR: 7.8%; 10-year business profit CAGR: 10.6%.

Outlook and guidance

• Full-year revenue forecast for fiscal year ending March 31, 2026, is ¥42,600 million (up 9.8% year-over-year).

• Operating profit is projected at ¥3,300 million (up 14.9%), and profit attributable to owners of parent at ¥2,560 million (up 3.7%).

• Medium-term plan BBS2026 targets 15% sales growth (including M&A) and 8.5% business profit margin by 2026.

• Organic sales growth rate for the quarter was 15.0%.

• No changes to previously announced earnings forecasts.