CTI Engineering Co (9621) Q2 2026 earnings summary

Executive summary

• Sales for the six months ended June 30, 2026, rose 8.3% year-over-year to JPY 55,003 million, with net income attributable to owners up 17.1% to JPY 4,427 million, reflecting strong domestic and overseas demand for infrastructure solutions.

• Orders received were JPY 61,053 million, up 0.2% year-over-year, and sales reached 52.4% of the full-year forecast.

• Operating income rose 10.7% year-over-year to JPY 6,617 million, with improved cost efficiency and margins.

• The business environment benefited from increased public works budgets in Japan and rising overseas infrastructure demand, though global uncertainties remain.

• Full-year sales and profits are forecasted to increase, in line with the initial plan.

Financial highlights

• Operating income increased 10.7% year-over-year to JPY 6,617 million; ordinary profit rose 11.0% to JPY 6,696 million.

• Net income per share was 161.93 yen, up from 136.11 yen in the prior year period.

• Comprehensive income grew 25.9% year-over-year to JPY 4,439 million.

• Total assets increased to JPY 99.4 billion, and net assets rose to JPY 68.4 billion as of June 30, 2026.

• Achievement ratios for the first half: Orders received 58.1%, Sales 52.4%, Operating income 63.0%, Net income 63.3% of full-year plan.

Outlook and guidance

• Full-year sales are forecast at JPY 105,000 million (up 3.9%), with operating income of JPY 7,000 million (up 17.6%) and net income per share projected at 257.41 yen.

• Dividend forecast for FY2026 was revised upward to JPY 110 per share (payout ratio 42.7%).

• Treasury share buyback of up to JPY 3.0 billion planned between August 2026 and April 2027.

• Mid-Term Management Plan targets JPY 110 billion sales and JPY 12 billion operating income by FY2027.

• No revision to the previously announced financial results forecast.