Iida Group Holdings (3291) Q2 2026 earnings summary

Executive summary

• Revenue for 1H FY2026/3 was ¥685.0 billion, down 0.3% YoY, achieving 93.6% of the 1H plan.

• Operating profit reached ¥39.5 billion, up 4.2% YoY, and 126.3% of the 1H plan, despite ¥5 billion in SG&A for Expo 2025.

• Profit attributable to owners was ¥24.9 billion, up 5.3% YoY, and 155.7% of the 1H plan.

• The group focused on enhancing core business competitiveness, expanding its portfolio, and managing inventory.

• The Japanese economy showed moderate recovery, but uncertainty persists due to inflation and global market developments.

Financial highlights

• Gross profit margin improved to 17.9% from 16.0% YoY.

• SG&A costs rose 15.1% YoY, mainly due to Expo-related advertising and higher personnel expenses.

• Cash and deposits decreased by ¥100.9 billion since March 2025, while inventories increased by ¥114.7 billion.

• Total assets as of September 30, 2025, were ¥1,888,826 million, up ¥34,995 million from March 31, 2025.

• Cash flows from operating activities were negative, mainly due to increased inventories and higher income tax payments.

Outlook and guidance

• Full-year revenue forecast revised to ¥1,530 billion (97% of previous), with operating profit raised to ¥93 billion (109% of previous).

• Profit attributable to owners forecast increased to ¥58 billion (113.7% of previous), with basic EPS expected at ¥209.89.

• Dividend forecast raised to ¥100 per share, including a commemorative dividend for Expo 2025.