Menicon Company (7780) Q1 2027 earnings summary

Executive summary

• Net sales rose 7.0% year-over-year to ¥32,376 million, driven by strong growth in daily disposable (1-DAY) lens sales in Japan and overseas, as well as growth in the Healthcare and Life Care business, particularly in the U.S. food segment.

• Operating profit surged 74.9% year-over-year to ¥3,429 million, reflecting higher gross profit and cost structure adjustments.

• Ordinary profit increased 90.1% year-over-year to ¥3,361 million, aided by foreign exchange gains.

• Profit attributable to owners of parent more than doubled, up 124.9% year-over-year to ¥2,230 million.

• Comprehensive income reached ¥3,182 million, up 180.6% year-over-year.

Financial highlights

• Gross profit increased 9.1% to ¥17,565 million, with a gross margin improvement of 1.1 points.

• Basic earnings per share rose to ¥30.05 from ¥13.05 year-over-year.

• Equity ratio stood at 47.0% as of June 30, 2026.

• Total assets increased to ¥203,359 million, up ¥8,718 million from the previous fiscal year-end.

• Net assets rose to ¥96,246 million, up ¥1,139 million from March 31, 2026.

Outlook and guidance

• Full-year net sales forecast at ¥133,000 million, up 5.9% year-over-year, and operating profit projected at ¥11,000 million, up 7.5% year-over-year.

• Profit attributable to owners of parent expected to reach ¥6,500 million, up 9.9% year-over-year.

• Progress rates for key metrics are on track, with operating profit at 31.2% of the annual forecast after 1Q.

• No changes to previously announced full-year forecasts.

• Continued focus on expanding 1-DAY lens sales, especially overseas, and strengthening sales promotion in Japan and abroad.