TOPPAN (7911) Q1 2027 earnings summary

Executive summary

• Net sales for Q1 FY2026 rose 15.0% year-over-year to JPY 457.3 billion, with significant profit growth across all major metrics.

• Non-GAAP operating profit increased 57.0% year-over-year to JPY 25.4 billion, and net profit attributable to owners of parent surged 131.3% to JPY 21.6 billion.

• Non-GAAP net profit attributable to owners of parent jumped 175.0% to JPY 25.7 billion.

• Growth was driven by strong performances in Living & Industry and Information Solutions, while Electronics saw profit stability despite lower sales due to TPC deconsolidation.

• The company executed a major merger of subsidiaries and transitioned to a business unit structure to enhance competitiveness and synergy.

Financial highlights

• EBITDA rose 33.6% year-over-year to JPY 43.1 billion.

• Gross profit margin improved slightly to 24.2% from 24.0% year-over-year.

• SG&A expenses increased by JPY 9.0 billion, but the ratio to sales improved by 0.8 percentage points.

• Basic earnings per share for the quarter was JPY 76.89, more than double the prior year.

• Comprehensive income reached JPY 60.7 billion, a significant increase from JPY 2.0 billion a year earlier.

Outlook and guidance

• Full-year FY2026 guidance remains unchanged: net sales projected at JPY 1,925.0 billion (+6.6% YoY), non-GAAP operating profit at JPY 101.0 billion (+7.2% YoY), and net profit at JPY 80.0 billion (+19.2% YoY).

• Non-GAAP profit attributable to owners of parent is projected at JPY 75.0 billion (+5.2% YoY).

• Segment forecasts: Information Solutions and Living & Industry expected to grow, while Electronics is projected to decline due to structural changes.

• No changes have been made to previously announced forecasts.