Toyo Seikan Group Holdings (5901) Q1 2027 earnings summary

Executive summary

• Sales and profits rose year-over-year in Q1 FY2026, driven by product price hikes in packaging and higher steel plate sales, with net sales up 11.4% to ¥267,626 million and operating profit up 34.8% to ¥20,335 million.

• Comprehensive income surged to ¥22,907 million, an 828.6% increase year-over-year.

• The impact of the Middle East conflict on Q1 was limited due to procurement timing, but is expected to affect full-year results.

Financial highlights

• Q1 FY2026 net sales: ¥267.6B (up 11.4% YoY); operating profit: ¥20.3B (up 34.8% YoY); EBITDA: ¥33.9B (up 18.8% YoY); ordinary profit: ¥21.9B (up 32.2% YoY).

• Profit attributable to owners of parent was ¥15.3B, with one source reporting a 7.2% YoY decrease and another a 7.2% increase.

• Basic earnings per share for Q1 FY2026 was ¥101.88, slightly down from ¥105.99 in Q1 FY2025.

• Total assets as of June 30, 2026, were ¥1,272,546 million, up from ¥1,240,692 million at the previous fiscal year-end.

• Net assets increased to ¥736,749 million, with an equity ratio of 55.8%.

Outlook and guidance

• Full-year FY2026 net sales forecast revised upward to ¥1,040.0B, up 8.0% YoY.

• Operating profit for the full year is forecast at ¥38.0B, a 26.9% decline, and profit attributable to owners of parent is expected to fall 35.5% to ¥22.0B.

• H1 FY2026 sales and profit expected to exceed May forecast, mainly due to higher steel plate sales.

• Middle East conflict impact factored into revised forecasts; full-year profit attributable to owners of parent forecast at ¥31.5B in one source and ¥22.0B in another.

• Basic earnings per share for the full year is forecast at ¥146.10, down from the previous year.