Yamaha (7951) Q1 2027 earnings summary

Executive summary

• Revenue rose 12% year-over-year to ¥116.3 billion in Q1 FY2027.3, driven by recovery in musical instrument sales and a weaker yen.

• Core operating profit nearly doubled to ¥9.3 billion, supported by improved product mix, price optimization, and favorable exchange rates.

• Net profit surged 348.8% year-over-year to ¥10.7 billion, boosted by a ¥4.3 billion U.S. tariff refund.

• New product launches, especially in digital musical instruments and pianos, contributed significantly to growth.

• Comprehensive income reached ¥20,551 million, up from ¥1,432 million in the prior year.

Financial highlights

• Q1 FY2027.3 revenue: ¥116.3B (+12.0% YoY); core operating profit: ¥9.3B (+97.7% YoY); net profit: ¥10.7B (+348.8% YoY).

• Gross profit increased to ¥46,883 million from ¥38,720 million year-over-year.

• Cash and cash equivalents at period end were ¥120.9 billion, up from ¥103.2 billion a year earlier.

• Full-year FY2027.3 forecast: revenue ¥490.0B (+5.3% YoY), core operating profit ¥38.0B (+19.2% YoY), net profit ¥31.0B (+30.7% YoY).

• Total assets rose to ¥638.9 billion, up 3.5% from the previous fiscal year-end.

Outlook and guidance

• Full-year revenue and core operating profit forecasts maintained; net profit forecast revised upward due to U.S. tariff refund.

• Additional procurement cost increases of ¥3.5 billion expected, total ¥10.5 billion.

• Continued price optimization and new product launches expected to offset cost pressures.

• ROE forecast raised to 6.3%, ROIC forecast slightly lowered to 5.3%.

• Operating profit and profit before income taxes revised upward by 11.8% and 11.5%, respectively.