ASKUL (2678) investor relations material

Executive summary

• FY5/2026 net sales and operating profit met revised targets despite a ransomware attack, with a focus on sales recovery and structural reforms.

• Net sales declined 16.8% year-over-year to ¥400.2 billion due to a major system outage from a ransomware attack, resulting in operational disruption.

• The company posted an operating loss of ¥17.4 billion and a net loss attributable to owners of parent of ¥22.2 billion, reversing prior-year profits.

• Extraordinary losses included ¥5.1 billion in system failure response costs and a ¥4.8 billion impairment loss on goodwill and customer-related intangible assets.

• Management transition to next-generation leadership aims to accelerate growth and improve profitability.

Financial highlights

• FY5/2026 net sales: ¥400.2 billion, down 16.8% year-over-year; operating profit: -¥17.4 billion, impacted by extraordinary losses.

• Ordinary profit dropped from ¥13.8 billion to a loss of ¥19.1 billion.

• Gross profit: ¥89.3 billion (22.3% margin), down 24.0% year-over-year; SG&A expenses: ¥106.8 billion (26.7% of sales), up 3.1%.

• Basic earnings per share fell from 95.45 yen to (245.41) yen.

• FY5/2027 forecast: net sales ¥490.0 billion (+22.4% YoY), operating profit ¥7.0 billion, profit attributable to owners ¥4.0 billion.

Outlook and guidance

• FY5/2027 targets sales growth and improved profitability through cost reductions, logistics efficiency, and AI-driven initiatives.

• EBITDA expected to recover in FY5/2027.

• Annual dividend per share planned to double to ¥20, with a total return ratio target of 45%.

• Profitability is expected to improve in the second half of FY5/2027 as business normalizes and recovery measures take effect.