Daiichikosho (7458 ) investor relations material

Executive summary

• H1 FY2027 net sales reached a record ¥84,412 million, up 5.2% YoY; operating profit rose 25.4% to ¥10,568 million and parent profit rose 11.9% to ¥6,844 million.

• Sales and profit grew across all segments, supported by commercial karaoke stock revenue and stronger results in cabins and restaurants, music software, and other businesses.

• H1 operating profit exceeded the revised August forecast and topped ¥10 billion for the first time since FY2018; full-year guidance remains unchanged.

Financial highlights

• H1 net sales were ¥84,412 million, gross profit ¥29,829 million, operating profit ¥10,568 million, ordinary profit ¥10,936 million, and parent profit ¥6,844 million.

• Results exceeded forecasts: net sales by 1.6%, operating profit by 10.1%, ordinary profit by 11.6%, and parent profit by 10.4%.

• Basic EPS was ¥66.21 versus ¥58.93 in H1 FY2026; comprehensive income was ¥7,722 million versus ¥6,116 million.

• At September 30, 2026, total assets were ¥221,028 million, liabilities ¥91,942 million, and net assets ¥129,085 million.

• Extraordinary income included a ¥105 million gain on sale of non-current assets, compared with ¥972 million in H1 FY2026.

Outlook and guidance

• FY2027 guidance remains unchanged: net sales ¥169,000 million, operating profit ¥19,300 million, ordinary profit ¥19,700 million, parent profit ¥12,600 million, and basic EPS ¥121.88.

• FY2027 annual dividend forecast remains ¥68 per share, comprising ¥34 interim and ¥34 year-end.

• H1 achieved 49.5% of full-year sales guidance, 54.8% of operating profit guidance, and 54.3% of parent profit guidance.

• Sales growth bridge includes recurring karaoke revenue of +¥2.2 billion and parking sales of +¥1.5 billion, partly offset by a ¥2.1 billion decline in product sales as prior-year new-product effects fade.

• Operating profit guidance reflects karaoke sales growth and recurring-revenue mix benefits, offset by cost inflation, investment, and other costs.