INFRONEER Holdings (5076) investor relations material

Executive summary

• Q1 FY2027 net sales rose 60.9% YoY to ¥308.4bn and business profit increased 103.1% to ¥14.8bn; both, along with EBITDA and net income, reached records since establishment.

• Profit attributable to owners of parent reached ¥76.1bn, while profit before tax was ¥111.2bn, including ¥99.5bn of finance income.

• FY2027 guidance was raised following Swing’s consolidation from July 1; the full-year dividend forecast increased to ¥132 per share.

Financial highlights

• Gross profit was ¥42.2bn, with a 13.7% margin, versus ¥24.9bn and 13.0% a year earlier.

• Operating profit increased to ¥14.4bn from ¥6.7bn; EBITDA rose to ¥27.5bn from ¥17.1bn.

• Finance income was ¥99.5bn versus ¥6.5bn a year earlier, including a ¥97.5bn fair-value gain on the TB Investment Limited Partnership investment.

• Net cash from operating activities was ¥55.5bn; investing activities used ¥18.2bn and financing activities used ¥42.9bn.

Outlook and guidance

• Revised FY2027 forecasts: net sales ¥1,445.0bn, business profit ¥86.7bn, operating profit ¥84.5bn, profit before tax ¥122.4bn and parent-attributable profit ¥85.5bn.

• FY2027 EBITDA forecast is ¥137.1bn; basic EPS is forecast at ¥329.

• Swing is expected to contribute FY2027 net sales of ¥96.6bn, gross profit of ¥19.2bn and operating profit of ¥5.8bn; business profit guidance includes ¥5.2bn from Swing and ¥1.5bn from revised estimates.

• Building construction, civil engineering, road civil engineering and machinery expect to achieve full-year targets; infrastructure management expects sales and profits to rise with Swing’s consolidation.