Nifco (7988) investor relations material

Executive summary

• Net sales for 1Q FY2026 reached a record high, increasing 6.3% year-over-year to 90,888 million yen, supported by strong domestic automotive demand and favorable exchange rates.

• Operating profit declined 1.6% year-over-year to 12,786 million yen due to higher personnel, material, and logistics costs, despite cost reduction efforts.

• Net income attributable to owners of parent decreased 9.6% year-over-year to 8,890 million yen, with EPS down 7.6% to 47.73 yen, reflecting increased costs and a stock split adjustment.

• Ordinary profit increased 7.2% year-over-year to 13,502 million yen, mainly from foreign exchange gains.

Financial highlights

• Net sales: 90.9bn yen (+6.3% YoY); Operating profit: 12.8bn yen (-1.6% YoY); Net income: 8.9bn yen (-9.6% YoY); Ordinary profit: 13.5bn yen (+7.2% YoY).

• Gross profit for the quarter was 28,026 million yen, up from 27,251 million yen in the prior year.

• Comprehensive income surged to 9,059 million yen from 1,655 million yen a year earlier.

• EPS: 47.73 yen (down 7.6% YoY, adjusted for stock split).

• Net assets as of June 30, 2026, were 301,240 million yen, with a net assets ratio of 76.6%.

Outlook and guidance

• 1Q net sales achievement rate is 24.8% of the full-year forecast; operating profit achievement rate is 25.2%.

• Full-year FY2026 net sales forecast: 367.0bn yen (+4.1% YoY); operating profit forecast: 50.8bn yen (+5.7% YoY); EPS forecast: 182.55 yen; profit attributable to owners of parent forecast: 34.0bn yen.

• No revisions have been made to previously announced forecasts.