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Obayashi (1802) investor relations material
Obayashi Q1 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Net sales for Q1 FY2025 were ¥523.7B, down 8.4% year-over-year, mainly due to fewer large domestic building completions and strategic order alignment.
Operating income rose to ¥15.8B, supported by highly profitable projects and strong overseas civil engineering, offsetting domestic declines.
Profit attributable to owners of parent was ¥18.1B, down 30.0% year-over-year, impacted by lower extraordinary income and shareholdings sales.
Orders received decreased to ¥622.0B, reflecting fewer large project orders in domestic building and civil engineering.
Ordinary income fell 9.1% to ¥18.4B, impacted by the absence of prior-year foreign exchange gains.
Financial highlights
Gross profit increased to ¥54.3B from ¥51.6B year-over-year, with margin improvement due to profitable projects.
Cash and deposits rose by ¥62.1B to ¥456.8B as of June 30, 2025; interest-bearing debt decreased by ¥5.4B to ¥357.3B.
Equity declined to ¥1,117.5B, reflecting share buybacks and dividend payments; equity ratio improved to 38.8%.
EPS for the quarter was ¥25.59, down from ¥35.98 in the prior year.
Total assets decreased by ¥161.8B to ¥2,880.9B, mainly due to lower trade receivables.
Outlook and guidance
Full-year consolidated net sales forecast at ¥2,560.0B, down 1.2% year-over-year; operating income forecast at ¥122.0B, down 14.4%.
Profit attributable to owners of parent forecast at ¥100.0B, a 31.2% decrease year-over-year; EPS guidance at ¥143.86.
New orders forecast at ¥2,700.0B, down 18.6% from FY2024, aligning with construction capacity.
ROIC expected at 5.5%, exceeding the 5% target; ROE forecast at 8.7%, below the 10% target.
No revisions to previously announced forecasts.
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