TOA (1885) investor relations material

Executive summary

• Q1 FY2027 net sales fell 8.7% YoY to ¥76,188 million; operating profit declined 0.9% to ¥5,121 million, while ordinary profit rose 3.8% to ¥5,225 million and parent-attributable profit rose 6.7% to ¥3,679 million.

• Gross profit increased to ¥9,499 million and consolidated gross margin reached 12.5%; overseas growth and improved domestic building profitability supported results.

• Medium-term strategy targets net sales of ¥500 billion and operating profit of ¥30 billion by FY2035.

Financial highlights

• SG&A increased to ¥4,377 million from ¥3,851 million YoY; operating profit was nearly flat as higher gross profit was offset by increased expenses.

• Comprehensive income was ¥4,504 million, up 33.1% YoY; basic EPS was ¥47.58 versus ¥43.58.

• Total assets declined ¥24,490 million from March 31 to ¥280,945 million; net assets decreased ¥537 million to ¥117,389 million.

Outlook and guidance

• FY2027 consolidated forecast unchanged: net sales ¥360,000 million, operating profit ¥21,100 million, ordinary profit ¥20,800 million and parent-attributable profit ¥14,500 million.

• FY2027 non-consolidated forecast: orders ¥292,000 million, net sales ¥344,000 million and operating profit ¥20,400 million; management aims to exceed sales and operating profit targets.

• Higher material and other costs are expected to be addressed through price-pass-through negotiations; management prioritizes execution of secured work.