U-NEXT HOLDINGS (9418) investor relations material

Executive summary

• FY2026 net sales reached a record ¥469,957m, up 20.4% YoY; EBITDA rose 5.9% to ¥46,071m, while operating profit fell 4.2% to ¥30,255m.

• Recurring sales increased 23% to ¥390.2bn, 83% of total sales; all segments except Communication & Energy achieved record operating profit.

• FY2027 guidance forecasts 11.5% sales growth, 15.3% EBITDA growth and 10.3% growth in owner-attributable profit.

Financial highlights

• Operating margin declined to 6.4% from 8.1%; ordinary profit fell 9% to ¥28,169m and owner-attributable profit fell 18.7% to ¥14,959m.

• Adjusted owner-attributable profit was ¥18,711m, down 14%; adjusted EPS declined 13.9% to ¥103.74.

• EBITDA less CAPEX shifted from positive ¥16.887bn to negative ¥2.333bn, including ¥21.6bn of growth investments; sales exceeded forecast by 11%, while operating profit reached 90% and EBITDA 99% of forecast.

Outlook and guidance

• FY2027 forecasts: net sales ¥524,000m, operating profit ¥32,500m, ordinary profit ¥30,700m, owner-attributable profit ¥16,500m and EBITDA ¥53,100m.

• Adjusted profit is forecast at ¥20.3bn, adjusted EPS at ¥112.54; EBITDA less CAPEX is forecast at ¥23.8bn, excluding potential M&A and assuming broadly flat investing cash flow CAPEX YoY.

• Segment EBITDA is forecast to grow over 10% in each business; higher back-office and cybersecurity costs are included in adjustments.

• Energy guidance assumes declines of 5,300 high-voltage and 53,400 low-voltage accounts, flat sales and ¥1.0bn EBITDA growth as the recovery plan takes effect.

• FY2027 dividend forecast is ¥19 per share, split into ¥9.5 interim and year-end; payout ratio target is 20–30% by FY2030.