Alps Alpine (6770) Q1 2026 earnings summary

Executive summary

• Net sales for the three months ended June 30, 2026, were ¥237.9 billion, down 0.4% year-over-year, with higher sales in Mobility and Sensor & Communication offset by declines in mobile-related products in the Component segment.

• Operating income declined to a loss of ¥0.9 billion from a profit of ¥3.7 billion last year, due to higher memory prices and increased costs.

• Ordinary profit dropped 91.3% year-over-year to ¥0.1 billion, and loss attributable to owners of parent widened to ¥3.6 billion from ¥2.8 billion.

• Comprehensive income turned positive at ¥3.5 billion, compared to a loss of ¥5.3 billion in the prior year.

• Full-year consolidated financial forecast for FY2026 is maintained, with a planned ¥30 billion share repurchase.

Financial highlights

• FY2026 Q1 net sales: ¥237.9 billion, down 0.4% year-over-year.

• Operating income: -¥0.9 billion, down from ¥3.7 billion year-over-year.

• Ordinary income: ¥0.1 billion, down from ¥1.2 billion year-over-year.

• Profit attributable to owners: -¥3.6 billion, down from -¥2.8 billion year-over-year.

• Gross profit for the quarter was ¥37.5 billion, down from ¥39.7 billion year-over-year.

Outlook and guidance

• Full-year forecast for FY2026 remains unchanged, with total net sales projected at ¥1,045.0 billion and operating income at ¥45.5 billion.

• Fiscal year 2027 net sales are projected at ¥1,045 billion (+2.5% YoY), with profit attributable to owners of parent expected to rise 11.6% to ¥30 billion.

• Annual dividend forecast raised to ¥64 per share.

• Recovery in operating income expected in the second half, driven by increased sales, cost reductions, and price adjustments.

• Profit margins in Sensor & Communication expected to improve as high-margin products increase in mix.