Archion (543A) Q1 2027 earnings summary

Executive summary

• Q1 FY2026 performance aligned with full-year operational outlook, showing strong momentum post-business integration of Fuso and Hino, completed April 1, 2026, with consolidated results now reflecting the combined entity under IFRS.

• Business integration progressing, with synergy initiatives underway and successful completion of a secondary global share offering, broadening shareholder base and meeting TSE Prime Market requirements.

• Shareholder base diversified, increasing free-float and liquidity, supporting sustainable growth as an independent global company.

• Q1 FY2026 revenue rose 14% year-over-year to ¥597.9 billion, driven by strong domestic and Southeast Asian truck and bus sales.

• Operating profit before preliminary bargain purchase gain grew 32% year-over-year to ¥29.0 billion.

Financial highlights

• Q1 FY2026 unit sales rose 14% year-over-year to 60,000 units, driven by improved product availability, especially in Japan and Southeast Asia.

• Revenue increased 14% year-over-year to ¥597.9 billion, with new vehicle sales up 18% and parts & service up 6%.

• Operating profit before bargain purchase gain: ¥29.0 billion (+32% year-over-year); total operating profit: ¥262.3 billion (including ¥233.2 billion preliminary bargain purchase gain).

• Net income attributable to owners (excluding bargain purchase gain) was ¥18.2 billion, unchanged year-over-year; including the gain, net income reached ¥251.5 billion.

• Basic EPS for Q1 at 91 yen (including bargain purchase gain), 7 yen excluding it.

Outlook and guidance

• FY2026 outlook reaffirmed: unit sales of 230,000, revenue of ¥2,425.0 billion, operating profit of ¥110.0 billion (RoS 4.5%).

• Underlying net income guidance at ¥70.0 billion, EPS (excluding bargain purchase gain) at 25 yen, DPS at 8 yen (payout ratio ~30%).

• Profit attributable to owners of the parent forecast: ¥303.2 billion; basic EPS forecast: ¥110.01.

• Revised outlook incorporates non-recurring, non-cash preliminary bargain purchase gain of ¥233.2 billion.