ARE Holdings (5857) Q1 2026 earnings summary

Executive summary

• Q1 FY2026.3 sales revenue reached 137.1 billion yen, up 44.8 billion yen or 48.6% year-over-year, driven by higher precious metal prices and increased sales volume.

• Operating profit rose to 5.9 billion yen, a 2.3 billion yen or 63.9% increase year-over-year.

• Net income attributable to owners was 3.6 billion yen, up 0.4 billion yen or 31.4% year-over-year.

• Precious Metals Business and North American refining operations were key contributors to profit growth, with increased operating profit in recycling, electronics, dental, and jewelry sectors.

• Environmental Preservation segment's profit contribution remained flat year-over-year.

Financial highlights

• Sales revenue: 137.1 billion yen (Q1 FY2026.3), up from 92.3 billion yen year-over-year.

• Operating profit: 5.9 billion yen, up from 3.6 billion yen year-over-year.

• Net income: 3.6 billion yen, up from 3.2 billion yen year-over-year.

• Gross profit for Q1 2026 was 7.62 billion yen, up from 5.19 billion yen in Q1 2025.

• Basic earnings per share increased to 47.51 yen from 41.83 yen year-over-year.

Outlook and guidance

• FY2026.3 full-year sales revenue forecast: 448.2 billion yen (+11.5% year-over-year).

• Operating profit forecast: 22.0 billion yen (+10.1%); net income forecast: 16.2 billion yen (+13.1%).

• Dividend planned at 80 yen per share, with a payout ratio of 37.9%.

• No changes to previously announced forecasts.