Asahi Intecc (7747) Q1 2027 earnings summary

Executive summary

• Q1 FY2027 net sales rose 21.3% YoY to ¥43,729 million; operating profit increased 34.8% to ¥17,569 million, and profit attributable to owners of parent rose 38.0% to ¥12,706 million.

• Sales increased in both divisions and quarterly performance exceeded plan; FY2027 guidance remained unchanged pending review of distributor timing, FX and expense recognition.

Financial highlights

• Gross profit increased 27.0% YoY to ¥32,307 million; gross margin rose to 73.9% from 70.5%.

• Ordinary profit rose 39.0% to ¥17,909 million; basic EPS increased to ¥47.89 from ¥34.37.

• Comprehensive income decreased 16.1% to ¥9,896 million, mainly due to a smaller foreign-currency translation adjustment.

• SG&A rose to ¥14,737 million from ¥12,401 million; its sales ratio declined to 33.7% from 34.3%, and R&D expense was ¥3,252 million.

Outlook and guidance

• FY2027 forecast unchanged: net sales ¥161,794 million, operating profit ¥52,127 million, ordinary profit ¥52,600 million and parent-attributable profit ¥37,832 million.

• FY2027 basic EPS forecast is ¥142.59; Q1 sales and profit exceeded plan, but full-year effects of distributor timing, FX and expense recognition remain under review.

• SG&A timing differences, mainly R&D expenses, affected Q1; expenses are expected to progress generally as planned for FY2027.