Avant Group (3836) Q4 2026 earnings summary

Executive summary

• Net sales reached ¥30,481 million, up 8.0% year-over-year, achieving record-high sales but falling 8.5% short of the full-year forecast, driven by strong performance in the Consolidated Financial Disclosure and Digital Transformation Promotion segments.

• Operating profit was ¥4,697 million, up 2.0% year-over-year, also a record high but 7.9% below forecast; ordinary profit slightly declined by 0.9% to ¥4,573 million.

• Net income attributable to owners declined 13.1% year-over-year to ¥2,985 million, missing forecast by 14.7%, impacted by higher commission, personnel, IT, and office expenses, and a one-time provision for loss on orders received.

• Dividend per share increased to ¥32 (+28% YoY), with total shareholder returns of ¥4.35 billion including share repurchases.

• Comprehensive income decreased 4.0% to ¥3,021 million.

Financial highlights

• Gross profit rose 7.5% year-over-year to ¥13,523 million; gross profit margin was 44.4%.

• EBITDA was ¥5,114 million, up 0.1% year-over-year; EBITDA margin was 16.8%.

• Adjusted operating profit (excluding one-time provision) was ¥4,936 million, 3.2% below forecast.

• Cash and cash equivalents at year-end were ¥13,382 million, down from ¥15,162 million; equity ratio at 60.3% as of FY6/26 Q4, down from 63.9%.

• Earnings per share dropped to ¥83.41 from ¥94.15.

Outlook and guidance

• FY6/27 forecasts: net sales ¥32,800 million (+7.6%), operating profit ¥5,000 million (+6.4%), net income/profit attributable to owners ¥3,450 million (+15.6%), EPS ¥100.13.

• Year-end dividend forecast for FY6/27 is ¥34 per share (DOE: 7.7%), targeting a dividend-to-net-assets ratio of 8%.

• Focus on rebuilding the Management Solutions Business to close gaps in the medium-term plan and return to the targeted growth trajectory.

• Management expects continued demand for data-driven management and group governance solutions, despite macroeconomic uncertainties.