Bunka Shutter (5930) Q2 2027 earnings summary

Executive summary

• H1 FY2027 net sales rose 4.9% YoY to ¥110.466bn and operating profit rose 5.0% to ¥4.054bn, both above plan; ordinary profit fell 6.3% to ¥4.045bn and profit attributable to owners fell 18.4% to ¥2.240bn.

• Sales growth and cost reductions supported operating profit; equity-method investment and foreign-exchange losses weighed on ordinary profit and net income.

Financial highlights

• Net sales were ¥110.466bn versus ¥110bn plan; operating profit was ¥4.054bn versus ¥4bn plan, achieving 100.4% and 101.4% of plan.

• Gross profit increased to ¥30.543bn from ¥28.248bn; SG&A rose to ¥26.488bn from ¥24.385bn. Profit before tax was ¥4.056bn versus ¥4.536bn; net profit was ¥2.236bn versus ¥2.741bn.

• H1 operating margin was 3.7%, matching the prior-year period and above the 3.6% plan; comprehensive income increased to ¥3.067bn from ¥1.992bn.

• H1 capital expenditure was ¥1.731bn, including ~¥1.3bn for production equipment and factory renewal and ~¥0.4bn for productivity-related systems.

Outlook and guidance

• FY2027 guidance is unchanged: net sales ¥250bn, operating profit ¥18.8bn, ordinary profit ¥19.5bn and parent-attributable profit ¥13bn; forecast EPS is ¥184.82.

• Operating margin is forecast at 7.5%; annual dividend guidance remains ¥74 per share, including ¥37 at the second-quarter end.

• September-end order backlog was ¥124.855bn, up 11.1% YoY; higher labor, material, depreciation and utility costs remain a drag, partly offset by selling-price increases.