Canare Electric (5819) Q2 2026 earnings summary

Executive summary

• H1 FY2026 revenue reached a record ¥6,638 million, up 2.9% YoY, driven by overseas growth despite domestic softness.

• Operating profit declined 0.4% to ¥889 million and net income fell 1.8% to ¥635 million, amid higher material costs and increased sales and R&D investment.

• Overseas growth in the US, Korea and Southeast Asia offset declines in Japan and China; yen depreciation also supported sales.

Financial highlights

• Ordinary profit was ¥929 million, down 0.5% YoY.

• Comprehensive income rose 54.5% YoY to ¥787 million, mainly from foreign currency translation gains.

• H1 EPS was ¥92.77, down from ¥94.78 a year earlier.

• Gross profit margin declined amid rising material costs.

Outlook and guidance

• FY2026 forecast unchanged: revenue ¥13,200 million (+0.6% YoY), operating profit ¥1,480 million (-6.4%), ordinary profit ¥1,630 million (-2.8%), and net income ¥1,180 million (-1.7%).

• FY EPS forecast is ¥172.68, down ¥3.06 YoY.

• Middle East uncertainty and its potential impact remain risks to the outlook.