Central Security Patrols Co (9740) Q4 2026 earnings summary

Executive summary

• Achieved record sales of ¥78,745 million, up 10.3% year-over-year, with operating profit of ¥4,499 million, up 3.9% year-over-year, and recurring profit of ¥4,701 million, up 3.0% year-over-year.

• Net income attributable to parent company shareholders declined 22.5% year-over-year to ¥2,503 million due to special losses from litigation settlement and goodwill impairment, despite special gains from policy share sales.

• Marked the first year of the mid-term plan “Omoi 2030,” focusing on business foundation and growth investments, and advanced technology initiatives including AI-based security and drone business.

• Celebrated 60th anniversary with commemorative events and employee recognition.

Financial highlights

• Revenue: ¥78,745 million (up 10.3% year-over-year); operating profit: ¥4,499 million (up 3.9%); ordinary/recurring profit: ¥4,701 million (up 3.0%).

• Net income: ¥2,503 million (down 22.5% year-over-year); EPS: ¥174.93 (down ¥47.11 year-over-year); ROE: 6.2% (down 2.2 points year-over-year).

• Operating margin was 5.7%, recurring margin 6.0%.

• Comprehensive income rose 27.3% year-over-year to ¥4,506 million.

• Total assets: ¥717.3 billion (up ¥82.1 billion from previous year-end); equity increased by ¥21.5 billion year-over-year.

Outlook and guidance

• Aims to optimize integration of people and technology, leveraging AI and cloud for advanced security services, and expand area management using the “Kakehashi” platform.

• FY2027 forecast: revenue ¥78,000 million (down 0.9%), operating profit ¥3,500 million (down 22.2%), recurring profit ¥3,600 million (down 23.4%), net income ¥2,300 million (down 8.1%).

• Plans further M&A and expects continued cost pressures from wage increases and a challenging business environment.

• Dividend for FY2027 projected at ¥61 per share (interim ¥30, year-end ¥31); FY2026 year-end dividend set at ¥30 per share.