CREEK & RIVER (4763) Q1 2026 earnings summary

Executive summary

• Q1 FY02/26 achieved record-high quarterly sales of ¥13,839 million, with operating profit up 12.7% and net profit attributable to owners at ¥913 million, both showing double-digit year-over-year growth.

• Gaming and medical segments, previously underperforming, are showing recovery.

• Two new subsidiaries, T & W Office Co., Ltd. and Takahashi Shoten Group, were added to the consolidation scope, increasing total assets by ¥20 billion.

• Comprehensive income for the quarter was ¥878 million, slightly down 0.7% year-over-year.

Financial highlights

• Sales: ¥13,839 million, up 8% year-over-year; operating profit: ¥1,421 million, up 13% year-over-year; ordinary profit: ¥1,406 million, up 10% year-over-year; net profit attributable to owners: ¥913 million, up 6% year-over-year.

• Gross profit margin: 38.6% (down 0.7pt year-over-year); gross profit increased to ¥5,340 million.

• Basic earnings per share for the quarter were ¥43.20, up from ¥39.67 a year earlier.

• Total assets surged to ¥47,870 million as of May 31, 2025, from ¥27,078 million at the previous fiscal year-end.

• Net assets were ¥16,067 million, with an equity-to-asset ratio of 33.1%.

Outlook and guidance

• Full-year forecasts are progressing as planned, with FY Feb 2026 sales projected at ¥60 billion (+10% YoY) and operating profit at ¥5 billion (+38% YoY).

• Profit attributable to owners of parent expected at ¥3,200 million, up 42.1%.

• Takahashi Shoten Group expected to contribute ¥4.9 billion in sales and ¥500 million in operating profit for the year.

• Dividend per share forecasted at ¥45, payout ratio 30%.

• No revisions to previously announced earnings or dividend forecasts.