Dai-Ichi Cutter Kogyo (1716) Q4 2026 earnings summary

Executive summary

• Net sales for FY ended June 30, 2026 were ¥20,089 million, down 0.7% year-over-year, mainly due to a decline in highway-related construction contracts in the cutting and drilling business.

• Operating profit was ¥1,645 million, nearly flat year-over-year, while ordinary profit rose 5.3% to ¥1,886 million, supported by higher non-operating income.

• Profit attributable to owners of parent increased 20.5% to ¥1,600 million, aided by a gain on sale of investment securities.

• Comprehensive income declined 7.9% year-over-year to ¥1,460 million.

Financial highlights

• Gross profit improved to ¥6,176 million from ¥5,830 million year-over-year.

• Selling, general and administrative expenses increased to ¥4,530 million.

• Cash and cash equivalents at period end were ¥8,655 million, up from ¥8,209 million.

• Equity ratio remained high at 86.4%.

• Basic earnings per share rose to ¥142.23 from ¥117.71 year-over-year.

Outlook and guidance

• FY ending June 30, 2027 forecast: net sales ¥20,700 million (+3.0% YoY), operating profit ¥1,950 million (+18.5% YoY), ordinary profit ¥2,090 million (+10.8% YoY), profit attributable to owners of parent ¥1,460 million (–8.8% YoY) due to absence of prior year’s extraordinary gain.

• Dividend forecast for FY 2027 is ¥45.00 per share, unchanged from FY 2026.