Daiichikosho (7458 ) Q4 2026 earnings summary

Executive summary

• Achieved record-high net sales of ¥162.95 billion in FY2025, driven by strong performance in karaoke, restaurant, and parking businesses, and the launch of LIVE DAM WAO!

• Operating profit was ¥17.92 billion, nearly unchanged year-over-year due to increased SG&A expenses, including personnel and promotion costs.

• Net income attributable to owners declined 12.6% to ¥15.89 billion, mainly due to the absence of deferred tax asset gains from the prior year.

• Comprehensive income decreased 19.2% year-over-year to ¥15.21 billion.

• Parking business expanded, and head office relocation and real estate sales planned for February 2026.

Financial highlights

• Net sales rose 6.5% year-over-year to ¥162.95 billion, a record high.

• Operating profit was ¥17.92 billion, nearly unchanged from the previous year.

• Net income attributable to owners was ¥15.89 billion, down 12.6% year-over-year.

• Free cash flow improved to ¥14.06 billion, up ¥0.84 billion from the previous year.

• Cash and cash equivalents at year-end were ¥48.48 billion, up ¥6.89 billion year-over-year.

Outlook and guidance

• FY2026 net sales forecast at ¥168.7 billion, up 3.5% year-over-year.

• Operating profit projected at ¥18.5 billion, up 3.3% year-over-year.

• Net income expected to decrease 23.2% to ¥12.2 billion due to lack of extraordinary gains.

• Continued growth expected in parking and karaoke businesses, with focus on recurring revenue and profitability per DAM unit.

• Company notes uncertainty due to geopolitical risks and commodity price hikes.