Global Security Experts (4417) Q1 2027 earnings summary

Executive summary

• Achieved record-high Q1 FY2027 revenue of ¥2,772 million, up 23.9% year-over-year, with all business domains and service lines showing growth amid strong cybersecurity demand and heightened AI-related risks.

• Q1 operating profit increased 41.7% to ¥499 million, and net profit attributable to shareholders surged 60.9% to ¥321 million, both marking record highs for a first quarter.

• Progress in line with full-year forecasts, driven by targeted strategies for different customer segments and robust demand among mid-sized and smaller enterprises.

• AI-driven growth strategies and nationwide expansion are being steadily executed.

Financial highlights

• Q1 FY2027 revenue: ¥2,772 million, up 23.9% year-over-year.

• Q1 operating income: ¥499 million, up 41.7% year-over-year.

• Q1 net income: ¥321 million, up 60.9% year-over-year.

• Gross profit margin improved to 36.2% from 33.4% year-over-year.

• EPS for Q1: ¥21.42, up ¥8.10 year-over-year (adjusted for stock split).

Outlook and guidance

• FY2027 revenue forecast: ¥13,778 million (+25% YoY); operating margin target: 21.3%; operating profit forecast: ¥2,939 million (+31.3% YoY).

• Net income forecast: ¥1,998 million (+34.4% YoY); EPS: ¥133.19.

• No changes to previously announced dividend or earnings forecasts.

• All business segments expected to see revenue growth.