Hazama Ando (1719) Q2 2026 earnings summary

Executive summary

• Net sales rose 7.6% year-over-year to ¥201.0 billion for the six months ended September 30, 2025, with operating profit up 24.2% to ¥12.0 billion and profit attributable to owners of parent up 18.3% to ¥7.7 billion.

• Revenue and earnings increased year-over-year, driven by progress on large-scale projects and improved project profitability.

• Non-consolidated orders received decreased 16.1% year-over-year to ¥159.2 billion, with civil engineering orders down 39.9% and building construction orders down 7.5%.

• The Japanese economy showed moderate recovery, but persistent price increases and global trade policy uncertainties remain risks.

Financial highlights

• Gross profit increased 26.1% year-over-year to ¥27.1 billion, with gross profit margin improving by 2.0 points to 13.5%.

• Operating profit margin rose to 6.0% from 5.2% a year earlier.

• Ordinary profit increased 19.5% year-over-year to ¥11.3 billion.

• Comprehensive income more than doubled to ¥18.5 billion, up 104.9% year-over-year.

• Cash and cash equivalents at period end were ¥59.5 billion, up from ¥46.9 billion a year earlier.

Outlook and guidance

• Full-year consolidated net sales forecasted at ¥441.0 billion (+3.7% YoY), operating profit at ¥27.1 billion (-23.1% YoY), ordinary profit at ¥26.5 billion (-22.2% YoY), and profit attributable to owners of parent at ¥18.0 billion (-31.9% YoY).

• Gross profit margin expected to decrease to 12.9% for the full year.

• Dividend forecast for FY3/26 is ¥80 per share, with a total return ratio target of 70% or more.