I-ne CO (4933) Q1 2026 earnings summary

Executive summary

• Q1 net sales rose 12.4% YoY to ¥12.493bn, while operating profit fell 13.8% to ¥765m and EBITDA declined 8.9% to ¥1.199bn.

• Profit attributable to owners of parent fell 54.4% to ¥173m; strategic priorities include renewing growth in haircare and beauty appliances, scaling newer brands and expanding globally.

Financial highlights

• Ordinary profit decreased 14.8% to ¥706m; comprehensive income fell 48.7% to ¥207m, and basic EPS declined to ¥9.74 from ¥21.73.

• Gross profit rose to ¥7.476bn from ¥6.240bn, while SG&A increased to ¥6.710bn; advertising and promotion expense climbed to ¥2.661bn from ¥1.753bn.

• Total assets were ¥34.842bn at March 31, 2026, down from ¥37.060bn at December 2025; the equity-to-asset ratio improved to 52.6% from 49.8%.

• Extraordinary losses of ¥109m were recorded, related to special investigation costs.

Outlook and guidance

• FY2026 net sales guidance is ¥52–54bn, representing 6.2–10.3% YoY growth; EBITDA is projected at ¥1.2–2.7bn and operating profit at a ¥500m loss to ¥1bn profit.

• Guidance reflects uncertainty from Strait of Hormuz geopolitical risk; raw materials and supplies were expected to face a ¥700–800m negative impact as of end-April.

• Additional 2026 strategic advertising investment of ¥3–4bn is planned, with further spending possible while maintaining an internal benchmark profit level.