IFIS Japan (7833) Q2 2023 earnings summary

Executive summary

• 2Q 2023 consolidated revenue was ¥2,900 million, up 4.9% YoY; ordinary income was ¥427 million and net income was ¥281 million, both below 2Q 2022.

• Revenue, ordinary income and net income reached 104%, 129% and 132% of plan, respectively.

Financial highlights

• Operating income was ¥424 million, down from ¥434 million YoY; ordinary income was ¥427 million, down from ¥443 million.

• Parent-attributable quarterly net income was ¥281 million versus ¥296 million YoY; net income margin was 9.7% versus 10.7%.

• Consolidated costs rose to ¥2,475 million; outsourcing costs increased 5.8% YoY, labor costs 6.4%, and depreciation 37.0%.

Outlook and guidance

• FY2023 forecast: revenue ¥5,600 million, 104% of FY2022; operating income ¥670 million, 81%; ordinary income ¥670 million, 80%; net income ¥434 million, 74%.

• Forecast dividend remains ¥18.50 per share, unchanged from FY2022.