Inabata (8098) Q2 2027 earnings summary

Executive summary

• H1 FY2027 net sales, operating profit and ordinary profit reached first-half records; net sales rose 17.7% to ¥485,764 million, operating profit 38.5% to ¥19,464 million, and ordinary profit 33.8% to ¥19,820 million.

• Profit attributable to owners of parent increased 12.5% to ¥13,452 million, despite no gains on sales of investment securities in H1 FY2027.

Financial highlights

• Gross profit rose to ¥50,358 million from ¥41,666 million; SG&A increased to ¥30,893 million from ¥27,617 million, with higher gross margin supporting operating profit growth.

• Basic EPS was ¥251.95, versus ¥222.15 a year earlier; average exchange rate was ¥159.49 per U.S. dollar, versus ¥146.02.

• Comprehensive income was ¥12,256 million versus ¥17,381 million, including a ¥2,561 million foreign currency translation adjustment loss.

Outlook and guidance

• FY2027 forecasts were raised: net sales to ¥920,000 million, operating and ordinary profit to ¥32,000 million each, and profit attributable to owners of parent to ¥22,000 million; forecast EPS is ¥414.32.

• H1 progress against revised forecasts was 52.8% for net sales, 60.8% for operating profit, 61.9% for ordinary profit and 61.1% for attributable profit.

• FY2027 annual dividend forecast is ¥143 per share, comprising ¥70 interim and ¥73 year-end; no revision to the dividend forecast was made.