ISB (9702) Q2 2026 earnings summary

Executive summary

• Net sales for the first half of FY2026 reached ¥19,171 million, up 4.0% year-over-year, with operating profit at ¥1,582 million, up 12.3% year-over-year, and profit attributable to owners at ¥1,018 million, up 28.1% year-over-year, both tracking ahead of full-year forecasts.

• Comprehensive income increased 23.2% year-over-year to ¥980 million.

• Security Systems Business led growth, while order acquisition efforts intensified for the second half amid global market uncertainties.

Financial highlights

• Net sales: ¥19,171 million (104.0% YoY), operating profit: ¥1,582 million (112.3% YoY), ordinary profit: ¥1,618 million (113.4% YoY), profit attributable to owners: ¥1,018 million (128.1% YoY).

• Gross profit for the period was ¥4,743 million, up from ¥4,600 million year-over-year.

• Basic earnings per share increased to ¥88.83 from ¥69.46 in the prior year period.

• Operating profit margin improved to 8.3% from 7.6% year-over-year.

• Equity-to-asset ratio improved to 71.6% as of June 30, 2026, from 67.2% at year-end 2025.

Outlook and guidance

• FY2026 full-year forecast: net sales ¥38.5 billion (+¥1.5B YoY), operating profit ¥3.0 billion (+¥0.7B YoY), ordinary profit ¥3.0 billion, profit attributable to owners ¥1.8 billion (+¥0.4B YoY).

• Dividend forecast raised to ¥70 per share, with a payout ratio of 43.4%.

• Medium- to long-term plan targets ¥50 billion net sales and ¥4.5 billion operating profit by FY2030.