ITOCHU (8001) Q1 2027 earnings summary

Executive summary

• Consolidated net profit for Q1 FY2026 reached ¥293.8 billion, up 3–3.5% year-on-year, and core profit was ¥249.5 billion, up 38% year-on-year, with all segments posting profit growth.

• Revenues rose 8.9% year-on-year to ¥3,875.9 billion, and trading income increased 20.3% year-on-year.

• Growth investments of ¥670.0 billion were committed, exceeding 50% of the annual plan, and a ¥300.0 billion share buyback was announced.

• Progress toward full-year forecasts is strong, with 31% of net profit and 28% of core profit achieved in Q1.

• The global economic environment was mixed, with resilient US demand, weak Chinese activity, and supply chain disruptions from Middle East tensions.

Financial highlights

• Gross trading profit reached ¥656.0 billion, up 10% year-on-year, and core profit increased by ¥68.5 billion year-on-year.

• Extraordinary gains and losses totaled ¥44.5 billion, mainly from asset sales, down from ¥88 billion last year.

• ROE was maintained at approximately 15%.

• Basic EPS for Q1 FY2026 was ¥42.02, reflecting the share split.

• Cash and cash equivalents increased to ¥673.4 billion as of June 30, 2026.

Outlook and guidance

• Full-year consolidated net profit forecast remains at ¥950.0 billion, with upward revisions in Machinery and Energy & Chemicals segments.

• FY2026 net profit is forecast to rise 5.5% year-on-year, with projected basic EPS of ¥136.75.

• Loss buffer of ¥40.0 billion remains unchanged.

• Machinery segment to benefit from ACG investment starting Q4.