ITOCHU Techno-Solutions (4739) Q2 2026 earnings summary

Executive summary

• Revenue and all income items reached record highs for the first half, with double-digit year-over-year growth in all income categories.

• Orders received and backlogs also set new records, reflecting strong IT investment demand across industries.

• Growth was driven by focus areas such as AI, security, and high-value-added development businesses.

Financial highlights

• Revenue rose to ¥364.0 billion, up 5.3% year-over-year.

• Gross profit increased by 12.5% to ¥95.8 billion, with gross profit margin up 1.7 percentage points to 26.3%.

• Operating income grew 12.8% to ¥34.2 billion, with margin up 0.6 points to 9.4%.

• Net profit attributable to shareholders rose 13.9% to ¥24.3 billion.

• Orders received reached ¥364.9 billion (+2.5%), and backlogs hit ¥479.9 billion (+5.7%).

Outlook and guidance

• FY2025 revenue is projected at ¥825.0 billion (+13.3% YoY), with gross profit of ¥214.0 billion (+14.0%).

• Operating income is forecast at ¥77.5 billion (+13.6%), and net profit at ¥55.0 billion (+9.4%).

• Orders received and backlogs are expected to grow to ¥870.0 billion and ¥524.0 billion, respectively.

• Strategic focus on expanding cloud native, security, data & analytics, and advanced AI businesses.