Kajima (1812) Q1 2026 earnings summary

Executive summary

• Q1 FY2025 revenues rose 5.9% year-over-year to ¥649.6B, with operating income up 48.7% and net income attributable to owners up 52.1%.

• Record-high consolidated revenues and gross profit margin achieved in Q1, with progress toward a record net income target of ¥130B for the full year.

• Gross profit margin improved to 11.7% from 10.1% YoY, driven by strong construction segment performance.

• Comprehensive income declined 35.3% YoY due to negative foreign currency translation adjustments.

• Construction demand in Japan remained robust; large-scale projects secured in the US and Europe.

Financial highlights

• Consolidated revenues rose to ¥649.6B (+¥36.3B YoY); operating income increased to ¥37.5B (+¥12.2B YoY); net income attributable to owners reached ¥26.5B (+¥9.0B YoY).

• Operating income reached ¥37.6B, up from ¥25.3B YoY; net income attributable to owners was ¥26.5B, up from ¥17.4B YoY.

• Basic net income per share increased to ¥56.46 from ¥36.60 YoY.

• Interest-bearing debt decreased by 6.0% to ¥744.3B as of June 30, 2025.

• Construction contract awards remained high at ¥520.6B, though down YoY.

Outlook and guidance

• Full-year forecasts remain unchanged: consolidated revenues ¥2,950B, operating income ¥159B, net income ¥130B.

• Operating income projected at ¥159B (+4.7%), net income attributable to owners at ¥130B (+3.3%).

• Full-year dividend forecast is ¥112 per share.

• Domestic and overseas real estate property sales expected to rise in 2H; aiming for further profit growth.

• Construction contract awards expected to decline 11.2% YoY, with domestic awards down 18.3%.