Kandenko (1942) Q1 2027 earnings summary

Executive summary

• Net sales for Q1 FY2026 were ¥158,043 million, down 4.5% year-over-year.

• Operating profit rose 12.8% year-over-year to ¥19,719 million, and profit attributable to owners of the parent increased 4.2% to ¥13,185 million.

• Orders received (non-consolidated) grew 11.2% year-over-year to ¥246,249 million, driven by both general customers and the TEPCO Group.

• Comprehensive income declined 34.0% year-over-year to ¥11,561 million.

Financial highlights

• Gross profit margin on completed construction contracts improved to 18.1% from 15.2% year-over-year, with gross profit rising to ¥28,601 million from ¥25,123 million.

• Ordinary profit rose to ¥20,537 million, up from ¥18,261 million year-over-year.

• Earnings per share increased to ¥66.25 from ¥61.91 year-over-year.

• Selling, general and administrative expenses increased 16.1% year-over-year.

• Non-consolidated operating profit rose 15.4% year-over-year to ¥16,091 million.

Outlook and guidance

• Consolidated net sales for FY2026 are forecast at ¥780,000 million, up 5.1% year-over-year.

• Operating profit is projected to reach ¥90,000 million, up 8.3% year-over-year.

• Profit attributable to owners of parent forecast at ¥65,000 million, up 2.3% year-over-year.

• Full-year earnings per share forecast at ¥326.61.

• Non-consolidated orders received are expected to grow 10.6% to ¥809,000 million for FY2026.