Koike Sanso Kogyo (6137) Q2 2026 earnings summary

Executive summary

• H1 FY2026 revenue fell 8.7% YoY to ¥23,176 million; operating profit declined 55.7% to ¥1,023 million and net income fell 62.6% to ¥584 million.

• Earnings were pressured by weak demand, higher-than-planned product development costs, and ERP implementation expenses; full-year guidance was maintained, with H2 recovery expected, mainly in machinery and equipment.

• Global economic uncertainty, cost pressures, and sluggish demand in key sectors continued to weigh on the business environment.

Financial highlights

• Gross profit was ¥7,294 million, down from ¥8,242 million; SG&A rose 5.8% to ¥6,271 million.

• Ordinary profit decreased 51.6% to ¥1,263 million from ¥2,609 million; net income attributable to owners of the parent was ¥584 million versus ¥1,562 million.

• Interim EPS was ¥27.72 on a stock-split-adjusted basis; comprehensive income was ¥1,012 million versus ¥2,809 million.

Outlook and guidance

• FY2026 guidance was unchanged: revenue ¥54,000 million, operating profit ¥4,300 million, ordinary profit ¥4,900 million, and net income attributable to owners of the parent ¥2,870 million.

• H1 progress against FY guidance was 42.9% for revenue, 23.8% for operating profit, 25.8% for ordinary profit, and 20.3% for net income attributable to owners of the parent.

• H2 recovery is expected, led by machinery and equipment; segment forecasts and the dividend forecast were unchanged.