MEITEC (9744) Q3 2026 earnings summary

Executive summary

• Consolidated net sales increased by 3.1% year-over-year to ¥103,522 million, driven by strong orders and utilization in the Engineering Solutions segment, despite a slight decrease in engineer headcount.

• Operating profit rose 6.3% to ¥16,168 million, and net profit attributable to owners of parent grew 13.5% to ¥11,124 million, partly due to the absence of prior-year impairment losses.

• The Recruiting & Placement Business for Engineers experienced a 3.8% decline in net sales and a 3.2% drop in operating profit year-over-year, mainly due to fewer job placements.

• The economic outlook remained uncertain due to international instability, but core business demand from leading manufacturers remained robust.

Financial highlights

• Net sales reached ¥103,522 million, up 3.1% year-over-year; operating profit was ¥16,168 million, up 6.3%.

• Profit attributable to owners of parent was ¥11,124 million, up 13.5% year-over-year.

• Ordinary profit increased 6.8% year-over-year to ¥16,295 million.

• Basic earnings per share rose to ¥144.09 from ¥126.95 in the prior year.

• Total assets decreased to ¥80,976 million as of December 31, 2025, mainly due to lower cash and deposits after bonus and dividend payments.

Outlook and guidance

• Net sales and operating profit are tracking at 75.6% and 80.0% of full-year forecasts, respectively.

• Full-year forecast for FY ending March 31, 2026: net sales of ¥137,000 million (+3.0%), operating profit of ¥20,200 million (+7.3%), ordinary profit of ¥20,400 million (+7.9%), and profit attributable to owners of parent of ¥13,900 million (+9.1%).

• Earnings per share for the full year projected at ¥180.04; dividend forecast is ¥181.00 per share.

• High utilization ratios are expected to support achievement of profit targets in the Mid-term Management Plan, though net sales may fall short due to revised hiring targets.

• New Mid-term Management Plan to be announced in May, starting from FY2026.