Nichiha (7943) Q1 2027 earnings summary

Executive summary

• Q1 FY2027 net sales were ¥33,985 million, down 2.5% year over year.

• Operating profit rose 62.6% to ¥1,893 million, ordinary profit doubled to ¥1,907 million, and profit attributable to owners of parent increased 245.2% to ¥2,401 million.

• Comprehensive income improved to ¥2,769 million from a loss of ¥1,665 million in the prior-year quarter.

Financial highlights

• Gross profit increased 3.3% to ¥12,445 million; gross margin rose to 36.6% from 34.5%.

• Operating margin increased to 5.6% from 3.3%.

• Basic earnings per share was ¥72.30, up from ¥20.52 a year earlier.

• Total assets were ¥166,380 million; net assets were ¥121,998 million, and the equity-to-asset ratio improved to 73.6% from 72.2% at the prior fiscal year-end.

Outlook and guidance

• FY2027 net sales forecast is ¥141,000 million, down 1.9% year over year; first-half forecast is ¥68,500 million, down 3.6%.

• FY operating profit forecast is ¥9,600 million, up 2.6%; first-half forecast is ¥3,600 million, up 3.0%.

• FY ordinary profit and profit attributable to owners of parent are forecast at ¥9,800 million and ¥8,000 million; first-half forecasts are ¥3,700 million and ¥3,600 million, respectively.

• Full-year basic earnings per share forecast is ¥240.94.