Nippon Television (9404) Q1 2026 earnings summary

Executive summary

• Revenue and operating profit declined year-over-year, but net income attributable to owners increased 53.2% to ¥22,656 million due to extraordinary gains from investment securities sales and step acquisitions.

• Time ad sales rose, supported by FIFA World Cup 2026 coverage, but spot ad sales fell, leading to lower overall terrestrial TV ad revenue.

• Merchandise and exhibition sales drove higher sales and profit for Nippon TV Service, while eight group companies achieved record-high sales.

• Comprehensive income surged 135.3% to ¥86,574 million, reflecting significant gains in valuation of available-for-sale securities.

Financial highlights

• Consolidated net sales: ¥114.6B (flat YoY); operating profit: ¥11.1B (down 36.6% YoY); recurring profit: ¥14.7B (down 32.8% YoY); net income: ¥22.7B (up 53.2% YoY).

• Nippon TV segment net sales: ¥74.6B (down 0.5% YoY); operating profit: ¥7.8B (down 36.3% YoY); net income: ¥21.4B (up 115.1% YoY).

• Advertising revenue: ¥57.2B (down 2.3% YoY); time ads up 11.2%, spot ads down 12.2%, digital ads down 11.7%.

• Production costs increased 9.3% YoY to ¥23.0B, mainly due to FIFA World Cup coverage.

• Gross profit decreased to ¥37,987 million from ¥43,311 million YoY.

Outlook and guidance

• FY2026 forecast: net sales ¥535B (+10.4%), operating profit ¥49B, recurring profit ¥59B, net income ¥51.5B.

• Dividend forecast: annual ¥45 per share.

• Terrestrial TV ad revenue assumptions: time ads +0.3%, spot ads -6.0% YoY.