NISSO HOLDINGS (9332) Q1 2026 earnings summary

Executive summary

• Net sales for Q1 FY 3/2026 were ¥24,964 million, down 0.8% year-over-year, mainly due to fewer working days and increased training and recruitment costs, but business performance progressed as planned and on budget.

• Major M&A activity included the acquisition of Man to Man Holdings and All Japan Guard, with only balance sheets consolidated in Q1 and income statement impact from Q2.

Financial highlights

• Gross profit fell 5.1% year-over-year to ¥4,050 million; operating profit dropped 51.1% to ¥429 million; ordinary profit declined 51.3% to ¥432 million; profit attributable to owners of parent decreased 57.2% to ¥218 million.

• Gross profit margin declined to 16.2%, down 0.8 percentage points year-over-year; operating profit margin was 1.7%, down 1.8 percentage points.

• EPS for Q1 was ¥6.57, compared to ¥15.62 in the prior year.

• Total assets increased to ¥35,328 million, up 13.0% from March 2025; equity ratio at 46.9% as of June 2025, down from 52.8%.

• Manufacturing/Production HR Services accounted for 76% of net sales, Engineering HR Services 12%, Administrative HR Services 6%, Other HR Services 3%, and Nursing Care/Welfare 3%.

Outlook and guidance

• Full-year FY 3/2026 forecast: net sales ¥115,000 million (+13.2% YoY), operating profit ¥4,000 million (+12.5%), ordinary profit ¥4,000 million (+12.2%), profit attributable to owners of parent ¥2,500 million (+29.1%), EPS ¥74.07.

• Second half of the fiscal year expected to be stronger, with M&A contributions from Man to Man Holdings and All Japan Guard consolidated from Q2.