NISSO HOLDINGS (9332) Q2 2026 earnings summary

Executive summary

• Consolidated net sales rose 6.0% year-over-year to 53,165 million yen, driven by the consolidation of Man to Man Holdings and All Japan Guard subsidiaries and increased billing unit-costs.

• Profits declined year-over-year due to increased goodwill amortization from M&A, unrecovered training costs for new graduate engineers in Q1, and weaker demand from automotive clients.

• Major acquisitions included Man to Man Holdings and All Japan Guard, expanding the group’s presence in manufacturing and security services.

• Net sales in the Automotive Industry decreased, while Semiconductor and Electronics Industries saw year-over-year increases.

• Engineering Human Resources Services posted significant net sales growth, but profit margins declined due to higher training costs.

Financial highlights

• Net sales: 53,165 million yen (+6.0% YoY); Gross profit: 8,565 million yen (+1.9% YoY); gross profit margin: 16.1% (down 0.7 percentage points YoY).

• Operating profit: 981 million yen (−33.6% YoY); ordinary profit: 970 million yen (−33.8% YoY); profit attributable to owners of parent: 521 million yen (−40.2% YoY).

• Operating profit margin dropped 1.1 percentage points YoY to 1.8%.

• EPS for the interim period was 15.52 yen, down from 26.62 yen YoY.

• Cash and cash equivalents at period-end were 7,357 million yen, down 828 million yen from March 31, 2025.

Outlook and guidance

• Full-year FY 3/2026 forecast: Net sales 115,000 million yen (+13.2% YoY), operating profit 4,000 million yen (+12.5% YoY), ordinary profit 4,000 million yen (+12.2% YoY), profit attributable to owners of parent 2,500 million yen (+29.1% YoY), EPS 73.98 yen.

• No changes to previously announced full-year guidance.

• Focus on expanding business partners resilient to external shocks and strengthening global human resources, especially with Vietnam.

• Continued investment in engineer development and promotional activities to boost recruitment.