Nojima (7419) Q2 2027 earnings summary

Executive summary

• H1 FY2027 net sales reached a record ¥503,756m, up 8.9% YoY; operating income rose 17.6% to ¥32,542m, and sales exceeded ¥500bn for the first time since listing.

• Ordinary income rose 61.7% to ¥49,502m, parent-attributable net income increased 72.9% to ¥33,590m, and EBITDA reached a record ¥61,308m, up 44.0%.

• Growth priorities include consultative retail, acquisitions, and investment in stores, employees and product development; Hitachi’s home-appliance business is expected to join through KADENOVA.

Financial highlights

• Gross profit was ¥146,571m, up 8.5%; SG&A was ¥114,029m, up 6.2% YoY.

• Net income was ¥34,112m versus ¥19,791m YoY; comprehensive income was ¥26,443m, up 12.0%.

• Non-operating income rose to ¥18,130m from ¥4,243m; H1 ordinary income included a ¥14,627m gain on sale of investment securities.

• Advertising expense rose 25.9% to ¥16,659m and personnel expense increased 6.1% to ¥43,910m, described as investment in future growth.

Outlook and guidance

• Revised FY2027 forecast: sales ¥1,060,000m, operating income ¥65,000m, ordinary income ¥83,000m, parent-attributable net income ¥54,000m, EBITDA ¥104,000m and EPS ¥184.12.

• H1 progress was 47.5% of sales and 50.1% of operating-income guidance; ordinary income, net income and EBITDA progress was 59.6%, 62.2% and 59.0%.

• Forecast excludes Hitachi GLS home-appliance business consolidation; the prior year generated 52% of operating income in H2, including year-end sales and new-lifestyle demand. Annual dividend forecast is ¥20 per share, including ¥10 interim, for a 14th consecutive annual increase.