NS Solutions (2327) Q2 2026 earnings summary

Executive summary

• Japan's IT demand remains robust, supporting strong revenue growth and business model transformation initiatives.

• Revenue for the six months ended September 30, 2025 rose 13.9% year-over-year to 178,375 million yen, driven by strong demand in manufacturing, retail, and cloud solutions, as well as the consolidation of INFOCOM CORPORATION.

• Infocom became a consolidated subsidiary in FY2025/2Q, significantly boosting group sales and profit.

• Major M&A activity included the acquisition of INFOCOM CORPORATION and PT.WCS ABYAKTA NAWASENA, expanding the Group’s IT services and regional presence.

• Strategic investments are accelerating in technology, R&D, and human capital to support TAM-based business models.

Financial highlights

• Revenue for FY2025/1H rose 13.9% year-over-year to 178,375 million yen, with gross profit up 20% to 46,132 million yen.

• Operating profit increased slightly by 0.8% to 18,272 million yen, with operating margin at 10.2%.

• Profit attributable to owners of parent was 12,007 million yen, down 1.5% year-over-year, impacted by M&A costs and PPA.

• Group Business sales surged 35% year-over-year, driven by Infocom consolidation.

• Basic EPS was 65.62 yen (down from 66.60 yen YoY, adjusted for 2-for-1 stock split).

Outlook and guidance

• FY2025 revenue forecast is 377,000 million yen, up 11.4% year-over-year, with operating profit projected at 43,000 million yen (11.4% margin).

• Profit attributable to owners of parent is expected to reach 29,200 million yen, up 7.9% year-over-year; basic EPS forecast at 159.58 yen.

• Dividend payout ratio maintained at 50%, with annual dividend forecast at 80 yen per share.