NS Solutions (2327) Q4 2025 earnings summary

Executive summary

• Achieved record highs in revenue, gross profit, operating profit, and net income for FY2024, with strong performance across all major segments and customer industries.

• Achieved Medium-term Business Strategy 2021-2025 goals one year ahead of schedule, launching a new 2025-2027 Mid-term Business Plan to realize the 2030 Vision.

• Strong demand for digital transformation (DX) and cloud solutions drove growth, with new AI and cloud-native services introduced.

• Strategic acquisitions and alliances, including TEXENG SOLUTIONS and planned INFOCOM acquisition, to strengthen business foundation and expand service offerings.

• Continued focus on sustainability, ESG initiatives, and next-generation education support.

Financial highlights

• FY2024 revenue rose 9% year-over-year to ¥338.3bn; gross profit up 14% to ¥81.7bn; operating profit up 10% to ¥38.5bn; net income up 12% to ¥27.0bn.

• Revenue rose 8.9% year-over-year to ¥338,301 million, driven by cloud solutions, software products, and strong sales in financial services and manufacturing.

• Basic earnings per share grew to ¥147.84 from ¥132.48, reflecting a 2-for-1 stock split.

• FY2025 revenue forecast at ¥357.0bn (+6% YoY); operating profit forecast at ¥43.0bn (+12% YoY); net income forecast at ¥29.2bn (+8% YoY).

• Dividend payout ratio maintained at 50.1%, with FY2025 dividend forecast at ¥80 per share.

Outlook and guidance

• FY2025/2026 guidance anticipates growth in all major segments, especially Consulting & Digital Service and IT Infrastructure.

• FY2026 revenue forecast at ¥357,000 million (+5.5% YoY), operating profit at ¥43,000 million (+13.0% YoY), and profit attributable to owners of parent at ¥29,200 million (+7.9% YoY).

• Strong IT demand in Japan expected to continue, though overseas risks (China/Europe slowdowns, tariffs, FX) are noted.

• Strategic focus on business model transformation and aggressive M&A to achieve FY2027 targets.

• Annual dividend forecast for FY2026 is ¥80.00 per share, maintaining a 50% payout ratio.