Oki Electric Industry (6703) Q1 2027 earnings summary

Executive summary

• Q1 FY2026 performance is progressing steadily toward full-year targets, with growth initiatives advancing as planned.

• Net sales for the quarter ended June 30, 2026, were ¥86,138 million, up 1.2% year-over-year.

• Operating loss widened to ¥1,867 million from ¥1,370 million year-over-year.

• Profit attributable to owners of parent was ¥2,453 million, reversing a loss of ¥1,643 million in the prior year, mainly due to extraordinary gains.

Financial highlights

• Q1 FY2026 net sales were ¥86.1B, up 1.2% year-over-year; operating profit was ¥-1.9B, with an operating margin of -2.2%.

• Gross profit decreased to ¥18,325 million from ¥19,953 million year-over-year.

• Comprehensive income was negative ¥2,891 million, compared to negative ¥1,359 million last year.

• Basic earnings per share for the quarter were ¥28.28, compared to negative ¥18.95 year-over-year.

• Cash and cash equivalents increased to ¥44,420 million at quarter-end from ¥30,433 million a year earlier.

Outlook and guidance

• FY2026 net sales forecast is ¥440.0B (+4% YoY), with operating profit of ¥22.0B (+17% YoY) and an operating margin of 5.0%.

• Ordinary profit is projected at ¥22.0B (+6% YoY); profit attributable to owners of parent is expected at ¥18.0B (-16% YoY due to one-time gains in FY2025).

• Full-year basic earnings per share is projected at ¥207.52.

• Dividend per share is maintained at ¥65.