Open Up Group (2154) Q1 2026 earnings summary

Executive summary

• Entered the first quarter of a one-year investment phase focused on strengthening fundamentals.

• Revenue for the quarter ended September 30, 2025, declined 14.9% year-over-year to ¥41.16 billion, mainly due to the sale of UK operations.

• Net profit attributable to owners rose 16.4% year-over-year to ¥2.78 billion, driven by improved gross margin and cost management despite higher personnel and recruitment costs.

• Gross profit margin improved by 2.8 percentage points to 27.1% year-over-year.

• On an A2A basis, revenue increased 9% YoY and operating income rose 3.5%.

Financial highlights

• Consolidated revenue for Q1 FY2026 was ¥41.16 billion, down 14.9% YoY, mainly due to the UK business sale.

• Operating profit was ¥4.12 billion, down 0.7% YoY.

• Gross profit was ¥11.15 billion, down 4.9% YoY, with a margin of 27.1%.

• Basic earnings per share increased to ¥32.40 from ¥27.49 YoY.

• Number of engineers increased 6.9% YoY to 24,238.

Outlook and guidance

• Full-year revenue forecast is ¥171 billion, with a progress rate of 24.1% after Q1.

• Operating profit forecast for the year is ¥16.5 billion; net profit forecast is ¥11.8 billion.

• FY2028 targets: revenue of ¥200 billion and operating profit of ¥20 billion.

• Annual dividend forecast raised to ¥85.00 per share.

• No changes to previously announced forecasts.