Pola Orbis Holdings (4927) Q1 2026 earnings summary

Executive summary

• Q1 consolidated net sales declined 1.2% year-over-year to ¥40,829 million, mainly due to lower POLA revenue, while operating income rose 18.7% to ¥4,925 million, driven by higher ORBIS income, improved Jurlique losses, and expense control.

• Ordinary income surged 153.2% year-over-year to ¥6,257 million, aided by foreign exchange gains.

• Profit attributable to owners of parent increased 88.0% year-over-year to ¥2,463 million, supported by SG&A cost controls and despite restructuring expenses.

Financial highlights

• Net sales: ¥40,829 million, down 1.2% year-over-year.

• Operating income: ¥4,925 million, up 18.7% year-over-year; operating margin improved from 10.0% to 12.1%.

• Ordinary income: ¥6,257 million, up 153.2% year-over-year.

• Basic earnings per share for Q1 FY2026 was ¥11.13, up from ¥5.92 year-over-year.

• SG&A expenses decreased by ¥1,374 million year-over-year to ¥28,519 million.

Outlook and guidance

• FY2026 full-year guidance unchanged: net sales ¥173,000 million (+1.6%), operating income ¥17,300 million (+10.2%), profit attributable to owners of parent ¥9,000 million (+5.0%), and EPS ¥40.67.

• Annual dividend forecast maintained at ¥52 per share (payout ratio 127.8%).