Raito Kogyo Co (1926) Q2 2027 earnings summary

Executive summary

• H1 FY2027 net sales rose 3.0% YoY to ¥67,025 million; operating profit increased 35.7% to ¥9,373 million and parent profit rose 31.1% to ¥6,574 million.

• Full-year FY2027 earnings forecasts were revised upward; the year-end dividend forecast was also increased.

Financial highlights

• H1 gross profit was ¥15,865 million versus ¥13,261 million YoY; SG&A rose to ¥6,492 million from ¥6,352 million.

• Ordinary profit increased 34.4% YoY to ¥9,516 million; profit before income taxes was ¥9,525 million and income taxes totaled ¥2,942 million.

• Comprehensive income was ¥6,707 million, up from ¥5,263 million YoY.

• Operating cash flow was ¥7,139 million versus an outflow of ¥654 million YoY; investing and financing cash flows were outflows of ¥1,887 million and ¥8,084 million.

Outlook and guidance

• FY2027 forecast: net sales ¥140,000 million (+0.6%), operating profit ¥17,700 million (+2.9%), ordinary profit ¥18,200 million (+2.8%), and parent profit ¥12,500 million (+0.1%).

• Forecast basic EPS is ¥75.89 after the 4-for-1 split; equivalent EPS without the split is ¥303.58.

• FY2027 year-end dividend forecast is ¥28 per post-split share, equivalent to ¥112 pre-split; annual dividends would be ¥152 without the split.