Rengo Co (3941) Q2 2026 earnings summary

Executive summary

• Net sales rose to ¥497.2 billion, up 0.4% year-over-year, with operating profit at ¥19,974 million, up 0.9%.

• Ordinary profit declined 8.4% to ¥20,037 million due to foreign exchange losses and lower equity method profits.

• Profit attributable to owners of parent dropped 41.6% to ¥11,033 million, reflecting the absence of prior year’s one-time gain.

• The company continued to expand through capital investment, M&A, and global strategy, including new subsidiaries and overseas acquisitions.

• Environmental initiatives remain a top priority, with progress toward a 46% greenhouse gas reduction by FY2030.

Financial highlights

• Net sales: ¥497.2 billion (up ¥2.1 billion year-over-year).

• Operating profit: ¥19,974 million (up 0.9% year-over-year).

• Ordinary profit: ¥20,037 million (down 8.4% year-over-year).

• Profit attributable to owners of parent: ¥11,033 million (down 41.6% year-over-year).

• EBITDA forecast for FY3/2026: ¥102.9 billion, up 6.0% year-over-year.

Outlook and guidance

• No revisions to the most recent full-year forecast; net sales expected at ¥1,005.0 billion and operating profit at ¥40.0 billion for FY3/2026.

• Profit attributable to owners of parent forecast to decrease to ¥24.0 billion.

• Japanese economy expected to recover gradually, but risks remain from U.S. trade policy, rising costs, and weak consumer sentiment.

• Product price revisions from last year expected to support results.