Ricoh Company (7752) Q2 2027 earnings summary

Executive summary

• H1 FY2027 sales rose 5.9% YoY to ¥1,294.4bn; operating profit more than doubled to ¥73.4bn and parent-attributable profit rose 126.9% to ¥55.7bn.

• H1 sales increased 0.2% excluding FX; Q2 sales grew 3.6% YoY and operating profit rose 12.6% to ¥25.7bn.

• Recurring earnings increased 7% excluding U.S. tariff refunds and related items; tariff refunds and a gain from transferring the RAI-SZ subsidiary stake also supported H1 results.

• FY2027 operating-profit guidance increased to ¥103.0bn and parent-attributable profit to ¥69.5bn; sales guidance remains ¥2,700.0bn.

Financial highlights

• H1 gross profit rose 10.3% to ¥463.0bn; operating profit increased ¥38.0bn to ¥73.4bn.

• H1 profit before tax was ¥73.2bn, up 95.8%; net profit was ¥57.3bn and parent-attributable profit was ¥55.8bn.

• Q2 sales rose 3.6% to ¥664.6bn, gross profit increased 6.2% to ¥225.5bn, and parent-attributable profit rose 25.1% to ¥18.7bn.

• H1 operating cash flow was ¥44.3bn and investing cash outflow was ¥28.9bn, yielding free cash flow of ¥15.3bn.

Outlook and guidance

• FY2027 guidance: sales ¥2,700.0bn, gross profit ¥915.0bn, operating profit ¥103.0bn, and parent-attributable profit ¥69.5bn.

• Versus prior guidance, operating and pretax profit rose ¥8.0bn each, parent-attributable profit rose ¥7.5bn, gross profit fell ¥5.0bn and sales were unchanged.

• H2 forecast calls for sales of ¥1,405.5bn and operating profit of ¥29.5bn; assumptions include ¥150/$ and ¥175/€ exchange rates.

• Higher semiconductor memory and other input costs are expected; pricing, procurement, production and expense-control actions are planned, with H2 spending controlled while funding initiatives.