SAKURA Internet (3778) Q2 2026 earnings summary

Executive summary

• Net sales reached ¥15,631 million in Q2 FY 3/2026, up 17.8% year-over-year, driven by GPU infrastructure, cloud services, and large government orders.

• Operating loss was ¥920 million, reversing from a prior-year profit, due to increased investments and higher costs.

• Loss attributable to owners of parent was ¥627 million, compared to a profit a year earlier.

• Expansion of generative AI and cloud-based offerings, including launches such as Koukaryoku PHY B200 Plan, SAKURAONE, and SAKURA AI Engine.

Financial highlights

• Net sales increased by ¥2,359 million (17.8% YoY); GPU infrastructure services up 25.9% YoY, Other services up 44.8% YoY, Cloud services up 10.2% YoY.

• Gross profit was ¥4,349 million, up from ¥3,149 million YoY.

• Operating loss of ¥921 million, ordinary loss of ¥812 million, and net loss of ¥627 million for the interim period.

• Net income per share was negative ¥15.66, compared to ¥18.64 in the prior year.

• Annual Recurring Revenue (ARR) rose 10.5% YoY to ¥14,680 million.

Outlook and guidance

• Full-year earnings forecasts remain unchanged; expecting increased project volume toward year-end, driven by generative AI and new customer segments.

• Cloud services forecast revised upward by ¥300 million to ¥16.2 billion for FY 3/2026.

• Dividend forecast for FY2026 is ¥5.00 per share, up from ¥4.00 in FY2025.

• Continued focus on expanding high-value-added services and strengthening sales through partner ecosystems.