SAKURA Internet (3778) Q2 2027 earnings summary

Executive summary

• H1 FY3/2027 net sales rose 46.0% YoY to ¥22,827 million; operating profit was ¥2,963 million versus a year-earlier loss, led by GPU infrastructure growth.

• H1 results exceeded the July-revised forecast, prompting higher full-year guidance; GPU infrastructure is expected to lead second-half sales growth.

Financial highlights

• H1 net sales were ¥22,827 million and gross profit was ¥7,312 million, up 132.2% YoY.

• Operating profit was ¥2,963 million versus a ¥920 million loss; ordinary profit was ¥3,013 million.

• Profit attributable to owners of parent was ¥1,903 million versus a ¥626 million loss; a deferred income tax benefit contributed to the improvement.

• QoQ, net sales rose 5.0% to ¥11,692 million and operating profit rose 40.8% to ¥1,732 million.

Outlook and guidance

• FY3/2027 forecasts were raised to net sales ¥46,600 million, operating profit ¥4,100 million, ordinary profit ¥3,900 million and attributable profit ¥2,550 million; EPS forecast is ¥63.68.

• Versus July guidance, sales increased ¥1,100 million (+2.4%), operating profit ¥1,600 million (+64.0%), ordinary profit ¥1,600 million (+69.6%) and attributable profit ¥1,050 million (+70.0%).

• H2 net sales are expected to exceed H1, mainly on GPU infrastructure; recruitment, marketing, data-center maintenance and cloud equipment investment are concentrated in H2.

• FY3/2027 GPU infrastructure sales are forecast at ¥20,850 million, up 156.0% YoY, supported by high utilization and improved unit prices.