Synspective (290A) Q1 2026 earnings summary

Executive summary

• Q1 FY2026 total revenue was ¥746.9m, down 35.4% YoY, while operating and net losses widened as prior-year defense revenue did not recur and costs rose.

• Order backlog reached ¥124,392m, up ¥99,430m QoQ, driven by a ¥96,070m MOD image-data contract; service began in April, with related sales expected from Q2.

• Five satellites were operational at quarter-end; the 8th StriX launched in March and acquired its first image in April.

Financial highlights

• Net sales were ¥697.5m, down 38.7% YoY; subsidy income was ¥49.3m, up 177.9%, bringing total revenue including subsidy income to ¥746.9m.

• Operating loss widened to ¥1,613.2m from ¥907.1m; ordinary loss was ¥1,694m and net loss attributable to owners was ¥1,731.5m versus ¥1,188.8m.

• Cost of sales rose 6.5% to ¥1,142.2m; SG&A increased 20.1% to ¥1,168.5m, including R&D of ¥333m.

• Total assets were ¥48.4bn; cash and deposits were ¥19,988m, down ¥4,553m QoQ, and the equity-to-asset ratio was 74.3%.

Outlook and guidance

• FY2026 guidance remains unchanged: total revenue ¥16,052m, net sales ¥6,353m, operating loss ¥5,467m, ordinary income ¥3,010m, net income ¥2,624m and EBITDA ¥8,399m.

• Q1 progress was 4.6% of full-year total revenue and 11.0% of net sales; sales and subsidy income are expected to be weighted toward H2.

• Net sales are forecast to be ~92% from domestic and overseas governments; ~95% of government revenue is awarded or contracted, with penalty risk factored in.

• The MOD constellation service began in April; the full-year forecast includes ¥7.41bn for the April 2026–March 2027 contract period.

• Year-end operational satellite target is 10; the 9th StriX launch was scheduled for May 2026, subject to weather and other conditions.