Takamatsu Construction Group (1762) Q3 2026 earnings summary

Executive summary

• Net sales for the nine months ended December 31, 2025, rose 5.9% year-over-year to ¥262.3 billion, with operating profit up 75.3% to ¥11.99 billion and net income attributable to shareholders up 124.4% to ¥7.1 billion.

• Orders received increased 6.6% year-over-year to ¥293.6 billion, reflecting a solid construction market and expansion in real estate.

• All major financial metrics increased year-over-year for the third quarter of FY2026.

• The business environment remains favorable but is challenged by high construction material prices and labor shortages.

Financial highlights

• Ordinary profit surged 86.1% year-over-year to ¥11.8 billion.

• Gross profit rose to ¥39.6 billion, up 27.0% year-over-year; gross margin improved by 2.5 points to 15.1%.

• Net sales: ¥262.3 billion, up 5.9% year-over-year.

• Basic earnings per share increased to ¥204.35 from ¥91.07 year-over-year.

• Comprehensive income for the period was ¥6.55 billion, up from ¥3.0 billion a year earlier.

Outlook and guidance

• FY2026 full-year guidance maintained: orders ¥420 billion, net sales ¥390 billion, operating profit ¥15 billion, net income ¥9 billion.

• Full-year net sales forecast is ¥370 billion (up 6.7% year-over-year), with operating profit projected at ¥14 billion (up 31.8%).

• Dividend forecast for FY2026 is ¥90 per share, with a payout ratio of 40.2%, in line with the progressive dividend policy.

• Some segment-level guidance revised: Takamatsu Construction raised sales and profit forecasts, while Toho Geotech lowered its outlook.

• No changes to previously announced earnings forecasts.