Takasago Thermal Engineering (1969) Q1 2027 earnings summary

Executive summary

• Q1 FY2026 revenue was ¥84.9bn, down 9.9% YoY due to a high base from large projects in the prior year.

• Operating profit declined 16.2% YoY to ¥8.5bn, and net profit fell 28.4% YoY to ¥6.4bn.

• Orders received increased 1.7% YoY to ¥106.6bn, with notable growth in industrial systems.

• The company is focusing on business model transformation and investments in human capital under its Medium-Term Management Plan.

Financial highlights

• Gross profit margin reached a record 22.5%, with gross profit at ¥19.08bn.

• Earnings per share for the quarter were ¥48.97, reflecting a share split adjustment.

• Comprehensive income was ¥6.8bn, down 31.4% YoY.

• Total assets decreased to ¥351.5bn from ¥381.8bn at the previous fiscal year-end.

• Equity ratio improved to 58.9% from 55.0% at March 2026.

Outlook and guidance

• FY2026 revenue forecast is ¥440bn (+3.8% YoY), with record-high sales and profit expected.

• Net profit forecast at ¥40bn (+6.7% YoY), with ROE around 19%.

• Orders received targeted at ¥520bn (+13% YoY), driven by semiconductor, pharmaceutical, and ICT sectors.

• Dividend per share planned at ¥123, maintaining a 40% payout ratio.

• Full-year EPS forecast is ¥305.63.