Techno Ryowa Ltd (1965) Q2 2026 earnings summary

Executive summary

• FY2026 H1 revenue rose 24.5% YoY to ¥43,619m, driven by progress on large projects carried over from the prior year.

• Operating profit increased 187.0% to ¥6,357m and net profit attributable to owners rose 170.8% to ¥4,545m, supported by productivity gains, higher-margin work and gains from investment securities sales.

• Orders declined 8.8% to ¥56,044m as prior-year large wins rolled off; backlog grew 5.9% to ¥88,873m.

Financial highlights

• Gross profit rose to ¥10,616m from ¥5,908m, and gross margin increased to 24.3% from 16.9%.

• Ordinary profit increased 178.5% to ¥6,576m; comprehensive income rose to ¥5,616m from ¥960m.

• H1 EPS was ¥218.26, up from ¥79.80 a year earlier.

• Cash and cash equivalents at period-end were ¥20,997m, up ¥9,464m from the previous year-end.

Outlook and guidance

• FY2026 forecasts remain unchanged: revenue ¥98,500m (+17.0%), operating profit ¥12,800m (+32.9%), ordinary profit ¥13,200m (+32.9%) and net profit ¥9,650m (+33.0%).

• FY orders are forecast at ¥98,000m, down 4.9% YoY on the prior-year large-project comparison; backlog, additional work and project progress support the revenue outlook.

• FY2027 mid-term targets were raised to ¥100bn revenue, ¥12bn ordinary profit, ROE above 15% and PBR above 2.0x.