Fuji Seal International (7864) Q1 2027 earnings summary

Executive summary

• Consolidated net sales rose 9.8% year-over-year to ¥60.3 billion, with growth in Japan, the Americas, and ASEAN.

• Operating profit increased 3.9% year-over-year to ¥6.2 billion, but the margin declined by 0.6pt to 10.3% due to machinery business weakness in Europe and one-time litigation expenses in the Americas.

• Profit attributable to owners rose 14.3% year-over-year to ¥4.95 billion.

• Comprehensive income surged 300.4% year-over-year to ¥5.77 billion.

• No disruptions in raw material procurement; price revisions offset rising costs, especially in Japan and ASEAN.

Financial highlights

• Net sales: ¥60.3 billion (+9.8% YoY); operating profit: ¥6.2 billion (+3.9% YoY); net profit: ¥4.95 billion (+14.3% YoY).

• Operating profit margin: 10.3% (down 0.6pt YoY); net profit margin: 8.2% (up 0.3pt YoY).

• Ordinary profit rose 21.4% YoY to ¥6.84 billion, driven by foreign exchange gains.

• Gross profit increased to ¥14.56 billion from ¥12.61 billion year-over-year.

• EPS for the quarter was ¥92.88, up from ¥81.29 a year earlier.

Outlook and guidance

• No change to the full-year forecast; progress rate for net sales is 26.4%, and for operating profit is 28.1%.

• FY2027 full-year net sales forecast at ¥228.6 billion (+5.0% YoY); operating profit forecast: ¥22.2 billion (+8.5% YoY); ordinary profit: ¥22.4 billion (+1.8% YoY); profit attributable to owners: ¥15.3 billion (down 25.9%).

• Full-year EPS forecast at ¥286.82.