Nihon M&A Center (2127) Q3 2026 earnings summary

Executive summary

• Achieved record-high sales and recurring profit for Q3 and the nine-month period, with recurring/ordinary profit margin surpassing 40% for the first time.

• Revenue for the nine months reached ¥37,738 million, up 26.5% year-on-year, and recurring/ordinary profit rose 46.8% to ¥15,725 million.

• Q3 alone saw revenue of ¥15,150 million, a 34.6% year-on-year increase, and ordinary profit of ¥7,153 million, up 51.5%.

• Number of transactions closed increased 9.8% year-on-year to 810 for the nine months, with M&A sales per transaction up 15.3% to ¥45 million.

• The company is on track to meet or exceed full-year guidance, achieving most of its forecast by Q3.

Financial highlights

• Operating profit margin for the nine months was 41.7%, up 5.8 percentage points year-on-year; Q3 margin reached 47.2%.

• Cost of sales increased 19.1% to ¥13.7 billion, and SG&A expenses rose 7.7% to ¥8.37 billion.

• IT costs surged 46.7% to ¥848 million.

• Gross profit margin for Q3 YTD was 63.6%, up 31.1% year-on-year.

• Basic earnings per share for the nine months was ¥31.59, up from ¥21.47 in the prior year.

Outlook and guidance

• Full-year net sales forecast for fiscal year ending March 31, 2026, is ¥46,300 million (+5.0% YoY); ordinary profit and operating profit both forecast at ¥17,000 million; net profit at ¥11,000 million.

• Basic earnings per share for the full year is projected at ¥34.67.

• No change to full-year or midterm guidance; management is confident in achieving and potentially exceeding targets.

• Mid-term plan targets consolidated sales of ¥54,000 million and ordinary profit of ¥20,000 million by FY2027.

• Dividend per share maintained at ¥29, with a pay-out ratio of 83.6%, including a ¥6 special dividend.