Nippon Sanso (4091) Q2 2026 earnings summary

Executive summary

• Revenue and core operating income grew in Q2 and 1H FYE2026, driven by price management, productivity improvements, and acquisitions, with consolidated revenue up 7.1% in Q2 and 1.2% in 1H year-over-year.

• Net income attributable to owners rose 42.1% in Q2 and 16.7% in 1H year-over-year.

• All regions except the United States saw core operating income growth; the U.S. faced margin pressure from rising costs and lower electronics-related volumes.

• Strategic investments continued, with ¥52.1 billion in capital expenditures in Q2, focusing on sustainable growth and risk assessment.

• Foreign exchange fluctuations had a mixed impact, reducing overall revenue and core operating income by ¥7.9 billion and ¥1.1 billion, respectively.

Financial highlights

• Q2 FYE2026 revenue: ¥336.0bn (+7.1% YoY); core operating income: ¥48.6bn (+7.7% YoY); net income: ¥29.9bn (+42.1% YoY).

• 1H FYE2026 revenue: ¥650.8bn (+1.2% YoY); core operating income: ¥94.2bn (+0.8% YoY); net income: ¥59.2bn (+16.7% YoY).

• Operating income margin improved to 14.5% in Q2 and 1H; EBITDA margin rose to 23.8% in Q2.

• Basic earnings per share increased to ¥132.67.

• Total assets as of September 30, 2025, were ¥2,543,056 million, up ¥124,858 million from March 31, 2025.

Outlook and guidance

• Full-year FYE2026 forecast: revenue ¥1,290.0bn (up 1.4% YoY), core operating income ¥191.0bn (+1.0%), net income attributable to owners ¥116.0bn (+17.4%).

• Core operating income margin expected to rise to 14.8%; EBITDA margin to 24.1%.

• No revisions to previously announced business forecasts; dividend forecast revised upward.

• Forex assumptions: USD/JPY 141.00, EUR/JPY 162.00.