PHC (6523) Q1 2026 earnings summary

Executive summary

• First quarter revenue was JPY 83.9 billion, down 1.6% year-on-year due to yen appreciation and market softness in Diagnostics & Life Sciences, but up 1.4% excluding FX impact.

• Operating profit rose 89.6% year-on-year to JPY 3.8 billion, driven by strong Diabetes Management and BGM sales in developed countries.

• Net loss attributable to owners improved to JPY 2.3 billion, mainly due to a JPY 4.4 billion FX loss from yen depreciation against the euro.

• Adjusted EBITDA increased 14.6% year-on-year to JPY 10.9 billion, reflecting higher operating profit and one-time items.

• Segment reporting structure was revised due to transfer of some corporate functions.

Financial highlights

• Revenue decreased 1.6% year-on-year to JPY 83.9 billion, but increased 1.4% excluding FX effects.

• Operating profit up 89.6% year-on-year to JPY 3.8 billion, exceeding internal plan.

• Pre-tax loss of JPY 2 billion, an improvement of JPY 800 million year-on-year.

• Cash and cash equivalents at quarter-end were JPY 34.8 billion, down JPY 4.8 billion from the previous fiscal year-end.

• Basic and diluted loss per share improved to JPY (18.55) from JPY (25.17) year-over-year.

Outlook and guidance

• Full-year revenue forecast remains at JPY 363.1 billion, with operating profit of JPY 17.4 billion and net profit attributable to owners of JPY 7.4 billion.

• Dividend per share forecast maintained at JPY 42.

• No change to full-year guidance despite Q1 outperformance, due to tariff and FX risks.

• Cautious approach maintained due to phasing of BGM sales, electronic prescription demand, diagnostics recovery, tariffs, and FX trends.

• Tariffs expected to have an annual impact of JPY 1–1.5 billion; mitigation measures and price increases underway.