santec Holdings (6777) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 FY2026 was ¥6,186 million, down 1.9% year-over-year due to a reactionary decline from prior year special demand in China for optical measurement equipment.

• Operating income increased 1.6% to ¥2,077 million, driven by improved product mix.

• Net income attributable to shareholders decreased 13.7% to ¥1,382 million, impacted by foreign exchange losses.

• The company continues to focus on high value-added new product development and market leadership.

Financial highlights

• Gross profit for Q1 FY2026 was ¥3,549 million, with a gross margin of 57.4%.

• Operating margin improved to 33.6% from 32.4% year-over-year.

• Ordinary income fell 20.8% to ¥1,872 million, mainly due to a swing from FX gain to FX loss.

• Comprehensive income for the quarter was ¥1,326 million, down 32.2% year-over-year.

• EPS for Q1 FY2026 was ¥117.58, compared to ¥136.21 in the prior year.

Outlook and guidance

• Full-year FY2026 revenue forecast is ¥26,000 million, up 8.2% year-over-year.

• Operating income is projected at ¥7,400 million (down 0.4%), net income at ¥4,800 million (down 5.3%).

• No changes to previously announced guidance as of this report.

• Dividend forecast is ¥150 per share for the year.