W-SCOPE (6619) Q1 2026 earnings summary

Executive summary

• Q1 FY Jan. 2026 sales were ¥756 million, down 94.8% year-over-year due to the deconsolidation of WCP and weak sales volumes.

• Operating loss widened to ¥1,494 million, compared to a profit of ¥554 million in the prior year period.

• Net loss was ¥2,848 million, including a ¥1,347 million equity method investment loss from WCP.

• Non-operating items included ¥111 million in compensation income and ¥36 million in FX losses.

Financial highlights

• Sales dropped from ¥14,471 million in Q1 FY Jan. 2025 to ¥756 million in Q1 FY Jan. 2026.

• EBITDA turned negative at ¥-1,070 million from ¥2,607 million year-over-year.

• Depreciation expense decreased to ¥424 million, down 20.4% year-over-year.

• R&D spending was ¥129 million, down 49.2% year-over-year.

• Comprehensive income for Q1 FY2026 was a loss of ¥3,913 million, down from a profit of ¥4,977 million in Q1 FY2025.

Outlook and guidance

• Full-year FY2025 sales guidance is ¥5.4 billion with an operating loss of ¥4.3 billion.

• Full-year net sales forecast is ¥5,400 million, down 82.6% year-over-year.

• Net profit attributable to owners is forecasted at a loss of ¥4,000 million for the full year.

• H2 expected to see recovery in US and EU EV demand, with new customer projects in Japan and Korea.

• No dividend is planned for the fiscal year.