Full-Year Financial Results Briefing Materials for the Fiscal Year Ending March 2026 | HAKUHODO DY HOLDINGS INCORPORATED (2433) timely disclosure

Worth reading

61In focus

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Direction

Mixed performance

Direction inferred from the company’s description.

Scale

18.9

% (year-on-year change in operating income)

Wording

Conditional

How definitive the wording is.

Contents of this document

Presentation materials for financial resultsFiscal year ending March 2026, full year9 items taken from the company’s own explanation

Financial Results Figures (The key points of this material are explained below)

Net Sales¥1,580,460 million-2.0%

Operating profit¥44,675 million+18.9%

Ordinary income¥46,061 million+8.0%

Net income¥16,775 million+55.8%

Gross Profit Margin25.7 %

Operating profit margin11 %

Selling, general and administrative expenses¥361,361 million-0.2%

Results for the three months of the current quarter

Net Sales

¥339,011 million

Operating profit

¥2,527 million

Net income

¥-1,816 million

Net Sales

¥356,012 million

Operating profit

¥8,215 million

Net income

¥2,127 million

Net Sales

¥420,151 million

Operating profit

¥17,856 million

Net income

¥10,060 million

Net Sales

¥465,285 million

Operating profit

¥16,076 million

Net income

¥6,404 million

Full-year earnings forecast

Fiscal Period CoveredFiscal year ending March 2027

Net Sales

¥1,675,000 million

Revenue

¥910,000 million

Gross profit

¥430,000 million

Operating profit

¥46,700 million

Ordinary income

¥47,000 million

Net income

¥26,000 million

Operating profit before amortization of goodwill

¥60,000 million

What the company explained in this material

Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.

First-half gross profit+¥0.0 billion
First-half SG&A expenses-¥0.4 billion
Second-half gross profit+¥5.9 billion and +¥4.2 billion
Second-half SG&A expenses-¥2.4 billion and -¥3.4 billion
Increase in domestic and company-wide gross profit+¥10.8 billion
Increase in domestic and company-wide SG&A expenses and other costs-¥6.2 billion
Decrease in overseas gross profit-¥0.5 billion
Decrease in overseas SG&A expenses+¥3.3 billion

New initiatives

Establishment of the Group Account Strategy Office
Digital Holdings joining the Group
Establishment of Chapter-I, a joint venture with CJ ENM
Acquisition of shares in Amuse Sports Holdings and launch of operations as HAKUHODO Athlete Solution Inc.
Formulation of a basic procurement policy and procurement guidelines
Update of the environmental policy and setting of environmental targets based on SBTs

Key KPIsA metric the company considers important as a management benchmark.

Domestic internet business revenue¥431,544 million
Year on year against the same period last year+0.9%
Domestic digital advertising revenue shareNo. 2
Number of generative AI training participantsOver 30,000 cumulative participants
Competitive bid win rateApproximately 70%

Segment results

Japan

Net Sales

¥1,363,926 million-1.2%

Operating profit

¥86,193 million+5.2%

Overseas expansion

Net Sales

¥226,054 million-6.9%

Operating profit

¥-2,223 million

Eliminations or corporate

Operating profit

¥-39,293 million

Medium-term management plan targets

Adjusted compound annual growth rate in operating profit before goodwill amortizationAt least +10%

Adjusted compound annual growth rate in gross profitAt least +5%

Adjusted operating margin before goodwill amortization13% or more

ROE before goodwill amortization10% or higher

Target fiscal yearFiscal year ending March 2027

Actual results for the fiscal year ending March 2026

Adjusted compound annual growth rate in operating profit before goodwill amortization+14.3%

Adjusted compound annual growth rate in gross profit+2.3%

Adjusted operating margin before goodwill amortization14.1%

ROE before goodwill amortization7.6%

Financial targets

ROE before goodwill amortization

Target10% or higher

Actual results for the fiscal year ending March 20267.6%

Market Size / Share

Domestic digital advertising revenue shareNo. 2

Annual Dividend

Fiscal year ending March 2026

Annual¥32 per share

InterimPaid, amount not disclosed

Fiscal year ending March 2027

Annual¥32 per share

Acquisition of treasury shares

¥10,000 million

Contents of this document
Item	Details
Document type	Presentation materials for financial results
Fiscal Period Covered	Fiscal year ending March 2026, full year
Net Sales	¥1,580,460 million (YoY -2.0%)
Operating profit	¥44,675 million (YoY +18.9%)
Ordinary income	¥46,061 million (YoY +8.0%)
Net income	¥16,775 million (YoY +55.8%)
Gross Profit Margin	25.7 %
Operating profit margin	11 %
Selling, general and administrative expenses	¥361,361 million (YoY -0.2%)
Results for the three months of the current quarter	Q1 Net Sales ¥339,011 million / Operating profit ¥2,527 million / Net income ¥-1,816 million / Q2 Net Sales ¥356,012 million / Operating profit ¥8,215 million / Net income ¥2,127 million / Q3 Net Sales ¥420,151 million / Operating profit ¥17,856 million / Net income ¥10,060 million / Q4 Net Sales ¥465,285 million / Operating profit ¥16,076 million / Net income ¥6,404 million
Full-year earnings forecast	Fiscal Period Covered Fiscal year ending March 2027 / Net Sales ¥1,675,000 million / Revenue ¥910,000 million / Gross profit ¥430,000 million / Operating profit ¥46,700 million / Ordinary income ¥47,000 million / Net income ¥26,000 million / Operating profit before amortization of goodwill ¥60,000 million
Segment results	Japan Net Sales ¥1,363,926 million (YoY -1.2%) / Operating profit ¥86,193 million (YoY +5.2%) / Overseas expansion Net Sales ¥226,054 million (YoY -6.9%) / Operating profit ¥-2,223 million / Eliminations or corporate Operating profit ¥-39,293 million
Breakdown of Factors Affecting the Change	Factors First-half gross profit / Amount +¥0.0 billion, Factors First-half SG&A expenses / Amount -¥0.4 billion, Factors Second-half gross profit / Amount +¥5.9 billion and +¥4.2 billion, Factors Second-half SG&A expenses / Amount -¥2.4 billion and -¥3.4 billion, Factors Increase in domestic and company-wide gross profit / Amount +¥10.8 billion, Factors Increase in domestic and company-wide SG&A expenses and other costs / Amount -¥6.2 billion, Factors Decrease in overseas gross profit / Amount -¥0.5 billion, Factors Decrease in overseas SG&A expenses / Amount +¥3.3 billion
Key KPIs	Indicator name Domestic internet business revenue / Value ¥431,544 million / Year on year against the same period last year ¥0.9 million, Indicator name Domestic digital advertising revenue share / Value No. 2 / Year on year against the same period last year Not disclosed, Indicator name Number of generative AI training participants / Value Over 30,000 cumulative participants / Year on year against the same period last year Not disclosed, Indicator name Competitive bid win rate / Value Approximately 70% / Year on year against the same period last year Not disclosed
Medium-term management plan targets	Adjusted compound annual growth rate in operating profit before goodwill amortization At least +10% / Adjusted compound annual growth rate in gross profit At least +5% / Adjusted operating margin before goodwill amortization 13% or more / ROE before goodwill amortization 10% or higher / Target fiscal year Fiscal year ending March 2027 / Actual results for the fiscal year ending March 2026 Adjusted compound annual growth rate in operating profit before goodwill amortization +14.3% / Adjusted compound annual growth rate in gross profit +2.3% / Adjusted operating margin before goodwill amortization 14.1% / ROE before goodwill amortization 7.6%
Financial targets	ROE before goodwill amortization Target 10% or higher / Actual results for the fiscal year ending March 2026 7.6%
Annual Dividend	Fiscal year ending March 2026 Annual ¥32 per share / Interim Paid, amount not disclosed / End of period Not disclosed / Fiscal year ending March 2027 Annual ¥32 per share / Interim Not disclosed / End of period Not disclosed
Acquisition of treasury shares	Amount ¥10,000 million / Number of Shares Not disclosed / Period Not disclosed
Market Size / Share	Domestic digital advertising revenue share No. 2
New initiatives	Establishment of the Group Account Strategy Office, Digital Holdings joining the Group, Establishment of Chapter-I, a joint venture with CJ ENM, Acquisition of shares in Amuse Sports Holdings and launch of operations as HAKUHODO Athlete Solution Inc., Formulation of a basic procurement policy and procurement guidelines, Update of the environmental policy and setting of environmental targets based on SBTs

Items this document does not state (11)

Progress against full-year forecastSelf-assessment against the planUnit price and quantity metricsNumber of stores and locationsNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookPayout ratioCapital expendituresOrders received and order backlogKey points of the Q&A

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

Profitability improved as a result of SG&A cost controls and structural reforms. Cost controls in the first half and growth in gross profit in the second half contributed to the increase in operating profit before goodwill amortization. Overseas, cost reductions from structural reforms offset sluggish top-line growth in Greater China and ASEAN.

How to read this page

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