Worth reading
61In focus
Scored from 4 of 6 sectionsDirection
Mixed performance
Direction inferred from the company’s description.Scale
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Displayed only when the document provides numerical figures.Wording
Avoiding a definitive answer
How definitive the wording is.Contents of this document
Summary of Q&AFirst quarter of the fiscal year ending February 20275 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Operating profit margin30% (medium- to long-term target; actual figure: Not disclosed)
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Progressing as plannedKey points of the Q&AKey questions raised by investors at the briefing and the company's answers
- Impact of manufacturers’ budget constraints and project postponements or cancellations in the automotive industry: The company has been affected, but explained that progress is in line with its full-year plan due to the acquisition of new projects.
- Impact of the spread of AI: While some services could be substituted, the company explained that tuning AI and combining it with digital twins will increase value added and expand business opportunities.
- Impact of AI × digital twins on results for the current fiscal year: The company expects to recognize part of the revenue from a large-scale project this fiscal year, with a significant contribution expected from the following fiscal year onward.
- Expansion into Kyushu and Tohoku: The company has begun collaborating with universities, technical colleges, and students to develop and identify talent, and plans to establish development capabilities at regional offices going forward.
- Likelihood of achieving a 30% operating margin: The company explained that no change to the plan is necessary and that the target can be achieved by acquiring customers and expanding project scale through partnerships.
New initiatives
- Digitalization of the design and development process using digital twins incorporating AI
- AI technology development in Tohoku in collaboration with universities and students, along with the identification, development, and recruitment of talent
- Development and identification of mechanical engineering and design talent in Kyushu in collaboration with universities and technical colleges
- Establishment of development capabilities at regional offices
- Acquisition of new customers and expansion of the customer portfolio using sales architects (SAs) and project managers (PMs)
- Acquisition of new customers and expansion of project scale through collaboration with Marubeni Corporation, Dassault Systèmes, and other partners
Medium-term management plan targets
Operating margin of 30%. Target year: Not disclosedFinancial targets
Operating margin of 30%| Item | Details |
|---|---|
| Document type | Summary of Q&A |
| Fiscal Period Covered | First quarter of the fiscal year ending February 2027 |
| Operating profit margin | 30% (medium- to long-term target; actual figure: Not disclosed) |
| Self-assessment against the plan | Progressing as planned |
| Medium-term management plan targets | Operating margin of 30%. Target year: Not disclosed |
| Financial targets | Operating margin of 30% |
| Key points of the Q&A | Impact of manufacturers’ budget constraints and project postponements or cancellations in the automotive industry: The company has been affected, but explained that progress is in line with its full-year plan due to the acquisition of new projects., Impact of the spread of AI: While some services could be substituted, the company explained that tuning AI and combining it with digital twins will increase value added and expand business opportunities., Impact of AI × digital twins on results for the current fiscal year: The company expects to recognize part of the revenue from a large-scale project this fiscal year, with a significant contribution expected from the following fiscal year onward., Expansion into Kyushu and Tohoku: The company has begun collaborating with universities, technical colleges, and students to develop and identify talent, and plans to establish development capabilities at regional offices going forward., Likelihood of achieving a 30% operating margin: The company explained that no change to the plan is necessary and that the target can be achieved by acquiring customers and expanding project scale through partnerships. |
| New initiatives | Digitalization of the design and development process using digital twins incorporating AI, AI technology development in Tohoku in collaboration with universities and students, along with the identification, development, and recruitment of talent, Development and identification of mechanical engineering and design talent in Kyushu in collaboration with universities and technical colleges, Establishment of development capabilities at regional offices, Acquisition of new customers and expansion of the customer portfolio using sales architects (SAs) and project managers (PMs), Acquisition of new customers and expansion of project scale through collaboration with Marubeni Corporation, Dassault Systèmes, and other partners |
Items this document does not state (23)
Net SalesOperating profitOrdinary incomeNet incomeGross Profit MarginSelling, general and administrative expensesResults for the three months of the current quarterFull-year earnings forecastProgress against full-year forecastSegment resultsBreakdown of Factors Affecting the ChangeKey KPIsUnit price and quantity metricsNumber of stores and locationsNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookAnnual DividendPayout ratioAcquisition of treasury sharesCapital expendituresOrders received and order backlogMarket Size / Share
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.Against the backdrop of the situation in the Middle East and the yen’s depreciation, customers have delayed budget planning, resulting in postponed project acceptances and the cancellation or downsizing of projects. At the same time, customer demand for digitalization remains solid, and the company explained that proposals for and acquisition of new projects have enabled it to maintain engineer utilization rates.
How to read this page
This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.