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Displayed only when the document provides numerical figures.Wording
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How definitive the wording is.Contents of this document
Summary of Q&AFiscal year ending February 2027, second quarter7 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Gross Profit MarginDeclined in the first half. The rate and year-on-year change in percentage points were not disclosed.
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
The likelihood of meeting the budget is largely unchanged from the first-quarter earnings announcement.Key points of the Q&AKey questions raised by investors at the briefing and the company's answers
- The likelihood of meeting the budget is largely unchanged from the previous quarter. The increase in AI and digital twin projects is being offset by a slowdown in traditional development projects.
- Demand for AI adoption is increasing, AIDB data-platform development projects are ramping up from the second half, and budgeting is progressing toward full-scale rollout from the next fiscal year onward.
- Outside the automotive sector, inquiries are increasing in aerospace and defense, semiconductor manufacturing equipment, heavy industry, robotics and factory automation, and physical AI.
- Expanding the customer base through collaboration with Marubeni, dSPACE, and Dassault Systèmes
- The company has been unable to fully pass higher labor costs on to customers, making them a factor behind the decline in the gross margin.
- Targeting an increase of approximately 20 employees in the Solutions Business and promoting mid-career hiring, transfers between businesses, and new-graduate hiring
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Increase in projects related to AI and digital twins, slowdown in traditional development projects, and the gap between higher labor costs and higher customer pricing
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
The plan was prepared based on current pricing levels.New initiatives
- Support for developing AIDB, a data platform for AI applications
- Full-scale rollout in the AI and digital twin fields
- Expanding the customer portfolio into industries outside the automotive sector
- Collaboration with Marubeni on AI and data utilization
- Expansion of virtual testing solutions with dSPACE
- Collaboration with Dassault Systèmes on digital development and virtual development
- Strengthening staffing in the Solutions Business and transitioning engineering personnel
Unit price and quantity metricsThese figures show sales broken down by price and volume.
Customer pricing and labor costs. Figures were not disclosed.Number of employees
The Solutions Business is targeting an increase of approximately 20 employees by the end of the fiscal year. 3 solution architects joined in the first half, 4 more are expected to join in the second half, and approximately 10 employees are expected to transfer from the Engineering Business. The company plans to hire approximately 90 new graduates this fiscal year.| Item | Details |
|---|---|
| Document type | Summary of Q&A |
| Fiscal Period Covered | Fiscal year ending February 2027, second quarter |
| Gross Profit Margin | Declined in the first half. The rate and year-on-year change in percentage points were not disclosed. |
| Self-assessment against the plan | The likelihood of meeting the budget is largely unchanged from the first-quarter earnings announcement. |
| Breakdown of Factors Affecting the Change | Increase in projects related to AI and digital twins, slowdown in traditional development projects, and the gap between higher labor costs and higher customer pricing |
| Unit price and quantity metrics | Customer pricing and labor costs. Figures were not disclosed. |
| Number of employees | The Solutions Business is targeting an increase of approximately 20 employees by the end of the fiscal year. 3 solution architects joined in the first half, 4 more are expected to join in the second half, and approximately 10 employees are expected to transfer from the Engineering Business. The company plans to hire approximately 90 new graduates this fiscal year. |
| Assumptions Underlying the Business Outlook | The plan was prepared based on current pricing levels. |
| Key points of the Q&A | The likelihood of meeting the budget is largely unchanged from the previous quarter. The increase in AI and digital twin projects is being offset by a slowdown in traditional development projects., Demand for AI adoption is increasing, AIDB data-platform development projects are ramping up from the second half, and budgeting is progressing toward full-scale rollout from the next fiscal year onward., Outside the automotive sector, inquiries are increasing in aerospace and defense, semiconductor manufacturing equipment, heavy industry, robotics and factory automation, and physical AI., Expanding the customer base through collaboration with Marubeni, dSPACE, and Dassault Systèmes, The company has been unable to fully pass higher labor costs on to customers, making them a factor behind the decline in the gross margin., Targeting an increase of approximately 20 employees in the Solutions Business and promoting mid-career hiring, transfers between businesses, and new-graduate hiring |
| New initiatives | Support for developing AIDB, a data platform for AI applications, Full-scale rollout in the AI and digital twin fields, Expanding the customer portfolio into industries outside the automotive sector, Collaboration with Marubeni on AI and data utilization, Expansion of virtual testing solutions with dSPACE, Collaboration with Dassault Systèmes on digital development and virtual development, Strengthening staffing in the Solutions Business and transitioning engineering personnel |
Items this document does not state (21)
Net SalesOperating profitOrdinary incomeNet incomeOperating profit marginSelling, general and administrative expensesResults for the three months of the current quarterFull-year earnings forecastProgress against full-year forecastSegment resultsKey KPIsNumber of stores and locationsRisk amount incorporated into the outlookMedium-term management plan targetsFinancial targetsAnnual 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.The increase in projects related to AI and digital twins is a positive factor, but traditional development projects are being maintained or scaled back as customers restrain investment, resulting in the two factors offsetting each other. Regarding pricing, the company has been unable to fully pass higher engineer labor costs on to customers, which is contributing to a decline in the gross margin.
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.
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Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.