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Earnings presentation3940Nomura System Corporation Co,Ltd.Information and Communications, Services and Others

Financial Results Presentation for the Second Quarter of the Fiscal Year Ending December 2026

In the second quarter of FY2026 December, revenue was broadly in line with the previous year, while operating profit fell 22.1% year on year to ¥231 million. The company explained that upfront investments in recruitment and employee development weighed on first-half profit and left its full-year forecast unchanged.

Worth reading
50Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Deterioration
Direction inferred from the company’s description.
Scale
-66
¥ millions (year-on-year change in operating income)
Wording
Conditional
How definitive the wording is.

Contents of this document

Earnings presentationSecond quarter of the fiscal year ending December 20268 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales1,689 million yen-0.6%
Operating profit231 million yen-22.1%
Ordinary income236 million yen-20.6%
Net income162 million yen-20.0%
Gross Profit Margin24.8%
Operating profit margin13.7%
Full-year earnings forecast
Net Sales
3,800 million yen
Operating profit
530 million yen
Ordinary income
530 million yen
Net income for the current fiscal year
362 million yen
Progress against full-year forecast　通期の予想に対して、いまどこまで進んだかの割合です。
Net Sales44.4%
Operating profit43.6%
Ordinary income44.5%
Net income for the current fiscal year44.9%
What the company explained in this material
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
  • Full-year revenue
    Assumption+14.4% year on year
  • Recruitment scale
    Assumption10–20 people
  • PM/PL development
    Assumption2 people per year, targeting an increase of 10 people over 5 years
New initiatives
  • Strengthening recruitment of PM/PL candidates and next-generation members
  • Expanding in-house education and training
  • Expanding skills into areas surrounding SAP and areas outside SAP
  • Rolling out the joint development template to the mid-sized and small-company markets
  • Introducing a restricted stock compensation plan
  • Launching an operational efficiency project, including business process automation, at a local-government-affiliated electric power company
  • Sponsoring and exhibiting at HR Connect, hosted by SAP Japan
Key KPIsA metric the company considers important as a management benchmark.
  • Number of consultants136 people
  • Number of employees139 people
Segment results
Prime
Net Sales
1,271 million yen
FIS
Net Sales
418 million yen
Medium-term management plan targets
Prime contract ratio70～75%
Operating profit margin20～22%
Comparison with actual results
Operating margin in the previous fiscal year17.6%
Forecast operating margin for the current fiscal yearApproximately 14.0%
Number of employees
Number of Employees139 people
Changes during the period and hiring planPlans to recruit 10–20 people
Payout ratio
40% or more
Acquisition of treasury shares
  • StatusCompletion of acquisition
    Number of shares acquired1 million shares
    Purchase price¥142,412,300
    Acquisition period16 February 2026–13 March 2026
  • StatusRepurchase limit determined
    Number of shares acquired1 million shares
    Total purchase priceMaximum total acquisition cost: ¥150,000,000
    Acquisition period10 August 2026–31 October 2026
Contents of this document
ItemDetails
Document typeEarnings presentation
Fiscal Period CoveredSecond quarter of the fiscal year ending December 2026
Net Sales1,689 million yen (YoY -0.6%)
Operating profit231 million yen (YoY -22.1%)
Ordinary income236 million yen (YoY -20.6%)
Net income162 million yen (YoY -20.0%)
Gross Profit Margin24.8%
Operating profit margin13.7%
Full-year earnings forecastNet Sales 3,800 million yen / Operating profit 530 million yen / Ordinary income 530 million yen / Net income for the current fiscal year 362 million yen
Progress against full-year forecastNet Sales 44.4% / Operating profit 43.6% / Ordinary income 44.5% / Net income for the current fiscal year 44.9%
Segment resultsPrime Net Sales 1,271 million yen / FIS Net Sales 418 million yen
Key KPIsIndicator name Number of consultants / Value 136 people / Year on year against the same period last year Not disclosed, Indicator name Number of employees / Value 139 people / Year on year against the same period last year Not disclosed
Number of employeesNumber of Employees 139 people / Changes during the period and hiring plan Plans to recruit 10–20 people
Assumptions Underlying the Business OutlookItem Full-year revenue / Assumption +14.4% year on year, Item Recruitment scale / Assumption 10–20 people, Item PM/PL development / Assumption 2 people per year, targeting an increase of 10 people over 5 years
Medium-term management plan targetsPrime contract ratio 70～75% / Operating profit margin 20～22% / Target fiscal year Not disclosed / Comparison with actual results Operating margin in the previous fiscal year 17.6% / Forecast operating margin for the current fiscal year Approximately 14.0%
Payout ratio40% or more
Acquisition of treasury sharesStatus Completion of acquisition / Number of shares acquired 1 million shares / Purchase price ¥142,412,300 / Acquisition period 16 February 2026–13 March 2026, Status Repurchase limit determined / Number of shares acquired 1 million shares / Total purchase price Maximum total acquisition cost: ¥150,000,000 / Acquisition period 10 August 2026–31 October 2026
New initiativesStrengthening recruitment of PM/PL candidates and next-generation members, Expanding in-house education and training, Expanding skills into areas surrounding SAP and areas outside SAP, Rolling out the joint development template to the mid-sized and small-company markets, Introducing a restricted stock compensation plan, Launching an operational efficiency project, including business process automation, at a local-government-affiliated electric power company, Sponsoring and exhibiting at HR Connect, hosted by SAP Japan
Items this document does not state (13)
Selling, general and administrative expensesResults for the three months of the current quarterSelf-assessment against the planBreakdown of Factors Affecting the ChangeUnit price and quantity metricsNumber of stores and locationsRisk amount incorporated into the outlookFinancial targetsAnnual DividendCapital expendituresOrders received and order backlogMarket Size / ShareKey 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.

The company made upfront growth investments, including strengthening sales capabilities to increase orders for Prime projects and PMO services, employee development, recruitment, and skills expansion. The company plans to concentrate investment in the first half and improve performance toward the second half.

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.
Financial Results Presentation for the Second Quarter of the Fiscal Year Ending December 2026 | Nomura System Corporation Co,Ltd. (3940) timely disclosure | Komori