Worth reading
30Immaterial
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Mixed performance
Direction inferred from the company’s description.Scale
3.6
Hundreds of millions of yenWording
Avoiding a definitive answer
How definitive the wording is.Contents of this document
Summary of Q&AFiscal year ending March 2026, full year5 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Gross Profit MarginThe gross profit margin declined in the fiscal year ended March 2026 due to the impact of government projects. The company explained that the margin had not deteriorated if costs equivalent to research and development expenses were deducted from cost of sales. The specific year-on-year margin and change points were not disclosed.
Full-year earnings forecastExpected increase in software sales for the fiscal year ending March 2027: ¥360 million. Forecasts for other line items were not disclosed.
What the company explained in this material
Key points of the Q&AKey questions raised by investors at the briefing and the company's answers
Profit margins for software and hardware, the shift in sales from hardware to software, contracted coverage of the expected increase in software sales, the billing model and market for data technologies, the decline in gross profit margin caused by government projects, research and development investment and the competitive advantages of Physical AI, funding plans, the impact of oil supply issues, and intellectual property strategyBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
The shift from hardware sales to software sales, cost recognition associated with government projects, and increased research and development expenses, among other factors. Amounts by factor were not disclosed.
New initiatives
Provision of data technologies for Physical AI; a usage-based billing model based on the scale of data development; research and development and new investment in digital twins, robot navigation, and data technologies; and acquisition of patents for Vantage's core technologiesKey KPIsA metric the company considers important as a management benchmark.
Expected increase in software sales: ¥360 million; coverage from existing contracts and continuing projects: more than 1/3 of the ¥360 million; working capital: approximately 6 years' worth; software profit margin: approximately twice that of hardware, with some products approaching 100%Market Size / Share
Future market size: ¥20 trillion; related submarket: several percent to around 10% of the overall market; target share: several percent to several tens of percent of the submarket| Item | Details |
|---|---|
| Document type | Summary of Q&A |
| Fiscal Period Covered | Fiscal year ending March 2026, full year |
| Gross Profit Margin | The gross profit margin declined in the fiscal year ended March 2026 due to the impact of government projects. The company explained that the margin had not deteriorated if costs equivalent to research and development expenses were deducted from cost of sales. The specific year-on-year margin and change points were not disclosed. |
| Full-year earnings forecast | Expected increase in software sales for the fiscal year ending March 2027: ¥360 million. Forecasts for other line items were not disclosed. |
| Breakdown of Factors Affecting the Change | The shift from hardware sales to software sales, cost recognition associated with government projects, and increased research and development expenses, among other factors. Amounts by factor were not disclosed. |
| Key KPIs | Expected increase in software sales: ¥360 million; coverage from existing contracts and continuing projects: more than 1/3 of the ¥360 million; working capital: approximately 6 years' worth; software profit margin: approximately twice that of hardware, with some products approaching 100% |
| Market Size / Share | Future market size: ¥20 trillion; related submarket: several percent to around 10% of the overall market; target share: several percent to several tens of percent of the submarket |
| Key points of the Q&A | Profit margins for software and hardware, the shift in sales from hardware to software, contracted coverage of the expected increase in software sales, the billing model and market for data technologies, the decline in gross profit margin caused by government projects, research and development investment and the competitive advantages of Physical AI, funding plans, the impact of oil supply issues, and intellectual property strategy |
| New initiatives | Provision of data technologies for Physical AI; a usage-based billing model based on the scale of data development; research and development and new investment in digital twins, robot navigation, and data technologies; and acquisition of patents for Vantage's core technologies |
Items this document does not state (22)
Net SalesOperating profitOrdinary incomeNet incomeOperating profit marginSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planSegment resultsUnit price and quantity metricsNumber of stores and locationsNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookMedium-term management plan targetsFinancial targetsAnnual DividendPayout ratioAcquisition of treasury sharesCapital expendituresOrders received and order backlog
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.To disclose the content of the earnings briefing to investors in a timely manner. From an earnings perspective, the company is increasingly using hardware as an entry point for selling software and aims to expand earnings over the medium to long term with software at the core of its business.
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.