Supplementary Financial Results Materials for the Third Quarter of the Fiscal Year Ending September 2026 | PBsystems,Inc. (4447) timely disclosure

Worth reading

84Important

Scored from 5 of 6 sections

Direction

Mixed performance

Direction inferred from the company’s description.

Scale

Millions of yen (year-on-year change in operating profit)

Wording

Conditional

How definitive the wording is.

Contents of this document

Supplementary materials to the earnings reportQ3 FY202611 items taken from the company’s own explanation

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

Net Sales¥1,795 million+3.3%

Operating profit¥95 million+1,023.6%

Ordinary income¥102 million+1,136.5%

Net income¥68 million+3,061.0%

Selling, general and administrative expenses¥417 million; selling, general and administrative expense ratio to revenue: not_disclosed

Operating profit margin5.3%, up 4.8 percentage points year on year (recovering from 0.5% in the same period of the previous year)

Results for the three months of the current quarterStandalone Q3 revenue in the Secure Cloud System Business increased 21.1% year on year. Consolidated profit and loss figures for the three-month period: Not disclosed

Full-year earnings forecast

Net Sales

¥3,000 million

Operating profit

¥245 million

Ordinary income

¥251 million

Net income for the current fiscal year

¥165 million

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 Sales59.9％

Cost of sales60.0％

Gross profit59.6％

Selling, general and administrative expenses67.9％

Operating profit39.0％

Ordinary income40.6％

Net income for the current fiscal year41.7％

Secure Cloud Systems Business revenue59.2％

Secure Cloud Systems Business segment profit (loss)37.4％

Emotional Systems Business revenue71.0％

Emotional System Business segment profit or loss69.2％

What the company explained in this material

Self-assessment against the planThe company's self-assessment against its own plan.

Plan not achieved, but the year-end forecast was left unchanged

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

Scheduled revenue-generating projects shifted into a later period due to hardware delivery delays
Growth in SE revenue
ChangeUp 28.9% year on year
Bringing younger engineers up to full productivity sooner
More efficient production processes

The company identifies the factors but does not state the amount attributable to each one.

Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.

Quantitative assumptions: Not disclosed. The disclaimer refers to interest rates, currency exchange rate fluctuations and other factors

New initiatives

Strengthening direct relationships with hardware manufacturers and diversifying collaboration partners
Growing revenue from in-house services less affected by delivery schedules
Growing recurring revenue through renewals and maintenance of cybersecurity services
Proposing smart factories using local LLMs/SLMs and RAG
Expanding MetaWalkers into disaster-prevention and safety-training applications and the education sector
Collaborating with major IT distributors and other partners

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

Order value¥2,307 million
Year on year against the same period last year+9.0％
Engineers' billable utilization rate66.6 ％
Year on year against the same period last year54.7% in FY2025 September actual results
Number of cybersecurity-related customers62 companies
Year on year against the same period last yearQ1: 44 companies → Q2: 53 companies → Q3: 62 companies
Cybersecurity-related revenue¥120 million
Number of MetaWalkers event projects6 Engagements

Segment results

Secure Cloud Systems Business

Net Sales

¥1,668 million-1.6%

Segment Profit or Loss

¥87 million+186.7%

Emotional systems business

Net Sales

¥126 million+194.1%

Segment Profit or Loss

¥8 million

Year-on-year change30

Medium-term management plan targets

ROE

30 ％

Target fiscal yearFiscal year ending September 2030

Fiscal year ending September 2026 plan

14 ％

Financial targets

ROE target

30 ％

Target fiscal yearFiscal year ending September 2030

Actual ROE

Fiscal year ended September 202222.6 ％

Fiscal year ended September 202319.1 ％

Fiscal year ended September 202419 ％

Fiscal year ended September 20256.6 ％

Fiscal year ending September 2026 plan14 ％

Orders received and order backlog

Order backlog

¥9.72 100 million+4.5%

Secure Cloud Systems Business

¥9.7 100 million+16.1%

Emotional systems business

¥0.02 100 million-97.9%

Annual Dividend

¥22.5 per share

Interim Dividend

¥10 per share

Year-end dividend

¥12.5 per share

Acquisition of treasury shares

The company states that it has repurchased its own shares in the past, but the repurchase limit and period for this transaction: Not disclosed

Contents of this document
Item	Details
Document type	Supplementary materials to the earnings report
Fiscal Period Covered	Q3 FY2026
Net Sales	¥1,795 million (YoY +3.3%)
Operating profit	¥95 million (YoY +1,023.6%)
Ordinary income	¥102 million (YoY +1,136.5%)
Net income	¥68 million (YoY +3,061.0%)
Operating profit margin	5.3%, up 4.8 percentage points year on year (recovering from 0.5% in the same period of the previous year)
Selling, general and administrative expenses	¥417 million; selling, general and administrative expense ratio to revenue: not_disclosed
Results for the three months of the current quarter	Standalone Q3 revenue in the Secure Cloud System Business increased 21.1% year on year. Consolidated profit and loss figures for the three-month period: Not disclosed
Full-year earnings forecast	Net Sales ¥3,000 million / Operating profit ¥245 million / Ordinary income ¥251 million / Net income for the current fiscal year ¥165 million
Progress against full-year forecast	Net Sales 59.9％ / Cost of sales 60.0％ / Gross profit 59.6％ / Selling, general and administrative expenses 67.9％ / Operating profit 39.0％ / Ordinary income 40.6％ / Net income for the current fiscal year 41.7％ / Secure Cloud Systems Business revenue 59.2％ / Secure Cloud Systems Business segment profit (loss) 37.4％ / Emotional Systems Business revenue 71.0％ / Emotional System Business segment profit or loss 69.2％
Self-assessment against the plan	Plan not achieved, but the year-end forecast was left unchanged
Segment results	Secure Cloud Systems Business Net Sales ¥1,668 million (YoY -1.6%) / Segment Profit or Loss ¥87 million (YoY +186.7%) / Emotional systems business Net Sales ¥126 million (YoY +194.1%) / Segment Profit or Loss ¥8 million
Breakdown of Factors Affecting the Change	Factors Scheduled revenue-generating projects shifted into a later period due to hardware delivery delays / Amount Not disclosed, Factors Growth in SE revenue / Change Up 28.9% year on year, Factors Bringing younger engineers up to full productivity sooner / Amount Not disclosed, Factors More efficient production processes / Amount Not disclosed
Key KPIs	Indicator name Order value / Value ¥2,307 million / Year on year against the same period last year +9.0％, Indicator name Engineers' billable utilization rate / Value 66.6 ％ / Year on year against the same period last year 54.7% in FY2025 September actual results, Indicator name Number of cybersecurity-related customers / Value 62 companies / Year on year against the same period last year Q1: 44 companies → Q2: 53 companies → Q3: 62 companies, Indicator name Cybersecurity-related revenue / Value ¥120 million / Year on year against the same period last year Not disclosed, Indicator name Number of MetaWalkers event projects / Value 6 Engagements / Year on year against the same period last year Not disclosed
Assumptions Underlying the Business Outlook	Quantitative assumptions: Not disclosed. The disclaimer refers to interest rates, currency exchange rate fluctuations and other factors
Medium-term management plan targets	ROE 30 ％ / Fiscal year ending September 2026 plan 14 ％
Financial targets	ROE target 30 ％ / Actual ROE Fiscal year ended September 2022 22.6 ％ / Fiscal year ended September 2023 19.1 ％ / Fiscal year ended September 2024 19 ％ / Fiscal year ended September 2025 6.6 ％ / Fiscal year ending September 2026 plan 14 ％
Annual Dividend	Annual Dividend ¥22.5 per share / Interim Dividend ¥10 per share / Year-end dividend ¥12.5 per share
Acquisition of treasury shares	The company states that it has repurchased its own shares in the past, but the repurchase limit and period for this transaction: Not disclosed
Orders received and order backlog	Order backlog ¥9.72 100 million (YoY +4.5%) / Secure Cloud Systems Business ¥9.7 100 million (YoY +16.1%) / Emotional systems business ¥0.02 100 million (YoY -97.9%)
New initiatives	Strengthening direct relationships with hardware manufacturers and diversifying collaboration partners, Growing revenue from in-house services less affected by delivery schedules, Growing recurring revenue through renewals and maintenance of cybersecurity services, Proposing smart factories using local LLMs/SLMs and RAG, Expanding MetaWalkers into disaster-prevention and safety-training applications and the education sector, Collaborating with major IT distributors and other partners

Items this document does not state (9)

Gross Profit MarginUnit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookPayout ratioCapital expendituresMarket 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 primary reason for falling short of the plan was the shift of scheduled revenue-generating projects into a later period due to hardware delivery delays. Factors cited for the increase in profit and recovery in the operating margin included strengthening services projects, bringing younger engineers up to full productivity sooner, growth in SE revenue, progress in line with plan on large projects in the Emotional System Business, and more efficient production processes.

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.