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Earnings4820EM SYSTEMS CO.,LTD.Information and Communications, Services and Others

Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending December 2026 [Japanese GAAP] (Consolidated)

In the 2026 interim period, net sales fell 14.1% year on year and operating income fell 55.7%, resulting in lower sales and lower profits. The main factors were the run-off of demand related to health and welfare administration and concentrated demand for electronic prescriptions, both of which had been strong in the previous year, as well as a shift in the Company's sales strategy.

Worth reading
53Recurring
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
-55.7
Year-on-year change in operating profit (%)
Wording
Conditional
How definitive the wording is.

Results for this period

Interim period (second quarter)1 January 2026–30 June 2026ConsolidatedJapanese GAAP
Net Sales10,434¥ millionYear on year -14.1%Progress 45.8%
Operating profit922¥ millionYear on year -55.7%Progress 27.8%
Ordinary income1,279¥ millionYear on year -46.7%Progress 32.5%
Net income attributable to owners of the parent663¥ millionYear on year -58.6%Progress 30.2%

The width of the band at each stage is based on revenue. The narrower it becomes toward the bottom, the smaller the proportion of revenue that remains as profit. The dotted outline is the full-year forecast and the band inside it is the result for this period. The progress rate is the result divided by the forecast.

Net income per share¥9.58
Financial position at period-end
Total assets26,776¥ million
of which net assets 19,996 ¥ millionEquity ratio 74.3%vs. prior year-end +0.4pt

塗りつぶした部分が自己資本比率です。総資産のうち、返済のいらない自前の資金がどれだけかを表します。The thin vertical line indicates the level at the end of the previous fiscal year.

Segment revenue
Pharmacy Systems Business8,33979.3%
Medical Systems Business1,22511.7%
Nursing Care and Welfare Systems Business4113.9%
Other Businesses5385.1%
Segment profit
Pharmacy Systems Business1,276
Medical Systems Business-254
Nursing Care and Welfare Systems Business-130
Other Businesses11
Outlook and shareholder returns
Full-year earnings forecast
Net Sales¥22,762 million (YoY -3.8%)
Operating profit¥3,316 million (YoY -9.8%)
Ordinary income¥3,939 million (YoY -8.7%)
Net income¥2,193 million (YoY -10.6%)
Annual Dividend Forecast¥39 → ¥23
Factors Behind Changes in Business Performance

Demand related to health and welfare administration and concentrated demand for electronic prescriptions, both of which had been strong in the previous fiscal year, ran their course; priority was given to shifting from promoting replacement purchases among existing customers to acquiring new customers from other companies; and the sales strategy was changed to expand the earnings base over the longer term, among other factors.

Disclosure regarding the going concern assumption

Not applicable.

Change in accounting policy
基準改正に伴う変更 Noそれ以外の変更 No見積りの変更 No修正再表示 No
Changes in the scope of consolidationNew Number of companies 1 / Company name 株式会社コンダクト / Excluded Number of companies 0 / Company name Not disclosed
Impairment loss¥187 million
Breakdown of extraordinary income (loss)Extraordinary income Item Gain on sale of non-current assets / Amount Not disclosed / Extraordinary loss Item Loss on Disposal of Fixed Assets / Amount ¥6 million, Item Impairment Losses / Amount ¥187 million
Availability of Supplementary Financial Results MaterialsYes
Availability of Financial Results BriefingYes (for analysts)
Issued Shares at Period-End70,514,800 Shares
Treasury Shares at Period-End1,244,395 Shares
Results for this period
ItemDetails
Fiscal Period ClassificationInterim period (second quarter)
Accounting standardsJapanese GAAP
Consolidated / non-consolidatedConsolidated
Period Covered1 January 2026–30 June 2026
Net Sales¥10,434 million (YoY -14.1%)
Operating profit¥922 million (YoY -55.7%)
Ordinary income¥1,279 million (YoY -46.7%)
Profit attributable to owners of the parent¥663 million (YoY -58.6%)
Net income per share¥9.58
Equity ratioEnd of the current fiscal period 74.3 / End of previous period 73.9
Total assets¥26,776 million
Net assets¥19,996 million
Full-year earnings forecastNet Sales ¥22,762 million (YoY -3.8%) / Operating profit ¥3,316 million (YoY -9.8%) / Ordinary income ¥3,939 million (YoY -8.7%) / Net income ¥2,193 million (YoY -10.6%)
Annual Dividend Forecast¥39 → ¥23
Segment revenueSegment Pharmacy Systems Business / Net Sales ¥8,339 million / Year-on-year (%) ¥-15.6 million, Segment Medical Systems Business / Net Sales ¥1,225 million / Year-on-year (%) ¥-18.2 million, Segment Nursing Care and Welfare Systems Business / Net Sales ¥411 million / Year-on-year (%) ¥56.6 million, Segment Other Businesses / Net Sales ¥538 million / Year-on-year (%) ¥-5.8 million
Segment profitSegment Pharmacy Systems Business / Segment profit ¥1,276 million / Year-on-year (%) ¥-39.9 million, Segment Medical Systems Business / Segment profit ¥-254 million / Year on year against the same period last year Not disclosed, Segment Nursing Care and Welfare Systems Business / Segment profit ¥-130 million / Year on year against the same period last year Not disclosed, Segment Other Businesses / Segment profit ¥11 million / Year-on-year (%) ¥-51.1 million
Impairment loss¥187 million
Breakdown of extraordinary income (loss)Extraordinary income Item Gain on sale of non-current assets / Amount Not disclosed / Extraordinary loss Item Loss on Disposal of Fixed Assets / Amount ¥6 million, Item Impairment Losses / Amount ¥187 million
Disclosure regarding the going concern assumptionNot applicable.
Change in accounting policyChanges due to revisions to standards No / Other changes No / Change in accounting estimate No / Restatement No
Changes in the scope of consolidationNew Number of companies 1 / Company name 株式会社コンダクト / Excluded Number of companies 0 / Company name Not disclosed
Availability of Supplementary Financial Results MaterialsYes
Availability of Financial Results BriefingYes (for analysts)
Issued Shares at Period-End70,514,800 Shares
Treasury Shares at Period-End1,244,395 Shares
Factors Behind Changes in Business PerformanceDemand related to health and welfare administration and concentrated demand for electronic prescriptions, both of which had been strong in the previous fiscal year, ran their course; priority was given to shifting from promoting replacement purchases among existing customers to acquiring new customers from other companies; and the sales strategy was changed to expand the earnings base over the longer term, among other factors.
Items this document does not state (12)
Operating MarginCash flows from operating activitiesCash flows from investing activitiesCash flows from financing activitiesCash and cash equivalents at end of periodRevision to Earnings ForecastPayout ratioShareholder Return PolicyRegional salesOrders received and order backlogDepreciation and amortizationMaterial subsequent events

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.

Demand related to health and welfare administration and concentrated demand for electronic prescriptions, both of which had been strong in the previous fiscal year, ran their course; sales resources were shifted from promoting replacement purchases among existing customers to acquiring new customers from other companies and selling value-added products; and the sales strategy was changed to expand the earnings base over the longer term.

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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.
Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending December 2026 [Japanese GAAP] (Consolidated) | EM SYSTEMS CO.,LTD. (4820) timely disclosure | Komori