Komori
Financial results presentation4847INTELLIGENT WAVE INC.Information and Communications, Services and Others

Financial Results Briefing Materials for the Third Quarter of the Fiscal Year Ending June 2026

For the fiscal year ending June 2026, revenue and operating profit reached record highs, driven by system renewal projects for major customers, and exceeded the revised forecast announced in May. Meanwhile, order intake and order backlog declined following the impact of large multi-year contracts secured in the previous year, and progress against the medium-term plan was delayed in the security and data communications and analytics platform businesses.

Worth reading
83Important
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Improvement
Direction inferred from the company’s description.
Scale
1650
¥ million (year-on-year increase in net sales)
Wording
Conditional
How definitive the wording is.

Contents of this document

Financial results presentationFiscal year ending June 202614 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥17,247 million+10.6%
Operating profit¥2,076 million+12.3%
Ordinary income¥2,129 million+12.6%
Net income¥1,487 million+10.2%
Selling, general and administrative expenses¥2,872 million
Gross Profit Margin
Rate28.7%
Year-on-year change (points)Down 1.2 percentage points (from 29.9% to 28.7%)
Operating profit margin
Rate12.0%
Year-on-year change (points)Up 0.1 percentage points (from 11.9% to 12.0%)
Results for the three months of the current quarterQuarterly trend charts show revenue, operating profit and other results for the fourth quarter of the fiscal year ending June 2026. The tables present results for the first half and second half.
Full-year earnings forecast
Fiscal year ending June 2027
Net Sales
¥17,700 million
Gross profit
¥5,350 million
Selling, General and Administrative Expenses
¥3,150 million
Operating profit
¥2,200 million
Ordinary income
¥2,240 million
Net income for the current fiscal year
¥1,530 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。
FY2026 June vs. revised forecast
Net Sales100.3%
Operating profit103.8%
Ordinary income103.9%
Net income for the current fiscal year104.7%
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Both revenue and profit targets were achieved against the revised forecast announced in May. Revenue and profit both exceeded the revised forecast.
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Year-on-year change in operating income
Revenue Growth+¥533 million
Decline in gross marginNet loss of ¥252 million
Increase in SG&A expensesNet loss of ¥53 million
Operating profit in the previous fiscal year¥1,848 million
Operating profit for the period¥2,076 million
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
IT investment demand from card companies and payment service providers is expected to remain firm. Numerical assumptions for foreign exchange rates, raw material prices, interest rates and other factors are undisclosed.
New initiatives
  • Development of an AI agent for quality management
  • Implementation of AI-driven development
  • Training engineers to support cloud deployment of FEP systems
  • Consolidation and efficiency improvement of the infrastructure operations platform
  • Upgrading the CWAT system and adding AI functionality (CWATv7.0 scheduled for release in November)
  • Rolling out to other companies a new service combining FEP and acquiring functions
  • Verification of core technologies for AI-agent payments and collaboration with 2 partners
  • Expected launch of 1 new collaboration
Key KPIsA metric the company considers important as a management benchmark.
  • Orders received¥15,365 million
    Year on year against the same period last year△20.5%
  • Order backlog¥18,429 million
    Year on year against the same period last year△9.3%
  • ROE15.2 %
    Year on year against the same period last yearUp from 14.4%
  • FEP market share73 %
  • Fraud detection market share62 %
Segment results
Payments
Net Sales
¥14,285 million
Year on year against the same period last year+12.0%
Security
Net Sales
¥2,067 million
Year on year against the same period last year+2.2%
Data communications and analytics platform
Net Sales
¥894 million
Year on year against the same period last year+9.4%
Medium-term management plan targets
FY2026 June medium-term plan
Net Sales¥17,400 million
Operating profit¥2,400 million
Operating profit margin13.8%
FY2027 June medium-term plan
Net Sales¥19,000 million
Operating profit¥2,850 million
Operating profit margin15.0%
Financial targets
ROE
Target for the fiscal year ending June 202717.0% or higher
Actual results for the fiscal year ended June 202615.2%
Market Size / Share
FEP market share73% (25 major credit card companies, as of September 2025)
Fraud detection market share62% (25 major credit card companies, as of September 2025)
Orders received and order backlog
Orders received
¥15,365 million
Order backlog
¥18,429 million
Number of employees
Number of Employees534 people
Record dateEnd of June 2026
Capital expenditures
Acquisition of intangible assets¥607 million
Acquisition of Property, Plant and Equipment¥522 million
Annual Dividend
Fiscal year ending June 2026
End of period¥20 per share
Fiscal year ending June 2027
Interim¥17 per share
End of period¥20 per share
Annual¥37 per share
Payout ratio
Around 50% (basic policy)
Contents of this document
ItemDetails
Document typeFinancial results presentation
Fiscal Period CoveredFiscal year ending June 2026
Net Sales¥17,247 million (YoY +10.6%)
Operating profit¥2,076 million (YoY +12.3%)
Ordinary income¥2,129 million (YoY +12.6%)
Net income¥1,487 million (YoY +10.2%)
Gross Profit MarginRate 28.7% / Year-on-year change (points) Down 1.2 percentage points (from 29.9% to 28.7%)
Operating profit marginRate 12.0% / Year-on-year change (points) Up 0.1 percentage points (from 11.9% to 12.0%)
Selling, general and administrative expenses¥2,872 million
Results for the three months of the current quarterQuarterly trend charts show revenue, operating profit and other results for the fourth quarter of the fiscal year ending June 2026. The tables present results for the first half and second half.
Full-year earnings forecastFiscal year ending June 2027 Net Sales ¥17,700 million / Gross profit ¥5,350 million / Selling, General and Administrative Expenses ¥3,150 million / Operating profit ¥2,200 million / Ordinary income ¥2,240 million / Net income for the current fiscal year ¥1,530 million
Progress against full-year forecastFY2026 June vs. revised forecast Net Sales 100.3% / Operating profit 103.8% / Ordinary income 103.9% / Net income for the current fiscal year 104.7%
Self-assessment against the planBoth revenue and profit targets were achieved against the revised forecast announced in May. Revenue and profit both exceeded the revised forecast.
Segment resultsPayments Net Sales ¥14,285 million / yoy_pct 12 / Security Net Sales ¥2,067 million / yoy_pct 2.2 / Data communications and analytics platform Net Sales ¥894 million / yoy_pct 9.4
Breakdown of Factors Affecting the ChangeYear-on-year change in operating income Revenue Growth +¥533 million / Decline in gross margin Net loss of ¥252 million / Increase in SG&A expenses Net loss of ¥53 million / Operating profit in the previous fiscal year ¥1,848 million / Operating profit for the period ¥2,076 million
Key KPIsIndicator name Orders received / Value ¥15,365 million / Year on year against the same period last year △20.5%, Indicator name Order backlog / Value ¥18,429 million / Year on year against the same period last year △9.3%, Indicator name ROE / Value 15.2 % / Year on year against the same period last year Up from 14.4%, Indicator name FEP market share / Value 73 % / Year on year against the same period last year Not disclosed, Indicator name Fraud detection market share / Value 62 % / Year on year against the same period last year Not disclosed
Number of employeesNumber of Employees 534 people / Record date End of June 2026
Assumptions Underlying the Business OutlookIT investment demand from card companies and payment service providers is expected to remain firm. Numerical assumptions for foreign exchange rates, raw material prices, interest rates and other factors are undisclosed.
Medium-term management plan targetsFY2026 June medium-term plan Net Sales ¥17,400 million / Operating profit ¥2,400 million / Operating profit margin 13.8% / FY2027 June medium-term plan Net Sales ¥19,000 million / Operating profit ¥2,850 million / Operating profit margin 15.0%
Financial targetsROE Target for the fiscal year ending June 2027 17.0% or higher / Actual results for the fiscal year ended June 2026 15.2%
Annual DividendFiscal year ending June 2026 End of period ¥20 per share / Annual Not disclosed / Fiscal year ending June 2027 Interim ¥17 per share / End of period ¥20 per share / Annual ¥37 per share
Payout ratioAround 50% (basic policy)
Capital expendituresAcquisition of intangible assets ¥607 million / Acquisition of Property, Plant and Equipment ¥522 million
Orders received and order backlogOrders received ¥15,365 million / Order backlog ¥18,429 million
Market Size / ShareFEP market share 73% (25 major credit card companies, as of September 2025) / Fraud detection market share 62% (25 major credit card companies, as of September 2025)
New initiativesDevelopment of an AI agent for quality management, Implementation of AI-driven development, Training engineers to support cloud deployment of FEP systems, Consolidation and efficiency improvement of the infrastructure operations platform, Upgrading the CWAT system and adding AI functionality (CWATv7.0 scheduled for release in November), Rolling out to other companies a new service combining FEP and acquiring functions, Verification of core technologies for AI-agent payments and collaboration with 2 partners, Expected launch of 1 new collaboration
Items this document does not state (5)
Unit price and quantity metricsNumber of stores and locationsRisk amount incorporated into the outlookAcquisition of treasury sharesKey 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.

Revenue increased as system renewal projects for major customers and other projects progressed. Quality-related issues were brought to a close during the fiscal year, and profitability improved from the third quarter onward. Order intake and order backlog declined following the impact of large multi-year contracts secured in areas including cloud services and security in the previous year.

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 Briefing Materials for the Third Quarter of the Fiscal Year Ending June 2026 | INTELLIGENT WAVE INC. (4847) timely disclosure | Komori