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How definitive the wording is.Contents of this document
Earnings briefing transcriptThird quarter of the fiscal year ending June 20269 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Operating profit marginMedium- to long-term target for the Product Business: 40–50%. Year-on-year comparison: Not disclosed
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。Numerical data not disclosed. The company stated that it is making steady progress toward its full-year target.
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Making steady progressKey points of the Q&AKey questions raised by investors at the briefing and the company's answers
Shift in the growth strategy driven by generative AI, transition from M&A to in-house development, profit margin targets and PMI, transition from a period of upfront investment to a profit recovery phase, shareholder returns and share repurchases, macroeconomic risks, improvement in PlantStream's profitability, and talent and recruitment policiesBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
The temporary factors that weighed on results in the second quarter have been resolved. Amount: Not disclosed
New initiatives
Strategic shift toward developing proprietary products using generative AI, use of AI to reduce dependence on specific platforms, transition to a profit recovery phase from the next fiscal year onward, development of PlantStream's consulting capabilities through overseas offices, and enhanced disclosureKey KPIsA metric the company considers important as a management benchmark.
Kozō Soft's top line (orders received) improved. Numerical data and year-on-year comparison: Not disclosedMedium-term management plan targets
Product Business operating margin of 40–50%. The company targets a Group-wide operating margin of 40–50% under steady-state conditions from FY28 onward. It explained that the target could be achieved earlier than planned.Orders received and order backlog
Kozō Soft's orders received improved. Amount: Not disclosedNumber of employees
The number of engineers specializing in the construction industry: Not disclosed. The company aims to build an organization that generates high added value with a small number of employees.Acquisition of treasury shares
Share repurchases have been conducted since January 2026. The amount, number of shares and period of the repurchase program: Not disclosed| Item | Details |
|---|---|
| Document type | Earnings briefing transcript |
| Fiscal Period Covered | Third quarter of the fiscal year ending June 2026 |
| Operating profit margin | Medium- to long-term target for the Product Business: 40–50%. Year-on-year comparison: Not disclosed |
| Progress against full-year forecast | Numerical data not disclosed. The company stated that it is making steady progress toward its full-year target. |
| Self-assessment against the plan | Making steady progress |
| Breakdown of Factors Affecting the Change | The temporary factors that weighed on results in the second quarter have been resolved. Amount: Not disclosed |
| Key KPIs | Kozō Soft's top line (orders received) improved. Numerical data and year-on-year comparison: Not disclosed |
| Number of employees | The number of engineers specializing in the construction industry: Not disclosed. The company aims to build an organization that generates high added value with a small number of employees. |
| Medium-term management plan targets | Product Business operating margin of 40–50%. The company targets a Group-wide operating margin of 40–50% under steady-state conditions from FY28 onward. It explained that the target could be achieved earlier than planned. |
| Acquisition of treasury shares | Share repurchases have been conducted since January 2026. The amount, number of shares and period of the repurchase program: Not disclosed |
| Orders received and order backlog | Kozō Soft's orders received improved. Amount: Not disclosed |
| Key points of the Q&A | Shift in the growth strategy driven by generative AI, transition from M&A to in-house development, profit margin targets and PMI, transition from a period of upfront investment to a profit recovery phase, shareholder returns and share repurchases, macroeconomic risks, improvement in PlantStream's profitability, and talent and recruitment policies |
| New initiatives | Strategic shift toward developing proprietary products using generative AI, use of AI to reduce dependence on specific platforms, transition to a profit recovery phase from the next fiscal year onward, development of PlantStream's consulting capabilities through overseas offices, and enhanced disclosure |
Items this document does not state (18)
Net SalesOperating profitOrdinary incomeNet incomeGross Profit MarginSelling, general and administrative expensesResults for the three months of the current quarterFull-year earnings forecastSegment resultsUnit price and quantity metricsNumber of stores and locationsAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookFinancial targetsAnnual DividendPayout ratioCapital expendituresMarket Size / Share
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.As generative AI has made it possible to reduce development costs and the market environment has changed, the company is placing greater emphasis on deploying products developed in-house rather than acquiring products and organizations through M&A. It stated that lower AI-driven development and implementation costs could support achievement of its target operating margin of 40–50% for the Product Business and the Group as a whole.
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