Contents of this document
Financial results presentationFY2027/3 Q214 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥5,756 million+1.3%
Operating profit¥712 million+8.6%
Ordinary income¥642 million+7.3%
Net income¥394 million-27.5%
Gross Profit Margin
Year-on-year change (points)Cost ratio improved by 2.3 percentage points
Operating profit margin
Rate12.4%
Results for the three months of the current quarterStandalone first- and second-quarter trends by segment are shown in a graph. Standalone three-month profit and loss figures for the consolidated group are Not disclosed
Full-year earnings forecast
Net Sales
¥13,630 million
Operating profit
¥1,220 million
Ordinary income
¥1,060 million
Net income
¥690 million
Earnings per share
¥85
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Sales projects in the real estate regeneration business were broadly in line with plan. Cumulative actual power generation in the natural energy business was 87% of planBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
- Revenue¥72 million
- Cost of sales¥21 million
- Personnel expenses¥-57 million
- Recruiting and training expenses¥-12 million
- Foreign exchange losses¥-21 million
- Interest expenses¥-27 million
- Reversal of allowance for doubtful accounts¥36 million
- Other¥-25 million
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Period-end exchange rate
¥159.93 /US$
New initiatives
- An agreement was signed to acquire 4 businesses from NER: residential solar sales, industrial solar EPC, O&M and overseas operations
- Decided to commercialize a 30 MW battery storage project
- Launched a disaster recovery service for solar power plants
- Entered Indonesia's commercial and industrial recycled water treatment business
- Changed the names of the reportable segments to the environmental solutions business and the real estate regeneration business
Key KPIsA metric the company considers important as a management benchmark.
- EBITDA¥985 millionYear on year against the same period last year+7.3%
- Equity ratio42.5 %Year on year against the same period last year+2.0 percentage points
- Net assets per share¥1,192.4Year on year against the same period last year+¥53.09
- Net debt¥6,936 millionYear on year against the same period last year+¥319 million
- Total power generation capacity109 MW
- Cumulative actual power generation37,664 MWh
Segment results
- Environmental Solutions BusinessNet Sales¥2,335 million (YoY -23.9%)Profit¥172 million (YoY -36.5%)
- Real Estate Revitalization BusinessNet Sales¥1,785 million (YoY +50.0%)Profit¥424 million (YoY +122.7%)
- Renewable Energy BusinessNet Sales¥1,635 million (YoY +14.8%)Profit¥137 million (YoY -45.0%)
Medium-term management plan targets
ROE
15 %
Target fiscal yearFinal year of Medium-Term Management Plan 2030
Financial targets
ROE
Target value15 %
Actuals / forecasts7.2 %
Market Size / Share
Order value for soil contamination investigations and remediationA range of ¥70 billion to ¥90 billion in recent years
Orders received and order backlog
- Environmental Solutions Business2Q results2,335Order backlog scheduled for recognition as revenue1,995Remaining target1,863
- Real Estate Revitalization Business2Q results1,785Order backlog scheduled for recognition as revenue2,384
- Renewable Energy Business2Q results1,635Order backlog scheduled for recognition as revenue23Remaining target1,606
Number of employees
Number of Employees121 people
As ofEnd of September 2026
Annual Dividend
Annual dividend per share
¥24
Payout ratio
Rate20 %
Supplementary informationThe company is targeting a level above 20%. It aims for a dividend payout ratio of 30% in the final year of Medium-Term Management Plan 2030. DOE of 2% is the floor, with a target of 4% in the final year.
Acquisition of treasury shares
The specific acquisition limit, number of shares and period are Not disclosed. The shareholder return policy refers to the acquisition of treasury shares.| Item | Details |
|---|---|
| Document type | Financial results presentation |
| Fiscal Period Covered | FY2027/3 Q2 |
| Net Sales | ¥5,756 million (YoY +1.3%) |
| Operating profit | ¥712 million (YoY +8.6%) |
| Ordinary income | ¥642 million (YoY +7.3%) |
| Net income | ¥394 million (YoY -27.5%) |
| Gross Profit Margin | Rate Not disclosed / Year-on-year change (points) Cost ratio improved by 2.3 percentage points |
| Operating profit margin | Rate 12.4% / Year-on-year change (points) Not disclosed |
| Results for the three months of the current quarter | Standalone first- and second-quarter trends by segment are shown in a graph. Standalone three-month profit and loss figures for the consolidated group are Not disclosed |
| Full-year earnings forecast | Net Sales ¥13,630 million / Operating profit ¥1,220 million / Ordinary income ¥1,060 million / Net income ¥690 million / Earnings per share ¥85 |
| Self-assessment against the plan | Sales projects in the real estate regeneration business were broadly in line with plan. Cumulative actual power generation in the natural energy business was 87% of plan |
| Segment results | Segment Environmental Solutions Business / Net Sales ¥2,335 million (YoY -23.9%) / Profit ¥172 million (YoY -36.5%), Segment Real Estate Revitalization Business / Net Sales ¥1,785 million (YoY +50.0%) / Profit ¥424 million (YoY +122.7%), Segment Renewable Energy Business / Net Sales ¥1,635 million (YoY +14.8%) / Profit ¥137 million (YoY -45.0%) |
| Breakdown of Factors Affecting the Change | Factors Revenue / Amount ¥72 million, Factors Cost of sales / Amount ¥21 million, Factors Personnel expenses / Amount ¥-57 million, Factors Recruiting and training expenses / Amount ¥-12 million, Factors Foreign exchange losses / Amount ¥-21 million, Factors Interest expenses / Amount ¥-27 million, Factors Reversal of allowance for doubtful accounts / Amount ¥36 million, Factors Other / Amount ¥-25 million |
| Key KPIs | Indicator name EBITDA / Value ¥985 million / Year on year against the same period last year ¥7.3 million, Indicator name Equity ratio / Value 42.5 % / Year on year against the same period last year +2.0 percentage points, Indicator name Net assets per share / Value ¥1,192.4 / Year on year against the same period last year +¥53.09, Indicator name Net debt / Value ¥6,936 million / Year on year against the same period last year +¥319 million, Indicator name Total power generation capacity / Value 109 MW / Year on year against the same period last year Not disclosed, Indicator name Cumulative actual power generation / Value 37,664 MWh / Year on year against the same period last year Not disclosed |
| Number of employees | Number of Employees 121 people / As of End of September 2026 |
| Assumptions Underlying the Business Outlook | Period-end exchange rate ¥159.93 /US$ |
| Medium-term management plan targets | ROE 15 % |
| Financial targets | ROE Target value 15 % / Actuals / forecasts 7.2 % |
| Annual Dividend | Annual dividend per share ¥24 / Interim and Year-End Breakdown Not disclosed |
| Payout ratio | Rate 20 % / Supplementary information The company is targeting a level above 20%. It aims for a dividend payout ratio of 30% in the final year of Medium-Term Management Plan 2030. DOE of 2% is the floor, with a target of 4% in the final year. |
| Acquisition of treasury shares | The specific acquisition limit, number of shares and period are Not disclosed. The shareholder return policy refers to the acquisition of treasury shares. |
| Orders received and order backlog | Segment Environmental Solutions Business / 2Q results ¥2,335 million / Order backlog scheduled for recognition as revenue ¥1,995 million / Remaining target ¥1,863 million, Segment Real Estate Revitalization Business / 2Q results ¥1,785 million / Order backlog scheduled for recognition as revenue ¥2,384 million, Segment Renewable Energy Business / 2Q results ¥1,635 million / Order backlog scheduled for recognition as revenue ¥23 million / Remaining target ¥1,606 million |
| Market Size / Share | Order value for soil contamination investigations and remediation A range of ¥70 billion to ¥90 billion in recent years / Share Not disclosed |
| New initiatives | An agreement was signed to acquire 4 businesses from NER: residential solar sales, industrial solar EPC, O&M and overseas operations, Decided to commercialize a 30 MW battery storage project, Launched a disaster recovery service for solar power plants, Entered Indonesia's commercial and industrial recycled water treatment business, Changed the names of the reportable segments to the environmental solutions business and the real estate regeneration business |
Items this document does not state (7)
Selling, general and administrative expensesProgress against full-year forecastUnit price and quantity metricsNumber of stores and locationsRisk amount incorporated into the outlookCapital expendituresKey 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.