Worth reading
56In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Mixed performance
Direction inferred from the company’s description.Scale
739
Million yen (increase in interim net loss)Wording
Avoiding a definitive answer
How definitive the wording is.Contents of this document
Earnings presentationSecond quarter (interim period) of the fiscal year ending March 20279 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥22,227 million+6.1%
Operating profit¥-615 million
Ordinary income¥-170 million
Net income¥-1,449 million
Gross Profit Margin19.3
Operating profit margin-2.8
Full-year earnings forecast
Net Sales
¥45,000 million
Operating profit
¥-1,300 million
Ordinary income
¥-850 million
Net income for the current fiscal year
¥-3,900 million
Electronic equipment revenue
¥16,800 million
Electronic equipment operating profit
¥-600 million
Production equipment revenue
¥28,200 million
Production equipment operating profit
¥-700 million
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Overall consolidated results generally tracked close to the earnings forecast announced in MayBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Electronic equipment operating profit
Increase in head office costs-199
Impact of changes in other fixed costs-153
Impact of changes in sales560
Inventory-related gains and losses (valuation and disposal losses)192
Decrease in retirement benefit expenses123
Impact of US tariff refunds65
Other6
Production equipment operating profit
Impact of changes in sales (South Korea)-289
Impact of changes in sales (other regions)-65
Increase in head office costs-214
Foreign exchange impact199
Decrease in retirement benefit expenses-35
Decrease in allowance for doubtful accounts in South Korea134
Impact of changes in other fixed costs108
Effects of appropriate selling-price policies89
Other-12
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Average exchange rate¥150/$
New initiatives
- Group formation of 炎重工株式会社
- Investment in 株式会社MAZIN
- Implementation of SAP in the company-wide core system
- Transfer of land and buildings at 長生 Plant
- Preparation for mass production of a waist-worn type of new wireless remote control
- Preparation for the launch of an injection-molding AI system
Key KPIsA metric the company considers important as a management benchmark.
- Overseas revenue ratio (electronic equipment)56.5 %Year on year against the same period last year-2.6%
- Overseas revenue ratio (production equipment)55.3 %
- Equity ratio74.6 %
Segment results
Electronic Equipment
Net Sales
¥8,724 million
Year-on-year (%)21.3
Operating profit
¥-59 million
Change in operating profit
¥593 million
Production Equipment
Net Sales
¥13,516 million
Year-on-year (%)-1.9
Operating profit
¥-556 million
Change in operating profit
¥-84 million
Medium-term management plan targets
Operating profit
¥1,500 million
Target fiscal yearFiscal year ending March 2027
Net Sales
¥57,500 million
Target fiscal yearFiscal year ending March 2027
Market Size / Share
- Surface drone marketFiguresApproximately 13% global annual growth rate
- Surface drone market (Japan)FiguresApproximately 17% annual growth rate in Japan
- Wireless remote-control marketFiguresFollowing the lineup expansion, the market size is approximately 3.5 times the lineup currently in mass production
Capital expenditures
¥1,900 million
| Item | Details |
|---|---|
| Document type | Earnings presentation |
| Fiscal Period Covered | Second quarter (interim period) of the fiscal year ending March 2027 |
| Net Sales | ¥22,227 million (YoY +6.1%) |
| Operating profit | ¥-615 million |
| Ordinary income | ¥-170 million |
| Net income | ¥-1,449 million |
| Gross Profit Margin | 19.3 |
| Operating profit margin | -2.8 |
| Full-year earnings forecast | Net Sales ¥45,000 million / Operating profit ¥-1,300 million / Ordinary income ¥-850 million / Net income for the current fiscal year ¥-3,900 million / Electronic equipment revenue ¥16,800 million / Electronic equipment operating profit ¥-600 million / Production equipment revenue ¥28,200 million / Production equipment operating profit ¥-700 million |
| Self-assessment against the plan | Overall consolidated results generally tracked close to the earnings forecast announced in May |
| Segment results | Electronic Equipment Net Sales ¥8,724 million / Year-on-year (%) 21.3 / Operating profit ¥-59 million / Change in operating profit ¥593 million / Production Equipment Net Sales ¥13,516 million / Year-on-year (%) -1.9 / Operating profit ¥-556 million / Change in operating profit ¥-84 million |
| Breakdown of Factors Affecting the Change | Electronic equipment operating profit Increase in head office costs -199 / Impact of changes in other fixed costs -153 / Impact of changes in sales 560 / Inventory-related gains and losses (valuation and disposal losses) 192 / Decrease in retirement benefit expenses 123 / Impact of US tariff refunds 65 / Other 6 / Production equipment operating profit Impact of changes in sales (South Korea) -289 / Impact of changes in sales (other regions) -65 / Increase in head office costs -214 / Foreign exchange impact 199 / Decrease in retirement benefit expenses -35 / Decrease in allowance for doubtful accounts in South Korea 134 / Impact of changes in other fixed costs 108 / Effects of appropriate selling-price policies 89 / Other -12 |
| Key KPIs | Indicator name Overseas revenue ratio (electronic equipment) / Value 56.5 % / Year on year against the same period last year -2.6 %, Indicator name Overseas revenue ratio (production equipment) / Value 55.3 % / Year on year against the same period last year Not disclosed, Indicator name Equity ratio / Value 74.6 % / Year on year against the same period last year Not disclosed |
| Assumptions Underlying the Business Outlook | Average exchange rate ¥150/$ |
| Medium-term management plan targets | Operating profit ¥1,500 million / Net Sales ¥57,500 million |
| Capital expenditures | ¥1,900 million |
| Market Size / Share | Market Surface drone market / Figures Approximately 13% global annual growth rate, Market Surface drone market (Japan) / Figures Approximately 17% annual growth rate in Japan, Market Wireless remote-control market / Figures Following the lineup expansion, the market size is approximately 3.5 times the lineup currently in mass production |
| New initiatives | Group formation of 炎重工株式会社, Investment in 株式会社MAZIN, Implementation of SAP in the company-wide core system, Transfer of land and buildings at 長生 Plant, Preparation for mass production of a waist-worn type of new wireless remote control, Preparation for the launch of an injection-molding AI system |
Items this document does not state (13)
Selling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastUnit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookFinancial targetsAnnual DividendPayout ratioAcquisition of treasury sharesOrders received and order backlogKey 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.Electronic equipment posted higher sales and profit, supported by increased EMS customer requirements, the start of mass production for new industrial radio-control equipment projects, and the launch of new hobby radio-control equipment products. Production equipment posted lower sales and profit due to the suspension of operations at the Korean subsidiary, weak demand in the Korean market, and an inadequate response to price competition. Interim net profit deteriorated because ¥1.5 billion in company-wide core system costs was recognized in a lump sum as an extraordinary loss, despite a ¥400 million gain on the sale of policy-held shares.
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.