Komori
Earnings presentation7037teno.Holdings Company LimitedInformation and Communications, Services and Others

Supplementary Explanatory Materials for the Third Quarter Results for the Fiscal Year Ending December 2026

In the third quarter of the fiscal year ending December 2026, net sales increased due to new contracts and openings for nursery schools, after-school childcare facilities and nursing care facilities, while profit decreased due to higher labor costs, start-up costs for new facilities and rising costs. The full-year forecast remains unchanged, with net sales and operating profit reaching 73.3% and 64.9%, respectively, of the full-year forecasts.

Worth reading
52Recurring
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
—
Displayed only when the document provides numerical figures.
Wording
Conditional
How definitive the wording is.

Contents of this document

Earnings presentationFiscal year ending December 2026, third quarter10 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥14,284 millions+5.1%
Operating profit¥418 millions-18.4%
Ordinary income¥380 millions-23.7%
Net income¥152 millions-39.7%
Selling, general and administrative expenses¥1,913 millions
Gross Profit Margin
Rate16.3%
Year-on-year change (points)Down 0.2 percentage points from 16.5% in the year-earlier period
Operating profit margin
Rate2.9%
Year-on-year change (points)Down 0.9 percentage points from 3.8% in the year-earlier period
Full-year earnings forecast
Net Sales
¥19,500 millions
Operating profit
¥645 millions
Ordinary income
¥590 millions
Net income for the current fiscal year
¥290 millions
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。
Net Sales73.3%
Operating profit64.9%
Ordinary income64.5%
Net income52.7%
What the company explained in this material
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
  • Revenue contribution from newly contracted and newly opened facilities and acquired companiesChildcare business revenue +¥666 million; nursing care business revenue +¥81 million
  • Higher labor and personnel costs and increased costs at new facilities
  • Higher cost of sales ratio at cooking schoolsCost of sales ratio +3.6%
New initiatives
  • Launch of the “Parenting Papa Program” to promote men’s participation in childcare
  • Launch of a president-led project for AI and DX implementation
  • Development and rollout of the Teno Childcare Method across all facilities
  • Resolution to acquire shares of ピジョンハーツ株式会社 (scheduled for January 2027)
  • Resolution to transfer shares of セーフティージャパン・リスクマネジメント株式会社
  • Launch of digital gifts as shareholder benefits
Key KPIsA metric the company considers important as a management benchmark.
  • Number of operating facilities438 Facility
    Year on year against the same period last yearIncreased from 397 facilities in the year-earlier period
  • EBITDA¥801 millions
    Year on year against the same period last year-10.5%
Unit price and quantity metricsThese figures show sales broken down by price and volume.
  • Nursing care facility occupancy rateIncreased
  • Number of Home Made Cooking course participantsDecreased
    Year on year against the same period last yearDecreased
Segment results
Childcare business
Net Sales¥10,879 million (up 6.5% year on year)
Segment profit¥1,055 million (up 12.7% year on year)
Nursing Care Business
Net Sales¥1,537 million (up 5.6% year on year)
Segment profit-¥82 million
Lifestyle-related support business
Net Sales¥1,760 million (down 1.7% year on year)
Segment profit▲¥83 million
Other
Net Sales¥124 million (down 14.6% year on year)
Segment profit¥4 million (up 8.4% year on year)
Medium-term management plan targets
2030Net sales of ¥30 billion and an operating margin of 5% or higher
Financial targets
Cost of equity7～8%
ROE6.2% for the fiscal year ended December 2025
Market Size / Share
1,602 thousand registered after-school childcare children and 14,713 children on waiting lists. Users of child development support services: 168,000; users of after-school day services: 341,000. The company's market share is Not disclosed.
Number of stores and locations
As of 30 September 2026, the company operated 438 facilities. During the period, it newly opened or obtained contracts for 1 licensed nursery school, 5 workplace nurseries, 21 after-school childcare facilities and 1 nursing care facility. The cooking school business had 55 locations nationwide.
Annual Dividend
¥10 per share (forecast for the fiscal year ending December 2026, year-end dividend)
Contents of this document
ItemDetails
Document typeEarnings presentation
Fiscal Period CoveredFiscal year ending December 2026, third quarter
Net Sales¥14,284 millions (YoY +5.1%)
Operating profit¥418 millions (YoY -18.4%)
Ordinary income¥380 millions (YoY -23.7%)
Net income¥152 millions (YoY -39.7%)
Gross Profit MarginRate 16.3% / Year-on-year change (points) Down 0.2 percentage points from 16.5% in the year-earlier period
Operating profit marginRate 2.9% / Year-on-year change (points) Down 0.9 percentage points from 3.8% in the year-earlier period
Selling, general and administrative expenses¥1,913 millions
Full-year earnings forecastNet Sales ¥19,500 millions / Operating profit ¥645 millions / Ordinary income ¥590 millions / Net income for the current fiscal year ¥290 millions
Progress against full-year forecastNet Sales 73.3% / Operating profit 64.9% / Ordinary income 64.5% / Net income 52.7%
Segment resultsChildcare business Net Sales ¥10,879 million (up 6.5% year on year) / Segment profit ¥1,055 million (up 12.7% year on year) / Nursing Care Business Net Sales ¥1,537 million (up 5.6% year on year) / Segment profit -¥82 million / Lifestyle-related support business Net Sales ¥1,760 million (down 1.7% year on year) / Segment profit ▲¥83 million / Other Net Sales ¥124 million (down 14.6% year on year) / Segment profit ¥4 million (up 8.4% year on year)
Breakdown of Factors Affecting the ChangeFactors Revenue contribution from newly contracted and newly opened facilities and acquired companies / Amount Childcare business revenue +¥666 million; nursing care business revenue +¥81 million, Factors Higher labor and personnel costs and increased costs at new facilities / Amount Not disclosed, Factors Higher cost of sales ratio at cooking schools / Amount Cost of sales ratio +3.6%
Key KPIsIndicator name Number of operating facilities / Value 438 Facility / Year on year against the same period last year Increased from 397 facilities in the year-earlier period, Indicator name EBITDA / Value ¥801 millions / Year on year against the same period last year ¥-10.5 millions
Unit price and quantity metricsIndicator name Nursing care facility occupancy rate / Value Increased / Year on year against the same period last year Not disclosed, Indicator name Number of Home Made Cooking course participants / Value Decreased / Year on year against the same period last year Decreased
Number of stores and locationsAs of 30 September 2026, the company operated 438 facilities. During the period, it newly opened or obtained contracts for 1 licensed nursery school, 5 workplace nurseries, 21 after-school childcare facilities and 1 nursing care facility. The cooking school business had 55 locations nationwide.
Medium-term management plan targets2030 Net sales of ¥30 billion and an operating margin of 5% or higher
Financial targetsCost of equity 7～8% / ROE 6.2% for the fiscal year ended December 2025
Annual Dividend¥10 per share (forecast for the fiscal year ending December 2026, year-end dividend)
Market Size / Share1,602 thousand registered after-school childcare children and 14,713 children on waiting lists. Users of child development support services: 168,000; users of after-school day services: 341,000. The company's market share is Not disclosed.
New initiativesLaunch of the “Parenting Papa Program” to promote men’s participation in childcare, Launch of a president-led project for AI and DX implementation, Development and rollout of the Teno Childcare Method across all facilities, Resolution to acquire shares of ピジョンハーツ株式会社 (scheduled for January 2027), Resolution to transfer shares of セーフティージャパン・リスクマネジメント株式会社, Launch of digital gifts as shareholder benefits
Items this document does not state (10)
Results for the three months of the current quarterSelf-assessment against the planNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookPayout ratioAcquisition of treasury sharesCapital expendituresOrders 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.

Revenue growth was supported by sales from newly contracted and newly opened facilities, sales from acquired companies and higher government-set prices. Profit declined due to a lower profit margin in the nursing care business, a higher SG&A ratio, increased labor and personnel costs following base pay increases for employees, opening costs for new facilities and higher costs at cooking schools.

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.