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Earnings9742INES CorporationInformation and Communications, Services and Others

Second Quarter (Interim Period) Financial Results for the Fiscal Year Ending March 2027 [Japanese GAAP] (Consolidated)

In the interim period of the fiscal year ending March 2027, revenue increased 15.1% year on year, while operating profit, ordinary profit and net profit all moved from loss to profit. The full-year earnings forecast was unchanged, the annual dividend forecast was increased by ¥5 year on year to ¥55, and an interim dividend of ¥25 was approved.

Worth reading
57In focus
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
15.1
% (year-on-year change in revenue)
Wording
Conditional
How definitive the wording is.

Results for this period

Interim period (second quarter)1 April 2026 to 30 September 2026ConsolidatedJapanese GAAP
Net Sales18,983¥ millionYear on year +15.1%Progress 47.5%
Operating profit449¥ millionProgress 18.0%
Ordinary income453¥ millionProgress 18.1%
Net income attributable to owners of the parent255¥ millionProgress 15.0%

The width of the band at each stage is based on revenue. The narrower it becomes toward the bottom, the smaller the proportion of revenue that remains as profit. The dotted outline is the full-year forecast and the band inside it is the result for this period. The progress rate is the result divided by the forecast.

Net income per share¥12.26
Financial position at period-end
Total assets48,164¥ million
of which net assets 36,954 ¥ millionEquity ratio 76.7%vs. prior year-end +1.8pt

塗りつぶした部分が自己資本比率です。総資産のうち、返済のいらない自前の資金がどれだけかを表します。The thin vertical line indicates the level at the end of the previous fiscal year.

Cash inflows and outflows
Operating+4,560
Investment+416
Financials-939
Net change+4,037

Stacked from zero: upward is an increase in cash, downward a decrease (in ¥ million).The net change represented by the dotted line is the total of three items, calculated from figures provided by the company.

Cash and cash equivalents at end of period¥12,311 million
Outlook and shareholder returns
Full-year earnings forecast
Net Sales¥40,000 million (YoY +9.2%)
Operating profit¥2,500 million
Ordinary income¥2,500 million
Net income¥1,700 million
Revision to Earnings ForecastNo revision
Annual Dividend Forecast¥50 → ¥55(+10.0%)
Factors Behind Changes in Business Performance

In the public sector, revenue increased from the low level recorded in the same period of the previous year, when the response to the standardization of municipal systems was delayed and the migration method was reviewed, as preparations for the systems' full-scale operation progressed in line with the migration plan following the changes.

Disclosure regarding the going concern assumption

Not applicable.

Change in accounting policy
基準改正に伴う変更 Noneそれ以外の変更 None見積りの変更 None修正再表示 None
Changes in the scope of consolidationNo material changes (no company names or numbers of companies added or excluded were disclosed)
Breakdown of extraordinary income (loss)Extraordinary income Gain on sale of membership rights ¥8 million / Extraordinary loss Loss on retirement of non-current assets ¥1 million, Loss on sale of membership rights ¥5 million
Depreciation and amortization¥1,813 million
Availability of Supplementary Financial Results MaterialsYes
Availability of Financial Results BriefingYes (for institutional investors and analysts)
Issued Shares at Period-End20,900,000
Treasury Shares at Period-End77,092
Results for this period
ItemDetails
Fiscal Period ClassificationInterim period (second quarter)
Accounting standardsJapanese GAAP
Consolidated / non-consolidatedConsolidated
Period Covered1 April 2026 to 30 September 2026
Net Sales¥18,983 million (YoY +15.1%)
Operating profit¥449 million
Ordinary income¥453 million
Profit attributable to owners of the parent¥255 million
Net income per share¥12.26
Equity ratioEnd of the current fiscal period 76.7 / End of previous period 74.9
Total assets¥48,164 million
Net assets¥36,954 million
Cash flows from operating activities¥4,560 million
Cash flows from investing activities¥416 million
Cash flows from financing activities¥-939 million
Cash and cash equivalents at end of period¥12,311 million
Full-year earnings forecastNet Sales ¥40,000 million (YoY +9.2%) / Operating profit ¥2,500 million / Ordinary income ¥2,500 million / Net income ¥1,700 million
Revision to Earnings ForecastNo revision
Annual Dividend Forecast¥50 → ¥55(+10.0%)
Depreciation and amortization¥1,813 million
Breakdown of extraordinary income (loss)Extraordinary income Gain on sale of membership rights ¥8 million / Extraordinary loss Loss on retirement of non-current assets ¥1 million, Loss on sale of membership rights ¥5 million
Disclosure regarding the going concern assumptionNot applicable.
Change in accounting policyChanges due to revisions to standards None / Other changes None / Change in accounting estimate None / Restatement None
Changes in the scope of consolidationNo material changes (no company names or numbers of companies added or excluded were disclosed)
Availability of Supplementary Financial Results MaterialsYes
Availability of Financial Results BriefingYes (for institutional investors and analysts)
Issued Shares at Period-End20,900,000
Treasury Shares at Period-End77,092
Factors Behind Changes in Business PerformanceIn the public sector, revenue increased from the low level recorded in the same period of the previous year, when the response to the standardization of municipal systems was delayed and the migration method was reviewed, as preparations for the systems' full-scale operation progressed in line with the migration plan following the changes.
Items this document does not state (9)
Operating MarginPayout ratioShareholder Return PolicySegment revenueSegment profitRegional salesOrders received and order backlogImpairment lossMaterial subsequent events

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.

In the same period of the previous year, revenue from the public sector was low due to delays in the response to the standardization of municipal systems and a review of the migration method. In the current interim period, preparations for the systems' full-scale operation progressed in line with the migration plan following the changes, increasing public-sector revenue. Despite the recognition of depreciation and other expenses related to development investment for municipal system standardization, earnings improved significantly on higher revenue.

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Second Quarter (Interim Period) Financial Results for the Fiscal Year Ending March 2027 [Japanese GAAP] (Consolidated) | INES Corporation (9742) timely disclosure | Komori