DAIKI AXIS Research Memo (7): Interim Period of the Fiscal Year Ending December 2026 Sees Steady Progress Across All Businesses, Delivering Substantial Increases in Revenue and Profit (FISCO)

In the consolidated results for the interim period of the fiscal year ending December 2026, revenue increased 9.0% year on year to ¥25,606 million, operating profit rose 108.2% to ¥1,093 million, ordinary profit increased 82.5% to ¥1,076 million, and interim net profit attributable to owners of the parent rose 215.0% to ¥556 million, resulting in significant increases in revenue and profit overall. The Environmental Equipment-Related Business, Housing Equipment-Related Business, and Renewable Energy-Related Business each grew steadily.

The Environmental Equipment-Related Business recorded revenue of ¥12,494 million and segment profit of ¥1,131 million. Demand for septic tanks and wastewater treatment systems remained stable, while expansion in the Indian market and accumulated maintenance and repair work contributed to higher revenue. Profit margins also improved as higher costs were passed through to prices, large projects progressed, and the product mix improved.

The Housing Equipment-Related Business recorded revenue of ¥11,412 million and segment profit of ¥606 million. Orders for large projects, expanded wholesale sales, the pass-through of higher costs, and an improved product mix contributed to higher profit. However, the results also include the impact of accounting treatment in some areas.

The Renewable Energy-Related Business recorded revenue of ¥1,546 million and segment profit of ¥139 million. Revenue from solar power sales remained solid, while the start of operations at green data centers and expanded sales of biodiesel fuel contributed to higher revenue. The green data centers began operations at 2 sites.