[Densan] Revenue and profit growth in the Public and Industrial Sectors | Fiscal Year Ending July 2026

Overview of Business Performance

In the first quarter from April to June 2026, Densan recorded sales of 4,405 million yen (YoY +4.0%), operating profit of 421 million yen (YoY +411.9%), ordinary income of 428 million yen (YoY +396.6%), and net income attributable to owners of the parent of 289 million yen (YoY +454%). In the public sector, revenue and profit increased due to the effects of legal system revisions and system implementation, while the industrial sector remained steady driven by leasing and system services. Overall, both the public and industrial sectors demonstrated strong performance.

Financial Position and Future Outlook

Total assets decreased to 21,460 million yen, but the equity ratio rose to 73.5%. The company's financial foundation remains solid due to increases in current assets and a significant reduction in liabilities. Moving forward, the company will continue system implementation and order activities in the public and industrial sectors, aiming to expand earnings supported by AI and digital transformation initiatives. However, uncertainties such as semiconductor supply-demand tightness and increased procurement costs exist, and at this point, no revisions to earnings guidance have been made.