Fiscal Year Ending March 2026 Q3 Financial Summary [Japanese GAAP] (Consolidated)

Overview of Business Results

Consolidated operating revenue for the third quarter of the fiscal year ending March 2026 amounted to 1,438,756 million yen, an increase of 7.0% year-over-year. Growth was driven by an increase in parcel delivery volume in the Takkyubin segment, expansion of corporate client business, and appropriate pricing adjustments. On the other hand, operating expenses rose due to increased labor costs, network investments, and higher procurement prices, but cost control efforts such as transport efficiency improvements led to operating income of 38,585 million yen, a 46.9% increase compared to the same period last year. Net income attributable to owners of parent for the quarter declined 12.8% YoY to 25,188 million yen.

Segment Performance

The Express segment achieved operating revenue of 1,205,914 million yen (1.7% increase YoY) and operating income of 17,953 million yen (an increase of 12,473 million yen YoY) driven by increased parcel volumes and pricing optimization. The Contract Logistics segment recorded operating revenue of 124,352 million yen (104.1% increase YoY) and operating income of 4,806 million yen (an increase of 290 million yen YoY) due to new contract acquisitions and subsidiary consolidation. The Global Business segment saw operating revenue rise 17.0% YoY to 74,799 million yen due to international forwarding expansion, though operating income declined compared to the previous year. The Mobility segment posted operating revenue of 15,589 million yen (3.6% increase YoY) and operating income of 3,953 million yen (an increase of 919 million yen YoY) supported by expanded sales of EV lifecycle services.

Financial Position and Cash Flows

Total assets increased by 53,844 million yen compared to the end of the previous fiscal year to 1,321,272 million yen, while liabilities rose by 58,518 million yen to 725,596 million yen. Net assets decreased by 4,673 million yen to 595,676 million yen, resulting in an equity ratio of 44.3%. Cash flow from operating activities was an inflow of 28,438 million yen, cash flow from investing activities was an outflow of 37,471 million yen, and cash flow from financing activities was an outflow of 35,267 million yen.

Revision of Earnings Forecast

The consolidated earnings guidance for the fiscal year ending March 2026 has been revised downward to operating revenue of 1,860 billion yen (1.1% decrease from previous forecast), operating income of 28 billion yen (30.0% decrease), ordinary income of 27 billion yen (32.5% decrease), and net income attributable to owners of parent of 15 billion yen (37.5% decrease). The primary reasons are reduced volume from major corporate clients due to inflationary pressures and stagnant consumer sentiment.