Santo Kogyosha Co., Ltd. (TSE: 1788) reported consolidated results for the nine months (Q1–Q3 cumulative) of the fiscal year ending June 30, 2026 (FY6/2026), covering July 1, 2025 to March 31, 2026, under Japanese GAAP. Revenue surged 33.9% year-on-year to ¥8,134 million from ¥6,076 million, while operating profit jumped 41.0% to ¥547 million from ¥388 million. Ordinary profit rose 41.1% to ¥553 million and net profit attributable to owners of the parent climbed 42.6% to ¥356 million from ¥249 million. Basic earnings per share came in at ¥569.06 versus ¥401.81 a year earlier, and comprehensive income surged 65.1% to ¥456 million.
Construction demand drives the top line
The Shiga-based contractor — engaged in civil-engineering and building works, ground improvement, and related construction services — rode robust construction demand to a double-digit revenue gain. The 33.9% top-line surge fed through to an even faster 41.0% rise in operating profit, evidence that the additional work was absorbed without a proportionate increase in costs. Both ordinary profit (+41.1%) and net profit (+42.6%) outpaced revenue growth, signalling healthy operating leverage across the regional construction business.
Balance sheet and financial position
At the end of the nine-month period, total assets stood at ¥6,463 million and net assets at ¥3,842 million, giving an equity ratio of 58.7% — a comfortable capital position for a company of this size. The solid balance sheet underpins management's confidence in both the upgraded earnings outlook and the larger shareholder return announced alongside the results.
Guidance and dividend both raised
On the back of the strong nine months, management revised up its full-year FY6/2026 guidance. The company now expects revenue of ¥10,800 million (+31.7%), operating profit of ¥490 million (+49.8%), ordinary profit of ¥490 million (+44.8%), and net profit attributable to owners of ¥280 million (+21.1%), with EPS of ¥446.68. Alongside the upgrade, the FY6/2026 dividend forecast was raised to an annual ¥130.00 per share (paid as a year-end dividend comprising a ¥70 ordinary dividend plus a ¥60 special dividend), up from ¥100.00 the prior year (¥70 ordinary + ¥30 special) — a 30.0% increase driven largely by the enlarged special dividend.
A standout nine months for the regional contractor
Taken together, the nine-month figures mark a standout stretch for Santo Kogyosha: revenue up roughly a third, operating profit up more than 40%, and a confident decision to return more to shareholders. With nine-month operating profit (¥547 million) already exceeding the raised full-year operating-profit target (¥490 million), the results underscore the strength of the regional construction order book through the period.
| Metric | 9M FY6/2026 | 9M FY6/2025 | YoY |
|---|---|---|---|
| Revenue (¥M) | 8,134 | 6,076 | +33.9% |
| Operating profit (¥M) | 547 | 388 | +41.0% |
| Ordinary profit (¥M) | 553 | 392 | +41.1% |
| Net profit attrib. to owners (¥M) | 356 | 249 | +42.6% |
| Basic EPS (¥) | 569.06 | 401.81 | +41.6% |
| FY26 full-year revenue guidance (¥M) | 10,800 | — | +31.7% |
| FY26 dividend forecast (¥) | 130.00 | 100.00 | +30.0% |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.