Raito Kogyo Co., Ltd. (TSE: 1926) reported consolidated full-year results for the fiscal year ended March 31, 2026 (FY3/2026) under Japanese GAAP. Revenue rose 14.6% year-on-year to a record ¥139,216 million, operating profit jumped 34.3% to ¥17,201 million, ordinary profit rose 34.5% to ¥17,712 million, and net profit attributable to owners of the parent climbed 25.9% to ¥12,487 million. EPS came in at ¥288.50, ROE reached 14.0% and the operating margin was 12.4%. Comprehensive income rose 50.7% to ¥15,223 million.
Record year for the ground-engineering specialist
Raito Kogyo specializes in ground stabilization, slope protection and foundation works — the technically demanding civil-engineering niches that secure roads, railways and infrastructure against landslides and ground failure. Strong order flow and disciplined project execution drove both the top line and profit to record highs in FY3/2026, with the operating margin expanding to a healthy 12.4% as higher revenue absorbed fixed costs and margin-accretive projects were completed during the year.
Strong balance sheet and cash flow
The balance sheet remained conservative and liquid. Total assets stood at ¥125,930 million, net assets at ¥90,886 million, and the equity ratio at a robust 71.5%, with book value per share of ¥2,141.13. Operating cash flow was ¥13,662 million, comfortably funding the company's dividend and investment program while leaving the group with substantial financial headroom.
Dividend raised to ¥146
Reflecting the record result, the FY3/2026 annual dividend was set at ¥146.00 per share (¥40 interim + ¥106 year-end), up from ¥145.00 a year earlier, for a consolidated payout ratio of 50.3%. The roughly half-of-earnings payout underscores management's commitment to steady shareholder returns alongside reinvestment in the core ground-engineering business.
FY27 guidance points to a modest dip
For FY3/2027, management guides a modest pull-back from the record year. Revenue is forecast at ¥138,000 million (-0.9%), operating profit at ¥16,850 million (-2.0%), ordinary profit at ¥17,300 million (-2.3%), and net profit attributable to owners at ¥11,800 million (-5.5%), with EPS of ¥280.71. The guidance signals a normalization after an exceptionally strong year rather than a deterioration in the underlying business, with order intake in the ground-stabilization and slope-protection segments expected to stay firm.
| Metric | FY3/2026 | FY3/2025 | YoY |
|---|---|---|---|
| Revenue (¥ million) | 139,216 | 121,457 | +14.6% |
| Operating profit (¥ million) | 17,201 | 12,811 | +34.3% |
| Ordinary profit (¥ million) | 17,712 | 13,169 | +34.5% |
| Net profit attrib. to owners (¥ million) | 12,487 | 9,919 | +25.9% |
| EPS (¥) | 288.50 | 214.30 | +34.6% |
| ROE | 14.0% | 11.1% | +2.9pp |
| Annual dividend (¥) | 146.00 | 145.00 | +0.7% |
| FY27 net profit guidance (¥ million) | 11,800 | — | -5.5% |
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.