Hibiya Engineering,ltd. TSE:1982

Hibiya Engineering : Earnings Announcement for the First Three Quarters of the Fiscal Year Ending March 31, 2026

Published

Source: MarketScreener

‌Hibiya Engineering, Ltd.

(Stock code: 1982)

Earnings Presentation for the First Three Quarters of the Fiscal Year Ending March 31, 2026 February 10, 2026

  • ‌Net sales and profit increased YoY.

    • Orders received remained steady, with large projects secured in every category, including Data centers/Information, driven

      by ongoing strategic sales activities.

    • Net sales increased YoY, driven by solid progress on projects carried over.

    • Profit margin improved through initiatives to enhance productivity and profitability by leveraging construction

      technologies developed over time, resulting in a YoY increase in each line-item profit.

      (Billion yen)

      12/2023

      12/2024

      12/2025

      YoY change

      YoY change (%)

      Orders received

      79.0

      57.9

      85.9

      +28.0

      +48.4%

      Net sales

      54.0

      56.7

      64.3

      +7.5

      +13.3%

      Gross profit

      8.3

      10.1

      13.6

      +3.4

      +34.3%

      Gross profit margin

      15.4%

      17.9%

      21.2%

      +3.3%

      -

      Operating profit

      1.9

      3.5

      6.5

      +3.0

      +85.3%

      Ordinary profit

      2.6

      4.1

      7.2

      +3.1

      +76.3%

      Profit

      attributable to owners of parent

      1.8

      3.1

      5.1

      +2.0

      +65.6%

      Financial Highlights (Consolidated)



  • ‌ In terms of orders by customer, orders rose YoY, with large projects secured across the private and public sectors.

  • In terms of orders by category, orders rose YoY, with large projects secured in a balanced manner across all categories.

    • Affected by the decline in orders due to the order cancellation pertaining to past fiscal year. (Private sector, Air conditioning/Plumbing and sanitation)

90.0

80.0

70.0

60.0

50.0

40.0

30.0

20.0

10.0

0.0

By Customer

79.0

7.6

85.9

5.3

40.5

57.9

6.3

46.6

19.1

0.7

4.2

7.0

30.0

28.2

26.8



(Billion yen)

90.0

80.0

70.0

60.0

50.0

40.0

30.0

20.0

10.0

0.0

By Category

(Billion yen)

79.0

7.6

85.9

5.3

19.5

16.2

13.4

57.9

6.3

8.7

22.6

11.2

41.7

31.6

38.4



12/2023 12/2024 12/2025

NTT Group Public sector Private sector Other*

12/2023 12/2024 12/2025

Air conditioning Plumbing and sanitation Electrical Other*

Orders Received (1): By Customer/Category (Consolidated)



Orders Received (2): By Facility Category (Non-consolidated)



  • ‌Demand for data centers remained strong and continued to expand.

  • Orders received increased YoY, with large projects also secured in facilities other than data centers.

    • Affected by the decline in orders due to the order cancellation pertaining to past fiscal year. (Data centers/Information)

      Trends in orders received (non-consolidated)

      (Billion yen)

      80.6

      38.2

      23.1

      7.9

      0.6

      3.4

      2.6

      3.0

      0.3

      5.5

      0.2

      2.9

      3.5

      0.7

      11.4

1.3

31.0

32.6

51.5

34.5

71.3

90.0

Data centers/Information

80.0

Office buildings

Manufacturing/Distribution

70.0

60.0

50.0

Education/Healthcare

Hotels/Resorts

Other

40.0

30.0

20.0

10.0

0.0

12/2023 12/2024 12/2025

Orders Received (3): New vs. Renovation Split (Non-consolidated)



  • ‌ Orders for new construction increased significantly due to a higher volume of orders for large projects from the private sector.

  • As a result, the new construction ratio increased YoY.

Renovation

90.0

80.0

Trends in new vs. renovation split (non-consolidated)



80.6

71.3

42.6

(52.9%)

37.1

(52.0%)

luding ¥0.99 bn

-out constructio

51.5

35.5

(69.0%)

luding ¥1.24 bn

-out constructio

*Inc

for

*Including ¥11.66 bn for fit-out construction

fit

n

37.9

(47.1%)

34.2

(48.0%)

*Inc

for

fit

n

16.0

(31.0%)

(Billion yen)

New construction

70.0

60.0

50.0

40.0

30.0

20.0

10.0

0.0

12/2023 12/2024 12/2025

  • ‌ Net sales by customers increased, driven by solid progress on construction projects in the private and public sectors.

  • Net sales were maintained in a balanced manner across air conditioning, plumbing and sanitation,

and electrical categories.

70.0

60.0

By Customer

(Billion yen)

70.0

60.0

By Category

(Billion yen)

54.0

7.6

56.7

6.1

8.1

64.3

5.1

11.8

9.9

12.9

13.5

11.6

24.8

28.8

34.4



54.0

7.6

56.7

6.1

64.3

5.1

30.2

20.9

25.3

1.5

2.2

5.7

23.9

23.0

23.1



50.0 50.0

40.0 40.0

30.0 30.0

20.0 20.0

10.0 10.0

0.0

12/2023 12/2024 12/2025

0.0

12/2023 12/2024 12/2025

NTT Group Public sector Private sector Other*

Air conditioning Plumbing and sanitation Electrical Other*

* Sales earned by consolidated subsidiaries

Net Sales (1): By Customer/Category (Consolidated)



Net Sales (2): By Facility Category (Non-consolidated)



  • ‌Data centers/Information remained solid and Office buildings recorded significant YoY growth due to

    construction progress on multiple large projects.

  • Other increased YoY due to construction progress on apartment buildings under large-scale redevelopment projects.

    Data centers/Information

    Office buildings

    Manufacturing/Distribution

    Education/Health care

    Hotels/Resorts

    Other

    70.0

    60.0

    50.0

    40.0

    30.0

    20.0

    10.0

    0.0

    Trends in net sales (non-consolidated)

    24.8

    22.8

    0.8

    3.0

    5.1

    3.1

    3.9

    2.1

    1.6

    3.3

    1.3

    3.3

    2.9

    5.0

13.1

11.4

22.1

26.3

46.4 50.6

59.1



(Billion yen)

12/2023 12/2024 12/2025

Net Sales (3): New vs. Renovation Split (Non-consolidated)



  • ‌Net sales increased at a similar rate to the same period of the previous year.

    Renovation

    70.0

    60.0

    Trends in new vs. renovation split (non-consolidated)

    (Billion yen)

    New construction

    50.0

    33.5

    (56.8%)

    *Including ¥1.79 bn for fit-out construction

    25.5

    (43.2%)

    17.3

    (37.4%)

21.8

(43.2%)

*Including ¥0.57 bn for

fit-out construction

(62.6%)

*Including ¥0.81 bn for fit-out construction

28.7

(56.8%)

29.0

46.4 50.6

59.1



40.0

30.0

20.0

10.0

0.0

12/2023 12/2024 12/2025

  • ‌ Projects carried over increased significantly, driven by solid progress in securing large projects in the private sector.

    120.0

    By Customer

    (Billion yen)

    107.2

    0.5

    84.8

    0.3

    81.7

    0.2

    82.8

    0.4

    85.6

    0.3

    67.7

    0.4

    59.9

    0.3

    73.3

    57.2

    57.1

    50.8

    56.9

    40.7

    37.6

    3.9

    3.3

    8.0

    22.6

    4.1

    17.7

    5.9

    9.7

    11.0

    23.9

    18.3

    23.5

    18.5

    22.2



    100.0

    80.0

    60.0

    40.0

    20.0

    0.0

    12/2022 3/2023 12/2023 3/2024 12/2024 3/2025 12/2025

    NTT Group Public sector Private sector Other*

    Projects Carried Over by Customer (Consolidated)



  • ‌ Projects carried over increased significantly, driven by growth in a balanced manner across air conditioning, plumbing and sanitation, and electrical categories.

    By Category

    (Billion yen)

    120.0

    100.0

    84.8

    81.7

    82.8

    85.6

    0.5

    107.2



    21.5

    80.0

    0.3

    0.2 0.4

    0.3

    60.0

    40.0

    20.0

    67.7

    0.4

    11.8

    19.2

    36.2

    59.9

    0.3

    9.9

    18.2

    31.3

    16.2

    20.0

    48.2

    13.6

    22.6

    45.2

    14.1

    20.3

    47.9

    13.8

    22.2

    49.1

    31.9

    53.1

    0.0

    12/2022 3/2023 12/2023 3/2024 12/2024 3/2025 12/2025

    Air conditioning Plumbing and sanitation Electrical Other*

    Projects Carried Over by Category (Consolidated)



  • ‌ Construction projects scheduled for completion beyond the fiscal year after next rose significantly YoY, driven by higher orders for large private-sector projects.

    By completion period (Billion yen)



    45.0

    40.0

    35.0

    30.0

    26.2 27.4

    42.2 42.0

    NTT Group Public sector Private sector

    37.3

    25.0

    20.0

    9.3

    10.9

    29.2

    29.3

    33.2

    15.0

    10.0

    1.4 4.0

    15.3

    5.2

    4.2 1.2

    13.9

    12.2

    2.9

    5.0

    0.0

    12.4

    7.7

    8.6 0.3 1.2

    As of December 31, 2024

    As of December 31, 2025

    As of December 31, 2024

    As of December 31, 2025

    As of December 31, 2024

    As of December 31, 2025

    To be completed within the current fiscal year

    To be completed in the next fiscal year

    To be completed in the fiscal year after next or thereafter

    To be completed in FY3/25 FY3/26 FY3/26 FY3/27 FY3/27 FY3/28

    or beyond or beyond

    Projects Carried Over by Completion Period (Non-consolidated)



    • ‌Based on solid performance, the full year forecast for FY3/2026 has been revised upward.

      • Orders received are expected to exceed the initial forecast, driven by progress on securing large projects.

      • Net sales are expected to exceed the initial forecast, following solid progress on projects carried over.

      • Profit is expected to exceed the initial forecast as the profit margin has improved through initiatives to enhance productivity and profitability by leveraging construction technologies developed over time.

    (Billion yen)

    8th Medium-term Management Plan

    FY3/2024

    FY3/2025

    FY3/2026

    Forecast at announcement of the Plan on May 11, 2023

    Results

    Forecast at announcement of the Plan on May 11, 2023

    Results

    Forecast at announcement of the Plan on May 11, 2023

    Full year Forecast announced on May 13, 2025

    (before revision)

    Full year Forecast announced on February 10, 2026 (after revision)

    Orders received

    86.5

    105.5

    88.5

    93.6

    91.0

    95.5

    102.0

    Net sales

    85.0

    83.7

    88.5

    89.7

    90.5

    93.5

    94.3

    Gross profit

    14.0

    14.9

    14.7

    17.2

    15.8

    17.6

    19.8

    Gross profit margin

    16.5%

    17.8%

    16.6%

    19.2%

    17.5%

    18.9%

    21.0%

    Operating profit

    5.0

    5.7

    5.5

    7.4

    6.5

    7.8

    9.4

    Profit

    attributable to

    owners of parent

    3.8

    4.8

    4.1

    5.9

    4.8

    6.0

    7.3

    Revised Full Year Forecast for FY3/2026



  • ‌The Company's policy is to maintain and gradually increase dividends in a stable and sustainable manner, in line with

    medium- to long-term profit growth.

  • Based on the above policy and solid performance, the full year forecast for FY3/2026 has been revised upward. With that, the year-end dividend per common share before the stock split will be increased from ¥50 to ¥80 (+¥30) from the previous forecast (¥40 after the split), and the annual dividend will be increased from ¥100 to ¥130.

  • The year-end dividend is expected to be officially determined following the resolution at the Annual General Meeting of Shareholders scheduled for June 2026.

    Annual dividends per share

    Payout ratio

    (Consolidated)

    Interim

    Year-end

    Total

    Yen

    Yen

    Yen

    %

    Results for FY3/2025

    44

    50

    94

    35.5

    Initial forecast for FY3/2026

    (Announced on May 13, 2025)

    50

    50

    100

    36.7

    Revised forecast

    -

    40

    -

    40.6

    (Before stock split)

    (50)

    (80)

    (130)

    Notes:

    • The Company resolved on a stock split at a ratio of two shares for every one common share effective on March 31, 2026.

    • The revised forecast is based on dividends after the stock split.

    • The initial forecast for FY3/2026 and results for FY3/2025

Revised Dividend Forecast for FY3/2026





‌(Cautionary Statement Concerning Forward-Looking Statements)

Forward-looking statements such as forecasts of financial results stated in these materials are based on information currently available to the Company and certain assumptions that the Company judges as rational. These statements are not guarantees of future performance. Actual results may be materially different from the above forecasts for a number of reasons.

[Inquiries about these materials] Hibiya Engineering, Ltd.

IR and Public Relations Department, Management Headquarters

13F Sumitomo Fudosan Tokyo Mita South Tower, 3-5-27, Mita, Minato-ku, Tokyo, 108-6312 TEL: 03-3454-2720 FAX: 03-3454-3410

© HIBIYA ENGINEERING, LTD. ALL RIGHTS RESERVED.