OBIC, the Tokyo-listed enterprise software maker behind the OBIC7 ERP suite, closed the quarter to the end of June with sales of ¥36.7bn, up 13.2% from a year earlier, and net profit of ¥22.7bn, up 16.3%. Operating profit rose 15.7% to ¥24.9bn and ordinary profit climbed 17.7% to ¥32.0bn. Earnings per share came to ¥53.01, against ¥44.36 a year earlier.
The company credits demand from manufacturing, distribution, services and financial firms upgrading accounting-centred ERP systems, alongside steady take-up of cloud services run from OBIC's own data centres. The growth was not evenly split across its three reporting segments.
| Segment | Q1 Sales | YoY Change | Q1 Segment Profit |
|---|---|---|---|
| System Integration | ¥15.1bn | +11.8% | ¥9.59bn |
| System Support | ¥19.6bn | +15.5% | ¥14.6bn |
| Office Automation | ¥1.96bn | +2.2% | ¥686mn |
System Support, the segment that houses OBIC's cloud operations and maintenance contracts, grew faster than the core System Integration business that sells and builds new OBIC7 systems. That gap matters for a company whose model has long rested on selling software directly rather than through resellers: recurring cloud and support revenue is now doing more of the work than net-new system builds.
OBIC left its full-year forecast untouched, still targeting sales of ¥148.7bn, operating profit of ¥98.0bn and net profit of ¥82.0bn for the year to March 2027, a 9.1% profit increase over the prior year. Management said business is progressing broadly as planned and saw no need to revise the guidance it issued in April. The company also lifted its planned annual dividend to ¥94.00 per share from ¥84.00 the previous year.
One number sits awkwardly next to the profit growth: comprehensive income, which folds in swings in the market value of OBIC's large equity holdings, fell 77.6% to ¥7.1bn, after a 60.3% increase to ¥31.8bn in the same quarter last year. The swing came from a ¥15.0bn negative valuation move on other securities holdings, versus a ¥12.1bn gain a year earlier, and does not affect the reported net profit figure. OBIC also spent ¥10.0bn on share buybacks and paid out ¥20.4bn in dividends during the quarter, contributing to a ¥30.4bn net outflow from financing activities.
The quarter's qualitative language is more guarded than the numbers suggest. OBIC's own filing notes that while system-renewal demand tied to digital transformation remains high, companies are showing caution in investment decisions given an uncertain economic outlook, and are pushing harder for cost-effective proposals. For a company whose growth has depended on winning new large-account ERP contracts, that caution is worth watching even as the headline profit line keeps climbing.