SEIKO GROUP CORPORATION

Seiko Group Corporation's stock price closed at 10,980 yen on September 7, up 8% from the previous trading day, and has risen about 20% over the past month. According to the company's first-quarter earnings report for the fiscal year ending March 2027, net sales were 99 billion yen (up 28.5% year-on-year), operating profit was 15.4 billion yen (up 88.8%), ordinary profit was 16.4 billion yen (up 94.3%), and net profit attributable to parent company shareholders was 11.1 billion yen (up 76.3%). The progress rate against the full-year forecast is 26.4% for net sales, but reaches 37.6% for operating profit and 40.0% for net profit. The company explained that the watch business within its Emotional Value Solutions segment performed well both domestically and internationally, and the Device Solutions segment also contributed to profit growth.

Seiko Group's share price has risen about 40% over the past month, but on August 21 it fell back by 540 yen to 10,530 yen. Operating profit for the first quarter of the fiscal year ending March 2027 rose 88.8% year on year to 15.4 billion yen, while revenue increased 28.5% to 99 billion yen, with the watch business and Wako business performing strongly both at home and abroad. Progress against the full-year operating profit forecast of 41 billion yen is just under 40%, meaning the company is ahead of its plan. As of August 21, the price-earnings ratio was 30.74 times and the price-to-book ratio was 4.53 times, while the equity ratio was 45.8%, below the precision instruments industry median of 65.9%.