BroadBand Tower Lifts Full-Year Profit Forecast on Data Center Gains

BroadBand Tower Lifts Full-Year Profit Forecast on Data Center Gains

BroadBand Tower, Inc. (TSE:3776) raised its earnings guidance for the fiscal year ending December 2026, citing strong profitability improvements driven by large data center projects and a one-time gain from asset sales.

The company expects consolidated full-year revenue of JPY 14.0bn, up 4.4% from its prior forecast, with operating profit climbing to JPY 805M from JPY 500M. Net profit attributable to parent shareholders is projected at JPY 480M, nearly quadrupling from the previous JPY 100M estimate. Second-quarter interim results show a similar pattern: consolidated revenue of JPY 6.30bn masks a 125.7% surge in operating profit to JPY 395M, with net profit jumping to JPY 455M from JPY 15M.

Management attributed the revision to anticipated large-scale wins in esports-related data solutions during the second half and accelerated customer acquisition at its Ishikari Shinko data center site, scheduled to commence operations in autumn. The company also expects to recognize a one-time gain from the asset transfer of its Minakami solar power facility. While the Computer Platform division’s data and solutions business saw mid-year revenue headwinds from lower storage resale and maintenance services, management expects recovery through major project wins and ongoing service revenue streams.

The dramatic profit expansion reflects operational leverage and non-operating gains rather than top-line acceleration, suggesting improved cost management and strategic asset optimization. Investors should monitor execution on the flagged data center projects and the sustainability of profitability gains beyond the one-time solar asset sale.

Source: Original filing (TDnet) | 日本語版

This article is for informational purposes only and does not constitute investment advice. Always verify against the original filing.