IMV CORPORATION

Business Details

The IMV Group operates three product lines: Vibration Simulation Systems (manufacture, sale, repair, and maintenance of vibration testing equipment and combined environmental testing equipment), Test & Solution Services (contracted vibration testing and EMC testing), and Measuring Systems (manufacture and sale of vibration measuring instruments, seismic monitoring devices, etc.). The company's main customers are in the automotive, aerospace, defense, semiconductor, and energy-related industries both domestically and internationally, and it has built a global structure with sales and service subsidiaries in Europe, Asia, and the United States. All businesses are managed as a "single segment related to vibration."

Recent Overview

H1 FY2026 (ending September 2026) showed strong progress with net sales and all profit items exceeding the same period of the prior year

In H1 FY2026 (ending September 2026) (October 2025 to March 2026), net sales were ¥11,511 million (up 20.8% year on year), operating profit was ¥1,873 million (up 26.6%), ordinary profit was ¥2,088 million (up 33.2%), and net income for the interim period was ¥1,462 million (up 22.4%), exceeding the same period of the prior year across all items. The mainstay Vibration Simulation Systems saw a significant increase in sales to ¥8,727 million (up 24.6%), driven by solid capital investment demand from the aerospace and automotive industries. The order backlog remained at a high level of ¥15,391 million (up 14.3% year on year), providing strong visibility into future sales. Progress toward the full-year forecast (net sales of ¥20,000 million, operating profit of ¥2,400 million) was steady, with interim progress rates of 57.6% for net sales and 78.0% for operating profit. The full-year earnings forecast remains unchanged.

Key Products

Growth Drivers

• Continued expansion of domestic and international capital investment demand for vibration testing equipment for the aerospace and defense industries
• Increasing demand for EV (electric vehicle)-related onboard battery testing and EMC testing
• Steady capital investment trends related to semiconductors and decarbonization/next-generation energy
• Expansion of testing capacity through enhancement of EMC testing facilities and increase in large-scale order intake
• Accumulation of after-sales service revenue (amplifier upgrades, maintenance inspections, repairs) through expansion of domestic and international service locations
• High visibility of future sales due to order backlog of ¥15,391 million (up 14.3% year on year)
• Continued demand for labor-saving investment and steady semiconductor-related capital investment trends associated with the spread of generative AI

Risks

• Impact on the global supply chain from U.S. reciprocal tariff policy and suppression of growth in international trade volume
• Risk of profit pressure due to increased costs associated with increased R&D investment and human capital investment
• Leveling off of demand for vibration monitoring systems within Measuring Systems, resulting in a decline from the same period of the prior year
• Uncertainty in capital investment demand due to geopolitical risks and monetary policy trends in various countries
• Foreign exchange fluctuation risk (high proportion of overseas sales, with business operations in Europe, Asia, and the United States)
• Impairment risk on fixed assets (changes in estimation assumptions due to changes in business plans and market conditions)
• The full-year ordinary profit forecast of ¥2,400 million represents a forecast decline of 6.6% year on year, suggesting an expected decrease in profit levels in the second half