H.I.S. (HIS) has announced its financial results for the first half of the fiscal year ending October 2026 (November 1, 2025 to April 30, 2026).
Net sales amounted to 193.132 billion yen (up 6.5% year on year), operating income was 6.448 billion yen (down 4.1% year on year), ordinary income was 6.197 billion yen (down 9.9% year on year), and net income was 3.0 billion yen (down 21.0% year on year).
In the travel business, outbound family travel to destinations such as South Korea and Guam remained strong, while growing tensions in the Middle East led to tour cancellations and a slowdown in new bookings for Europe, the Middle East, and Africa. In domestic travel, HIS launched new original sightseeing bus products in Hokkaido and Miyako Island, and sales were driven by Okinawa and Kyushu, which successfully captured demand for graduation trips and spring break. Inbound travel to Japan performed well from the winter season through the cherry blossom season in March and April, and in March the company recorded its highest-ever monthly sales. While the strategic shift toward the Taiwan and Southeast Asia markets produced results, the Chinese market stagnated and inbound demand from Europe was affected by the situation in the Middle East. The travel business as a whole generated net sales of 158.88 billion yen (up 6.2% year on year) and operating income of 4.747 billion yen (down 15.3% year on year).
In the hotel business, strong demand from foreign visitors to Japan and the rollout of collaboration rooms with companies from other industries pushed up the average daily room rate, resulting in net sales of 13.861 billion yen (up 11.7% year on year) and operating income of 2.488 billion yen (up 29.6% year on year), marking a significant profit increase. For the Kyushu Sanko Group, continued economic benefits from TSMC, revisions to airport limousine bus fares, and an increase in passenger numbers drove performance, with net sales of 13.644 billion yen (up 7.8% year on year) and operating income of 606 million yen (up 19.3% year on year), the highest in the past ten years.
The company revised its full-year forecast downward, now projecting net sales of 395 billion yen (25 billion yen lower than the previous forecast), operating income of 12 billion yen (2 billion yen lower), and net income of 9 billion yen (1 billion yen lower). HIS cited the prolonged tensions in the Middle East and the resulting slowdown in new bookings due to soaring fuel surcharges, as well as losses associated with the cancellation of leases by a subsidiary, as the main reasons.
