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Harmonic Drive Systems (6324) investor relations material

Harmonic Drive Systems Q2 2026 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2026 earnings summary19 Nov, 2025

Executive summary

  • Consolidated net sales reached ¥27,838 million in 1H FY03/26, up 4.8% year-over-year and 3.1% above forecasts, driven by strong demand in industrial robots and semiconductor equipment, despite declines in automotive applications.

  • Operating income turned positive to ¥465 million from a loss of ¥637 million in the prior year, exceeding forecasts by 55.2%.

  • Net income reached ¥317 million, a significant improvement from a loss of ¥850 million year-over-year.

  • Orders received increased 14.3% year-over-year to ¥29,519 million, with notable growth in Japan and Europe, while order backlog decreased 7.5% to ¥20,531 million.

  • Strong order recovery in Europe and North America, with robust demand for AI robot and semiconductor equipment applications.

Financial highlights

  • Net sales increased by ¥1,279 million year-over-year; operating income improved by ¥1,103 million.

  • Ordinary income rose to ¥502 million from a loss of ¥828 million year-over-year.

  • EPS improved to ¥3.35 from a loss of ¥8.95 year-over-year.

  • Gross profit improved to ¥7,965 million from ¥6,727 million year-over-year, with gross margin rising due to higher factory utilization in Japan.

  • Comprehensive income was negative ¥438 million, down from ¥2,391 million last year, mainly due to foreign currency translation losses.

Outlook and guidance

  • Full-year FY03/26 consolidated net sales forecast at ¥57,000 million, up 2.4% year-over-year.

  • Operating income projected at ¥1,500 million, a substantial increase from ¥6 million in the prior year.

  • Net income expected to decline to ¥1,300 million due to one-time gains in the previous year.

  • Dividend forecast remains unchanged at ¥20 per share for the fiscal year ending March 31, 2026.

  • Capital investment planned at ¥6,100 million, up 62% year-over-year.

Drivers of negative comprehensive income
Explain the order backlog decrease
Why did inter-segment profit adjustment turn negative?
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Frequently asked questions

Harmonic Drive Systems Inc., established in 1970 and headquartered in Shinagawa City, Japan, specializes in the development, manufacture, and sale of precision motion control products. The company offers a wide range of products, including rotary and linear actuators, speed reducers, gear heads, component sets, motors, and digital servo drives. These products find applications across various industries such as industrial robotics, surgical robotics, semiconductor manufacturing equipment, humanoid robots, mobility solutions, automated guided vehicles (AGVs), and space rovers. The company is headquartered in Shinagawa City, Japan, and its shares are listed on the Tokyo Stock Exchange.

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