Aiphone (6718) Q4 2025 earnings summary

Executive summary

• FY2025 net sales reached a record ¥63,316 million, up 3.2% year over year, led by domestic apartment-renewal demand.

• Operating profit fell 27.6% to ¥3,814 million and ordinary profit declined 32.1% to ¥4,162 million.

• Profit attributable to owners of parent decreased 22.1% to ¥3,619 million.

Financial highlights

• Domestic sales grew 4.5% to ¥45,350 million; overseas sales edged up 0.1% to ¥17,950 million.

• Gross profit rose to ¥27,240 million, but higher SG&A expenses reduced operating profit; sales growth added ¥790 million while higher non-FX expenses and FX reduced it by ¥2,000 million and ¥330 million, respectively.

• Basic earnings per share declined to ¥221.18 from ¥283.98.

• Cash and cash equivalents rose to ¥24,326 million from ¥21,587 million; net assets reached ¥66,763 million.

Outlook and guidance

• FY2026 forecast: net sales ¥65,400 million (+3.3%), operating profit ¥4,500 million (+18.0%), ordinary profit ¥5,000 million (+20.1%) and profit attributable to owners of parent ¥3,700 million (+2.2%).

• Forecast operating margin is 6.9%; basic EPS is projected at ¥226.08.

• Domestic security needs are expected to support renewal sales, while IP-network products target overseas demand; pricing adjustments may be made as market conditions warrant.

• U.S. tariff effects are excluded from guidance; R&D spending and wage-base increases are expected to raise expenses.

• FY2026 operating-profit guidance of ¥4,500 million and a 6.9% margin are below mid-term-plan targets of ¥5,600 million and 8.8%.