Aiphone (6718) Q4 2026 earnings summary

Executive summary

• FY26 net sales were ¥62,983m, down 0.5%; operating profit fell 26.5% to ¥2,802m as North American weakness and higher costs offset domestic growth.

• Domestic security, apartment renewals and care-monitoring demand supported growth; North American distributor inventory adjustments constrained shipments despite steady end-customer demand.

• Comprehensive income rose 35.8% to ¥5,396m, driven by gains in other comprehensive income.

Financial highlights

• Ordinary profit declined 23.8% to ¥3,171m; profit attributable to owners of parent fell 31.9% to ¥2,466m.

• Operating margin was 4.4%, versus 6.0% in FY25 and below the initial 6.9% plan.

• Gross profit decreased to ¥26,511m from ¥27,240m year-over-year.

• Basic EPS fell to ¥150.69 from ¥221.18; ROE was 3.6%, down from 5.5%.

• Operating cash flow declined to ¥2,169m from ¥5,717m year-over-year.

Outlook and guidance

• FY27 net sales are forecast at ¥65,800m, up 4.5%; operating profit at ¥4,000m, up 42.7%, and profit attributable to owners of parent at ¥3,200m, up 29.8%.

• FY27 recurring profit is forecast at ¥4,500m; basic EPS at ¥195.52.

• Domestic growth plans emphasize security-driven renewal demand; overseas plans target North American recovery and higher sales of in-demand IP network products.

• Higher-margin overseas sales are expected to improve mix; forecast excludes potential parts-price increases tied to Middle East instability.