AOI Electronics (6832) Q4 2026 earnings summary

Executive summary

• Net sales rose 9.6% year-over-year to ¥38,323 million, driven by increased orders for integrated circuits and functional components.

• Operating profit declined 30.2% to ¥306 million due to higher raw material costs and increased R&D investment.

• Ordinary profit surged 73.8% to ¥728 million, aided by technical support fee income and foreign exchange gains.

• Profit attributable to owners of parent fell 60.6% to ¥70 million, mainly due to impairment losses.

Financial highlights

• Gross profit increased to ¥6,094 million from ¥5,210 million year-over-year.

• Operating margin dropped to 0.8% from 1.3% year-over-year.

• Net assets per share rose to ¥3,861.54 from ¥3,832.10.

• Cash and cash equivalents at year-end increased to ¥17,346 million, up 3.9% from the previous year.

• Equity-to-asset ratio decreased to 69.0% from 83.2% due to increased borrowings.

Outlook and guidance

• FY2027 net sales forecasted at ¥44,000 million (+14.8% YoY), operating profit at ¥300 million (−2.1% YoY), ordinary profit at ¥300 million (−58.8% YoY), and profit attributable to owners of parent at ¥230 million (+228.0% YoY).

• Profitability expected to be pressured by upfront investments and increased depreciation, despite anticipated sales growth.

• Depreciation method will shift to straight-line, reducing depreciation by ¥1,430 million in FY2027.