Carlit (4275) Q4 2025 earnings summary

Executive summary

• FY2025 net sales rose 0.9% year-over-year to ¥36,914 million, with net profit down 1.1% to ¥2,570 million; dividend per share increased to ¥36.

• Operating profit declined 9.1% year-over-year, impacted by higher direct costs and production adjustments.

• The company completed its Medium-term Management Plan “Challenge 2024” and launched “Challenge 2027,” focusing on business portfolio optimization, R&D, ESG, and infrastructure.

• Extraordinary income from investment securities sale and impairment losses from silicon wafer assets affected results.

• Annual dividend of ¥36 per share was proposed, with a plan to repurchase and cancel up to ¥1.0 billion in treasury shares, raising the total return ratio to 72.5% for FY2025.

Financial highlights

• Net sales: ¥36,914 million (+0.9% year-over-year); operating profit: ¥3,046 million (–9.1%); net profit: ¥2,570 million (–1.1%).

• Ordinary profit decreased 7.8% year-over-year; comprehensive income dropped 64.1% to ¥1,494 million.

• Dividend per share up 9% to ¥36; total return ratio at 72.5% for FY2025.

• Cash and cash equivalents at year-end increased to ¥4,768 million, up ¥2,015 million.

• Equity-to-asset ratio improved to 70.7% from 66.7% year-over-year.

Outlook and guidance

• FY2026 forecast: net sales ¥39,000 million (+5.6%), operating profit ¥3,100 million (+1.7%), net profit ¥2,700 million (+5.0%).

• Dividend for FY2026 planned at ¥36 per share, with a new total return ratio target of 40%.

• Chemical and metal working segments expected to remain solid; silicon wafer demand recovery to be gradual, mainly in the second half.