Eiwa (9857) Q4 2025 earnings summary

Executive summary

• Achieved record sales and profits for the fiscal year ended March 2025, with all key financial targets met ahead of the mid-term plan schedule.

• Revenue rose 8.9% year-over-year to ¥47,136 million, with operating profit up 19.8% and net income attributable to shareholders up 17.2%.

• Growth driven by strong sales in industrial machinery, process control equipment, shipbuilding, chemical, and infrastructure sectors, with robust demand for disaster prevention vehicles and equipment upgrades.

• Enhanced profitability through focus on high-value-added solutions, high-margin solution sales, and strategic sales initiatives.

Financial highlights

• Revenue: ¥47,136 million, up 8.9% year-over-year.

• Operating income: ¥2,786 million, up 19.8% year-over-year; Ordinary income: ¥2,853 million, up 17.9% year-over-year.

• Net income attributable to shareholders: ¥1,954 million, up 17.2% year-over-year; EPS: ¥308.79.

• Gross profit: ¥8,185 million (+9.2% YoY); comprehensive income decreased 19.7% to ¥1,734 million.

• All results exceeded initial full-year forecasts.

Outlook and guidance

• FY2026 revenue forecast: ¥48,500 million (+2.9% YoY); operating income: ¥2,860 million (+2.6% YoY); net income: ¥1,960 million (+0.3% YoY).

• Mid-term plan extended to FY2027, targeting revenue of ¥50,000 million, ordinary income of ¥3,060 million, and ROE above 11%.

• Expecting continued steady demand for productivity, digital, green transformation, and infrastructure investments, but cautious on short-term capital expenditure due to macro uncertainties.