EIZO (6737) Q4 2025 earnings summary

Executive summary

• Net sales remained flat year-over-year at JPY80.4B, with record V&S market sales but declines in Healthcare, Creative Work, and Amusement segments.

• Operating profit decreased 5.2% to JPY3.7B, impacted by higher SG&A expenses and foreign exchange losses.

• Profit attributable to owners fell 23.9% year-over-year to JPY4.1B.

• Extraordinary profit included a JPY1.1B gain from investment security sales, offset by a JPY0.6B loss from the Noto Peninsula Earthquake.

Financial highlights

• Gross profit increased 3.1% year-over-year to JPY26.2B, with gross margin rising to 32.5%.

• SG&A expenses rose 4.6% due to wage hikes and R&D investment.

• Ordinary profit dropped 28% to JPY4.6B, mainly due to foreign exchange losses.

• Cash flows from operating activities were JPY11.5B, with cash and cash equivalents at year-end of JPY21.1B.

• Total assets decreased to JPY157.8B, and net assets fell to JPY124.4B.

Outlook and guidance

• FY25/FY2026 net sales projected at JPY85B (+5.6%), with operating profit expected to rise to JPY4.8B (+29.5%).

• Ordinary profit forecast at JPY6.1B (+33.9%), and profit attributable to owners at JPY4.4B (+6.1%).

• Growth anticipated in Japan, Europe, India, and the Middle East, with new product launches and expansion in V&S, Amusement, and Healthcare.

• U.S. and China face headwinds from tariffs and economic slowdown.

• Dividend per share to increase to JPY110 (post-split), marking the 13th consecutive annual increase.