Furukawa Electric (5801) Q4 2025 earnings summary

Executive summary

• FY24 net sales reached JPY 1,201.8 billion, up 13.7% year-over-year, with operating profit at JPY 47.1 billion, a 321.6% increase, and profit attributable to owners of parent at JPY 33.4 billion, up 412.7%.

• Comprehensive income increased 58.8% year-over-year to JPY 55.5 billion.

• FY25 forecasts stable net sales at JPY 1,200.0 billion and operating profit growth to JPY 53.0 billion.

• Shareholder returns prioritized, with dividends of JPY 120 per share planned for FY24 and FY25, targeting a payout ratio around 25%.

Financial highlights

• FY24 operating profit rose by JPY 35.9 billion to JPY 47.1 billion; ordinary profit reached JPY 48.6 billion, up JPY 38.3 billion.

• Basic earnings per share increased to 473.49 yen from 92.40 yen year-over-year.

• Free cash flow improved to JPY 52.6 billion in FY24 from JPY 7.1 billion in FY23.

• FY25 forecasts: operating profit up JPY 5.9 billion to JPY 53.0 billion; profit attributable to owners of parent up JPY 2.6 billion to JPY 36.0 billion.

• Dividend per share doubled to 120.00 yen, with a payout ratio of 25.3%.

Outlook and guidance

• FY25 expects increased profits in all segments except Service and Developments, with stable net sales despite the deconsolidation of Furukawa Battery Co., Ltd. from Q3.

• Tariff impacts from the US are not included in forecasts; strategies include cost recovery, supply chain changes, and price adjustments.

• CAPEX for FY25 is planned at JPY 54.0 billion, with R&D expenses at JPY 29.0 billion.