Furuno Electric (6814) Q4 2026 earnings summary

Executive summary

• Achieved record-high consolidated net sales of ¥140,616 million, up 10.8% year-over-year, and record profits at all stages for the third consecutive year, driven by strong demand in Marine and Industrial businesses, especially in the Americas.

• Profit growth was primarily led by the Marine business, with continued investments in human capital and digital transformation.

• Maintenance services and Defense equipment sales saw significant increases, with robust performance in both domestic and international markets.

• ROE improved to 20.7%, exceeding FY2030 management vision targets for net sales and operating profit margin for the second consecutive year.

Financial highlights

• Net sales rose 10.8% year-over-year to ¥140,616 million; operating profit increased 23.3% to ¥16,246 million; ordinary profit grew 29.2% to ¥18,291 million; profit attributable to owners of parent surged 46.1% to ¥16,735 million.

• Gross profit reached ¥58,338 million, up 10.1% year-over-year; gross profit margin remained stable at 41.5%.

• Basic earnings per share increased to ¥529.53 from ¥362.64 year-over-year.

• Free cash flow increased to ¥18,094 million, and cash and cash equivalents at year-end reached ¥23,544 million, up from ¥15,413 million.

• Equity-to-asset ratio rose to 63.2% from 58.4% year-over-year.

Outlook and guidance

• FY2026/2027 net sales forecasted to rise 5.6% to ¥148,500 million, with operating profit up to ¥17,000 million; profit attributable to owners of parent expected to decrease 22.3% due to lower non-operating income and normalization of tax rate.

• Annual dividend planned at ¥160 per share, maintaining a payout ratio target of 40%.

• ROE expected to remain above 10%.

• Forecast does not factor in potential impacts from crude oil price fluctuations, raw material costs, or supply chain disruptions.

• Assumes exchange rates of USD 1 = JPY 153 and EUR 1 = JPY 183.