GS Yuasa (6674) Q2 2026 earnings summary

Executive summary

• Net sales for the six months ended September 30, 2025, reached ¥272.2 billion, up 2.9% year-over-year, with operating profit at ¥18.7 billion, up 19.1%, and interim net profit at ¥10.5 billion, up 11.2%, driven by strong industrial and lithium-ion battery sales and gains on asset sales.

• Record highs achieved in sales revenue and profits at each stage, supported by higher sales volumes and price revisions across automotive and industrial battery segments.

• Comprehensive income surged 57.4% year-over-year to ¥16,569 million.

• Extraordinary gains from the sale of idle land contributed ¥1.6 billion to net profit.

• Profit margin declined to 2.8% in Q2 due to higher raw material costs and currency impacts.

Financial highlights

• Gross profit improved to ¥64,081 million from ¥60,041 million year-over-year.

• Operating profit before amortization of goodwill increased by ¥3.0 billion, offsetting higher personnel and inflation-related costs.

• Net cash provided by operating activities was ¥14,564 million, up from ¥5,052 million a year earlier.

• All segments except overseas automotive batteries recorded increased revenue and profit.

• Cash and cash equivalents at period end decreased 37.4% to ¥35,495 million.

Segment performance

• Automotive batteries in Japan: Sales up 8.2% to ¥47,124 million, operating profit up ¥0.3 billion to ¥3.7 billion, driven by recovery in new vehicle production and price adjustments.

• Automotive batteries overseas: Sales down 3.4% to ¥123,129 million, operating profit down ¥0.3 billion to ¥9.1 billion, mainly due to Turkish market weakness and exchange rates.

• Industrial battery power supplies: Sales increased 10.1% to ¥50,861 million, operating profit up 13.5%, with strong demand in emergency use and infrastructure projects.

• Automotive lithium-ion batteries: Sales climbed 11.4% to ¥40,449 million, operating profit up ¥2.6 billion to ¥0.8 billion, with significant volume growth for hybrid vehicle batteries.

• Specialized and others: Sales down 3.1% to ¥10,586 million, operating profit down 19.3%, due to lower demand for submarine and aircraft batteries.