Harmonic Drive Systems (6324) Q3 2025 earnings summary

Executive summary

• Net sales for the nine months ended December 31, 2024, decreased 3.7% year-over-year to ¥40,363 million, with a net loss attributable to owners of parent of ¥354 million, reflecting sluggish market conditions and geopolitical risks.

• Speed reducers saw a 4.3% year-over-year increase in sales, while mechatronic products declined 22.4%.

• Orders for industrial robots in China drove segment growth, but declines in automotive, semiconductor, and general industrial machinery impacted overall results.

Financial highlights

• Operating loss was ¥336 million, compared to an operating profit of ¥661 million in the same period last year.

• Ordinary loss was ¥78 million, versus an ordinary profit of ¥765 million year-over-year.

• Comprehensive income dropped 90.8% year-over-year to ¥411 million.

• Basic earnings per share for the period was negative ¥3.73.

• Equity ratio improved slightly to 67.1% from 66.6% at the previous fiscal year-end.

Outlook and guidance

• Full-year net sales forecast is ¥54,000 million, up 3.2% year-over-year, with profit attributable to owners of parent projected at ¥3,600 million and basic EPS of ¥37.90.

• No change to the financial results forecast announced on January 16, 2025.