Hioki EE (6866) Q2 2025 earnings summary

Executive summary

• H1 2025 revenue rose 4.7% YoY to ¥19,538m, while operating profit declined 1.5% to ¥3,293m and net income fell 12.3% to ¥2,297m.

• Ordinary profit decreased 9.4% to ¥3,273m; comprehensive income fell 26.3% to ¥2,206m.

• Battery and ESS demand strengthened in China, while Korean sales and Japanese and European demand were constrained by political uncertainty and delayed battery development and EV investment.

Financial highlights

• H1 orders were ¥19,673m, up 1.1% YoY; revenue was ¥19,538m, up 4.7%.

• Operating profit was ¥3,293m, down 1.5%; ordinary profit was ¥3,273m, down 9.4%; net income was ¥2,297m, down 12.3%.

• Gross profit rose to ¥10,043m from ¥9,141m; cost of sales was ¥9,495m versus ¥9,520m, while SG&A increased 16.4% to ¥6,750m.

• Basic EPS was ¥169.74, down from ¥191.82 a year earlier.

• Total assets were ¥45,822m, net assets ¥40,680m, and operating cash flow ¥2,234m; period-end cash and cash equivalents were ¥14,656m.

Outlook and guidance

• FY2025 forecast: revenue ¥41,430m, operating profit ¥7,530m, ordinary profit ¥7,590m, net income ¥5,840m and EPS ¥431.50; forecast announced July 8, with no subsequent revisions reported.

• Forecast revenue is up 5.5% YoY, operating profit up 0.1%, ordinary profit down 5.0% and net income down 5.6%; second-half assumptions were unchanged.

• H1 sales progress against revised plans was 41.2% for components, 49.5% for batteries, 50.6% for energy and 50.8% for mobility.