Kitazato (368A) Q4 2026 earnings summary

Executive summary

• Achieved record-high net sales of ¥10,947 million (+6.3% YoY) and net profit attributable to owners of parent of ¥3,895 million (+2.8% YoY), with both domestic (+4.7% YoY) and overseas (+7.1% YoY) growth, especially in Europe (+15.7% YoY) and India (+26.9% YoY).

• Operating profit increased to ¥5,858 million (+1.3% YoY), and ordinary profit rose to ¥5,903 million (+2.3% YoY), aided by foreign exchange gains.

• The company strengthened its product supply system, expanded its product lineup, and reinforced sales capabilities.

• Media and Medical Devices categories saw robust growth, while Cryodevice sales declined due to temporary factors in China.

Financial highlights

• Gross profit increased by ¥240 million YoY to ¥7,214 million, offsetting higher personnel and certification expenses.

• Equity ratio strengthened to 93.2% (from 92.4%), reflecting a solid financial base.

• Cash flow from operating activities remained positive; cash and cash equivalents increased by ¥1,953 million to ¥13,414 million.

• Major facility investments largely completed; automation equipment introduction planned for FY2027 onward.

• Basic earnings per share was ¥97.38, up from ¥94.72 the previous year.

Outlook and guidance

• FY2027 guidance projects net sales of ¥11,346 million (+3.6% YoY), operating profit of ¥6,115 million (+4.4% YoY), and net profit of ¥4,059 million (+4.2% YoY).

• Focus on expanding product lineup, regulatory certifications, and strengthening overseas sales, especially in the US, China, and India.

• The company expects continued demand growth in fertility treatment, especially overseas.

• No current impact from geopolitical risks; will disclose if material changes occur.