Konica Minolta (4902) Q4 2025 earnings summary

Executive summary

• FY24 revenue was JPY 1,127.9bn, up 2% year over year mainly on favorable FX; business contribution profit was JPY 31.9bn.

• Operating loss was JPY 64.0bn and loss attributable to owners was JPY 47.4bn, reflecting major impairments, restructuring costs and discontinued operations.

• Precision Medicine was classified as discontinued; the Ambry Genetics sale contributed JPY 45.0bn to discontinued operations.

• FY25 guidance targets revenue of JPY 1,050bn, operating profit of JPY 48bn and net profit of JPY 24bn.

Financial highlights

• Gross profit was JPY 479.4bn, up ~1%, while gross margin fell 0.4pt to 42.5%; business contribution profit declined 4.2% to JPY 31.9bn.

• FY24 included JPY 51.1bn of impairment losses and JPY 21.6bn of business structure improvement expenses.

• Free cash flow rose to JPY 75.7bn from JPY 38.8bn, supported by business transfers; operating cash flow was JPY 51.0bn and investing cash flow JPY 24.6bn.

• Basic EPS was -JPY 95.98 and ROE was -9.5%.

• Total assets declined 12.3% to JPY 1,217.6bn; the equity ratio was 38.0%.

Outlook and guidance

• FY25 revenue is forecast at JPY 1,050bn, business contribution profit at JPY 52.5bn with a 5% margin, operating profit at JPY 48bn and net profit at JPY 24bn.

• Guidance assumes JPY 145/USD and JPY 150/EUR; management targets 5% ROE and expects organic profit growth without major one-time factors.

• FY25 dividend forecast is JPY 10/share, including a planned JPY 5 interim dividend; FY24 dividend was zero.

• Reciprocal tariffs are excluded from guidance; the prior estimated impact was ~JPY 16bn, with mitigation planned through cost cuts, strategy changes and production shifts.

• Economic slowdown, price increases and FX volatility remain sources of uncertainty.