Kyowakogyosyo (5971) Q4 2025 earnings summary

Executive summary

• Revenue decreased by 4.7% year-over-year to ¥10,457 million, with operating profit down 19.4% and net income attributable to shareholders down 50.9%.

• The construction machinery segment, the main business, saw a 4.5% decline in sales, while all other segments also posted year-over-year declines.

• Despite cost management efforts, demand contraction in the construction machinery industry and rising raw material and energy costs weighed on results.

Financial highlights

• Operating profit: ¥818 million (down 19.4% year-over-year).

• Ordinary profit: ¥931 million (down 18.9% year-over-year).

• Net income attributable to shareholders: ¥708 million (down 50.9% year-over-year).

• EPS: ¥535.66 (down from ¥1,063.10 the previous year).

• Comprehensive income: ¥498 million (down 58.4% year-over-year).

Outlook and guidance

• For the next fiscal year, revenue is forecast at ¥10,300 million (down 1.5%), operating profit at ¥790 million (down 3.5%), ordinary profit at ¥900 million (down 3.4%), and net income at ¥610 million (down 13.9%).

• The company expects continued uncertainty due to raw material and energy costs, as well as global economic factors.