Linical (2183) Q4 2025 earnings summary

Executive summary

• Net sales declined 15.2% year-over-year to ¥10,437 million for the year ended March 2025, with operating and net losses due to revenue declines in Japan and Asia despite growth in the US.

• Operating loss was ¥583 million, reversing from a profit of ¥725 million in the prior year.

• Net loss attributable to owners of parent was ¥539 million, compared to a profit of ¥338 million last year.

• US business achieved revenue growth, but higher personnel and outsourcing costs reduced profits; Japan and Asia faced significant revenue drops and operating losses.

• Order backlog increased in Japan and Asia due to new project acquisitions, while the US and Europe saw declines from postponed trials.

Financial highlights

• Net sales: ¥10,437 million (down 15.2% year-over-year).

• Operating loss: ¥583 million; net loss: ¥539 million.

• Gross profit decreased to ¥2,375 million from ¥3,778 million year-over-year.

• US revenue increased 6.5% to ¥4,789 million, but profit declined 3.6%.

• Japan revenue fell 27.9% to ¥3,676 million, shifting to an operating loss.

Outlook and guidance

• FY ending March 2026 forecasts net sales of ¥11,200 million (+7.3%), operating income of ¥300 million, ordinary income of ¥320 million, and net income of ¥150 million.

• Projected net income per share for next year is ¥6.64.

• Growth expected from US and recovery in Europe, Japan, and Asia.

• Dividend per share planned at ¥16.00, unchanged from prior year.