Makita (6586) Q4 2026 earnings summary

Executive summary

• Revenue increased 3.2% year-over-year to ¥777,600 million, driven by yen depreciation and solid non-residential demand, despite sluggish construction markets and U.S. tariff impacts.

• Operating profit declined 2.2% year-over-year to ¥104,705 million due to higher sales and advertising expenses, while profit attributable to owners of the parent rose 0.1% to ¥79,414 million.

• Comprehensive income more than doubled to ¥157,388 million, mainly due to favorable exchange differences on translating foreign operations.

Financial highlights

• Gross profit rose to ¥283,971 million from ¥271,426 million year-over-year.

• Operating profit margin was 13.5%, down from 14.2% the previous year.

• Basic EPS increased to ¥299.95 from ¥294.90 year-over-year.

• Total assets grew to ¥1,181,185 million, and equity attributable to owners of the parent reached ¥997,340 million.

• Net cash provided by operating activities was ¥102,336 million, down ¥27,538 million year-over-year.

Outlook and guidance

• Revenue for FY2027 is forecast at ¥820,000 million (+5.5%), with operating profit of ¥110,000 million (+5.1%) and profit attributable to owners of the parent at ¥81,000 million (+2.0%).

• Dividend payout policy revised to a minimum consolidated payout ratio of 50% starting FY2026.

• Focus on expanding cordless product lines, strengthening R&D, and diversifying production and procurement.