Morinaga&Co (2201) Q4 2026 earnings summary

Executive summary

• FY2026 net sales rose 3.4% to ¥236.672B and operating income rose 5.3% to ¥22.394B; EBITDA reached a record ¥32.5B, while profit attributable to owners of parent was ¥17.765B.

• FY2027 guidance targets net sales of ¥257.0B, operating income of ¥22.8B and EBITDA of ¥36.1B; MyMo consolidation supports growth, while acquisition costs and strategic investment weigh on profit.

Financial highlights

• Gross profit rose 5.5% to ¥94.959B; gross margin was 40.1%, up 0.8 percentage points, while SG&A rose 5.5% to ¥72.565B.

• Ordinary income was ¥22.659B, up 1.6%; profit attributable to owners of parent was ¥17.765B, up 0.3%.

• Operating cash flow was ¥23.637B; free cash flow was ¥9.7B.

Outlook and guidance

• FY2027 sales guidance is ¥257.0B, up 8.6%, including MyMo consolidation; overseas sales are forecast to rise 44.1% to ¥44.7B.

• FY2027 operating income is forecast at ¥22.8B and EBITDA at ¥36.1B; ordinary income is forecast at ¥22.2B and parent-attributable profit at ¥16.5B.

• Guidance assumes ¥153 per U.S. dollar and calmer cacao markets, while allowing for higher packaging, energy, logistics and other costs; raw-material-related costs are forecast to reduce profit by ~¥1.6B.

• Acquisition amortization, PMI, U.S. plant depreciation and future-growth investment weigh on operating income; pricing and sales growth are planned to offset pressure.

• FY2027 capital investment is forecast at ¥27.120B, including the second U.S. factory; depreciation is ¥12.186B and R&D expense ¥3.681B.