Musashi (7521) Q4 2026 earnings summary

Executive summary

• Consolidated net sales for the year ended March 2026 increased by 8.5% year-over-year to ¥40,586 million, with operating income up 39.4% to ¥4,677 million, but net income declined 18.3% to ¥2,803 million, partly due to equity-method investment losses.

• Strong performance in Financial/General-purpose & Election Systems offset declines in Information/Printing/Industrial Systems and Paper-related segments.

• The outlook for the year ending March 2027 projects a significant decrease in both sales and profits, mainly due to a sharp drop in election-related demand.

Financial highlights

• Consolidated sales rose by ¥3,195 million (8.5%) year-over-year; operating income increased by ¥1,323 million (39.4%).

• Operating profit margin rose to 11.5% from 9.0% year-over-year.

• Net income fell by ¥629 million (18.3%) year-over-year; comprehensive income fell 18.1% to ¥3,369 million.

• EPS decreased from ¥503.77 to ¥411.42 year-over-year.

• Cash and equivalents at year-end increased to ¥23,477 million from ¥20,901 million.

Outlook and guidance

• For the year ending March 2027, consolidated sales are forecast to decline 16.3% to ¥33,959 million, with operating income dropping 87.3% to ¥596 million and net income down 86.1% to ¥391 million.

• Dividend for FY2027 projected at ¥36 per share.

• Major drop in Financial/General-purpose & Election Systems sales expected due to absence of large-scale elections.

• Paper-related segment expected to remain stable; Information/Industrial Systems to see moderate growth.