Musashi Seimitsu Industry (7220) Q3 2026 earnings summary

Executive summary

• Net sales for the nine months ended December 31, 2025, were ¥252,990 million, down 1.4% year-over-year, with operating profit up 5.1% to ¥12,674 million and ordinary profit up 13.7% to ¥12,526 million.

• A net loss attributable to owners of parent of ¥696 million was recorded, compared to a profit of ¥5,168 million in the prior year, mainly due to structural reform expenses.

• Comprehensive income rose 2.8% year-over-year to ¥8,567 million.

Financial highlights

• Gross profit increased to ¥38,668 million from ¥37,109 million year-over-year.

• Extraordinary losses surged to ¥8,290 million, mainly from business restructuring costs in Europe.

• Basic earnings per share for the nine months was negative ¥10.62, down from ¥78.90 in the prior year.

• Total assets increased to ¥309,513 million, up ¥24,386 million from March 31, 2025.

• Net assets rose to ¥128,535 million, with an equity-to-asset ratio of 38.3%.

Outlook and guidance

• Full-year net sales forecast remains at ¥330,000 million, unchanged from the previous forecast.

• Operating profit forecast was revised down to ¥18,000 million (down 14.3% from previous forecast), and profit attributable to owners of parent was sharply reduced to ¥1,000 million (down 90.9%).

• The downward revision is due to higher upfront expenses in the Energy Solution business and structural reform costs in Europe.