Nifco (7988) Q2 2026 earnings summary

Executive summary

• Net sales for 1H FY2025 were ¥173.1bn, down 1.8% YoY, while operating profit reached a historical high and remained flat at ¥25.1bn.

• Operating profit margin (OPM) exceeded 14% for the first half, reaching a record 14.5%.

• Profit attributable to owners of parent rose 20.1% YoY to ¥18,486 million, while comprehensive income dropped 62.7% YoY.

• Net income increased partly due to the sale of fixed assets.

• No revision to full-year FY2025 guidance, despite uncertainty in the semiconductor industry and sluggish business in China.

Financial highlights

• 1H FY2025 consolidated net sales: ¥173.1bn, down 1.8% YoY; operating profit: ¥25.1bn, flat YoY; ordinary profit: ¥25.2bn, up 0.3% YoY.

• Basic earnings per share increased to ¥194.52 from ¥157.22 YoY.

• Net assets at the end of the period were ¥281,674 million, with a net assets ratio of 76.3%.

• OPM for 1H FY2025 remained at a record-high 14.5%.

• Progress against FY2025 budget: sales at 50%, operating profit at 51%.

Outlook and guidance

• FY2025 full-year guidance maintained: net sales ¥348.0bn, operating profit ¥49.5bn, ordinary profit ¥49.5bn, with exchange rate assumption of $/¥145.

• Profit attributable to owners of parent projected to decrease 5.1% to ¥30,600 million.

• Basic earnings per share for FY2025 forecast at ¥315.76.

• No revision to the latest forecasts.

• Uncertainty remains in the semiconductor industry for 2H FY2025; Chinese market remains sluggish.