NIKKON Holdings (9072) Q4 2025 earnings summary

Executive summary

• Net sales rose 11.5% year-over-year to ¥247.9 billion, driven by growth in existing business and M&A activities.

• Operating profit increased 9.0% to ¥23.2 billion, supported by sales growth and cost reduction efforts.

• Ordinary profit edged up 0.4% to ¥23.97 billion, with foreign exchange losses partially offsetting gains.

• Net profit was ¥16.55 billion, nearly flat year-over-year.

• Comprehensive income dropped 53.4% year-over-year to ¥12,732 million, mainly due to valuation losses on securities.

Financial highlights

• Cost of sales increased 10.3% year-over-year, while general and administrative expenses rose 35.6%.

• Extraordinary income surged due to one-time items, while extraordinary losses dropped sharply.

• Cash and deposits decreased by ¥7.1 billion, while property, plant, and equipment increased by ¥18.1 billion.

• Intangible assets rose significantly due to M&A, with goodwill up ¥12.1 billion and customer-related assets up ¥13.4 billion.

• Earnings per share was ¥133.99, up from ¥130.49 year-over-year, reflecting a two-for-one share split.

Outlook and guidance

• Medium-term plan targets FY2026/3 net sales of ¥280 billion and operating profit of ¥28 billion, with a 10% operating margin and 8% ROE.

• Forecasts for FY2026/3: ordinary profit ¥29.4 billion (+22.7%), profit attributable to owners of parent ¥20 billion (+20.8%).

• Dividend policy shifts to targeting a dividend on equity (DOE) of 4% or more, with a planned annual dividend of ¥74 per share for FY2026.

• Growth drivers include expansion in circulation, three-temperature-zone logistics, and overseas business.