Noda (7879) Q4 2025 earnings summary

Executive summary

• Revenue declined by 3.5% year-over-year to ¥64,686 million, with operating loss of ¥47 million and net loss attributable to shareholders of ¥829 million, a significant improvement from the previous year’s ¥4,612 million loss due to reduced impairment losses.

• The business environment remained challenging due to weak housing demand, rising costs, and sluggish plywood prices.

• The company aims for revenue and profit growth in FY2026, focusing on market expansion beyond new detached homes, cost control, and brand strengthening.

Financial highlights

• FY2025 revenue: ¥64,686 million (down 3.5% YoY); operating loss: ¥47 million (previous year: ¥444 million profit); ordinary loss: ¥29 million.

• Net loss attributable to shareholders: ¥829 million, improved from ¥4,612 million loss prior year.

• Segment revenue: Wood-based building materials ¥39,804 million (down 1.3%), Plywood ¥24,881 million (down 6.8%).

• Segment profit: Wood-based building materials ¥808 million (vs. ¥10 million loss prior year), Plywood ¥898 million (-59.3% YoY).

• Gross profit was ¥13,075 million, nearly flat year-over-year; cash and equivalents at year-end were ¥18,830 million, down ¥2,909 million.

Outlook and guidance

• FY2026 revenue forecast: ¥65,000 million (+0.5% YoY); operating profit ¥600 million; net profit ¥200 million.

• Annual dividend forecast: ¥30 per share, down from ¥33 in the current year.

• Focus on price revisions, cost control, and expanding into rental, renovation, and non-residential markets.

• Housing starts expected to remain weak at 737,000 units (down 0.6% YoY), but rental and renovation demand to remain firm.