Panasonic (6752) Q1 2026 earnings summary

Executive summary

• Adjusted operating profit rose to ¥91.5 billion, with all segments posting profit growth, offsetting US tariffs and Automotive deconsolidation.

• Net profit attributable to stockholders increased to ¥71.5 billion, driven by improved income taxes despite weaker non-operating income.

• Total sales declined 11% year-on-year to ¥1,896.7 billion, mainly due to Automotive deconsolidation, though sales excluding Automotive rose 2%.

• Operating cash flow decreased year-on-year, primarily due to Automotive deconsolidation.

• Comprehensive income turned negative at ¥(31,515) million, mainly due to foreign exchange losses.

Financial highlights

• Consolidated sales: ¥1,896.7 billion, down 11% year-on-year; sales excluding Automotive: ¥1,867.2 billion.

• Adjusted operating profit: ¥91.5 billion (4.8% margin); operating profit: ¥86.9 billion; net profit: ¥71.5 billion (3.8% margin).

• EBITDA: ¥189.9 billion (10.0% margin), down from ¥196.7 billion year-on-year.

• Operating cash flow for Q1: ¥180.3 billion, with net cash at ¥-745.7 billion.

• Gross profit margin improved to 31.8% from 29.7% year-on-year.

Outlook and guidance

• Full-year forecast unchanged at sales ¥7,800 billion, adjusted operating profit ¥500 billion, net profit ¥310 billion.

• US tariffs from Q2 onward not yet factored into guidance; impact under assessment.

• Energy segment faces short-term EV market slowdown due to US tariffs and IRA 30D tax credit termination, but data center energy storage demand is exceeding expectations.

• Lifestyle segment forecast remains unchanged.

• Segment forecasts revised for Connect and Other/Eliminations & adjustments.