PIOLAX (5988) Q4 2026 earnings summary

Executive summary

• FY2026 net sales fell 2.1% to ¥62,045m; operating profit declined 38.3% to ¥1,470m.

• Profit attributable to owners of parent was a loss of ¥21m, versus profit of ¥1,792m a year earlier.

• OEM production cuts, higher input costs and overseas impairment losses pressured results.

• Revised medium-term targets set FY2027 revenue at ¥65.0bn and operating profit at ¥2.5bn, supported by structural reform and sales expansion.

Financial highlights

• Gross profit was ¥13,728m, down from ¥14,271m year over year.

• FY2026 medical-device revenue reached a record ¥5.27bn; operating profit was ¥0.25bn and margin 4.7%.

• Operating cash flow fell to ¥3,003m from ¥8,124m; year-end cash and cash equivalents were ¥22,773m, down from ¥30,236m.

• Equity-to-asset ratio declined to 63.9% from 85.8%.

Outlook and guidance

• Guidance for the year ending March 31, 2027: net sales ¥63,000m, operating profit ¥1,500m and profit attributable to owners of parent ¥700m.

• Revised medium-term targets: FY2027 revenue ¥65.0bn and operating profit ¥2.5bn; FY2030 revenue ¥70.0bn and operating profit ¥4.5bn.

• Structural-reform priorities include ¥12.0bn in global sales expansion, lower variable and fixed costs, higher-value products and stronger development capabilities.

• FY2030 medical-device targets are ¥7.5bn revenue and a 10% operating margin; biodegradable gastrointestinal stent launch is expected in FY2026 Q3 after reimbursement-price review.