Sakata INX (4633) Q4 2025 earnings summary

Executive summary

• Net sales rose 4.9% year-over-year to ¥257,668 million in FY2025, driven by strong Americas performance, digital/specialty product growth, and a recent U.S. subsidiary acquisition.

• Operating income increased 15.7% to ¥15,226 million, supported by higher sales volume and stable raw material prices, despite increased labor costs.

• Net income attributable to owners of parent surged 28.9% to ¥11,609 million, aided by a gain on sale of investment securities from cross-shareholding reduction.

• The company is in the second year of its Medium-term Management Plan 2026, focusing on sustainable and environmentally friendly products, global expansion, and operational efficiency.

• Operating income margin improved to 5.9% and net income margin to 4.5% in FY2025.

Financial highlights

• Earnings per share increased to ¥235.26 in FY2025 from ¥180.64 in FY2024.

• Net assets per share increased to ¥2,425.44 as of December 31, 2025.

• Gross profit increased to ¥64,433 million from ¥58,633 million year-over-year.

• Ordinary income rose 19.2% year-over-year to ¥15,364 million.

• Comprehensive income decreased 24.7% year-over-year to ¥13,940 million, mainly due to lower foreign currency translation gains.

Outlook and guidance

• FY2026 forecast projects net sales of ¥276,000 million (+7.1%), operating income of ¥17,000 million (+11.6%), and net income attributable to owners of parent of ¥11,800 million (+1.6%).

• Operating income margin expected to rise to 6.2% and EPS to ¥241.84 in FY2026.

• The company expects continued global economic recovery, stable raw material prices, and growth in environmentally friendly products.

• The annual dividend is planned at ¥100 per share, aiming for a total payout ratio of 50% or more during the current medium-term plan.