Sanoh Industrial (6584) Q4 2026 earnings summary

Executive summary

• Net sales for FY2025 were ¥159,387 million, nearly flat year-over-year, with growth in Japan offset by declines in Europe and China and negative currency effects in the Americas.

• Operating income fell 16.2% to ¥4,073 million due to U.S. tariffs, logistics disruptions, import-related costs, and new project expenses, despite cost reductions and plant closures in Europe and China.

• Net income attributable to shareholders more than doubled to ¥1,524 million, driven by a gain on negative goodwill from a Mexican subsidiary acquisition and tax benefits, offsetting losses from subsidiary liquidation and restructuring.

• Comprehensive income surged to ¥5,600 million, up 249.3% year-over-year.

Financial highlights

• Ordinary income dropped 34% to ¥3,038 million, impacted by foreign exchange losses and lower operating income.

• Extraordinary gains rose by ¥1,010 million, while extraordinary losses increased slightly by ¥97 million.

• Cash and cash equivalents at year-end increased to ¥24,519 million.

• Net assets rose to ¥52,000 million, with a shareholders’ equity ratio of 33.8%.

• Dividend payout was maintained at ¥28 per share, with a payout ratio of 136.0%.

Outlook and guidance

• FY2026 sales are forecast to rise 4.8% to ¥167,000 million, with operating income expected to increase 35% to ¥5,500 million.

• Net income is projected at ¥1,500 million, with EPS of ¥42.57.

• No dividend forecast for FY2026 has been determined.

• Guidance is subject to risks from global economic conditions, tariffs, and logistics disruptions.