Sanyo Denki (6516) Investor presentation summary

Q1 financial performance

• FY2026 Q1 revenue ¥32.2B, up 33.5% YoY; operating profit ¥4.2B, up 138.1%, with a 13.1% revenue ratio.

• Profit before tax was ¥4.4B, up 194.3% YoY; net income was ¥2.9B, up 184.6%.

FY2026 forecast and capital targets

• FY2026 forecast revenue ¥128.8B, up 20.0% YoY; operating profit ¥16.2B, up 49.6%, and net income ¥12.0B, up 38.6%.

• Forecast ROE is 9.4%, versus 7.2% in FY2025; medium- to long-term target is ROE of 10% or higher, against a 7–9% cost of equity.

• FY2026–FY2030 allocation targets operating cash flow of ¥66.0B+, growth investment of ¥33.0B+ and shareholder returns of ¥30.0B+ over five years.

• Dividend payout ratio target raised to 50%, with a progressive dividend policy and flexible share buybacks.

Electronics business and demand

• SANUPS demand was supported by servers, social infrastructure and defense; renewable-energy inverter demand benefited from growth in solar, hydro and wind markets.

• SANMOTION amplifiers and drivers saw increased semiconductor-equipment demand, alongside solid demand for machine tools and injection molding machines supported by China investment.

• FY2026 Q1 application mix: semiconductor equipment represented 36% of SANMOTION revenue; machine tools 27%.