Secom (9735) Q4 2025 earnings summary

Executive summary

• Achieved record-high net sales, operating profit, ordinary profit, and profit attributable to owners of parent for FY2025/03, driven by growth in security, fire protection, and medical services.

• Announced and executed a 2-for-1 stock split in October 2024 and introduced a new shareholder benefits program.

• Launched new security and AI-based products and selected to the CDP A List for climate change and water security initiatives.

• Pasco Corporation became a consolidated subsidiary (75% SECOM, 25% ITOCHU) and was delisted in January 2025.

• Resolved to repurchase up to 60 billion yen or 18 million shares of treasury stock between May and December 2025.

Financial highlights

• FY2025/03 net sales: 1,199.9 billion yen (+4.9% year-over-year); operating profit: 144.3 billion yen (+2.6%); ordinary profit: 175.1 billion yen (+5.0%); net income attributable to owners: 108.1 billion yen (+6.1%).

• Basic EPS: 259.97 yen; annual dividend per share: 195 yen (pre-split), up 5 yen from previous year; dividend payout ratio: 37.5%.

• Free cash flow for FY2025/03 was 67.0 billion yen; cash and cash equivalents at year-end were 408.4 billion yen, down 15.7 billion yen.

• Gross margin for FY2025 was 30.9%; net assets per share at 3,056.12 yen.

• Cash flows from operating activities were 167.8 billion yen, investing activities used 100.8 billion yen, and financing activities used 85.2 billion yen.

Outlook and guidance

• FY2026/03 guidance: net sales 1,251.0 billion yen (+4.3%), operating profit 150.0 billion yen (+3.9%), ordinary profit 168.7 billion yen (−3.7%), net income attributable to owners 103.4 billion yen (−4.4%).

• Revenue growth expected in all business segments; continued investment in human resources and price optimization.

• Dividend forecast for FY2026/03: 100 yen per share (post-split), or 200 yen pre-split.