Seibu Giken (6223) Q4 2025 earnings summary

Executive summary

• FY2025 saw record net sales of JPY 34,322 million, up 7% year-over-year, with operating profit rising 12.4% to JPY 4,530 million and net profit attributable to shareholders at JPY 3,455 million, up 3.6% year-over-year.

• Growth was driven by strong orders for energy device factories, especially battery plants in Japan, and robust performance in the total engineering business.

• FY2026 guidance projects net sales of JPY 36,050 million (+5% YoY), but operating profit is expected to decrease 11% to JPY 4,030 million due to increased investment in human capital and IT.

Financial highlights

• FY2025 gross profit margin held steady at 34%, while operating profit margin improved to 13.2% from 12.6% in FY2024.

• EBITDA for FY2025 was JPY 5,511 million (16.1% margin), up from JPY 4,993 million in FY2024.

• Annual dividend of JPY 70 per share and share buyback of approximately 1 billion yen (640,000 shares) executed.

• Cash and cash equivalents increased to JPY 15,505 million at year-end 2025.

Outlook and guidance

• FY2026 net sales forecast at JPY 36,050 million (+5% YoY), with growth expected in Asia, China, and Europe.

• Operating profit forecast to decline to JPY 4,030 million (11.2% margin) due to higher SG&A from human capital and IT investments.

• Net profit attributable to shareholders projected to rise to JPY 3,870 million (+12% YoY), supported by extraordinary income from subsidies.

• Planned annual dividend of JPY 70 per share and share buyback up to 1 billion yen or 700,000 shares.