Sumitomo Metal Mining (5713) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 FY2025 was ¥379.6 billion, down 7.5% year-over-year, while pre-tax profit rose 23.5% to ¥37.9 billion.

• Net profit increased 38.9% year-over-year to ¥29.8 billion, with profit attributable to owners up 24.3% to ¥27.4 billion.

• Segment profit increased in resources and materials, while smelting saw a significant decline due to inventory valuation losses.

• Equity-method investment income rebounded sharply, mainly from Cerro Verde and Candelaria.

• Basic EPS for Q1 was ¥100.27, up from ¥80.34 in the prior year.

Financial highlights

• Operating cash flow for Q1 FY2025 was negative at ¥0.6 billion, with free cash flow at -¥26.1 billion.

• Shareholder equity ratio remained stable at 59.8%, and D/E ratio increased slightly to 0.33.

• Total comprehensive income for Q1 FY2025 was negative ¥40.1 billion, compared to positive ¥106.4 billion a year earlier.

• Total assets as of June 30, 2025, were ¥2,994.2 billion, down from ¥3,068.6 billion at March 31, 2025.

• Dividend per share for FY2025 was ¥104.00, with a forecast of ¥131.00 for FY2026.

Outlook and guidance

• Full-year FY2025 revenue forecast revised to ¥1,513 billion, a 5.0% decrease year-over-year.

• Pre-tax profit guidance for FY2025 is ¥102 billion, up ¥2 billion from prior guidance.

• Profit attributable to owners is forecast at ¥61.0 billion, up 270.0% year-over-year.

• Basic EPS for the year is forecast at ¥224.75, reflecting share repurchases.

• Resource and smelting segment profits are expected to rise, while materials segment is forecast to decline due to lower battery material sales.