Sysmex (6869) Q4 2026 earnings summary

Executive summary

• Net sales declined 1.7% year-over-year to ¥500.0 billion, with operating profit down 40.8% to ¥51.8 billion and profit attributable to owners of the parent down 33.9% to ¥35.4 billion, mainly due to healthcare cost containment in China, goodwill impairment losses, and weak performance in Japan.

• Americas and EMEA regions showed solid growth, offsetting declines in China (sales down 24.9% year-over-year) and Japan.

• Excluding China, sales increased 5.1% year-over-year, with Americas up 7.3%, EMEA up 5.2%, and AP up 6.4% (local currency basis).

• Comprehensive income rose 34.7% year-over-year to ¥66.6 billion, driven by foreign exchange gains.

• Operating cash flow was ¥73.8 billion (down 16% year-over-year), and free cash flow was ¥22.3 billion.

Financial highlights

• Cost of sales ratio deteriorated to 48.9% from 45.7% year-over-year, and SG&A expenses rose 9.0%.

• R&D expenses decreased 7.3% year-over-year to ¥29.1 billion.

• Goodwill impairment losses totaled ¥11.2 billion, impacting operating profit.

• Cash and cash equivalents at year-end were ¥84.1 billion, down ¥5.5 billion from the previous year.

• Equity attributable to owners of the parent increased to ¥505.0 billion, with a ratio to total assets of 71.4%.

Outlook and guidance

• For the fiscal year ending March 31, 2027, net sales are forecast at ¥535.0 billion (+7.0%), operating profit at ¥58.0 billion (+11.9%), and profit attributable to owners of the parent at ¥36.0 billion (+1.5%).

• China sales expected to decline 20% year-over-year, but growth anticipated in Americas (+6%), EMEA (+7%), and AP (+13%) on a local currency basis.

• Operating cash flow projected at ¥88.0 billion (+19% year-over-year), free cash flow at ¥27.0 billion (+21%).

• Annual dividend forecasted at ¥40 (+5.3%).

• New Mid-Term Management Plan focuses on diagnostics competitiveness, medical DX, value chain transformation, and capital strategy.