Takasago Thermal Engineering (1969) Q2 2026 earnings summary

Executive summary

• Achieved historical highs in net sales, gross profit, and sales orders for Q2FY2025, driven by strong demand and efficient project management, especially in large-scale industrial projects.

• Net sales for the six months ended September 30, 2025, rose 21.6% year-over-year to ¥194,501 million, driven by robust capital investment and improved profitability in construction and installation stages.

• Operating profit surged 152.4% year-over-year to ¥24,679 million, and profit attributable to owners of parent increased 146.6% to ¥20,201 million.

• Orders received grew 8.8% year-over-year to ¥218,173 million, reflecting continued demand in both general-purpose and industrial systems.

• International subsidiaries, particularly in Singapore and Thailand, contributed to growth, with sales orders up 17.7% year-over-year.

Financial highlights

• Consolidated net sales rose 21.6% year-over-year to ¥194,501M; gross profit up 66.4% to ¥44,397M.

• Operating profit increased 152.4% to ¥24,679M; profit margin improved by 6.6 points.

• Ordinary profit reached ¥26,111 million, up 134.5% year-over-year.

• Earnings per share for the period were ¥153.77, calculated post-share split.

• Comprehensive income totaled ¥24,346 million, up 201.8% year-over-year.

Outlook and guidance

• FY2025 forecast revised upward: consolidated net sales expected at ¥421,000M (+2.7%), operating profit at ¥43,300M (+20.3%), and net profit at ¥34,300M (+19.5%).

• Full-year consolidated forecasts for FY2026: net sales ¥421,000 million (+10.3%), operating profit ¥43,300 million (+33.6%), ordinary profit ¥46,000 million (+31.5%), and profit attributable to owners of parent ¥34,300 million (+24.1%).

• Sales orders projected at ¥458,000M (+6.5%), with strong pipelines in pharma and ICT sectors.

• Earnings per share forecast for the full year is ¥261.08 (post-share split).

• Dividend forecast raised to ¥105 per share, payout ratio maintained at ~40%.