Takeuchi Mfg (6432) Q1 2027 earnings summary

Executive summary

• Net sales for the first quarter FY2026 rose 12.2% year-over-year to ¥56,809 million, driven by strong growth in North America and Europe, price increases, and yen depreciation.

• Operating profit declined 9.3% year-over-year to ¥9,975 million, mainly due to increased costs, higher SG&A expenses, US tariffs, and increased freight costs.

• Ordinary profit increased 0.9% year-over-year to ¥10,506 million, aided by foreign exchange gains.

• Profit attributable to owners of parent was stable at ¥7,429 million, up 0.2% year-over-year, with comprehensive income surging 185.5% to ¥9,138 million.

Financial highlights

• North America sales increased 16.0% year-over-year; Europe sales rose 10.3% year-over-year.

• Gross profit increased to ¥15,788 million from ¥15,441 million year-over-year.

• Orders received surged 59.2% year-over-year to ¥90,306 million, while order backlogs decreased 8.8% to ¥77,064 million.

• Selling, general, and administrative expenses rose to ¥5,812 million from ¥4,442 million year-over-year.

• Earnings per share for the quarter were ¥160.84.

Outlook and guidance

• Full-year FY2026 net sales forecast is ¥244,000 million, up 8.3% year-over-year; operating profit forecast at ¥37,300 million, a slight decrease of 1.0% year-over-year.

• No changes to the previously announced earnings forecasts for the first half and full fiscal year ending February 2027.

• Profit attributable to owners of parent for the full year is forecast at ¥25,900 million, down 8.4% year-over-year.

• Exchange rate assumptions: ¥147/USD, ¥200/GBP, ¥174/EUR, ¥21.2/CNY.