Tamron (7740) Q1 2025 earnings summary

Executive summary

• Net sales for 1Q FY2025 decreased 1.9% year-over-year to ¥19,451 million, mainly due to declines in photographic products and TV conference lenses, partially offset by growth in surveillance and automotive lenses.

• Gross profit margin improved by 1 point to 45.8% due to cost reductions, despite lower revenue.

• Operating income declined 6.9% year-over-year to ¥4,235 million, impacted by higher SG&A and R&D expenses.

• Net income fell 15.1% year-over-year to ¥2,841 million.

• Comprehensive income dropped 79.7% year-over-year to ¥1,077 million, mainly due to negative foreign currency translation adjustments.

Financial highlights

• Net sales: ¥19,451 million (down 1.9% YoY); gross profit: ¥8,910 million (up 0.3% YoY); gross margin: 45.8% (up 1.0 pt YoY).

• Operating income: ¥4,235 million (down 6.9% YoY); operating margin: 21.8% (down 1.1 pts YoY).

• Net income per share (basic) was 69.74 yen, reflecting a 2-for-1 stock split.

• Total assets decreased to ¥91,255 million from ¥102,184 million at FY2024 year-end.

• Shareholders' equity ratio was 82.3% at quarter-end.

Outlook and guidance

• Full-year FY2025 forecast: net sales ¥92,000 million, operating income ¥8,400 million, net income per share 89.77 yen, reflecting a 4-for-1 stock split effective July 2025.

• No revision to previously announced forecasts.

• Company expects to reach record net sales and operating profit, driven by new product launches and cost controls.

• Direct impact of US tariffs estimated at ¥430 million in FY2025, with measures in place to absorb the effect.

• Segment forecasts: Photographic Products net sales +4.0% YoY, Surveillance & FA Lenses +2.3% YoY, Mobility & Healthcare +6.0% YoY.