Teijin (3401) Q4 2025 earnings summary

Executive summary

• FY2024 revenue rose 4.7% year-over-year to ¥1,005.5 billion, with adjusted operating income up 25.7% to ¥27.6 billion and ROE at 6.7%.

• Profit attributable to owners of parent turned positive at ¥28.3 billion, reversing a prior year loss, aided by improved Materials and Fibers & Products Converting performance and the sale of INFOCOM.

• Operating loss of ¥71.8 billion was recorded due to significant impairment losses, mainly in North American composites and healthcare.

• Annual dividend increased to ¥50 per share, up 20 yen from the previous year, with a payout ratio of 34%.

• Business portfolio transformation, including the sale of INFOCOM and withdrawal from certain businesses, improved financial ratios.

Financial highlights

• FY2024 revenue was ¥1,005.5 billion (+4.7% year-over-year); adjusted operating income was ¥27.6 billion (+25.7%).

• EBITDA reached ¥98.2 billion; net profit attributable to owners was ¥28.3 billion, reversing a prior year loss.

• Free cash flow surged to ¥122.4 billion, mainly due to asset sales.

• Equity ratio improved to 40.7%; debt-to-equity ratio improved to 0.77.

• Dividend per share for FY2024 was ¥50, with a payout ratio of 34%.

Outlook and guidance

• FY2025 revenue forecast is ¥860.0 billion, down 14.5% year-over-year, reflecting the transfer of the North American Composites business.

• Adjusted operating income is projected to rise to ¥35.0 billion (+26.8%), with profit growth in Materials and Healthcare.

• Profit attributable to owners forecast at ¥12.0 billion; ROE and ROIC both expected at 3%.

• Annual dividend forecast maintained at ¥50 per share.

• Both Materials and Healthcare businesses are expected to see profit growth.