Teikoku (6333) Q3 2025 earnings summary

Executive summary

• 9M FY25 revenue rose 2.4% to ¥22,008m and operating income increased 13.1% to ¥4,274m; net income fell 12.3% to ¥2,567m after a ¥608m special loss tied to the electronics business exit.

• Pump growth and stronger product mix supported results; electronics operations ceased in Dec. 2024 and are being wound down.

Financial highlights

• Gross profit increased 8.2% to ¥9,925m, with gross margin rising to 45.1% from 42.7%.

• SG&A rose 4.7% to ¥5,650m; operating margin improved to 19.4% from 17.6%.

• Ordinary income increased 9.3% to ¥4,539m; EPS was ¥145.83, down from ¥161.76.

• Total assets were ¥42,843m, up ¥803m from FY24 year-end; net assets were ¥33,826m and the equity ratio was 77.3%.

Outlook and guidance

• Revised FY25 forecast: revenue ¥29,690m, operating income ¥5,460m, ordinary income ¥5,690m and net income ¥3,320m; operating income is ¥710m above the initial forecast.

• Revised pump forecast: revenue ¥28,450m and operating income ¥5,500m, respectively ¥150m and ¥590m above initial estimates; forecast operating margin is 19.3%.

• FY25 planning rates: ¥152/$, ¥164/€, ¥21/CNY; assumptions were revised to reflect currency movements.

• FY25 EPS is forecast at ¥191; revised annual dividend is ¥96 per share.

• FY27 targets: revenue ¥32,000m, operating income ¥5,700m and ROE 14%.