Terumo (4543) Q4 2026 earnings summary

Executive summary

• Achieved record revenue of ¥1,131.9 billion in FY2025, marking five consecutive years of record sales, led by strong North American sales and robust performance in TIS and Global Blood Solutions segments.

• Record high operating profit of ¥176.3 billion and adjusted operating profit of ¥219.4 billion, despite one-time expenses from acquisitions, restructuring, and U.S. tariffs.

• FY2026 guidance targets another year of record revenue, operating profit, and net profit, driven by organic growth, new product launches, and the integration of OrganOx (now Terumo Organ Technologies).

• The company advanced its 5-Year Growth Strategy, focusing on comprehensive healthcare solutions and expanding its global footprint.

Financial highlights

• FY2025 revenue: ¥1,131.9 billion (+9% YoY); operating profit: ¥176.3 billion (+12% YoY); adjusted operating profit: ¥219.4 billion (+8% YoY); profit for the year: ¥135.9 billion (+16% YoY).

• One-time expenses in FY2025 totaled ¥48.8 billion (acquisitions, portfolio optimization) and ¥5.5 billion in litigation costs, impacting Q4 margins.

• Free cash flow was -¥113.2 billion, impacted by M&A and CAPEX; total assets increased to ¥2,312.2 billion.

• Gross margin: 52.5% (down from 54.1% YoY); SG&A increased with business expansion but remained within expectations.

Outlook and guidance

• FY2026 revenue guidance: ¥1,239.0 billion (+9% YoY, +8% excluding FX); operating profit guidance: ¥224.5 billion (+27% YoY); adjusted operating profit: ¥261.5 billion (+19%).

• Profit for the year expected to rise 22% to ¥165.3 billion; basic EPS: ¥112.06.

• Absence of one-time expenses expected to boost profit by over ¥10 billion.

• High single-digit revenue growth targeted across all business segments, with profit growth expected to exceed revenue growth.

• FY2026 marks the final year of the GS 2026 strategy, with all key financial targets on track.