Tokai Rika (6995) Q3 2026 earnings summary

Executive summary

• Achieved record-high 3rd quarter sales of ¥479.6bn, with operating profit up 7.2% to ¥29.6bn and ordinary profit up 32.6% to ¥36.6bn, driven by increased production at major customers and cost reduction initiatives.

• Profit attributable to owners of parent increased 16.9% year-over-year to ¥26.5bn.

• Comprehensive income surged 119.1% year-over-year to ¥39.4bn, reflecting strong operational and non-operational gains.

• Upward revision of FY2026 operating profit forecast to ¥34bn, reflecting weak yen and improved price pass-through.

Financial highlights

• 3Q FY2026 sales rose 4.4% year-over-year to ¥479.6bn; operating profit increased 7.2% to ¥29.6bn (6.2% margin).

• Ordinary profit reached ¥36.6bn (7.6% margin), up 32.6% year-over-year.

• Profit attributable to owners of parent was ¥26.5bn (5.5% margin), up 16.9% year-over-year.

• Extraordinary gains included ¥2.5bn from sales of investment securities.

• Basic earnings per share for the period was ¥311.46, up from ¥267.95 in the prior year.

Outlook and guidance

• FY2026 sales forecast raised to ¥640.0bn, up 3.6% from FY2025.

• Operating profit forecast increased to ¥34.0bn (5.3% margin), up from previous guidance of ¥29.0bn.

• Ordinary profit is projected to rise 13.1% to ¥39.0bn, and profit attributable to owners of parent is forecast to increase 4.3% to ¥29.0bn.

• Basic earnings per share for the full year is forecast at ¥340.78.

• Upward revision of operating profit by ¥5.0bn versus previous announcement, mainly due to forex and price factors.