Toyobo Co (3101) Q4 2025 earnings summary

Executive summary

• Net sales rose 1.9% year-over-year to ¥422.0 billion, with operating profit up 85.1% to ¥16.7 billion, while profit attributable to owners of parent declined 18.4% to ¥2.0 billion due to exchange fluctuations and one-time losses.

• Strong performance in Industrial film, Environmental and Functional Materials, and polarizer protective films, with improved profitability in previously underperforming businesses.

• Comprehensive income dropped 56.4% year-over-year to ¥5.4 billion.

• Forecasts for FY 3/26 anticipate further profit improvements, with operating profit expected at ¥21.0 billion and net profit at ¥4.5 billion.

Financial highlights

• Net sales: ¥422.0 billion (+1.9% YoY); Operating profit: ¥16.7 billion (+85.1% YoY); Net profit: ¥2.0 billion (-18.4% YoY).

• EBITDA increased 36.6% to ¥39.4 billion; EPS was ¥22.7.

• Gross profit margin improved to 23.0%.

• Dividends scheduled at ¥40 per share, with a payout ratio of 176.0%.

• Net assets increased to ¥232.0 billion; total assets rose to ¥617.8 billion.

Outlook and guidance

• FY 3/26 net sales forecast at ¥440.0 billion (+4.3% YoY), operating profit at ¥21.0 billion (+26.1% YoY), and net profit at ¥4.5 billion (+124.6% YoY).

• EBITDA projected to reach ¥46.0 billion; EPS expected at ¥51.0.

• Dividend forecast for next year is ¥40 per share, with ongoing review based on profit and financial position.

• CAPEX to decrease to ¥35.0 billion, focusing on expanding production for polarizer protective films.