UT Group Co (2146) Q4 2025 earnings summary

Executive summary

• Net sales reached a record ¥194.7 billion, up 16.6% year-over-year, driven by acquisitions, newly consolidated subsidiaries, and large projects in Vietnam, despite flat domestic sales.

• EBITDA declined 6.8% to ¥10.2 billion, and operating profit fell 13.6% to ¥8.1 billion, mainly due to the sale of the Engineering Business and lower profitability in Vietnam.

• Profit attributable to owners of the parent rose 41.6% to ¥9.0 billion, boosted by a ¥5.9 billion gain on sale of subsidiaries.

• EPS increased 40.5% to ¥235.32, supported by extraordinary gains from business sales.

• Workforce expanded significantly, with technical employees increasing by 21,429 to 70,200.

Financial highlights

• Net sales: ¥194.7B (+16.6% YoY); Gross profit: ¥31.9B (+4.9% YoY); Gross margin: 16.4%.

• EBITDA: ¥10.2B (-6.8% YoY); EBITDA margin: 5.2%.

• Operating profit: ¥8.1B (-13.6% YoY); Ordinary profit: ¥8.3B (-12.0% YoY); Net profit attributable to parent: ¥9.0B (+41.6% YoY).

• EPS: ¥235.32 (+40.5% YoY); Net assets per share: ¥741.37.

• Dividend per share for FY3/2025 was ¥134.98, with a payout ratio of 60%.

Outlook and guidance

• FY3/2026 forecasts net sales of ¥196.2B (+18.5% ex-Vietnam), operating profit of ¥11.7B (+44.9%), ordinary profit of ¥11.8B (+42.7%), and net profit attributable to parent of ¥7.7B (-14.1%).

• EPS forecast (full exercise): ¥225.32; dividend payout policy revised to 100% of net profit, with a forecast dividend of ¥162.72 per share.

• Quarterly dividends to be based on actual net income; amounts TBD.

• New medium-term plan focuses on segmenting business by job seeker and client needs, and investing in human capital.