Valqua (7995) Q4 2026 earnings summary

Executive summary

• Net sales declined 2.6% year-over-year to ¥58.56 billion for FY3/2026, while operating profit rose 25.3% to ¥7.10 billion and profit attributable to owners increased 9.7% to ¥5.13 billion.

• Orders received totaled ¥60.33 billion, with an order backlog of ¥12.81 billion at year-end, up 16.1% year-over-year.

• Segment changes were implemented due to the sale of the silicon wafer reclaim business, with retrospective adjustments to historical figures.

• The group advanced production capacity and business structure reforms amid uncertain market conditions, focusing on value creation and stakeholder satisfaction.

• Gross profit margin improved to 42.7% and operating profit margin to 12.1% for FY3/2026.

Financial highlights

• EPS increased to ¥291.16, up from ¥265.80 year-over-year.

• ROE improved to 9.9% from 9.5% in the previous year.

• Cash and deposits at year-end were ¥7.92 billion, with total assets rising to ¥83.41 billion.

• Net interest-bearing debt increased to ¥8.35 billion, DER rose to 0.30 times.

• Comprehensive income grew 16.1% to ¥5.56 billion.

Outlook and guidance

• For the next fiscal year, net sales are forecast to rise 11.0% to ¥65.00 billion, with operating profit up 26.7% to ¥9.00 billion and profit attributable to owners up 38.4% to ¥7.10 billion.

• First-half guidance projects net sales of ¥32.00 billion (up 18.2%), operating profit of ¥4.20 billion (up 31.9%), and profit attributable to owners of parent of ¥3.90 billion (up 52.8%).

• Annual dividend forecast for FY3/2026 is ¥200 per share, including a ¥30 commemorative dividend for the 100th anniversary.

• Target consolidated stockholder return ratio is set at 50%.

• Forecasts account for demand fluctuations and rising costs but exclude potential major geopolitical disruptions.