Yakult Honsha (2267) Q4 2025 earnings summary

Executive summary

• Net sales for FY2024 declined 0.7% year-over-year to ¥499.6B, with operating profit down 12.6% to ¥55.3B and profit attributable to owners of parent down 10.7% to ¥45.5B.

• Sales and profit declined mainly due to lower dairy product sales in Japan, while overseas segments, especially the Americas, saw growth aided by yen depreciation.

• The company advanced its global vision, launched new products, and restructured operations in China, including closing the Shanghai Plant.

• Results were impacted by overseas economic risks, rising living costs, and intensified competition in Japan.

Financial highlights

• Net sales decreased 0.7% year-over-year to ¥499.6B; FX impact +¥10.8B.

• Operating profit fell 12.6% to ¥55.3B; ordinary profit down 4.3% to ¥75.8B.

• Profit attributable to owners of parent dropped 10.7% to ¥45.5B; EPS ¥150.48 after 2-for-1 stock split.

• Gross profit decreased to ¥295.5B; comprehensive income dropped 42.2% to ¥63.2B.

• Equity-to-asset ratio improved to 66.4% from 65.9% year-over-year.

Outlook and guidance

• FY2025 forecast: net sales to rise 1.3% to ¥506.0B, operating profit up 5.6% to ¥58.5B, and profit attributable to owners of parent up 7.6% to ¥49.0B.

• EPS forecasted at ¥167.13, up 11.1% year-over-year.

• Annual dividend for FY2025 is planned at ¥66 per share, up ¥2 from FY2024.

• Sales and profit expected to increase in both Japan and overseas, despite anticipated yen appreciation and global economic risks.

• Minimal direct impact from U.S. tariffs due to local production, but global risks remain.