FY2026 Q3 Financial Results Briefing

Performance Overview

For the cumulative third quarter of FY2025 (April to December), net sales increased by 8.4% Year-over-Year to 156.55 billion yen, and orders also rose by 11.6% to 161.74 billion yen. Conversely, operating income decreased by 5.0% Year-over-Year to 32.50 billion yen, with operating margin declining 2.9 points to 20.8%. Rising material costs pressured profits, but net sales remained solid. By segment, the general industrial machinery market recovered to previous peak levels, and the automotive and mobility-related segments performed steadily.

Financial Position and Cost Analysis

The equity ratio remained high at 88.3%, though it declined slightly Year-over-Year. The cost of sales ratio worsened by 3.2 points to 57.6%, while the selling, general and administrative expense ratio improved by 0.4 points to 21.5%. Financial income and expenses decreased by 460 million yen, and foreign exchange gains turned positive. Capital expenditures stood at 23.0 billion yen, and depreciation expenses were 16.5 billion yen.