Nippon Paint
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Nippon Paint (4612) investor relations material

Nippon Paint Q4 2025 & Strategy update earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q4 2025 & Strategy update earnings summary13 Feb, 2026

Executive summary

  • Record high revenue and operating profit in FY2025, driven by both organic and inorganic growth, including the acquisition of AOC and strong segment performance.

  • Asset Assembler strategy and disciplined M&A remain central, with a focus on EPS compounding and market share expansion.

  • Margin improvement and operational efficiencies prioritized, with partner companies delivering steady post-acquisition growth.

  • Goodwill impairment for Cromology Group was offset by revenue growth, improved cost ratios, and a gain on asset transfer.

  • FY2026 guidance anticipates new record highs in revenue and profit despite macroeconomic uncertainty.

Financial highlights

  • FY2025 revenue reached ¥1,774.2bn, up 8.3% year-over-year (+11.4% on a comparable basis), with adjusted operating profit up 37.8% to ¥274.9bn and adjusted OP margin improving by 330bps to 15.5%.

  • Adjusted EPS rose 42.3% to ¥86.0; net profit and EPS outperformed guidance.

  • Q4 revenue up 14% year-over-year, adjusted operating profit up 54%, and adjusted EPS up 75%.

  • Return on equity improved to 10.6% from 8.5% year-over-year.

  • Cash and cash equivalents at year-end were ¥424,337 million, up from ¥288,301 million.

Outlook and guidance

  • FY2026 revenue is forecast at ¥1,920,000 million (+8.2%), operating profit at ¥283,000 million (+10.1%), and profit attributable to owners of parent at ¥198,000 million (+10.1%).

  • Adjusted EPS is expected to grow by ~10% and dividend per share to rise to ¥17.

  • AOC expected to return to low single-digit revenue growth; NIPSEA China targets high single-digit profitable growth.

  • Management adopts a more conservative mid-term outlook, revising revenue growth targets to mid-single digits and EPS growth to high single digits.

AOC acquisition's impact on balance sheet structure
Cromology Group impairment drivers in Europe
Drivers for increased investing and financing cash flows
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Frequently asked questions

Nippon Paint Holdings Co., Ltd. is a manufacturer of paints and coatings for a wide range of industries, including automotive, construction, industrial, and marine applications. The company produces decorative paints, protective coatings, and specialized surface treatments, serving both residential and commercial markets. The company is headquartered in Osaka, Japan, and its shares are listed on the Tokyo Stock Exchange (TSE).

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