Business Engineering (4828) Q4 2025 earnings summary

Executive summary

• Achieved record highs in sales, profits, and orders for the third consecutive year, with net profit up 26.8% year-over-year, partly due to a one-time tax benefit, reaching FY26 targets ahead of schedule.

• Orders received rose 8.7% year-over-year to ¥21,690 million, net sales increased 6.6% to ¥20,776 million, and profit attributable to owners of parent grew 26.8% to ¥3,330 million.

• Both Solutions and Products Businesses delivered strong sales and profit growth, with high order backlogs supporting future performance.

• Strategic focus on digital transformation (DX), global expansion, and sustainability, with investments in product development, human capital, and technology.

• Announced new long-term vision “BE 2030” and raised the dividend payout policy for FY2026.

Financial highlights

• FY24 net sales: ¥20,776 million (+6.6% YoY); operating profit: ¥4,676 million (+20.4% YoY); net profit: ¥3,330 million (+26.8% YoY).

• Gross profit margin improved to 43.8% in 4Q and 40.3% for the year.

• Basic EPS: ¥278.16, up from ¥219.10.

• Comprehensive income: ¥3,490 million, up 32.0% year-over-year.

• Orders received: ¥21,690 million (+8.7% YoY).

Outlook and guidance

• FY25 forecast: net sales ¥22,000 million (+5.9% YoY), operating profit ¥5,200 million (+11.2% YoY), net profit ¥3,700 million (+11.1% YoY), EPS ¥308.99.

• Dividend policy revised to target a 50% payout ratio, with planned annual dividend of ¥156 per share for FY2026.

• Growth investments in product development, M&A, and global support to be expanded.

• Net profit growth in FY25 to be driven by gains from partial sale of strategic shareholdings, offsetting prior year’s one-time tax benefit.

• Continued focus on DX, global expansion, and sustainability as growth drivers.