Organo (6368) Q4 2026 earnings summary

Executive summary

• Orders received for FY ended 03/2026 rose 11.0% year-over-year to ¥167.96 billion, driven by large-scale overseas electronics projects, especially in Taiwan and the US, though below the initial plan, with a high order backlog of ¥96.50 billion.

• Net sales increased 8.8% year-over-year to ¥177.65 billion, with strong growth in the Electronics Industry segment, reaching record highs.

• Operating profit surged 21.0% year-over-year to ¥37.65 billion, supported by improved profit margins in overseas plant projects, also a record high.

• Profit attributable to owners of parent rose 17.6% to ¥28.40 billion.

• Growth was driven by robust demand for cutting-edge semiconductor projects and strong performance in service solutions and maintenance, despite global economic uncertainties and sluggish EV-related demand.

Financial highlights

• Gross profit for FY 03/2026 was ¥65.08 billion (36.6% margin), up 17.9% year-over-year.

• SG&A expenses increased 14.0% to ¥27.44 billion.

• Equity-to-asset ratio improved to 63.6% from 62.2% year-over-year, with net assets at ¥142.96 billion.

• Cash and cash equivalents at year-end were ¥31.06 billion, up from ¥16.75 billion.

• Basic earnings per share rose to ¥617.74 from ¥525.37 year-over-year.

Outlook and guidance

• FY 03/2027 guidance: orders received ¥230.0 billion (+36.9%), net sales ¥200.0 billion (+12.6%), operating profit ¥40.0 billion (+6.2%), profit attributable to owners of parent ¥30.0 billion (+5.6%), ROE 20.0%.

• High capital investment in semiconductors expected to continue, especially in Taiwan and the US.

• Operating profit margin expected to remain stable despite higher personnel and R&D expenses.