Riken Technos (4220) Q2 2026 earnings summary

Executive summary

• Achieved record-high net sales and profits for the first half, marking the fifth consecutive year of growth year-over-year.

• Net sales for the six months ended September 30, 2025, rose 3.4% year-on-year to ¥65,567 million, with operating profit up 15.8% and profit attributable to owners of parent up 32.4%.

• All major business segments contributed to revenue growth, with notable gains in Building & Construction and Electronics.

• Overseas sales accounted for over half of total revenue, with strong performance in Asia and North America.

• The company is executing its Medium-term Business Plan, focusing on global integration, customer-centric innovation, and new business development.

Financial highlights

• Net sales rose 3.4% year-over-year to ¥65.6 billion; operating profit increased 15.8% to ¥5.53 billion.

• Profit attributable to owners of parent surged 32.4% year-over-year to ¥3.46 billion; basic EPS up 43.2%.

• EBITDA grew 11.8% to ¥7.52 billion; ROS improved to 8.4%.

• Comprehensive income declined 49.8% year-on-year to ¥2,796 million due to negative foreign currency translation adjustments.

• Cash and deposits increased by ¥1.23 billion from March 2025, while inventories decreased by ¥1.68 billion.

Outlook and guidance

• Full-year net sales forecast maintained at ¥134 billion, up 4.6% from the previous year.

• Full-year profit attributable to owners of parent revised upward to ¥6.5 billion, reflecting gains from sale of cross-shareholdings.

• Dividend per share for FY2025 projected to increase by ¥6 to ¥47, with a payout ratio of 35.6%.

• Medium-term plan targets ROS of 8%, ROE of 10%, and EBITDA of ¥17 billion by FY2027.