Riken Technos (4220) Q4 2025 earnings summary

Executive summary

• Net sales, operating profit, ordinary profit, and net profit all reached record highs for the fourth consecutive year for the period ended March 2025, with net sales up 1.9% year-over-year and operating profit up 19.5%.

• Extraordinary income from the sale of investment securities contributed ¥1.1 billion to net profit.

• The company completed the final year of its Medium-term Business Plan, focusing on global management, customer expectations, new businesses, and ESG initiatives.

Financial highlights

• Net sales: ¥128.1 billion (+1.9% YoY); Operating profit: ¥10.5 billion (+19.5% YoY); Ordinary profit: ¥10.6 billion (+10.9% YoY); Net profit attributable to owners: ¥7.37 billion (+7.1% YoY).

• Basic EPS: ¥137.67 (+20.5% YoY); ROS: 8.2% (up 1.2 pts YoY); Net assets per share: ¥1,267.50.

• Gross profit increased to ¥24.32 billion from ¥21.88 billion year-over-year.

• Cash and cash equivalents at period end: ¥24.4 billion, up ¥2.6 billion from previous year.

Outlook and guidance

• FY2026 forecast: Net sales ¥134 billion (+4.6% YoY), operating profit ¥10.5 billion (flat), net profit ¥5.8 billion (-21.3% YoY) due to absence of extraordinary gains.

• ROS expected at 7.8%, ROE at 8.7%.

• A new three-year Medium-term Business Plan will focus on "Earning Power" and "Sustainability."

• Uncertainty remains due to potential global economic downturn, tariff hikes, and high domestic prices.