TOPPAN (7911) Q3 2026 earnings summary

Executive summary

• Net sales for the nine months ended December 2025 rose 5.2% year-over-year to ¥1,322.8 billion, driven by new business additions and despite the deconsolidation of Tekscend Photomask.

• Non-GAAP operating profit increased 7.9% to ¥65.7 billion, while profit attributable to owners of parent declined 19.6% to ¥58.1 billion due to extraordinary income reduction and business divestitures.

• The business environment was marked by geopolitical risks, inflation, FX volatility, and growth in sustainability and digital/AI-driven semiconductor demand.

Financial highlights

• Gross profit margin remained flat year-over-year at 23.5%, while SG&A expenses rose due to M&A costs and increased amortization.

• EBITDA for the nine months was ¥111.6 billion, down 2.1% year-over-year; non-GAAP operating profit margin improved to 5.0%.

• Ordinary profit decreased 10.6% to ¥52.7 billion, and comprehensive income fell 30.2% to ¥76.7 billion.

• Equity in earnings of affiliates increased to ¥4.2 billion after Tekscend Photomask became an equity-method entity.

Outlook and guidance

• Full-year net sales forecast is ¥1,790 billion, with non-GAAP operating profit guidance at ¥97.2 billion and profit attributable to owners of parent projected at ¥82.5 billion.

• Operating profit is forecast at ¥70 billion (−17.7% year-over-year), with a dividend forecast of ¥56.00 per share.

• No change in guidance from the half-year announcement.