Ricoh Company (7752) investor relations material

Executive summary

• Revenues and operating profit increased sharply, with operating profit more than doubling year-over-year, driven by strong Office Services, cost controls, and foreign exchange gains.

• Office Printing hardware sales were weak overseas due to U.S. tariffs and economic conditions, but non-hardware performed on track in Japan and Americas.

• Office Services growth in Japan offset weak demand in Europe; double-digit Q3 growth in Japanese IT and application services.

• Corporate Value Improvement Project and structural reforms contributed ¥25.7 billion in gains and improved profitability.

• Tariff impacts resulted in an estimated ¥8.9 billion downside to earnings.

Financial highlights

• Sales rose 2.6% year-over-year to ¥1,882.3 billion for the nine months ended December 31, 2025, with domestic sales up 11.3% and overseas sales down 2.5%.

• Operating profit increased 102.6% to ¥70.0 billion; operating margin improved to 3.7%.

• Profit attributable to owners of the parent grew 68.2% to ¥46.8 billion; EPS rose to ¥82.30.

• Free cash flow improved to ¥35.1 billion, supported by higher earnings and business divestments.

• Comprehensive income surged to ¥133.1 billion, reflecting profit growth and favorable currency translation.

Outlook and guidance

• FY2025 sales forecast raised to ¥2,600.0 billion (+2.9% YoY); operating profit forecast increased to ¥90.0 billion (+41.0% YoY).

• Profit attributable to owners of the parent projected at ¥61.0 billion, up 33.5% year-over-year.

• EPS expected to reach ¥107.16; ROE and ROIC projected at 5.7% and 4.4%, respectively.

• Dividend per share to be boosted to ¥40 for FY2025, maintaining a 50% total return target.

• Assumed exchange rates for Q4: ¥148.77/USD and ¥171.92/EUR.