Tamron (7740) investor relations material

Executive summary

• Q1 FY2026 net sales were ¥18,485 million, down 5% year-over-year, mainly due to a sharp drop in Photographic OEM product sales, partially offset by growth in Surveillance & FA, Mobility & Healthcare, and Other segments.

• Operating income decreased 18.7% year-over-year to ¥3,441 million, with cost controls mitigating some impact from higher R&D and labor costs.

• Profit attributable to owners of parent was ¥2,712 million, a 4.5% decrease year-over-year, while comprehensive income rose 198.2% to ¥3,212 million due to favorable currency effects.

• Strategic investments and new product launches, including a non-invasive blood glucose sensor and new lens models, were highlighted.

• Both net sales and operating income are trending above internal plan.

Financial highlights

• Q1 FY2026 net sales: ¥18,485 million, down 5.0% year-over-year.

• Gross profit: ¥8,209 million, down 7.9%; gross margin fell to 44.4%.

• Operating income: ¥3,441 million, down 18.7%; operating margin at 18.6%.

• Net income: ¥2,712 million, down 4.5%; net income margin at 14.7%.

• FX tailwinds contributed ¥530 million to net sales.

Outlook and guidance

• FY2026 forecast targets record net sales of ¥91,000 million (+0.8% YoY) and operating income of ¥18,500 million (+11.2% YoY), with an operating margin above 20%.

• Profit attributable to owners of parent expected to reach ¥13,690 million, up 16.4% year-over-year.

• Photographic Products expected to recover with 10+ new own-brand launches and sales growth in Europe and China.

• Surveillance & FA and Mobility & Healthcare segments forecast double-digit revenue and profit growth.

• Automotive and healthcare components projected to grow 10% and 20% respectively.