Amada (6113) Q3 2025 earnings summary

Executive summary

• Sales revenue for the nine months ended December 31, 2025, reached ¥294.984 billion, a record high, up 7.3% year-over-year, driven by robust AI-related capital investment and improved backlog clearance in most regions except Europe.

• Orders hit a record high at ¥319.658 billion, up 17.8% year-over-year, with strong demand from data center-related projects, especially in the U.S.

• Operating profit declined 15.4% year-over-year to ¥26.506 billion, as increased tariff burdens, personnel, and depreciation expenses outweighed gains from higher selling prices and manufacturing rationalization.

• Net income attributable to owners of parent was ¥18.186 billion, down 10.7% year-over-year.

• Acquisitions (H&F and Via Mechanics) and expanded consolidation contributed positively to sales, profit, and orders.

Financial highlights

• Gross profit increased slightly by 1.1% year-over-year to ¥121.368 billion, but gross margin declined from 43.7% to 41.1%.

• SG&A expenses rose 5.8% to ¥95.4 billion.

• Inventory volume increased 12.3% year-over-year to ¥171.5 billion, with turnover months rising to 4.7.

• Cash and cash equivalents increased to ¥130.383 billion as of December 31, 2025, from ¥104.841 billion at March 31, 2025.

• Basic earnings per share fell to ¥57.23 from ¥61.68 year-over-year.

Outlook and guidance

• The business environment is expected to remain supported by AI-related investments, but risks from tariffs, exchange rates, and cost inflation persist.

• Full-year revenue forecast for fiscal year ending March 31, 2026, is ¥440 billion, up 10.9% year-over-year, with operating profit projected at ¥46 billion (down 6.3%) and profit attributable to owners of parent at ¥32 billion (down 1.2%).

• Dividend forecast remains unchanged at ¥62.00 per share for the full year.

• Customer outlook in the domestic sheet metal industry is positive, with 84% reporting sales at or above last year's level and improved cost pass-through to prices.