Citizen Watch Co. (7762) Q2 2026 earnings summary

Executive summary

• Sales and profit increased year-over-year for the six months ended September 30, 2025, driven by strong performance in Watches and Machine Tools, especially in overseas markets.

• Net sales for the six months ended September 30, 2025, reached ¥159,250 million, up 1.7% year-over-year.

• Operating profit rose 5.3% to ¥12,986 million, while ordinary profit surged 32.0% to ¥16,197 million year-over-year.

• Profit attributable to owners of parent decreased 3.3% to ¥11,880 million compared to the same period last year.

• Upward revision of full-year FY2025 forecast for net sales, operating profit, ordinary profit, and profit attributable to owners of parent.

Financial highlights

• 1H FY2025 net sales rose to ¥159.2B (+1.7% YoY), operating profit to ¥12.9B (+5.3% YoY), and ordinary profit to ¥16.1B (+32.0% YoY).

• Profit attributable to owners of parent decreased slightly to ¥11.8B (-3.3% YoY).

• Comprehensive income for the period was ¥12,986 million, a 317.4% increase year-over-year.

• Basic earnings per share for the six months was ¥48.70, compared to ¥50.36 in the prior year.

• Total assets as of September 30, 2025, stood at ¥431,246 million, with net assets of ¥271,612 million.

Outlook and guidance

• FY2025 full-year net sales forecast revised up to ¥327.0B (+2.8% to +3.2%), operating profit to ¥24.5B (+19.0% to +22.5%), ordinary profit to ¥29.0B (+26.0% to +31.8%), and profit attributable to owners of parent to ¥22.0B (+10.0% or down 7.9%).

• Full-year earnings per share forecast is ¥90.21.

• Annual dividend per share is forecast at ¥47.00, up from ¥45.00 in the previous year.

• Exchange rate assumptions updated to ¥146/USD and ¥168/EUR.