Hochiki (6745) Q4 2025 earnings summary

Executive summary

• Net sales reached ¥100.9 billion, up 7.9% year-over-year, achieving record highs in both sales and profits for the fourth consecutive year, driven by strong domestic refurbishment/retrofit and robust overseas sales in Europe and Southeast Asia.

• Operating profit rose 29.5% to ¥9.55 billion, ordinary profit increased 25.1% to ¥9.74 billion, and profit attributable to owners of parent grew 35.1% to ¥7.65 billion.

• Operating margin improved by 1.6 percentage points year-over-year, reflecting successful price revisions and a focus on profitable orders.

• The new "GLOBAL VISION 2030" management plan was launched, focusing on sales expansion and cost-conscious order-taking.

Financial highlights

• Consolidated net sales reached ¥100.9 billion, up 7.9% year-over-year; operating profit was ¥9.55 billion, up 29.5%; gross profit increased to ¥37.15 billion from ¥32.25 billion year-over-year.

• Profit attributable to owners of parent was ¥7.65 billion, up 35.1% year-over-year; basic earnings per share rose to ¥307.85 from ¥228.23.

• Net assets per share increased to ¥2,377.19 from ¥2,127.63.

• Cash and cash equivalents at year-end were ¥20.92 billion, up from ¥11.42 billion.

• All segments except Security Systems saw net sales growth; operating profit increased across all segments.

Outlook and guidance

• FY3/2026 forecasts net sales at ¥100.9 billion (flat YoY), operating profit at ¥10.0 billion (+4.7%), and profit attributable to owners of parent at ¥7.2 billion (-5.9%, due to absence of prior year’s one-time gain); earnings per share projected at ¥289.52.

• Excluding exchange rate effects, net sales are expected to rise 1.4%.

• The demand environment in fire prevention and security is expected to remain firm despite external uncertainties.