Menicon Company (7780) Q2 2026 earnings summary

Executive summary

• Net sales for 2Q FY2025 increased 1.5% year-over-year to ¥61,480 million, driven by growth in 1-DAY lens sales, price revisions, and Southeast Asia acquisitions.

• EBITDA rose 5.8% year-over-year, while operating profit declined 5.8% to ¥5,168 million due to higher investments, SGA expenses, and wage hikes.

• Ordinary profit fell 10.7% year-over-year to ¥5,016 million, mainly due to foreign exchange losses.

• Profit attributable to owners decreased 12.9% year-over-year to ¥3,153 million.

• 2Q results were in line with expectations, and full-year forecasts remain unchanged.

Financial highlights

• Net sales: JPY 61,480 mn (+1.5% YoY); Vision Care segment up 1.7%, 1-DAY lens up 7.2%.

• Gross profit: JPY 33,275 mn (+1.4% YoY); gross margin 54.1%.

• Operating profit: JPY 5,168 mn (-5.8% YoY); operating margin 8.4%.

• EBITDA: JPY 10,003 mn (+5.8% YoY); EBITDA margin 16.3%.

• Profit attributable to owners: JPY 3,153 mn (-12.9% YoY); basic EPS ¥41.81.

Outlook and guidance

• FY2025 net sales forecast: JPY 125,000 mn (+2.9% YoY); operating profit: JPY 10,200 mn (+1.9%).

• Ordinary profit forecast: JPY 9,500 mn (-0.7% YoY); profit attributable to owners: JPY 5,800 mn (+3.6%).

• 1-DAY lens sales expected to grow 12.1% YoY; overseas sales to increase 60.5%.

• Orthokeratology-related sales forecast to decline 16% YoY due to China market stagnation.

• No change to full-year guidance; progress rates for key metrics around 50% at 2Q.