Mitsubishi Motors (7211) Q4 2025 earnings summary

Executive summary

• FY2024 net sales were ¥2,788.2bn, nearly flat year-over-year, with operating profit down 27% to ¥138.8bn and net income down 73% to ¥41.0bn.

• Retail sales volume increased 3% to 842,000 units, with growth in ASEAN, Japan, and North America offsetting declines in China and Europe.

• Challenging market conditions in Thailand and Indonesia and intensified competition, especially in the second half due to currency headwinds, impacted results.

• Cost reductions and new model launches supported earnings, exceeding revised operating profit forecasts.

• FY2025 guidance projects net sales of ¥2,950.0bn (+6%), operating profit of ¥100.0bn (-28%), and net income of ¥40.0bn (-2%).

Financial highlights

• Operating profit margin declined from 6.8% to 5.0% year-over-year.

• Ordinary profit fell 53% to ¥98.6bn; net income attributable to owners dropped 73% to ¥41.0bn.

• Free cash flow improved by ¥14.0bn to ¥45.0bn.

• CAPEX rose 7% to ¥100.6bn; R&D expenses increased 11% to ¥126.7bn.

• Comprehensive income dropped 91.8% to ¥19.0bn.

Outlook and guidance

• FY2025 retail sales volume forecast is 878,000 units (+4%), with growth expected in all major regions.

• Operating profit expected to decline due to higher procurement, regulatory, and compliance costs, as well as negative FX impacts.

• Dividend per share forecast to decrease from ¥15 to ¥10.

• Ordinary income forecast at ¥90bn (–8.7%), net income at ¥40bn (–2.4%).