Nabtesco (6268) Q1 2025 earnings summary

Executive summary

• Q1 FY2025 net sales rose 13.2% year-over-year to 81.7 billion yen, with operating profit up 36.7% to 5.5 billion yen, driven by recovery in precision reduction gears, railroad, marine, and automatic doors.

• Net income attributable to owners increased 24.4% year-over-year to 3.3 billion yen; basic EPS was 27.33 yen.

• Orders received increased 8.6% year-over-year to 89.2 billion yen; order backlog at quarter-end was 174.5 billion yen.

• Q1 results exceeded internal plans, with sales at 24.3% and operating profit at 29.2% of full-year targets.

• Full-year guidance remains unchanged amid US tariff uncertainties.

Financial highlights

• Operating profit margin improved to 6.7%, up 1.1 points year-over-year.

• Net income attributable to owners rose to 3.3 billion yen, up 0.6 billion yen year-over-year.

• Financial income was 178 million yen; financial costs rose to 708 million yen, mainly due to exchange losses.

• Cash and cash equivalents increased by 3.3 billion yen from December 2024, totaling 77.8 billion yen at quarter-end.

• Overseas sales ratio increased to 50.2% from 49.9% year-over-year.

Outlook and guidance

• Full-year FY2025 net sales forecast at 336 billion yen (+3.9% year-over-year); operating income forecast at 18.7 billion yen (+26.5%).

• Net income attributable to owners projected at 13.1 billion yen (+29.5% year-over-year); EPS forecast at 109.07 yen.

• Guidance does not reflect potential impact from US tariff policies.

• Q1 progress is in line or ahead of plan.