Nichias (5393) Q2 2026 earnings summary

Executive summary

• First half FY2025 net sales were ¥126.7 billion, up 3.1% year-over-year, mainly driven by the Energy & Industrial plants segment, despite weak demand in Advanced Products.

• Operating income rose 10.5% year-over-year to ¥19.9 billion, with ordinary income up 11% to ¥20.6 billion, while another report notes a decline to ¥17,778 million.

• Profit attributable to owners of parent increased 11.9% year-over-year to ¥14.5 billion, though another source reports a decrease to ¥12,737 million.

• The Japanese economy showed moderate recovery, but global uncertainties and soft demand in key sectors impacted results.

Financial highlights

• Net sales: ¥126.7 billion (up 3.1% YoY); operating income: ¥19.9 billion (up 10.5% YoY); ordinary income: ¥20.6 billion (up 11% YoY); profit attributable to owners: ¥14.5 billion (up 11.9% YoY).

• Gross profit and reduced selling, general, and administrative expenses contributed to higher operating income.

• Basic earnings per share fell to ¥199.03 from ¥220.04 year-over-year.

• Equity ratio improved to 76.3% from 74.5% in the previous year.

• Interest-bearing liability ratio at 4.2%; interest-bearing debt decreased 29.6% YoY to ¥12,257 million.

Outlook and guidance

• FY2025 full-year net sales forecast at ¥254.0 billion, with operating income forecast at ¥36.5 billion (down 8.1% YoY) and profit attributable to owners forecast at ¥25.8 billion (down 19.6% YoY).

• Basic earnings per share for the full year is projected at ¥403.93.

• Performance expected to remain largely at the previous year's level amid ongoing uncertainty.