Shimano (7309) Q4 2025 earnings summary

Executive summary

• FY2024 consolidated sales declined 4.9% year-over-year to 450.99 billion yen, with operating income down to 65.09 billion yen and net income attributable to owners of parent reported as 54.16 billion yen.

• FY2025 is forecast for recovery, with sales projected at 470 billion yen, operating income at 70 billion yen, and net income at 71 billion yen.

• Demand for bicycles and fishing tackle remained weak globally, with high inventories and sluggish retail sales, though some new products were well received.

• Total assets increased to 958,953 million yen, net assets rose to 883,613 million yen, and the shareholders' equity ratio improved to 92.0%.

Financial highlights

• Gross profit margin in FY2024 was 38.2%, slightly down from 38.5% in FY2023; gross profit was 172,303 million yen.

• Operating income margin for FY2024 was 14.4%, compared to 17.6% in FY2023.

• Basic earnings per share for FY2024 was 1,252.62 yen, down from 1,408.22 yen in FY2023.

• Cash and cash equivalents at year-end reached 530,310 million yen, up from 481,982 million yen.

• Dividend per share for FY2024 was 309 yen, with FY2025 forecast at 339 yen per share.

Outlook and guidance

• FY2025 sales are projected to rise 4.2% year-over-year to 470 billion yen, with operating income up 7.5% to 70 billion yen.

• Net income is expected to increase to 71 billion yen, with a total return ratio of 113% and dividend payout ratio of 43%.

• Management targets ROE of at least 8% by improving profitability and restraining equity growth.

• Management expects moderate global economic recovery but notes risks from geopolitical tensions, supply chain disruptions, and policy changes.