Toei Animation (4816) Q2 2026 earnings summary

Executive summary

• Net sales for the six months ended September 30, 2025, were ¥44,954 million, down 8.2% year-over-year, marking the third highest ever for the period.

• Operating profit was ¥16,638 million, down 2.1% year-over-year, the second highest ever.

• Ordinary profit rose 4.7% year-over-year to ¥17,904 million, setting a new record for the period.

• Net profit attributable to owners of parent increased 6.2% year-over-year to ¥12,980 million, also a record.

• Profitability improved due to strong overseas licensing and reduced production costs, offsetting lower sales from a previous surge in streaming and merchandising rights.

Financial highlights

• Gross profit margin improved, with gross profit at ¥24,817 million, up 2.2% year-over-year.

• Basic earnings per share for the six months was ¥63.49, up from ¥59.75 in the prior year.

• Total assets as of September 30, 2025, were ¥192,183 million, with net assets of ¥157,619 million.

• Equity-to-asset ratio improved to 82.0% from 80.2% as of March 31, 2025.

• Cash and deposits increased to ¥88,545 million as of September 2025.

Outlook and guidance

• Full-year net sales forecast maintained at ¥88,000 million, with 51.1% progress achieved in the first half.

• Full-year operating profit is projected at ¥26,000 million, down 19.8% year-over-year.

• Ordinary profit is forecast at ¥26,700 million, a 19.5% decrease year-over-year.

• Profit attributable to owners of parent is expected to be ¥19,100 million, down 19.1% year-over-year.

• Overseas licensing expected to remain strong, but guidance is cautious due to economic uncertainties.