Toyoda Gosei (7282) Q3 2025 earnings summary

Executive summary

• Revenue for FY2024 Q3 declined 2.1% year-over-year to ¥786.9bn, mainly due to customer production cuts outside India.

• Operating profit fell 15.8% to ¥47.0bn, impacted by lower sales and higher salaries, despite rationalization and FX benefits.

• Profit attributable to owners dropped 21.8% to ¥32.2bn; ROE decreased to 8.0%.

• Segment reporting was revised to six regions, with India showing strong growth while other regions faced declines.

• Total assets rose by ¥18.8bn, largely from FX effects; cash and equivalents increased to ¥183.9bn.

Financial highlights

• Revenue: ¥786.9bn (down 2.1% YoY); Operating profit: ¥47.0bn (down 15.8% YoY); Net profit: ¥32.2bn (down 21.8% YoY).

• Operating cash flow increased by ¥67.2bn, driven by strong Americas and India performance.

• Free cash flow positive at ¥19.7bn; investment cash flow negative ¥47.5bn due to BEV-related capex.

• Dividend payments and loan repayments led to a ¥28.5bn outflow in financing cash flow.

• Equity attributable to owners of parent: ¥553.8bn, up ¥31.5bn from March 31, 2024.

Outlook and guidance

• Full-year revenue forecast revised to ¥1,070.0bn; operating profit forecast at ¥58.0bn.

• Upward revision driven by fixed cost reductions and favorable FX; no change in dividend guidance.

• ROE and ROIC for FY2024 forecast at 7.4% and 12.6%, respectively.

• Basic EPS forecast for the year: ¥314.87.

• Exchange rate assumptions: ¥154/USD for Q4 and ¥153/USD for the full year.