YONEX (7906) Q2 2026 earnings summary

Executive summary

• Net sales reached 79.5 billion yen in H1 FY3/26, up 18.8% year-over-year, driven by strong demand in the sporting goods market and effective marketing initiatives leveraging international tournaments and athlete achievements.

• Operating profit rose 15.0% to 8.8 billion yen, and net profit attributable to owners increased 17.4% to 6.3 billion yen, both setting record highs for the first half.

• Basic earnings per share increased to 74.55 yen from 62.68 yen year-over-year.

• Growth was broad-based across badminton and tennis, with notable expansion in China and increased global brand recognition.

Financial highlights

• Gross profit increased 15.3% to 34.9 billion yen, despite a slight decline in gross margin due to higher procurement and manufacturing costs.

• Ordinary profit rose 11.6% to 8.2 billion yen, and comprehensive income was 5.4 billion yen, down from 8.1 billion yen due to negative foreign currency translation adjustments.

• Total assets grew to 120.8 billion yen as of September 30, 2025, up from 109.6 billion yen at the previous fiscal year-end.

• Net assets increased to 74.0 billion yen, with an equity-to-asset ratio of 61.1%.

• Cash and deposits increased by 5.4 billion yen to 34.9 billion yen; interest-bearing debt rose by 7.3 billion yen to 17.5 billion yen due to capital investments.

Outlook and guidance

• Full-year FY3/26 net sales forecast revised upward to 162 billion yen (+17.2% year-over-year), with operating profit expected at 16.2 billion yen (+14.3%).

• Net profit forecast raised to 11.6 billion yen (+9.5%), with EPS for the full year forecast at 135.76 yen.

• Interim dividend set at 12 yen per share; full-year dividend forecast at 24 yen per share, up from 22 yen in the previous year.

• Continued strategic investments under the Global Growth Strategy (GGS) to drive further growth.