| 指標 | 当期 | 前年同期 | YoY |
|---|---|---|---|
| 売上高 | ¥1670.9B | ¥1629.3B | +2.6% |
| 営業利益 | ¥37.4B | ¥33.7B | +10.9% |
| 経常利益 | ¥28.6B | ¥30.4B | -5.9% |
| 純利益 | ¥-10.0B | ¥-56.2B | +82.2% |
| ROE | -1.8% | -10.8% | - |
For the fiscal year ended March 2026, results settled at Revenue ¥1670.9B (YoY +¥41.6B +2.6%), Operating Income ¥37.4B (YoY +¥3.7B +10.9%), Ordinary Income ¥28.6B (YoY -¥1.8B -5.9%), and Net Income attributable to owners of the parent ¥35.8B (YoY +¥64.7B, turned to profit). Top-line and operating improvements were achieved, but non-operating financial costs (interest expense ¥7.6B) and foreign exchange losses (¥3.5B) weighed on the ordinary income line. The swing to net profit was driven by a reduction in impairment losses from ¥33.0B in the prior year to ¥3.9B this year, and net special gains of ¥7.3B (including ¥11.1B gain on sale of subsidiary shares). Gross margin improved to 10.1% (from 9.5% prior, +0.6pt), and operating margin improved slightly to 2.2% (from 2.1% prior, +0.1pt) but remains low. SG&A ratio rose to 7.9% (from 7.4% prior, +0.5pt); SG&A growth (+9.2%) outpaced revenue growth (+2.6%), partially offsetting operating leverage.
【売上高】Revenue was ¥1670.9B (+2.6%). By region: Japan ¥783.9B (+2.7%), North America ¥522.9B (+5.1%), Asia ¥363.0B (-0.9%) — driven by North America, solid Japan, and adjustments in Asia. By segment, the Die Casting Business Japan ¥730.99B (+4.8%) is the core, supported by sales to major customer SUBARU of ¥211.3B (12.6% of company-wide sales). Die Casting Business North America ¥522.22B (+5.1%) comprised US ¥274.0B and Mexico ¥248.9B, with volume increases and FX benefits. Die Casting Business Asia ¥379.55B (-1.9%) was impacted by adjustments in China ¥235.3B. Aluminum Business ¥102.10B (-10.6%) suffered volume declines; Finished Products Business ¥34.61B (-29.5%) contracted in scale.
【損益】Cost of goods sold was ¥1502.0B (cost ratio 89.9%) yielding Gross Profit ¥168.9B (Gross Margin 10.1%, +0.6pt from 9.5%). SG&A was ¥131.5B (SG&A ratio 7.9%, +0.5pt from 7.4%) resulting in Operating Income ¥37.4B (Operating Margin 2.2%, +0.1pt). Non-operating expenses ¥13.7B (interest expense ¥7.6B, foreign exchange loss ¥3.5B) exceeded non-operating income ¥5.0B, producing Ordinary Income ¥28.6B (Ordinary Income Margin 1.7%, down -0.2pt from 1.9%). Net special items were net +¥7.3B (special gains ¥14.1B including gain on sale of subsidiary shares ¥11.1B and subsidies ¥2.0B; special losses ¥6.8B including impairment ¥3.9B and loss on disposal of fixed assets ¥1.9B), resulting in net positive. Profit before tax ¥35.9B, income taxes ¥0.1B (effective tax rate 0.3%), and Net Income attributable to owners of the parent ¥35.8B (turned to profit from ¥-28.9B prior). In summary: revenue and operating profit increased, but heavy non-operating expenses and reliance on special items are notable.
Die Casting Business Japan: Revenue ¥730.99B (+4.8%), Operating Income ¥26.38B (+13.7%), Margin 3.6% — the core segment, aided by improved utilization and stable orders from major customer SUBARU. Die Casting Business North America: Revenue ¥522.22B (+5.1%) but Operating Loss ¥4.28B (improved from ¥-16.2B prior, a 73.5% reduction in deficit), Margin -0.8%. Volume increases and yield improvements narrowed the loss but did not reach profitability. Die Casting Business Asia: Revenue ¥379.55B (-1.9%), Operating Income ¥8.28B (-54.3%), Margin 2.2% — significant profit decline due to adjustment in the Chinese market and insufficient fixed-cost absorption. Aluminum Business: Revenue ¥102.10B (-10.6%), Operating Income ¥2.53B (+11.9%), Margin 2.5% — revenue down but profit up via margin improvements. Finished Products Business: Revenue ¥34.61B (-29.5%), Operating Income ¥4.37B (-45.1%), Margin 12.6% — high profitability maintained despite scale contraction.
【収益性】Operating Margin 2.2% (from 2.1% prior, +0.1pt), Gross Margin 10.1% (from 9.5% prior, +0.6pt) — modest improvements but 5.5pt below industry benchmark 7.8%. SG&A ratio 7.9% (from 7.4% prior, +0.5pt) is pressuring operating leverage. ROE 6.4% (from -5.6% prior) improved due to return to net profitability; decomposed as Net Profit Margin 2.1% × Total Asset Turnover 1.23 × Financial Leverage 2.44x, with net margin improvement the main driver. ROA (ordinary) 2.1% (from 2.3% prior, -0.2pt). 【Cash Quality】Operating Cash Flow / Net Income 3.60x indicates good cash conversion. Operating CF / EBITDA 0.84x (below benchmark 0.9x) reflects working capital absorption (Accounts receivable increase ¥23.3B, Accounts payable decrease ¥10.5B). DSO 74 days is lengthening; collection improvement is a priority. 【Investment Efficiency】Total Asset Turnover 1.23x (from 1.22x prior) is slightly up; capital-intensive PPE structure (PPE / Total Assets 47%) constrains turnover. CapEx / Depreciation 0.99x indicates maintenance-focused investment, limited growth capex. Estimated ROIC 4.9% (NOPAT ¥29.0B / Invested Capital ¥588B) is low. 【Financial Soundness】Equity Ratio 41.0% (from 38.8% prior, +2.2pt), Debt/EBITDA 2.11x, Interest Coverage (EBIT / Interest) 4.93x — at lower end of investment-grade range. Current Ratio 111.7%, Quick Ratio 103.6% provide minimal liquidity. Short-term debt ratio 49.4%, Cash / Short-term Debt 0.76x — high refinancing sensitivity.
Operating Cash Flow was ¥129.0B (from ¥153.1B prior, -15.7%), from subtotal operating cash ¥148.0B adjusted for working capital increases (Accounts receivable +¥23.3B, Inventory -¥8.3B, Accounts payable -¥10.5B) and income tax payments ¥13.2B. Operating CF / Net Income 3.60x shows high cash realization quality, but Operating CF / EBITDA 0.84x below the 0.9x guideline indicates room to improve working capital management. Investing CF was -¥121.8B, centered on capital expenditures ¥115.9B; CapEx / Depreciation 0.99x shows maintenance-level investment. Free Cash Flow was ¥7.3B (Operating CF + Investing CF), a small positive. Financing CF was -¥25.2B, including execution of long-term borrowings ¥101.6B, net decrease in short-term borrowings ¥24.6B (increase ¥137.4B - decrease ¥140.0B), long-term borrowings repayments ¥87.9B, and dividends ¥8.4B. Free Cash Flow did not cover dividends (FCF coverage 0.68x), supplemented by executing long-term borrowings. Cash and cash equivalents ¥117.3B (from ¥134.5B prior, -¥17.2B) — liquidity relies on short-term borrowing facilities and is exposed to interest rate risk.
Operating Income ¥37.4B is the core of recurring earnings. Non-operating income ¥5.0B (Interest income ¥1.4B, Dividend income ¥0.6B, subsidies ¥2.0B, etc.) is small at 0.3% of revenue. Non-operating expenses ¥13.7B include interest expense ¥7.6B and foreign exchange losses ¥3.5B; interest-bearing debt ¥324.3B and estimated average borrowing cost 2.3% create a financial burden that compresses ordinary income. Net special items +¥7.3B temporarily boosted net income, with special gains ¥14.1B (gain on sale of subsidiary shares ¥11.1B, gain on sale of fixed assets ¥1.0B, subsidies ¥2.0B, etc.) less special losses ¥6.8B (impairment ¥3.9B, loss on disposal of fixed assets ¥1.9B). The gap between Ordinary Income ¥28.6B and Net Income ¥35.8B (+25%) is mainly due to net positive special items; recurring earning power should be assessed at the ordinary income level. Operating CF / Net Income 3.60x and accrual ratio -6.8% ((Operating CF - Net Income) / Total Assets) indicate solid cash backing of earnings. Comprehensive Income ¥46.2B (Net Income ¥35.8B + Other Comprehensive Income ¥10.4B) comprises foreign currency translation adjustments ¥2.8B, valuation differences on available-for-sale securities ¥4.5B, and retirement benefit adjustments ¥3.1B — potential capital-enhancing factors.
Full-year guidance: Revenue ¥1616.0B (YoY -3.3%), Operating Income ¥14.0B (YoY -62.6%), Ordinary Income ¥8.0B (YoY -72.1%), Net Income ¥5.0B, EPS ¥20.13 — a plan for a material earnings decline. Implied Operating Margin 0.9% and Net Margin 0.3% reflect structurally low profitability assumptions. Given first-half results (Operating Income ¥37.4B), the full-year plan Operating Income ¥14.0B implies progress of 267%, assuming a second-half operating loss. Anticipated headwinds include adjustments in auto production, continued restructuring costs in North America, sustained high raw material and energy prices, and adverse FX — overall a conservative stance. Dividend guidance DPS ¥10 (sharp cut from actual ¥42) signals a conservative dividend policy linked to profitability, reflecting pressure on free cash flow and a focus on liquidity.
Annual dividends were ¥42 (Interim ¥16 + Year-end ¥26), Payout Ratio 29.1% (Total dividends ¥8.4B against Net Income ¥35.8B) — within a sustainable range. Dividend yield cannot be calculated without share price data, but payout ratio 29.1% is reasonable. Free Cash Flow ¥7.3B vs. dividends ¥8.4B yields FCF coverage 0.68x, supplemented by long-term borrowings. No share buybacks this fiscal year (¥3.4B prior year), so total return comprised dividends only. Next fiscal year dividend guidance ¥10 represents a significant cut; with Net Income plan ¥5.0B (assumed total dividends ¥2.5B), payout ratio could exceed 50%, suggesting a flexible dividend policy responsive to earnings. Shareholders’ equity ¥559.4B, D/E 0.58x indicates capital capacity, but dependence on short-term liabilities and rising interest rate environment limit room for dividend increases; maintaining stable dividends is a priority.
Automotive production variability risk: Revenue is concentrated in the Die Casting Business (88% of total), primarily for automotive parts. Sales to major customer SUBARU ¥211.3B (12.6%) indicate high customer concentration; downside in customer production plans or weakened pricing power would directly hit revenue and profit. The next fiscal year sales plan -3.3% is a conservative assumption incorporating automotive production adjustments, and actual production volumes could cause downside. Regionally, Asia (China) revenue decline -1.9% may continue, indicating demand adjustment risk.
Short-term liquidity and refinancing risk: Short-term debt ratio 49.4% (Current liabilities ¥589.1B / Total liabilities ¥803.2B), Cash / Short-term Debt 0.76x show a large maturity mismatch. Dependence on short-term borrowings ¥160.3B (49% of total interest-bearing debt) makes continuation of bank facilities and interest terms critical to liquidity. Long-term borrowings ¥164.1B (vs. ¥132.9B prior, +¥23.5B) have been extended but work remains. In a rising rate environment, Interest Coverage 4.93x (EBIT ¥37.4B / interest ¥7.6B) is below the 5x guideline, limiting room for increased interest burden. While annual interest payments ≈ ¥7.3B can be absorbed by Operating CF ¥129.0B, the next fiscal year operating plan ¥14.0B (with assumed second-half loss) would lower Operating CF / Interest coverage and risk worsening financing terms.
North America business failing to return to profit: Die Casting Business North America recorded Operating Loss ¥4.28B (improved from ¥-16.2B, 73.5% reduction) and remains on a recovery path but not yet profitable. Despite Revenue ¥522.22B (+5.1%) and scale expansion, fixed-cost absorption is insufficient, with margin -0.8%. The next fiscal year’s significant profit decline plan (Operating Income -62.6%) implies ongoing North America restructuring costs; further cost increases or utilization drops could delay profitability. North America segment assets ¥346.8B (25% of total assets) represent substantial invested capital; delayed ROIC recovery would constrain corporate capital efficiency.
収益性・リターン
| 指標 | 自社 | 中央値 (IQR) | Delta |
|---|---|---|---|
| 営業利益率 | 2.2% | 7.8% (4.6%–12.3%) | -5.5pt |
| 純利益率 | -0.6% | 5.2% (2.3%–8.2%) | -5.8pt |
Operating Margin 2.2% is -5.5pt below the industry median 7.8% and below the first quartile (4.6%), indicating low performance. There is scope for efficiency improvement on both SG&A ratio 7.9% and cost ratio 89.9%.
成長性・資本効率
| 指標 | 自社 | 中央値 (IQR) | Delta |
|---|---|---|---|
| 売上高成長率（前年比） | 2.6% | 3.7% (-0.4%–9.3%) | -1.1pt |
Revenue growth 2.6% is -1.1pt below the industry median 3.7%, placing the company in the mid-range. Next fiscal year plan -3.3% is materially below industry average and conservative.
※Source: Company aggregation
Gross Margin improved +0.6pt and impairment reduction supported a slight Operating Margin improvement to 2.2%, but the company remains 5.5pt below peers. Structural profit improvement hinges on cost reduction (yields, scrap cost) and reversing the SG&A ratio increase (+0.5pt). Non-operating interest burden ¥7.6B and FX loss ¥3.5B pressure ordinary income, which fell to 1.7% (from 1.9% prior, -0.2pt). In a rising-rate environment, Interest Coverage 4.93x leaves limited cushion; increasing the share of long-term debt and strengthening hedging strategies are required.
North America segment is on a recovery path with Operating Loss ¥4.28B (73.5% narrower) but remains unprofitable. Despite +5.1% revenue and volume gains, margin -0.8% shows inadequate fixed-cost absorption. The full-year plan large profit decline (Operating Income -62.6%) incorporates ongoing North America restructuring costs; monitoring timing of breakeven, utilization, and order trends is critical. Die Casting Business Asia saw a 54.3% drop in Operating Income due to China market adjustment, highlighting need for regional risk diversification.
Operating CF ¥129.0B (Operating CF / Net Income 3.60x) shows good cash realization but Operating CF / EBITDA 0.84x and working capital absorption (Accounts receivable +¥23.3B, Accounts payable -¥10.5B) have slowed cash conversion. DSO 74 days is lengthening; strengthening collections is urgent. Free Cash Flow ¥7.3B cannot cover dividends ¥8.4B (FCF coverage 0.68x) and was supplemented by long-term borrowings. Short-term debt ratio 49.4% and Cash / Short-term Debt 0.76x raise refinancing sensitivity; compressing working capital and shortening CCC to generate autonomous cash is prerequisite to stabilizing liquidity.
This report is an AI-generated earnings analysis document produced by analyzing XBRL earnings disclosure data. It is not a recommendation to invest in any specific security. Industry benchmarks are reference information compiled by our firm based on publicly disclosed financial statements. Investment decisions should be made at your own responsibility; consult a professional advisor as needed.