| 指標 | 当期 | 前年同期 | YoY |
|---|---|---|---|
| 売上高 | ¥552.1B | ¥490.4B | +12.6% |
| 営業利益 | ¥124.2B | ¥106.4B | +16.8% |
| 経常利益 | ¥134.4B | ¥108.3B | +24.1% |
| 純利益 | ¥85.2B | ¥74.1B | +14.9% |
| ROE | 10.0% | 9.6% | - |
Fiscal year ended March 2026 results: Revenue ¥552.1B (YoY +¥61.7B +12.6%), Operating Income ¥124.2B (YoY +¥17.8B +16.8%), Ordinary Income ¥134.4B (YoY +¥26.1B +24.1%), Net Income attributable to parent company shareholders ¥85.2B (YoY +¥11.1B +14.9%), achieving revenue and profit growth. Operating margin was 22.5% (YoY +0.8pt), Net margin 15.4% (YoY +0.3pt), indicating improved profitability. By region, overseas sales were ¥260.9B (47.3% of total), with North America ¥134.4B (24.3%) and Asia ¥101.3B (18.3%), showing increased geographic diversification. Operating Cash Flow (OCF) was ¥111.3B (YoY +76.7%), Free Cash Flow (FCF) was ¥93.2B, generating abundant cash, and the company executed share repurchases of ¥15.5B and dividends of ¥22.9B. Equity Ratio rose to 84.5% (prior year 83.5%), maintaining a strong virtually debt-free financial position.
【Revenue】 Revenue ¥552.1B (YoY +12.6%) was supported by robust demand domestically and internationally. By product, stationary gas detection and alarm equipment ¥336.2B and portable devices ¥202.4B drove core sales. By region, domestic ¥291.2B (52.7% of total, prior year 56.0%), overseas ¥260.9B (47.3%) with overseas ratio up +3.3pt. Within overseas, North America ¥134.4B (24.3%, YoY +23.7%) showed strong growth, with the U.S. ¥96.3B (17.4% of revenue) the largest single-country customer. Asia ¥101.3B (18.3%, YoY +19.8%) maintained double-digit growth with China ¥67.6B (12.2%). Europe ¥21.4B (3.9%, YoY +13.2%) showed stable demand.
【Profitability】 Gross profit ¥271.6B (gross margin 49.2%) increased ¥20.4B YoY, but gross margin declined -1.0pt from 50.2% prior year. SG&A ¥147.4B (ratio to sales 26.7%, improved -1.8pt from 28.5% prior year) was controlled to a +5.4% increase versus sales growth of +12.6%, demonstrating scale benefits. SG&A includes personnel expenses ¥40.5B, advertising ¥5.3B, and R&D ¥27.3B (R&D/sales 5.0%). As a result, Operating Income ¥124.2B (Operating margin 22.5%) rose +16.8% YoY. Non-operating income ¥11.1B (dividends received ¥2.6B, interest income ¥1.5B, foreign exchange gains ¥5.1B) contributed to Ordinary Income ¥134.4B (YoY +24.1%). Extraordinary items were minor (impairment loss ¥0.7B, loss on disposal of fixed assets ¥0.3B), yielding Pre-tax income ¥133.5B. After corporate taxes ¥34.0B (effective tax rate 25.5%), Net Income ¥85.2B (YoY +14.9%) was recorded, finishing with revenue and profit growth.
【Profitability】Operating margin 22.5% (improved +0.8pt from 21.7% prior year), Net margin 15.4% (improved +0.3pt from 15.1%), maintaining high profitability. ROE 10.0% slightly decreased from 10.7% prior year, but capital efficiency remains solid given increased shareholders’ equity (¥853.8B, YoY +10.2%). EBITDA ¥143.0B (EBITDA margin 25.9%), EBITDA margin improved +2.5pt from 23.4% prior year. 【Cash Quality】OCF ¥111.3B is 1.31x Net Income ¥85.2B, indicating strong cash generation. OCF/EBITDA ratio 0.78x is somewhat low, with room to improve working capital (Accounts receivable ¥115.8B, Inventories ¥56.7B). 【Investment Efficiency】Total asset turnover 0.55x, EPS ¥217.32 (prior year ¥172.10, +26.3%), BPS ¥1,878.29. R&D ¥27.3B (R&D/sales 5.0%) continued while CapEx ¥15.1B (CapEx/sales 2.7%) was restrained at 0.80x depreciation ¥18.8B. 【Financial Soundness】Equity Ratio 84.5% (prior year 83.5%), Interest-bearing debt ¥18.4B (short-term borrowings ¥10.2B, long-term borrowings ¥8.1B) versus cash & deposits ¥174.3B and short-term securities ¥105.0B, yielding net cash ¥205.0B. Debt/EBITDA 0.13x, Interest Coverage 167.2x, extremely healthy. Current ratio 595% (prior year 514%), Quick ratio 543% indicate excellent short-term liquidity.
OCF ¥111.3B (YoY +76.7%) started from pre-tax income ¥133.5B, with depreciation ¥18.8B, working capital movements (Inventories -¥4.9B, Accounts receivable +¥2.5B, Accounts payable -¥0.1B), and corporate tax payments -¥39.8B. From OCF subtotal ¥147.4B, working capital adjustments -¥36.1B were deducted, with inventory accumulation and slower receivables collection lowering cash efficiency. Investing CF -¥18.1B was mainly CapEx -¥15.1B and intangible assets -¥13.1B (software development), partly offset by short-term securities sales +¥11.7B. Financing CF -¥45.9B reflects dividend payments -¥22.9B, share repurchases -¥15.5B, long-term debt repayments -¥4.1B, lease liability repayments -¥7.4B. FCF ¥93.2B is 2.4x the total dividend and buyback amount ¥38.4B, indicating ample capacity for returns. Ending cash & deposits ¥174.3B increased +¥53.7B from the beginning of the period, maintaining ample liquidity after investment and returns.
Operating Income ¥124.2B was generated from core operations; Non-operating income ¥11.1B (2.0% of sales) consisted mainly of dividends received ¥2.6B, interest income ¥1.5B, and foreign exchange gains ¥5.1B, i.e., financial income. Non-operating expenses ¥0.9B (interest expense ¥0.7B, etc.) were limited. Extraordinary losses included impairment loss ¥0.7B and loss on disposal of fixed assets ¥0.3B but were minor at 0.8% of operating income, indicating high quality of recurring earnings. Comprehensive income ¥117.1B comprises Net Income ¥85.2B plus valuation difference on available-for-sale securities ¥13.7B and foreign currency translation adjustments ¥3.8B, reflecting market environment effects on equity. OCF/Net Income ratio 1.31x and OCF subtotal ¥147.4B divergence from Net Income is mainly explained by non-cash expenses (depreciation ¥18.8B, goodwill amortization ¥1.8B) and timing differences in tax payments; accrual quality is generally sound. Working capital increase -¥36.1B depressed cash efficiency, but inventories (finished goods ¥56.7B, work-in-process ¥73.4B, raw materials ¥67.5B) are within normal production process ranges.
Full year forecast for fiscal year ending March 2027: Revenue ¥600.0B (YoY +8.7%), Operating Income ¥127.0B (YoY +2.2%), Ordinary Income ¥130.0B (YoY -3.3%), Net Income attributable to parent company shareholders ¥96.0B (arithmetically -3.1%). Revenue growth is expected to continue but operating income growth will slow and Ordinary Income is forecast to decline. A year-end dividend of ¥30 (annual dividend assuming ¥55, up from ¥25) is planned; payout ratio is about 26% against forecast EPS ¥211.19. The projected decline in Ordinary Income assumes normalization of non-operating items such as the disappearance of foreign exchange gains. Progress to target (first half ¥552.1B / full year ¥600.0B) is 92.0%, indicating first-half concentration and incorporating slower demand growth in the second half. Operating margin is assumed 21.2% (full year ¥127.0B / ¥600.0B), a -1.3pt decline from FY2026 actual 22.5%, assuming higher SG&A ratio or lower gross margin as a conservative scenario.
Annual dividend ¥55 (no interim dividend, year-end dividend ¥55), payout ratio 26.1% (Total dividends ¥22.9B / Net Income ¥85.2B). With share repurchases ¥15.5B, Total Return Ratio is 45.1% (Total returns ¥38.4B / Net Income). Against FCF ¥93.2B, total returns ¥38.4B give an FCF coverage of 2.4x, indicating high sustainability. Number of treasury shares increased from 1,866 thousand shares at the beginning of the period to 1,866 thousand shares at period-end (3.9% of outstanding shares), confirming an active buyback stance. DOE (total dividends / shareholders’ equity) is approximately 2.8%; ROE 10.0% × payout ratio 26.1% is consistent. For FY2027, a year-end dividend increase to ¥30 is planned (annual dividend ¥55 maintained), targeting a payout ratio around 26% against forecast EPS ¥211.19, maintaining a stable dividend policy.
Working capital efficiency deterioration risk: Days Sales Outstanding 77 days (Accounts receivable ¥115.8B / daily sales ¥1.51B), Inventory turnover days 257 days (Inventories ¥197.9B / daily sales ¥0.77B), Cash Conversion Cycle 299 days, indicating lengthening. Inventory accumulation (YoY +41.7%) and delayed receivables collection are pressuring cash efficiency, with working capital change -¥36.1B absorbing about one-quarter of the OCF subtotal ¥147.4B. Inventory optimization and credit management improvement are urgent.
Foreign exchange risk: Overseas sales ratio 47.3% (¥260.9B) concentrated in North America, Asia, and Europe. FY2026 foreign exchange gains ¥5.1B boosted Ordinary Income, but the FY2027 forecast assumes loss of such FX contribution, leading to the -3.3% Ordinary Income projection. Yen appreciation could reduce non-operating income and reduce translated overseas sales, pressuring profits.
Operating margin deterioration risk: FY2027 forecast assumes operating margin 21.2% (vs. 22.5% in FY2026), a -1.3pt decline. This assumes potential increases in SG&A ratio (higher personnel costs, increased R&D) or gross margin erosion (higher raw material costs, intensified price competition). The FY2026 SG&A efficiency trend may not continue. With revenue growth +8.7% vs. operating income growth +2.2%, improvement in profitability is expected to slow.
Profitability & Return
| 指標 | 自社 | 中央値 (IQR) | Delta |
|---|---|---|---|
| 営業利益率 | 22.5% | 7.8% (4.6%–12.3%) | +14.8pt |
| 純利益率 | 15.4% | 5.2% (2.3%–8.2%) | +10.2pt |
Both Operating and Net margins substantially exceed industry medians within manufacturing, placing the company among the industry’s top-class in profitability.
Growth & Capital Efficiency
| 指標 | 自社 | 中央値 (IQR) | Delta |
|---|---|---|---|
| 売上高成長率（前年比） | 12.6% | 3.7% (-0.4%–9.3%) | +8.9pt |
Revenue growth rate exceeds industry median by +8.9pt, maintaining high growth.
※Source: Company compilation
High profitability and low leverage: Operating margin 22.5% and Net margin 15.4% well above industry medians combined with Equity Ratio 84.5% and Net Cash ¥205.0B provide a strong financial foundation. While investing 5.0% in R&D, CapEx was restrained to 0.8x depreciation, generating FCF ¥93.2B. With payout ratio 26.1% and Total Return Ratio 45.1%, FCF coverage 2.4x, there is ample capacity for shareholder returns, maintaining options for stable dividends and share buybacks.
Room to improve working capital efficiency: OCF/EBITDA 0.78x and CCC 299 days show working capital drag on cash generation. Inventories rose YoY +41.7%, with DSO 77 days and inventory days 257, indicating prolonged turnover. If inventory optimization and credit management can improve OCF/EBITDA to 1.0x, there is potential to increase FCF by approximately ¥30B. Although FY2027 guidance assumes revenue +8.7% and operating income +2.2% (profitability slowdown), achieving working capital improvements could enhance cash-based growth potential.
This report is an earnings analysis document automatically generated by AI from XBRL financial statement disclosure data. It does not constitute a recommendation to invest in any specific security. Industry benchmarks are reference information compiled by the Company based on public financial statements. Investment decisions are your responsibility; please consult a professional advisor as necessary.