IBIDEN (4062): FY2025 Results Summary — Net Profit Up 89% as Electronics Drives Growth

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IBIDEN CO., LTD. (4062) released its financial results presentation for FY2025 (the fiscal year ended March 31, 2026) on May 12, 2026. Net sales rose 13% from the previous fiscal year to JPY 416.2 billion, operating profit increased 30% to JPY 62.0 billion, and net profit jumped 89% to JPY 63.7 billion. The Electronics segment led the growth, with segment operating profit up 69% year on year. For FY2026, the company guides for net sales of JPY 500.0 billion (+20%) and operating profit of JPY 90.0 billion (+45%), and it revised upward the targets of its Mid-Term Management Plan.

Consolidated Results (FY2025 Actual)

Net sales came in at JPY 416.2 billion, up 13% from FY2024, against the forecast of JPY 420.0 billion disclosed on February 3. Operating profit was JPY 62.0 billion (up 30%), with the operating profit margin improving from 12.9% to 14.9%. Net profit was JPY 63.7 billion (up 89%), lifting the net profit margin from 9.1% to 15.3%. As a reference item, gains on the sales of cross-shareholdings (after-tax basis) were JPY 34.5 billion in FY2025, compared with JPY 17.1 billion in FY2024. Exchange rates were JPY 149 to the US dollar and JPY 172 to the euro, versus JPY 152 and JPY 162 in FY2024.

Item (JPY 1 billion)	FY2025 Result	FY2024 Result	YoY
Net Sales	416.2	369.4	+13%
Operating Profit	62.0	47.6	+30%
Operating Profit Margin (OPM)	14.9%	12.9%	–
Net Profit	63.7	33.7	+89%
Net Profit Margin (NPM)	15.3%	9.1%	–
Gains on Sales of Cross-Shareholdings (after-tax, reference)	34.5	17.1	–

Segment Results

Electronics drove the year: segment net sales rose 23% to JPY 243.3 billion and segment operating profit rose 69% to JPY 45.2 billion. Ceramics saw net sales decline 2% to JPY 82.6 billion and operating profit fall 37% to JPY 7.6 billion. The Others segment posted net sales of JPY 90.3 billion (up 2%) and operating profit of JPY 9.1 billion (up 3%).

Segment	Metric (JPY 1 billion)	FY2025 Result	FY2024 Result	YoY
Electronics	Net Sales	243.3	197.2	+23%
Ceramics	Net Sales	82.6	84.1	▲2%
Others	Net Sales	90.3	88.1	+2%
Electronics	Operating Profit	45.2	26.8	+69%
Ceramics	Operating Profit	7.6	12.2	▲37%
Others	Operating Profit	9.1	8.6	+3%

FY2026 Forecast

For FY2026, IBIDEN forecasts net sales of JPY 500.0 billion (up 20% from FY2025), operating profit of JPY 90.0 billion (up 45%, OPM 18.0%) and net profit of JPY 58.0 billion (down 9%, NPM 11.6%), assuming exchange rates of JPY 150 to the US dollar and JPY 180 to the euro. This is an upward revision from the forecast disclosed on October 31 (net sales of JPY 480.0 billion and operating profit of JPY 72.0 billion). For the Electronics segment, the FY2026 forecast was raised from JPY 310.0 billion to JPY 330.0 billion in net sales and from JPY 57.0 billion to JPY 75.0 billion in operating profit (OPM 22.7%), reflecting ASP/product mix (+20.5), sales volume increase (+1.5) and exchange impact (+5.0), partly offset by cost increase (▲9.0). By half year, the company plans net sales of JPY 230.0 billion, operating profit of JPY 38.0 billion and net profit of JPY 23.0 billion in the first half, and JPY 270.0 billion, JPY 52.0 billion and JPY 35.0 billion in the second half. The company notes that Middle East risks are currently deemed minor within the identifiable scope but, as the situation remains highly uncertain, have not been incorporated into the forecasts at this time.

Item (JPY 1 billion)	FY2026 Forecast	FY2025 Result	YoY
Net Sales	500.0	416.2	+20%
Operating Profit	90.0	62.0	+45%
Operating Profit Margin (OPM)	18.0%	14.9%	–
Net Profit	58.0	63.7	▲9%
Net Profit Margin (NPM)	11.6%	15.3%	–

Mid-Term Plan

IBIDEN revised upward the performance targets for FY2027, the final year of the current Mid-Term Management Plan: net sales of JPY 650.0 billion (versus JPY 600 billion disclosed on October 30) and operating profit of JPY 150.0 billion (versus JPY 90 billion disclosed on October 30), for an OPM of 23.1%. With the electronics business as the core, the company aims to achieve net sales of JPY 1 trillion and operating profit of JPY 300 billion (OPM 30%) by FY2030. In IC package substrates, total SAP (Semi Additive Process) demand is expected to exceed the industry’s supply capacity as substrates become larger and more multi-layered, and IBIDEN plans to maintain its top share in the high-end market through capacity expansion focused on cutting-edge semiconductors, with a capacity expansion plan indexed at 1.8x in CY2026 and 2.5x in CY2028 versus CY2024.

Capital Investment and Cash Allocation

IBIDEN will execute total capital investments of JPY 500 billion for the growth of the electronics business, as disclosed on February 3 and as planned: about JPY 220 billion for Cell6 at the Gama Plant, producing high-performance IC package substrates for AI ASIC, and about JPY 280 billion for one half of Cell8 at the Ono Plant, producing high-performance IC package substrates for AI GPU. Both are scheduled to sequentially commence operations from FY2027 and start mass production. Company-wide capital investment is planned at JPY 210.0 billion in FY2026 (of which Electronics accounts for JPY 200.0 billion), versus JPY 64.3 billion in FY2025 and JPY 157.3 billion in FY2024. Over FY2026-FY2028, operating cash flow (before R&D expense deduction) of about JPY 800 billion is expected, and growth investments will generally be funded within operating cash flow, including advance payments. The reduction target for cross-shareholdings was achieved ahead of schedule in FY2025, with a reduction rate of 81.2% based on market value at the end of FY2023.

Shareholder Returns

The year-end dividend for FY2025 is expected to be JPY 15 per share, a JPY 5 increase from the year-end dividend for FY2024, bringing the FY2025 annual dividend to JPY 30 per share including a JPY 5 commemorative dividend for the start of mass production at the Ono Plant. The projected full-year dividend for FY2026 is JPY 35 per share (interim dividend of JPY 15 and year-end dividend of JPY 20), a JPY 5 increase from FY2025. The policy for returns to shareholders is to implement a progressive dividend (until FY2030) with a guideline of a 20% payout ratio, while considering the balance between growth investments and financial discipline. Prior-year dividend figures are stock-split adjusted.

Fiscal Year	Interim Dividend (JPY)	Year-End Dividend (JPY)	Commemorative Dividend (JPY)	Annual Total (JPY)
FY2024 (Result)	10	10	–	20
FY2025 (Result)	10	15	5	30
FY2026 (Forecast)	15	20	–	35

This article is an analysis based on publicly available information and is not a recommendation to buy or sell any specific securities. Investment decisions are your own responsibility.