Wacom (6727): FY2025 Results Summary — Profit Surges as Branded Business Returns to Full-Year Profitability

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Wacom Co., Ltd. (TSE Prime, Code: 6727) reported consolidated results for FY2025 (April 1, 2025 to March 31, 2026) in its Business Report FY2025 Financial Section. Consolidated net sales were JPY 110.00 bn (YoY JPY -5.69 bn), while operating profit rose to JPY 13.38 bn (YoY JPY +3.17 bn), with the operating profit margin improving to 12.2%. The company describes FY2025 as a year in which it could show the results of its business structural transformation, with the Branded Business turning to full-year profitability for the first time in 4 years.

Consolidated Results (Full-Year Actual)

Despite lower sales, the company achieved a significant increase in profit. Net sales declined due to the negative impact of external factors such as the stronger yen and US tariffs, in addition to a sales volume decrease in the Technology Solution Business, despite increased sales in the Branded Business driven primarily by strong sales of Portable Creatives. Operating profit margin improved mainly due to business structural transformation and new product launches in the Branded Business. Net profit reached JPY 9.55 bn (YoY JPY +4.32 bn). On capital efficiency, ROE was 28.0% and ROIC was 23.8%, both far above the company’s targets (ROE over 20%, ROIC over 18%). The capital ratio rose to 57.6% (+9.4 pt. compared to the previous quarter end).

Item (JPY bn)	FY2024	FY2025	YoY
Net sales	115.68	110.00	△5.69
Operating profit (OP)	10.21	13.38	+3.17
OP margin	8.8%	12.2%	+3.3pts
Ordinary profit	10.39	14.00	+3.61
Net profit	5.22	9.55	+4.32

Segment Results

In the Technology Solution Business, segment profit decreased due to the impact of the stronger yen and US tariffs, in addition to a sales volume decrease. In the Branded Business, segment profit increased due to fixed cost reductions resulting from business structural transformation and the launch of new products, marking a 4th consecutive quarterly profit. By product line, Branded Business sales were driven by Portable Creative, which grew to JPY 4,437 million in FY2025 from JPY 968 million in FY2024, while Display sales were JPY 12,602 million and Pen Tablet sales were JPY 8,934 million.

Segment (million JPY)	Metric	FY2024	FY2025
Technology Solution Business	Sales	86,936	77,258
Technology Solution Business	Segment Profit	18,495	17,096
Branded Business	Sales	28,745	32,738
Branded Business	Segment Profit	-2,879	2,020

FY2026 Forecast

For FY2026 (ending March 2027), the company forecasts consolidated net sales of JPY 110.00 bn (vs FY2025 JPY ±0 bn) and operating profit of JPY 14.00 bn (vs FY2025 JPY +0.62 bn). While core business sales is expected to increase, the company has factored in certain negative impacts from foreign exchange fluctuations and the sharp rise in memory prices, so net sales is expected to remain roughly in line with the previous fiscal year. Operating profit is expected to increase, driven by higher sales volumes in the Branded Business. The assumed foreign exchange rate is 1 US Dollar = JPY 150.00.

Item (JPY bn)	FY2025 (actual)	FY2026 (forecast)	Variance
Net sales	110.00	110.00	+0.00
Operating profit (OP)	13.38	14.00	+0.62
OP margin	12.2%	12.7%	+0.6pts
Ordinary profit	14.00	14.00	-0.00
Net profit	9.55	10.00	+0.45

Shareholder Returns

In line with its shareholder return policy of maintaining a total payout ratio of 50% or higher, the company will conduct share buybacks of up to JPY 1.5 bn (period: from May 13, 2026 to June 30, 2026). As a result, the total payout ratio for FY2025 is expected to be 52.3%. The year-end dividend for FY2025 will be increased from JPY 11.00 to JPY 12.00, representing a JPY 1.00 increase, and from FY2026 onward the annual dividend is expected to rise by JPY 2.00 under the progressive dividend policy (from JPY 22.00 to JPY 24.00 per year). In addition, to express gratitude for the achievement of the Annie Award, the company will implement a commemorative dividend of JPY 3.00 per share. From FY2026 onward, the company intends to further enhance shareholder returns through a progressive dividend policy combined with flexible share buybacks.

Medium-Term Plan / Topics

Under the Medium-Term Business Plan (Wacom Chapter 4, FY2025-FY2028), FY2025 marked a solid start toward the final-year (FY2028) targets: net sales reached 73.3% of the final-year target (JPY 150 bn) and operating profit reached 89.2% of the final-year target (JPY 15 bn). R&D plus capital investment totaled JPY 10.26 bn in FY2025 (YoY JPY +0.17 bn), and the company made 4 technological/capital alliances during the year, including RE-X Expansion Inc. and Holoeyes, Inc. As a topic for asset efficiency, the company plans to sell the land and buildings of the Saitama headquarters (Kazo City, Saitama Prefecture) during FY2026, consolidating headquarters functions into the Tokyo Office; as a result, an impairment loss of JPY 0.76 bn was recognized in FY2025.

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