Tachibana Eletech (8159): FY2025 Results Summary — Higher Revenue but Lower Operating Profit as Ordinary Income and Net Income Rise

This article is based on publicly available IR materials and is not a recommendation to buy or sell any specific securities.

Note: Tachibana Eletech does not publish an English results presentation; this article is an English translation of the Japanese-language article on our sister site Investalk, which is based on the company’s Japanese-language IR materials, with figures transcribed as reported.

Tachibana Eletech’s consolidated results for the fiscal year ended March 31, 2026 (FY2025) were revenue of 227.5 billion yen (103.4% year-on-year, +7.3 billion yen), operating profit of 7.5 billion yen (91.3% year-on-year, -0.7 billion yen), ordinary income of 9.1 billion yen (104.9% year-on-year, +0.4 billion yen), and profit attributable to owners of parent of 7.4 billion yen (105.3% year-on-year, +0.3 billion yen). While revenue increased, operating profit declined 8.7% year-on-year, whereas ordinary income and profit attributable to owners of parent both increased. The company achieved the targets of its mid-to-long-term management plan “NEW C.C.J2200” (revenue of 220.0 billion yen and operating profit of 7.0 billion yen).

According to the materials, the adjustment of distribution inventory moved toward resolution in the third quarter, and the company achieved its original plan on every item. Profit attributable to owners of parent grew on the back of foreign exchange gains from the weaker yen and an increase in gains on sale associated with the reduction of policy (cross-)shareholdings.

Consolidated Results (FY2025 Actual)

Item	FY2025 Actual	Change vs. Previous Year	YoY	vs. Plan
Revenue	227.5 billion yen	+7.3 billion yen	103.4%	101.1%
Operating profit	7.5 billion yen	-0.7 billion yen	91.3%	100.1%
Ordinary income	9.1 billion yen	+0.4 billion yen	104.9%	114.0%
Profit attributable to owners of parent	7.4 billion yen	+0.3 billion yen	105.3%	134.9%

Segment Results

By business segment, the share of revenue was 48.3% for FA Systems, 39.2% for Semiconductor Devices, 9.5% for Facilities, and 3.0% for MS and Other. By segment, the FA Systems business posted revenue of 109.8 billion yen (108.6 billion yen in the previous year) and operating profit of 5.0 billion yen (4.9 billion yen in the previous year); while inventory overhang eased at major customers and utilization recovered across industries, this was partly offset by a pause in OS-update-driven demand and a reactionary decline in large-scale equipment orders for steel plants. The Semiconductor Devices business posted revenue of 89.1 billion yen (84.0 billion yen in the previous year) and operating profit of 1.4 billion yen (2.5 billion yen in the previous year); despite the impact of the slowdown in the Chinese economy and US tariff policy, segment revenue reached a record high on new sales channels and increased customer demand. The Facilities business posted revenue of 21.7 billion yen (21.2 billion yen in the previous year) and operating profit of 0.9 billion yen (0.7 billion yen in the previous year), with segment revenue reaching a record high, helped by a sharp increase in air-conditioning equipment demand from the intense summer heat and orders for data-center-related facilities. The MS and Other business posted revenue of 6.7 billion yen (6.1 billion yen in the previous year).

Segment	Metric	FY2025	FY2024
FA Systems	Revenue	109.8 billion yen	108.6 billion yen
FA Systems	Operating profit	5.0 billion yen	4.9 billion yen
Semiconductor Devices	Revenue	89.1 billion yen	84.0 billion yen
Semiconductor Devices	Operating profit	1.4 billion yen	2.5 billion yen
Facilities	Revenue	21.7 billion yen	21.2 billion yen
Facilities	Operating profit	0.9 billion yen	0.7 billion yen
MS and Other	Revenue	6.7 billion yen	6.1 billion yen
Consolidated	Revenue	227.5 billion yen	220.1 billion yen
Consolidated	Operating profit	7.5 billion yen	8.2 billion yen

Compared with the targets of the mid-to-long-term management plan “NEW C.C.J2200” (targets for the fiscal year ended March 2026), the FA Systems business posted actual revenue of 109.8 billion yen against a target of 114.0 billion yen; the Semiconductor Devices business posted 89.1 billion yen against a target of 78.0 billion yen; the Facilities business posted 21.7 billion yen against a target of 21.0 billion yen; the MS business posted 6.7 billion yen against a target of 7.0 billion yen; overseas business posted 298 million US dollars against a target of 300 million US dollars (46.0 billion yen, at an assumed exchange rate of 1 US dollar = 156.56 yen); and environmentally conscious products posted 104.5 billion yen against a target of 50.0 billion yen.

FY2026 Forecast

For the fiscal year ending March 2027 (FY2026), the company forecasts revenue of 230.0 billion yen (101.1% year-on-year), operating profit of 7.8 billion yen (103.8% year-on-year), ordinary income of 8.5 billion yen (93.2% year-on-year), and profit attributable to owners of parent of 6.0 billion yen (80.8% year-on-year).

Item	FY2026 Forecast	YoY
Revenue	230.0 billion yen	101.1%
Operating profit	7.8 billion yen	103.8%
Ordinary income	8.5 billion yen	93.2%
Profit attributable to owners of parent	6.0 billion yen	80.8%

Shareholder Returns

The company has revised its dividend policy, changing from (previous policy) profit distribution based on stable dividends to (new policy) profit distribution based on progressive dividends during the period of the medium-term management plan “GIC30” (the fiscal year ending March 2027 through the fiscal year ending March 2031). The annual dividend was 100 yen per share in both the fiscal year ended March 2025 and the fiscal year ended March 2026, and the company forecasts an annual dividend of 120 yen for the fiscal year ending March 2027 (an increase of 20 yen from the previous year).

Item	FY ended Mar. 2024	FY ended Mar. 2025	FY ended Mar. 2026	FY ended Mar. 2027 (Forecast)
Annual dividend per share	100 yen	100 yen	100 yen	120 yen

Medium-Term Plan / Topics

At the results briefing held on June 1, 2026, the company announced its new medium-to-long-term management plan “GIC30,” targeting revenue of 300.0 billion yen in fiscal 2030. As quantitative targets, compared with FY2025 actual results (revenue of 227.5 billion yen, operating profit of 7.5 billion yen, operating margin of 3.3%, and an overseas-related revenue ratio of 19.2%), the plan targets, for fiscal 2030 (the final year of GIC30), revenue of 300.0 billion yen, operating profit of 12.0 billion yen, operating margin of 4.0%, and an overseas-related revenue ratio of 30%. Under its financial strategy, the company has set out shareholder returns based on a progressive dividend policy, and under its capital markets/IR strategy it aims to achieve a price-to-book ratio (PBR) of 1x or above through stronger and more stable shareholder returns.

As a topic, overseas, the company opened a branch in Chennai, India on May 22, 2026, and began operations there. Domestically, following the transfer of the Mitsubishi Electric FA equipment distributorship business from the Hyogo branch of Sanyo Mitsubishi Electric Sales Co., Ltd., the company relocated and consolidated its Himeji branch.

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.