Amano Corporation (6436): FY2025 Results Summary — Net Income Up 13.0% on Flat Sales; 10th Medium-Term Plan Targets Net Sales of 200.0 Billion Yen by FY2028

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

Amano Corporation (6436) released its “Fiscal Year 2025 (The year ended March 2026) Year End Business Results” presentation. In the company’s materials, “FY2025” refers to the fiscal year from April 2025 to March 2026. Consolidated net sales rose 0.6% year on year to 176,467 million yen, while operating profit declined 2.1% to 22,551 million yen and ordinary profit fell 1.2% to 24,358 million yen. Net income attributable to owners of the parent company increased 13.0% to 20,146 million yen, exceeding the plan of 18,000 million yen. The annual dividend for FY2025 was 180.0 yen per share (interim 55.0 yen, year-end 125.0 yen), and the company announced its 10th Medium-Term Business Plan (FY2026–FY2028), targeting net sales of 200.0 billion yen, operating profit of 28.0 billion yen and ROE of over 14% in FY2028.

Consolidated Results (Full-Year Actual)

Consolidated net sales were 176,467 million yen, up 0.6% from 175,423 million yen in FY2024 but short of the plan of 180,000 million yen. Gross profit increased 1.8% to 80,291 million yen (gross margin 45.5% vs. 45.0%), while SG&A expenses rose 3.3% to 57,740 million yen (32.7% of sales vs. 31.8%). As a result, operating profit decreased 2.1% to 22,551 million yen (plan: 24,500 million yen) and the operating profit ratio slipped 0.3Pt to 12.8%. Ordinary profit was 24,358 million yen, down 1.2% (plan: 26,000 million yen). Net income attributable to owners of the parent company rose 13.0% to 20,146 million yen, above the plan of 18,000 million yen; the quarterly breakdown shows extraordinary profit of 1,739 million yen recorded in the fourth quarter (1,868 million yen for the full year). Average FX rates were US$149.78 and EUR169.51 for FY2025, compared with US$152.27 and EUR164.38 in FY2024.

Item (Millions of yen)	FY2025 Plan	FY2025 Result	FY2024 Result	Change Y-o-Y
Net sales	180,000	176,467	175,423	+ 0.6%
Gross profit	82,600	80,291	78,909	+ 1.8%
SG&A	58,100	57,740	55,869	+ 3.3%
Operating profit	24,500	22,551	23,040	(2.1%)
Operating profit ratio	13.6%	12.8%	13.1%	(0.3Pt)
Ordinary profit	26,000	24,358	24,642	(1.2%)
Net income attributable to owners of the parent company	18,000	20,146	17,828	+ 13.0%

On a non-consolidated basis (ACJ: Amano Corporation Japan), net sales fell 2.8% to 76,689 million yen, operating profit declined 11.1% to 12,912 million yen (operating profit ratio 16.8% vs. 18.4%), ordinary profit decreased 13.5% to 17,695 million yen and net income fell 12.0% to 14,393 million yen. On the balance sheet, total assets at March 31, 2026 were 193,096 million yen (down 1,242 million yen), with cash and bank deposits of 60,786 million yen (down 5,680 million yen), and net assets of 139,212 million yen (up 2,649 million yen). Cash flow from operating activities was 24,937 million yen (+265 million yen), cash flow from investing activities was (6,560) million yen, free cash flow was 18,377 million yen, and cash flow from financing activities was (26,177) million yen; cash and cash equivalents at the end of the period were 48,873 million yen.

Segment Results

Amano reports two business segments. The Time Information System business (Information Systems, Time Management Products and Parking Systems) posted net sales of 136,925 million yen, up 0.8%, and operating profit of 22,064 million yen, down 3.4% (operating profit ratio 16.1% vs. 16.8%). The Environment System business (Environmental Systems and Clean Systems) recorded net sales of 39,541 million yen, down 0.1%, and operating profit of 4,918 million yen, up 8.7% (operating profit ratio 12.4% vs. 11.4%). Company-wide expenses were (4,432) million yen versus (4,316) million yen.

Business division (Millions of yen)	FY2025 Plan	FY2025 Result	Composition	FY2024 Result	Change Y-o-Y
Information Systems	41,600	41,631	23.6%	39,953	+ 4.2%
Time Management Products	2,400	2,251	1.3%	2,436	(7.6%)
Parking Systems	95,100	93,042	52.7%	93,459	(0.4%)
Time Information System business	139,100	136,925	77.6%	135,849	+ 0.8%
Environmental Systems	26,000	25,557	14.5%	25,306	+ 1.0%
Clean Systems	14,900	13,983	7.9%	14,267	(2.0%)
Environment System business	40,900	39,541	22.4%	39,574	(0.1%)
Grand total	180,000	176,467	100.0%	175,423	+ 0.6%

By division: Information Systems sales rose 4.2% to 41,631 million yen, driven by sales expansion of the new T&A management system “TimePro-eX”, higher software and hardware (T&A terminals) sales and increased sales at Amano Business Solutions Corporation in Japan; overseas, sales were lower at Accu-Time Systems Inc. in North America and higher at Horoquartz, S.A. in Europe (exchange rate impact). Time Management Products sales fell 7.6% to 2,251 million yen on lower sales of standard time recorders and the TimeP@CK series. Parking Systems sales were 93,042 million yen, down 0.4%: domestic sales decreased due to a backlash reduction in demand, with lower sales of system equipment, maintenance and supply, while bicycle parking systems sales were higher and parking management contract services at Amano Management Service Corporation remained firm; overseas, Amano McGann Inc. of North America increased sales and became profitable, and sales were higher at Amano Korea. Environmental Systems sales rose 1.0% to 25,557 million yen, with higher sales of large-scale systems offsetting lower sales of standard dust collection systems in Japan, while sales were lower in Asia and North America (Mexico). Clean Systems sales declined 2.0% to 13,983 million yen as the sales volume of the small robotic scrubber “HAPiiBOT” decreased (a backlash reduction in demand for large-scale projects) and sales were lower at Amano Pioneer Eclipse Corporation in North America, although sales of automatic floor scrubbers were higher.

By region, overseas group companies in total recorded net sales of 85,116 million yen (+3.0%) and operating profit of 6,244 million yen (+23.7%), with North America at 26,486 million yen in sales and 1,752 million yen in operating profit (FY2024: 293 million yen), Europe at 16,833 million yen and 2,300 million yen (+8.1%), and Asia at 41,797 million yen and 2,192 million yen ((16.5%)). Domestic group companies in total posted net sales of 25,597 million yen (+6.4%) and operating profit of 3,792 million yen ((1.4%)).

FY2026 Forecast

For FY2026 (April 2026 to March 2027), Amano forecasts consolidated net sales of 184,000 million yen (+4.3%), gross profit of 84,000 million yen (+4.6%; 45.7% of sales), SG&A of 60,000 million yen (+3.9%), operating profit of 24,000 million yen (+6.4%; operating profit ratio 13.0%), ordinary profit of 25,600 million yen (+5.1%) and net income attributable to owners of the parent company of 17,600 million yen ((12.6%)). The first-half plan calls for net sales of 86,400 million yen, operating profit of 10,200 million yen, ordinary profit of 10,900 million yen and net income of 7,400 million yen. Assumed FX rates are US$155.00 and EUR180.00. By division, sales are planned at 42,800 million yen for Information Systems (+2.8%), 2,400 million yen for Time Management Products (+6.6%), 96,800 million yen for Parking Systems (+4.0%), 27,000 million yen for Environmental Systems (+5.6%) and 15,000 million yen for Clean Systems (+7.3%). By segment, operating profit is planned at 23,400 million yen for the Time Information System business (+6.1%; ratio 16.5%) and 5,700 million yen for the Environment System business (+15.9%; ratio 13.6%), with company-wide expenses of (5,100) million yen.

Item (Millions of yen)	FY2026 Plan	Change Y-o-Y	FY2026 1st Half Plan	FY2025 Result
Net sales	184,000	+ 4.3%	86,400	176,467
Gross profit	84,000	+ 4.6%	39,200	80,291
SG&A	60,000	+ 3.9%	29,000	57,740
Operating profit	24,000	+ 6.4%	10,200	22,551
Operating profit ratio	13.0%	—	11.8%	12.8%
Ordinary profit	25,600	+ 5.1%	10,900	24,358
Net income attributable to owners of the parent company	17,600	(12.6%)	7,400	20,146

Shareholder Returns

Amano’s dividend policy is stable dividends, performance-based profit distributions and flexible share repurchases, with targets of a consolidated dividend payout ratio above 60.0%, a total return ratio above 70.0% and a net asset payout ratio with a lower limit of 2.5%. The FY2025 annual dividend was 180.0 yen per share (interim 55.0 yen, year-end 125.0 yen), up from 175.0 yen in FY2024 (interim 50.0 yen, year-end 125.0 yen); the consolidated dividend payout ratio was 62.8% (FY2024: 70.7%) and the total return ratio was 93.1% (FY2024: 89.7%). For FY2026, the company forecasts an annual dividend of 180.0 yen (interim 55.0 yen, year-end 125.0 yen), a payout ratio of 71.5% and a total return ratio of 85.1%. During FY2025 the company acquired 900,000 treasury shares for 3,901 million yen in April–July 2025 and 1,147,000 shares for 4,489 million yen in February 2026, and on August 8, 2025 it cancelled 5,551,700 shares (7.24% of shares outstanding before cancellation), leaving 71,106,129 shares outstanding after cancellation. Under the cash allocation policy for FY2026–FY2028, the company plans to allocate its three-year operating cash flow of approx. ¥66 Bil to CAPEX (15%), growth investments (10%+) and shareholder returns (30%+), maintaining cash and bank deposits of approx. ¥60 billion, with any excess cash above ¥60.0 billion to be used for shareholder returns.

Item	FY2024	FY2025	FY2026 Forecast
Interim dividend (yen)	50.0	55.0	55.0
Year-end dividend (yen)	125.0	125.0	125.0
Annual dividend (yen)	175.0	180.0	180.0
Consolidated dividend payout ratio (%)	70.7	62.8	71.5
Total return ratio (%)	89.7	93.1	85.1

Medium-Term Plan / Topics

Reviewing the 9th Medium-Term Business Plan (FY2023–FY2025), the company states that performance exceeded the initial plan, driven by the combined effects of a weaker yen and exceptional domestic demand in Japan: net sales rose from 132.8 Billion yen in FY2022 to 176.4 Billion yen in FY2025 (+32.9%), operating profit from 15.7 Billion yen to 22.5 Billion yen (+42.8%), the operating profit ratio from 11.9% to 12.8% (+0.9Pt) and ROE from 9.6% to 14.7% (+5.1Pt; the FY2025 figure includes one-off factors such as gains on the sale of investment securities and tax adjustments arising from the recognition of deferred tax assets). Although the operating margin did not meet the revised plan, targets under the initial plan formulated in FY2022, including ROE, were achieved.

The 10th Medium-Term Business Plan (FY2026–FY2028), positioned as “The 5th Stage Towards a 100-year Company” under the concept “Accelerating Corporate Transformation to Achieve Sustainable Management”, sets consolidated numerical targets for FY2028 of net sales of 200.0Bil yen, operating profit of 28.0Bil yen, an operating profit ratio of 14% and ROE of over 14%, with average annual sales growth of 5%. The year-by-year plan is net sales of 184,000 million yen, 192,000 million yen and 200,000 million yen and operating profit of 24,000 million yen, 26,000 million yen and 28,000 million yen for FY2026, FY2027 and FY2028 respectively. Growth is to be driven by three core growth drivers plus one: (1) Information Systems — deepening and expansion of the HR domain with AI integration; (2) Parking Systems — expansion of data center–centric next-generation products and management services; (3) Clean Systems — cleaning robots (expanded product lineup) × cloud services; plus one — expansion of existing businesses into new overseas markets and regions. The long-term framework also targets a market capitalization of over ¥500 Billion yen toward the 100th anniversary in November 2031, and sets aside approx. ¥20.0 Bil of funds for M&A.

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.