TAMURA CORPORATION (6768): FY2025 Results Summary — Record Sales on AI Data Center Demand, Net Loss on Structural Reform Costs

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TAMURA CORPORATION (Security Code: 6768, Prime Market, Tokyo Stock Exchange) released its “Financial Results for FY2025” presentation on May 13, 2026. In the company’s notation, FY2025 refers to the fiscal year ending March 2026. The company operates in three business areas: Electronic Components, Electronic Chemicals / FA Systems, and Information Equipment. For FY2025, sales reached a record high of JPY 123.6B and operating profit was JPY 5.3B, while the company recorded a net loss of JPY 1.4B as it accelerated structural reforms. For FY2026 (ending March 2027), the company guides for sales of JPY 130.0B, operating profit of JPY 5.6B, and net income of JPY 4.5B, describing the year as monetizing structural improvements for a V-shaped recovery and a transition to a growth phase.

Consolidated Results (Full-Year Actual)

Sales increased JPY 9.5B year on year, comprising volume growth of +JPY 8.2B and material cost pass-through of +JPY 1.6B, with the AI data center and smartphone markets performing strongly. Operating profit increased JPY 0.1B: sales expansion contributed +JPY 3.0B, while material cost inflation (-JPY 1.9B), structural improvements (-JPY 1.0B), and SG&A and other (-JPY 0.4B) weighed on profit, with surging material costs pressuring Electronic Chemicals in particular. The net result decreased JPY 4.2B to a net loss, mainly reflecting structural improvements (-JPY 3.5B) — costs recorded to improve profitability, including the transfer of a China equity-method affiliate, a special outplacement support program, and the Information Equipment business transfer loss.

Item [Million yen]	FY2024 Actual	FY2025 Actual	Change	%
Sales	114,051	123,559	+9,508	+8.3%
Operating Profit	5,195	5,287	+92	+1.8%
Operating Profit %	4.6%	4.3%	-0.3pt
Net Profit (Loss)	2,782	-1,385	-4,167	Turned to a loss
ROE	4.6%	-2%	-6.8pt	–
ROIC	4.8%	3.6%	-1.2pt	–
DPS	JPY 13*	JPY 13	–	–

*The dividend for FY2024 includes a commemorative dividend of JPY 3.

Segment Results

By business (in 100 million yen), Electronic Components sales rose 6.2% to 815, as large transformers & reactors performed strongly, driven by AI data center demand in the US, and home appliance demand remained steady; segment operating profit was 33 (+1.0%), with costs incurred for production transfers, inventory adjustments, and personnel reallocation associated with China operations restructuring. Elec Chemicals & Soldering Systems sales rose 15.5% to 399 on expanded AI server demand and solid smartphone applications, with selling price adjustments reflecting surging metal prices (tin, silver, etc.); operating profit rose 8.8% to 33, as both insulating and bonding materials grew while surging material costs pressured profitability. Information Equipment sales fell 25.4% to 21 amid a continued challenging capital expenditure environment in the broadcasting industry, and its operating loss widened from ▲2 to ▲6.

By area (in 100 million yen), sales in Europe and the Americas rose 16.1% to 357 on expanding demand from AI data center customers, Other Asia rose 17.2% to 240, and China rose 12.7% to 297, while Japan fell 6.3% to 342 — broadcasters continued to take a cautious stance on capital expenditure, and part of a Japan-focused consolidated subsidiary was transferred to a third party in June 2025. Operating profit in Japan turned to a loss of ▲6, reflecting widening losses in the Information Equipment business and production restructuring-related costs.

Segment [100 million yen]	Metric	FY2024	FY2025	Change %
Electronic Components	Sales	768	815	+6.2%
Electronic Components	Operating Profit	33	33	+1.0%
Elec Chemicals & Soldering Systems	Sales	346	399	+15.5%
Elec Chemicals & Soldering Systems	Operating Profit	31	33	+8.8%
Information Equipment	Sales	29	21	-25.4%
Information Equipment	Operating Profit	▲2	▲6	Loss Widened

FY2026 Forecast

For FY2026, the company plans to complete structural improvements in the first half and transition to a growth phase from the second half, targeting record-high operating profit and continued enhancement of shareholder returns. The forecast excludes the Information Equipment business, which is scheduled to be transferred on October 1, 2026 (second-half figures exclude it; the company also provides reference figures including that business: a comparable year-on-year change of +9,158 in sales and +775 in operating profit, in million yen). Growth initiatives include expanding into the AI data center segment centered on Europe and North America, entry into the Medium Voltage (MV) market through a business alliance with a European partner, and balance sheet improvement.

Item [Million yen]	FY2026 Forecast	FY2025 Actual	Change	%
Sales	130,000	123,559	+6,441	+5.2%
Operating Profit	5,600	5,287	+313	+5.9%
Operating Profit %	4.3%	4.3%	+0.0pt
Net Profit (Loss)	4,500	▲1,385	+5,885	Return to profitability
ROE	7.0%	▲2.2%	+9.2pt	–
ROIC	4.4%	3.6%	+0.8pt	–
DPS	JPY 16.00	JPY 13.00	+JPY 3	+23.1%

By business (in 100 million yen), Electronic Components sales are forecast at 846 (+3.7%) with operating profit of 40 (+21.1%), supported by enhanced competitiveness and increased production capacity in the AI data center market. Elec Chemicals & Soldering Systems sales are forecast at 450 (+12.7%) with operating profit of 42 (+26.0%), on solid AI server-related demand and profit growth driven by a new model launch of mounting equipment. Information Equipment figures for FY2026 reflect the first half only: sales of 4 (-81.3%) and an operating loss of -4 (loss narrowing).

Segment [100 million yen]	Metric	FY2025	FY2026 Forecast	Change %
Electronic Components	Sales	815	846	+3.7%
Electronic Components	Operating Profit	33	40	+21.1%
Elec Chemicals & Soldering Systems	Sales	399	450	+12.7%
Elec Chemicals & Soldering Systems	Operating Profit	33	42	+26.0%
Information Equipment*	Sales	21	4	-81.3%
Information Equipment*	Operating Profit	-6	-4	Loss narrowing

*Information Equipment figures for FY2026 reflect H1 only; the business transfer is scheduled for October 1, 2026.

Shareholder Returns

The FY2025 annual dividend was JPY 13 per share, presented in the deck as a dividend increase from JPY 10 to JPY 13 (the FY2024 dividend of JPY 13 included a commemorative dividend of JPY 3). The company also executed share buybacks of JPY 1B in FY2025. For FY2026, the company forecasts an annual dividend of JPY 16.00 (JPY 8.00 interim and JPY 8.00 year-end), an increase of JPY 3 (+23.1%). Its stated policy is stable dividends as the foundation, targeting a DOE of 3%, while maintaining a flexible share buyback policy to build a stable shareholder base.

Medium-Term Plan / Topics

Under the 14th Medium-Term Management Plan, the company states it is executing ahead of schedule, driving structural reforms to achieve a PBR above 1x. Sales are expanding steadily, on track for a 7.8% CAGR ahead of initial projections; structural improvements were accelerated by one year and largely completed in Year 1, setting up a V-shaped recovery from FY2026; and FY2027 targets — operating margin of 7.0% or higher and ROE of 8.0% or higher — are on track. The reorganization and consolidation of China operations has reached a 70% progress rate toward a 30% reduction of production sites, and the special outplacement support program was completed in March 2026. Beyond the plan, the company’s Vision for 2030 targets sales of ¥150B or more, an operating margin of 10% or higher, ROE of 12% or higher, ROIC of 8% or higher, shareholder returns with DOE of 3% or higher, and a PBR of 1.0x or higher on a sustained basis.

In the North American AI data center market, the company estimates an approximately 40% share in PDU transformers for North American data centers (in-house estimate) and plans to expand large transformer & reactor production capacity at its Mexico plant by +200% by 2027 (vs. 2025), while adding MV products through the alliance with a European company. In growth-focused R&D, Novel Crystal Technology, Inc. (NCT), a non-consolidated affiliate established from the company’s R&D department, is advancing research and development of gallium oxide (Ga2O3) power semiconductors — a new semiconductor material for power devices with larger band-gap energy and low costs compared with SiC and GaN — expected to contribute to carbon neutrality.

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.