Chino Corporation (6850): FY2025 Results Summary — Record Profits for a Fourth Consecutive Year

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

Chino Corporation (6850, Tokyo Stock Exchange Prime Market) reported consolidated results for FY2025, the fiscal year ended March 31, 2026. Net sales rose 7.9% year on year to 31,648 million yen, marking six consecutive fiscal years of revenue growth, and net sales and all profit figures reached record highs, with profits at record levels for four consecutive fiscal years. Operating profit increased 12.0% to 3,225 million yen on higher revenue and ongoing cost-reduction efforts. For FY2026, the company forecasts increases in both revenue and profit, and guides for a total dividend of 60 yen per share including a commemorative dividend.

Note: Year labels in this article follow the company’s materials, in which FY2025 refers to the fiscal year ended March 31, 2026.

Consolidated Results (Full-Year Actual)

Orders received increased 1.7% to 30,239 million yen. Although orders in the Instrumentation Systems segment decreased against the previous fiscal year, which included a large-scale project, overall orders increased on a significant rise in demand in the Sensors segment. Net sales increased as customers’ capital investment remained robust, and profits increased due to higher revenue and ongoing cost-reduction efforts.

Item (Millions of yen)	FY2024	FY2025	Change	Change (%)
Orders received	29,721	30,239	517	1.7%
Net sales	29,329	31,648	2,318	7.9%
Gross profit	9,366	9,955	589	6.3%
Operating profit	2,879	3,225	346	12.0%
Ordinary profit	3,034	3,326	291	9.6%
Profit attributable to owners of parent	1,991	2,042	50	2.5%

Results exceeded the company’s forecast announced on May 13, 2025 across all categories: net sales exceeded the forecast by 1,648 million yen (5.5%), operating profit by 325 million yen (11.2%), ordinary profit by 276 million yen (9.1%), and profit attributable to owners of parent by 42 million yen (2.1%). The equity ratio as of March 31, 2026 was 56.9% (down 1.3 points from the previous period-end). Cash flows from operating activities were an inflow of 2,904 million yen and free cash flow was 1,378 million yen. Capital expenditures for the period amounted to 1,376 million yen (up 433 million yen year on year), including 681 million yen for land acquisition.

Segment Results

In Measurement & Control Instruments, overall demand remained strong, particularly for manufacturing equipment for semiconductors and electronic components as well as heat treatment systems, but revenue declined due to a temporary slump in demand for OEM products for specific customers, and segment profit also declined. In Instrumentation Systems, demand continued for fuel cell testing systems for automobiles and water electrolysis testing systems related to decarbonization, and both revenue and profit increased. In Sensors, demand remained strong for semiconductor and electronic component manufacturing equipment and thermal processing applications, and increased revenue from group company Meiyo Electric Co., Ltd., which manufactures and sells temperature sensors for ships, contributed to growth.

Segment (Millions of yen)	Metric	FY2024	FY2025	Change (%)
Measurement & Control Instruments	Net sales	9,744	9,608	▲1.4
Measurement & Control Instruments	Segment profit	1,511	1,479	▲2.1
Instrumentation Systems	Net sales	9,958	11,695	17.4
Instrumentation Systems	Segment profit	1,551	1,663	7.2
Sensors	Net sales	8,597	9,188	6.9
Sensors	Segment profit	1,706	2,098	23.0
Others	Net sales	1,029	1,155	12.3
Others	Segment profit	251	317	25.9
Corporate expenses	Segment profit	▲2,142	▲2,332	—
Total	Net sales	29,329	31,648	7.9
Total	Segment profit (Operating profit)	2,879	3,225	12.0

By region, domestic sales were 24,482 million yen (23,141 million yen in the previous year), an increase of 1,340 million yen, and overseas sales increased by 977 million yen. Asia contributed 6,401 million yen (5,531 million yen), an increase of 870 million yen, including India (+443 million yen) and Thailand (+375 million yen); within Asia, China was 2,782 million yen (2,629 million yen) and Korea 1,741 million yen (1,537 million yen). North America was 469 million yen (447 million yen), Europe 201 million yen (150 million yen), and other regions 94 million yen (59 million yen).

FY2026 Forecast

Although uncertainty is increasing due to soaring crude oil prices and rising volatility in financial markets caused by escalating tensions in the Middle East, the company expects both revenue and profit to increase year over year in its FY2026 earnings forecast (announced on May 14, 2026), based on the assumption of growing demand from major customers in the automotive and electronic components sectors, among others, and in hydrogen-related fields aimed at achieving a decarbonized society.

Item (Millions of yen)	FY2026 Forecast	FY2025 Results	Change	Change (%)
Net sales	32,500	31,648	852	2.7%
Operating profit	3,300	3,225	75	2.3%
Ordinary profit	3,400	3,326	74	2.2%
Profit attributable to owners of parent	2,150	2,042	108	5.3%

Shareholder Returns

The company conducted a two-for-one share split on October 1, 2025, and the dividend figures below are on a post-share split basis. For FY2025, the interim dividend was 12.5 yen and the year-end dividend (plan) is 30 yen, for a total of 42.5 yen (forecast), a 2.5 yen increase from the previous fiscal year. For FY2026, the company forecasts an interim dividend of 20 yen and a year-end dividend of 30 yen plus a commemorative dividend of 10 yen, for a total of 60 yen.

Item (yen, post-share split)	FY2024 (Actual)	FY2025 (Plan)	FY2026 (Forecast)
Interim dividend	12.5	12.5	20
Year-end dividend	27.5	30	30
Commemorative dividend	—	—	10
Total dividend	40	42.5	60
Dividend payout ratio (Dividend: Ordinary)	34.1%	35.3%	38.1%
Dividend payout ratio (Dividend: Ordinary + Commemorative)	—	—	45.7%

The Board of Directors resolved on November 12, 2025 to repurchase treasury shares, aiming to enhance shareholder returns while improving capital efficiency and enabling flexible capital policies. The repurchase period is from November 13, 2025 to November 12, 2026, with a maximum of 860,000 shares (5.05% of total issued shares excluding treasury shares) and a total amount of 1,300 million yen; the repurchased shares are intended for cancellation. As of April 30, 2026 (trade basis), 388,500 shares had been repurchased for 581 million yen.

Topics

In conjunction with the two-for-one share split (record date September 30, 2025; effective October 1, 2025), which aims to lower the investment unit, improve share liquidity, and expand the investor base, the company enhanced its shareholder benefit program: the minimum holding for eligibility was reduced so that shareholders holding 300 shares or more (post-split basis) as of the end of March are eligible, effective with the March 31, 2026 base date. The company also published the Chino Report 2025 (English version), its annual integrated report, on December 26, 2025.

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.