Itoki Corporation (7972): FY2025 Results Summary — Record Sales and Profit for a Fourth Straight Year

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

Itoki Corporation, a Japanese office furniture and workplace solutions provider, reported record consolidated results for the fiscal year ended December 31, 2025. Net sales rose 11.0% year on year to 153.6 billion yen, a record high for the fourth consecutive fiscal year, while operating profit rose 35.8% to 13.6 billion yen, a record high for the third consecutive fiscal year, on healthy demand for office renovation projects and an improved profit margin from the value the company offers. The company raised its full-year dividend to 75 yen per share, up 20 yen from FY2024, and reported ROE of 17.7% and a payout ratio of 39.4%.

Consolidated Results (FY Ended December 31, 2025)

Sales were healthy mainly for renovation projects, and profit grew thanks to sales growth and the rise in profit margin caused by the improvement in value the company offers. All amounts below are in units of 100 million yen, as reported in the source materials.

Item	FY12/24 (Actual)	FY12/25 (Actual)	Change	Revised Full-Year Forecast
Net sales	1,384	1,536	+152 (+11.0%)	1,500 (Achievement rate: 102.5%)
Cost of sales	832 (60.1% of sales)	888 (57.8% of sales)	+56 (+6.7%)	—
Gross profit	552 (39.9% of sales)	648 (42.2% of sales)	+96 (+17.4%)	—
SG&A expenses	451 (32.6% of sales)	511 (33.3% of sales)	+60 (+13.3%)	—
Operating profit	100 (7.3% of sales)	136 (8.9% of sales)	+36 (+35.8%)	120 (Achievement rate: 114.0%)
Ordinary profit	100 (7.2% of sales)	137 (8.9% of sales)	+37 (+37.3%)	120 (Achievement rate: 114.5%)
Profit attributable to owners of parent	71 (5.2% of sales)	93 (6.1% of sales)	+21 (+30.6%)	83 (Achievement rate: 113.0%)

Segment Results

Workplace Business: sales were healthy mainly for renovation projects for new hybrid workstyles, and profit grew thanks to sales growth and the rise in profit margin caused by the improvement in value the company offers. Equipment & Public Works-Related Business: sales grew as equipment for research institutes sold well, although the start and completion of construction of logistics facilities were delayed due to the soaring of costs of materials for equipment; profit rose thanks to the sales growth and profit margin improvement of equipment for research institutes.

Segment / Metric	FY12/24 (Actual)	FY12/25 (Actual)	Change	Revised Full-Year Forecast
Workplace Business — Net sales	1,022	1,115	+92 (+9.1%)	1,130 (Achievement rate: 98.7%)
Workplace Business — Operating profit	80	109	+29 (+36.7%)	97 (Achievement rate: 113.4%)
Workplace Business — Operating profit margin	7.9%	9.9%	+2.0pts	8.6%
Equipment & Public Works-Related Business — Net sales	345	405	+59 (+17.3%)	360 (Achievement rate: 112.7%)
Equipment & Public Works-Related Business — Operating profit	18	24	+6 (+34.3%)	23 (Achievement rate: 108.4%)
Equipment & Public Works-Related Business — Operating profit margin	5.4%	6.1%	+0.7pts	6.4%
(Breakdown) Dalton — Net sales	195	214	+19 (+9.8%)	—
(Breakdown) Dalton — Operating profit	12	17	+5 (+41.3%)	—
(Breakdown) Dalton — Operating profit margin	6.2%	8.0%	+1.8pts	—

FY2026 Forecast

For the fiscal year ending December 31, 2026 — the final year of the medium-term management plan “RISE TO GROWTH 2026” — Itoki forecasts consolidated sales of 167.5 billion yen (up 9.0%) and operating profit of 16 billion yen (up 16.9%), with an operating profit margin of 9.6%.

Item	FY12/25 (Actual)	FY12/26 (Forecast)	Change
Sales	1,536	1,675	+139 (+9.0%)
Operating profit	136	160	+24 (+16.9%)
Ordinary profit	137	160	+23 (+16.5%)
Profit attributable to owners of parent	93	112	+19 (+19.4%)
Operating profit margin	8.9%	9.6%	+0.7pts

Shareholder Returns

Itoki pays dividends to shareholders continuously and stably while comprehensively considering the status of corporate revenues, the enrichment of internal reserve, and future business operations, paying a year-end dividend once a year as its basic policy. Going forward, the company will place more importance on shareholders and implement its dividend policy with the aim of achieving a payout ratio of 40%. For FY2025, the annual dividend per share was 75 yen, up 20 yen from 55 yen in FY2024, for a payout ratio of 39.4%. For FY2026, the company forecasts an annual dividend of 90 yen per share, for a forecast payout ratio of 39.7%.

Fiscal Year	FY12/2022	FY12/2023	FY12/2024	FY12/2025	FY12/2026 (Forecast)
Annual dividend per share (yen)	37	42	55	75	90
Payout ratio	—	—	37.4%	39.4%	39.7%

Medium-Term Plan / Topics

The theme of Itoki’s medium-term management plan “RISE TO GROWTH 2026” (2024–2026) is to raise sustainable growth capacity, and the company achieved its target sales one year earlier than planned. In 2026, the final fiscal year of the plan, Itoki aims to achieve sales of 167.5 billion yen, operating profit of 16 billion yen, an operating profit margin of 9.6%, an ROE of 18.5%, and a payout ratio of 40%. Between FY2024 and FY2025, the company reached 72% of the 70 billion yen cash allocation (including strategic expenditure) set in the plan, with R&D and strategic investment exceeding 50% of the plan. This cannot be confirmed from the materials for years beyond FY2026, as the next medium-term plan is scheduled to be disclosed in February 2027.

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.