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Presentation materials for financial results6798SMK CorporationElectric Appliances & Precision Instruments

Financial Results Presentation for the Second Quarter (Interim Period) of the Fiscal Year Ending March 2027

In the first half, earnings increased and the Company returned to profitability, driven by the weaker yen, higher sales, fixed-cost reductions from structural reforms, and an improved cost ratio. First-half results exceeded the initial forecast, but the full-year earnings forecast was left unchanged.

Worth reading
90Important
Scored from 3 of 6 sections
Direction
Improvement
Direction inferred from the company’s description.
Scale
515
¥ million (year-on-year change in operating profit)
Wording
Conditional
How definitive the wording is.

Contents of this document

Presentation materials for financial resultsSecond quarter (interim period) of the fiscal year ending March 20277 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥24,793 million+7.1%
Operating profit¥397 million
Ordinary income¥561 million
Net income¥257 million
Operating profit margin
Rate1.6 %
Year-on-year change (points)2.1 %
Results for the three months of the current quarter
Net Sales
¥13,321 million
Operating profit
¥391 million
By segment
CS
Net Sales
¥6,623 million
Operating profit
¥398 million
SCI
Net Sales
¥6,684 million
Operating profit
¥57 million
Innovation center
Net Sales
¥12 million
Operating profit
¥-64 million
Full-year earnings forecast
Net Sales
¥49,000 million
Operating profit
¥800 million
Ordinary income
¥1,200 million
Net income for the current fiscal year
¥800 million
Earnings per share
¥126.41
Dividend
¥100
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Both sales and profit are progressing above the levels recorded in the same period of the previous year and the initial forecast
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Increase in revenue
¥727 million
Increase in variable cost ratio
¥-58 million
Higher variable cost ratio due to foreign exchange effects
¥-314 million
Higher fixed costs (labor costs, expenses and depreciation)
¥-155 million
Higher fixed costs due to foreign exchange effects
¥-725 million
Product mix and productivity improvements
¥256 million
Fixed cost reductions from structural reform programs, etc.
¥570 million
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Average Exchange Rate
1H¥160.25/USD
2H¥155.00/USD
USD/RMB6.92
USD/RM4.04
New initiatives
  • Fixed-cost reductions under the structural reform program
  • Concentration of development resources on voice analysis and electromyography sensors
Key KPIsA metric the company considers important as a management benchmark.
  • Interim net income per share¥40.71
  • Equity ratio53.5 %
    Year on year against the same period last year-0.6%
  • Operating cash flow¥1,807 million
  • Free cash flow¥916 million
Segment results
CS
Net Sales
¥12,500 million
Year-on-year change in revenue
12.7 %
Operating profit
¥668 million
Operating profit, year on year
1.1 %
SCI
Net Sales
¥12,277 million
Year-on-year change in revenue
2 %
Operating profit
¥-131 million
Change in operating profit
¥402 million
Innovation center
Net Sales
¥15 million
Year-on-year change in revenue
-26.6 %
Operating profit
¥-139 million
Change in operating profit
¥104 million
Annual Dividend
¥100 /share
Breakdown
Interim50
End of period50
Contents of this document
ItemDetails
Document typePresentation materials for financial results
Fiscal Period CoveredSecond quarter (interim period) of the fiscal year ending March 2027
Net Sales¥24,793 million (YoY +7.1%)
Operating profit¥397 million
Ordinary income¥561 million
Net income¥257 million
Operating profit marginRate 1.6 % / Year-on-year change (points) 2.1 %
Results for the three months of the current quarterNet Sales ¥13,321 million / Operating profit ¥391 million / By segment CS Net Sales ¥6,623 million / Operating profit ¥398 million / SCI Net Sales ¥6,684 million / Operating profit ¥57 million / Innovation center Net Sales ¥12 million / Operating profit ¥-64 million
Full-year earnings forecastNet Sales ¥49,000 million / Operating profit ¥800 million / Ordinary income ¥1,200 million / Net income for the current fiscal year ¥800 million / Earnings per share ¥126.41 / Dividend ¥100
Self-assessment against the planBoth sales and profit are progressing above the levels recorded in the same period of the previous year and the initial forecast
Segment resultsCS Net Sales ¥12,500 million / Year-on-year change in revenue 12.7 % / Operating profit ¥668 million / Operating profit, year on year 1.1 % / SCI Net Sales ¥12,277 million / Year-on-year change in revenue 2 % / Operating profit ¥-131 million / Change in operating profit ¥402 million / Innovation center Net Sales ¥15 million / Year-on-year change in revenue -26.6 % / Operating profit ¥-139 million / Change in operating profit ¥104 million
Breakdown of Factors Affecting the ChangeIncrease in revenue ¥727 million / Increase in variable cost ratio ¥-58 million / Higher variable cost ratio due to foreign exchange effects ¥-314 million / Higher fixed costs (labor costs, expenses and depreciation) ¥-155 million / Higher fixed costs due to foreign exchange effects ¥-725 million / Product mix and productivity improvements ¥256 million / Fixed cost reductions from structural reform programs, etc. ¥570 million
Key KPIsIndicator name Interim net income per share / Value ¥40.71 / Year on year against the same period last year Not disclosed, Indicator name Equity ratio / Value 53.5 % / Year on year against the same period last year -0.6 %, Indicator name Operating cash flow / Value ¥1,807 million / Year on year against the same period last year Not disclosed, Indicator name Free cash flow / Value ¥916 million / Year on year against the same period last year Not disclosed
Assumptions Underlying the Business OutlookAverage Exchange Rate 1H ¥160.25/USD / 2H ¥155.00/USD / USD/RMB 6.92 / USD/RM 4.04
Annual Dividend¥100 /share
New initiativesFixed-cost reductions under the structural reform program, Concentration of development resources on voice analysis and electromyography sensors
Items this document does not state (15)
Gross Profit MarginSelling, general and administrative expensesProgress against full-year forecastUnit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookMedium-term management plan targetsFinancial targetsPayout ratioAcquisition of treasury sharesCapital expendituresOrders received and order backlogMarket Size / ShareKey points of the Q&A

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

The Company cited higher sales, fixed-cost reductions under its structural reform program, and improvements in variable-cost and cost ratios as the main factors. Meanwhile, the appreciation of the RMB and RM had a negative foreign-exchange impact.

How to read this page

This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Financial Results Presentation for the Second Quarter (Interim Period) of the Fiscal Year Ending March 2027 | SMK Corporation (6798) timely disclosure | Komori