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Presentation materials for financial results6958CMK CORPORATIONElectrical Equipment and Precision Instruments

Reference Materials for the First Quarter Financial Results for the Fiscal Year Ending March 2027

In the first quarter of the fiscal year ending March 2027, revenue and operating income exceeded the prior-year quarter, while ordinary income declined due in part to foreign exchange effects, and net income attributable to owners of the parent was a loss. The full-year revenue and profit forecasts were also revised upward.

Worth reading
47Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
4412
¥ million (year-on-year increase in first-quarter revenue)
Wording
Avoiding a definitive answer
How definitive the wording is.

Contents of this document

Presentation materials for financial resultsFirst quarter 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¥27,191 million+19.4%
Operating profit¥385 million+140.6%
Ordinary income¥127 million-43.0%
Net income¥-149 million-286.3%
Operating profit margin1.4 %
Results for the three months of the current quarterRevenue: ¥27,191 million; operating income: ¥385 million; ordinary income: ¥127 million; net loss: ¥149 million (standalone first quarter)
Full-year earnings forecast
Net Sales
¥110,000 million
Operating profit
¥5,000 million
Ordinary income
¥4,700 million
Net income
¥3,000 million
Operating profit margin
4.5 %
Average Exchange Rate
158 Yen/Dollar
What the company explained in this material
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Higher depreciation expenses at the new plant in Thailand, higher costs during the initial operating phase, foreign exchange effects, improved yields, and growth in high-value-added products. Amounts by factor: Not disclosed.
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Average Exchange Rate
158 Yen/Dollar
New initiatives
  • Full-scale launch of the four working groups of the Corporate Value Enhancement Committee: growth strategy, value-added enhancement, governance enhancement, and IR enhancement
  • Consideration of elemental development and strategic investment plans to expand mass-production projects in new fields, including AI, semiconductors, and aerospace
  • Consideration of measures to improve yields and cost competitiveness at the Thailand plant and reduce inventories
  • Increasing staffing for the IR function and strengthening information disclosure
Segment results
  • Japan
    Net Sales¥17,756 million (YoY +29.1%)
    Operating profit¥1,123 million (YoY +589.0%)
  • China
    Net Sales¥3,694 million (YoY -7.8%)
    Operating profit¥565 million (YoY +17.5%)
  • Southeast Asia
    Net Sales¥4,712 million (YoY +16.6%)
    Operating profit¥-903 million (YoY -594.6%)
  • Europe and North America
    Net Sales¥1,027 million (YoY +5.0%)
    Operating profit¥40 million (YoY -36.1%)
  • Eliminations or corporate
    Operating profit¥-440 million
Medium-term management plan targets
ROE
ROE target: more than 9%
Target fiscal yearNot disclosed
Interim ROE target
6.5％
Target fiscal yearFiscal year ending March 2029
Consolidated operating income level
Not disclosed
Target fiscal yearFiscal year ending March 2029
Financial targets
ROE
TargetROE target: more than 9%
Interim target6.5% (fiscal year ending March 2029)
Capital expenditures
¥1,707 million first-quarter actual, consolidated and cash-flow basis
Contents of this document
ItemDetails
Document typePresentation materials for financial results
Fiscal Period CoveredFirst quarter of the fiscal year ending March 2027
Net Sales¥27,191 million (YoY +19.4%)
Operating profit¥385 million (YoY +140.6%)
Ordinary income¥127 million (YoY -43.0%)
Net income¥-149 million (YoY -286.3%)
Operating profit margin1.4 %
Results for the three months of the current quarterRevenue: ¥27,191 million; operating income: ¥385 million; ordinary income: ¥127 million; net loss: ¥149 million (standalone first quarter)
Full-year earnings forecastNet Sales ¥110,000 million / Operating profit ¥5,000 million / Ordinary income ¥4,700 million / Net income ¥3,000 million / Operating profit margin 4.5 % / Average Exchange Rate 158 Yen/Dollar
Segment resultsSegment Japan / Net Sales ¥17,756 million (YoY +29.1%) / Operating profit ¥1,123 million (YoY +589.0%), Segment China / Net Sales ¥3,694 million (YoY -7.8%) / Operating profit ¥565 million (YoY +17.5%), Segment Southeast Asia / Net Sales ¥4,712 million (YoY +16.6%) / Operating profit ¥-903 million (YoY -594.6%), Segment Europe and North America / Net Sales ¥1,027 million (YoY +5.0%) / Operating profit ¥40 million (YoY -36.1%), Segment Eliminations or corporate / Net Sales Not disclosed / Operating profit ¥-440 million
Breakdown of Factors Affecting the ChangeHigher depreciation expenses at the new plant in Thailand, higher costs during the initial operating phase, foreign exchange effects, improved yields, and growth in high-value-added products. Amounts by factor: Not disclosed.
Assumptions Underlying the Business OutlookAverage Exchange Rate 158 Yen/Dollar
Medium-term management plan targetsROE ROE target: more than 9% / Interim ROE target 6.5％ / Consolidated operating income level Not disclosed
Financial targetsROE Target ROE target: more than 9% / Interim target 6.5% (fiscal year ending March 2029)
Capital expenditures¥1,707 million (first-quarter actual, consolidated and cash-flow basis)
New initiativesFull-scale launch of the four working groups of the Corporate Value Enhancement Committee: growth strategy, value-added enhancement, governance enhancement, and IR enhancement, Consideration of elemental development and strategic investment plans to expand mass-production projects in new fields, including AI, semiconductors, and aerospace, Consideration of measures to improve yields and cost competitiveness at the Thailand plant and reduce inventories, Increasing staffing for the IR function and strengthening information disclosure
Items this document does not state (15)
Gross Profit MarginSelling, general and administrative expensesProgress against full-year forecastSelf-assessment against the planKey KPIsUnit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookAnnual DividendPayout ratioAcquisition of treasury sharesOrders 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 increases in revenue and operating income were driven by growth in the mobility sector, particularly powertrain and driving safety systems, as well as high-value-added products. The decline in ordinary income was due to foreign exchange effects, while the net loss and pressure on operating income were attributable to higher depreciation expenses at the new plant in Thailand and higher costs during the initial operating phase. Going forward, improvements in Southeast Asia are expected as operations at the new Thailand plant progress and yields improve.

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.
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Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Reference Materials for the First Quarter Financial Results for the Fiscal Year Ending March 2027 | CMK CORPORATION (6958) timely disclosure | Komori