Torishima Pump Mfg. Co. announced upward revisions to its forecasts and an increase in its dividend, maintaining a world-leading position in high-pressure pumps for seawater desalination. It raised its fiscal 2027 earnings forecasts following the completion of its acquisition of shares in 新日本造機.
Torishima Pump Mfg. Co. is a long-established specialist pump manufacturer founded in 1919. It has strengths in large-scale and high-pressure pumps for water and wastewater infrastructure, power plants and seawater desalination facilities, and supplies pumps to many seawater desalination plants worldwide. It maintains a world No. 1 position in high-pressure pumps for the seawater desalination market.
For the fiscal year ended March 2026, sales rose 7.4% year on year to ¥92.927 billion and ordinary profit increased 14.6% to ¥5.004 billion. Despite declining demand in the seawater desalination market, sales reached a record high as the company focused on the power market. The company indicated that growth in generative AI is providing a tailwind amid a sharp increase in electricity demand from data centers in North America.
Following the completion of its acquisition of shares in 新日本造機 on 1 July, the company raised its fiscal 2027 earnings forecasts as of the same date. The revised forecasts are sales of ¥1,039.0 billion, operating profit of ¥57.0 billion and ordinary profit of ¥48.0 billion. Operating profit is expected to increase year on year, while ordinary profit is expected to decline. The dividend per share was also raised from ¥64 to ¥68.
The current assumptions call for record-high order intake and sales, with the recovery trend expected to continue despite uncertainties surrounding the situation in the Middle East. The company has set long-term targets for fiscal 2029 of ¥100.0 billion in sales and ROE of 10.0%, and its dividend policy calls for DOE of 3.0% and a consolidated payout ratio of 35%.