In its earnings summary for the fiscal year ending August 2026, HKS CO.,LTD. reported a 10.2% increase in revenue to ¥9.8 billion, a 47.0% increase in operating profit to ¥500 million, and a 67.0% increase in net profit to ¥600 million, driven by strong aftermarket sales and the impact of the weaker yen. For the next fiscal year, however, the company expects lower profit due to foreign exchange effects and other factors.
HKS CO.,LTD.'s consolidated results for the fiscal year ending August 2026 showed revenue up 10.2% year on year to ¥9.8 billion, operating profit up 47.0% to ¥500 million, ordinary profit up 64.5% to ¥700 million, and net income attributable to owners of the parent up 67.0% to ¥600 million, resulting in substantial increases in both revenue and profit. The main factors were steady performance in the aftermarket business in Japan and overseas, growth in sales to the United States, and an increase in the yen-converted value of foreign-currency-denominated sales due to the weaker yen. Meanwhile, revenue from the contract manufacturing business declined due to the impact of inventory adjustments.
On the financial front, total assets increased 3.9% from the end of the previous fiscal year to ¥13.7 billion. Cash and deposits, included in current assets, rose 23.3%, while electronically recorded obligations decreased 84.8% and short-term borrowings decreased 38.7%. Net assets increased 6.6% from the end of the previous fiscal year to ¥11.3 billion, and the equity ratio improved to 82.5%.
Operating activities generated positive cash flow of ¥800 million, investing activities used ¥500 million, and financing activities used ¥100 million. Cash and cash equivalents at the end of the fiscal year increased 8.4% from the end of the previous fiscal year to ¥1.7 billion. Looking ahead, for the full fiscal year ending August 2027, the company expects consolidated revenue to be largely flat at ¥9.9 billion, operating profit of ¥600 million, ordinary profit of ¥500 million, and net income attributable to owners of the parent of ¥400 million, representing a substantial decline in profit.