RNS Number : 2729G
Maruwa Co Ld
05 November 2025
 

DISCLAIMER:                                                                 This document has been translated from a part of the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

 

November 5, 2025

Consolidated Financial Results for the Second Quarter of Fiscal Year 2025

 

Company name:            MARUWA CO., LTD.

Listing:                          Tokyo Stock Exchange / Nagoya Stock Exchange

Securities code:             5344

URL:                             https://www.maruwa-g.com/

Representative:              Toshiro Kambe, Representative Director and President

Inquiries:                       Daisuke Yamaguchi, Director and Head of Administration Division

Telephone:                     +81-561-51-0841

Scheduled date to file semi-annual securities report:                                                 November 13, 2025

Scheduled date to commence dividend payments:                                                     December 8, 2025

Preparation of supplementary material on financial results:                                      Yes

Holding of financial results briefing:                                                                        Yes (for analysts and institutional investors)

 

Rounded down to the nearest million yen

1.     Consolidated financial results for the six months ended September 30, 2025 (from April 1, 2025 to September 30, 2025)

(1)   Consolidated operating results                                                                                         (Percentages indicate year-on-year changes.)

 

Net sales

Operating profit

Ordinary profit

Profit attributable to owners of parent

Six months ended

Millions of yen

%

Millions of yen

%

Millions of yen

%

Millions of yen

%

September 30, 2025

33,115

(4.9)

10,843

(15.2)

11,123

(7.3)

7,413

(12.2)

September 30, 2024

34,822

24.1

12,789

47.9

11,999

24.8

8,440

24.5

Note:   Comprehensive income  For the six months ended September 30, 2025:                      \8,090 million           [(12.8)%]
For the six months ended September 30, 2024:                      \9,273 million             [24.7%]

 

Basic earnings per share

Diluted earnings per share

Six months ended

Yen

Yen

September 30, 2025

600.78

-

September 30, 2024

684.12

-

(2)   Consolidated financial position

 

Total assets

Net assets

Equity-to-asset ratio

As of

Millions of yen

Millions of yen

%

September 30, 2025

147,915

135,360

91.5

March 31, 2025

142,285

127,854

89.9

Reference:   Equity
As of September 30, 2025:                      \135,360 million
As of March 31, 2025:                           \127,854 million

2.     Cash dividends


Annual dividends per share

First quarter-end

Second quarter-end

Third quarter-end

Fiscal year-end

Total


Yen

Yen

Yen

Yen

Yen

Fiscal year ended
March 31, 2025

-

47.00

-

47.00

94.00

Fiscal year ending
March 31, 2026

-

51.00




Fiscal year ending
March 31, 2026 (Forecast)


 

 

51.00

102.00

Note: Revisions to the forecast of cash dividends most recently announced: None

3. Forecast of consolidated financial results for the fiscal year ending March 31, 2026 (from April 1, 2025 to March 31, 2026)

(Percentages indicate year-on-year changes.)

 

Net sales

Operating profit

Ordinary profit

Profit attributable to owners of parent

Basic earnings per share

 

Millions of yen

%

Millions of yen

%

Yen

%

Yen

%

Yen

Fiscal year ending
March 31, 2026

75,100

4.5

27,000

0.3

-

-

-

-

-

Note: Revisions to the earnings forecasts most recently announced: Yes



 

*   Notes

(1)   Significant changes in the scope of consolidation during the period: None

(2)   Adoption of accounting treatment specific to the preparation of semi-annual consolidated financial statements:None

(3)   Changes in accounting policies, changes in accounting estimates, and restatement

(i)      Changes in accounting policies due to revisions to accounting standards and other regulations: None

(ii)     Changes in accounting policies due to other reasons: None

(iii)    Changes in accounting estimates: None

(iv)    Restatement: None

(4)   Number of issued shares (common shares)

(i)      Total number of issued shares at the end of the period (including treasury shares)

As of September 30, 2025

12,372,000 shares

As of March 31, 2025

12,372,000 shares

(ii)     Number of treasury shares at the end of the period

As of September 30, 2025

33,264 shares

As of March 31, 2025

32,112 shares

(iii)    Average number of shares outstanding during the period(cumulative from the beginning of the fiscal year)

Six months ended September 30, 2025

12,339,262 shares

Six months ended September 30, 2024

12,339,942 shares

*   Semi-annual financial results reports are exempt from review conducted by certified public accountants or an audit firm.

*   Proper use of earnings forecasts, and other special matters

(Cautions on forward-looking statements, etc.)

The forward-looking statements, including forecasts of financial results, contained in these materials are based on information available to the Company and on certain assumptions deemed to be reasonable. Actual financial results may differ from the results anticipated in the statements due to various factors.



 

1. Overview of Operating Results, etc.

(1) Business Results

During the first half of the fiscal year ending March 31, 2026 (April 1 to September 30, 2025), concerns over geopolitical risks persisted due to ongoing developments in the Middle East and Ukraine, as well as the global focus on tariff policies involving the United States and other countries. In the high-tech market, rapid technological advancements and active investments were observed across a wide range of fields related to generative AI.

Working within this business environment, while the next-generation high-speed communications-related business remained at a high level, weaker market conditions were observed in the automobile- and semiconductor-related businesses.

As a result, consolidated net sales for the first half of the fiscal year ending March 31, 2026, decreased by 4.9% year on year to 33,115 million yen, operating profit decreased by 15.2% to 10,843 million yen, and ordinary profit decreased by 7.3% to 11,123 million yen. Net profit attributable to owners of the parent decreased by 12.2% year on year to 7,413 million yen.

For the full year, we expect a recovery trend in the automobile and semiconductor-related businesses starting from the third quarter. In addition, supported by the growth of the generative AI market, the telecommunication-related business is projected to see accelerated growth from the fourth quarter onward, driven by the full-scale launch of a successor model for next-generation high-speed communication.

Based on the above, we expect to achieve record-high results for the full year, with net sales of 75,100 million yen and operating profit of 27,000 million yen.

 

The annual dividend for the fiscal year ending March 31, 2026, is planned to be 102 yen per share, an increase of 8 yen from the previous fiscal year.

 

Sales and profits by segment are as follows.

 

(Ceramic Components Business)

In this segment, while the telecommunication-related business remained firm, the semiconductor- and automobile-related businesses experienced weaker market conditions.

As a result, net sales for the first half of the fiscal year ending March 31, 2026, decreased by 5.8% year on year to 28,950 million yen, and segment profit decreased by 16.0% year on year to 10,945 million yen.

For the full year, we expect a recovery trend in the automobile and semiconductor-related businesses, while growth in the telecommunication-related business is projected to accelerate with the full-scale launch of a successor model for next-generation high-speed communication, resulting in increases in both sales and profits.

 

(Lighting Equipment Business)

This segment saw steady performance, mainly in high-end lighting products, supported by increasing demand for LEDs due to Japan's upcoming policy to phase out fluorescent lamp production by 2027 and the expansion of the high-end new condominium market in metropolitan area.

As a result, net sales for the first half of the fiscal year ending March 31, 2026, increased by 1.5% year on year to 4,164 million yen, while segment profit rose by 42.4% year on year to 702 million yen.

For the full year, we expect business performance to remain solid, mainly driven by high-end lighting for the high-end new condominium market in metropolitan area.

 

(2) Financial Conditions

(Assets)

Current assets at the end of the first half of the fiscal year ending March 31, 2026, totaled 99,535 million yen, a decrease of 754 million yen from the end of the previous fiscal year, primarily due to a reduction in accounts receivable. Non-current assets increased by 6,384 million yen to 48,380 million yen.

As a result, total assets amounted to 147,915 million yen, an increase of 5,630 million yen from the end of the previous fiscal year.

 

(Liabilities)

Current liabilities at the end of the first half of the fiscal year ending March 31, 2026, decreased by 1,893 million yen to 12,039 million yen. Non-current liabilities increased by 17 million yen to 515 million yen.

As a result, total liabilities decreased by 1,876 million yen to 12,555 million yen.

 

(Net Assets)

Net assets at the end of the first half of the fiscal year ending March 31, 2026, increased by 7,506 million yen to 135,360 million yen, primarily due to the recording of 7,413 million yen in interim net profit attributable to owners of the parent.

As a result, the equity ratio was 91.5% (89.9% at the end of the previous fiscal year).



 

(3) Future Outlook

Based on the results for the first half, we have revised our consolidated full-year forecast for the fiscal year ending March 31, 2026, which was initially announced on April 25, 2025.

For the second half, growth is expected to accelerate due to increased production for next-generation high-speed communication. For the full fiscal year, we continue to expect increases in both revenue and profit.

 

Current outlook by segment is as follows.

 

In the telecommunication-related business, progress is expected to exceed the initial forecast. With the full-scale launch of a successor model for next-generation high-speed communication, end-user demand has further strengthened, and we expect continued growth in the next fiscal year.

In the automobile-related business, growth for new energy vehicles has slowed due to market conditions. However, we anticipate a recovery from inventory adjustments. For medium- to long-term growth, we will continue to strengthen profitability through automation and yield improvement.

In the semiconductor-related business, although the market recovery in demand for general-purpose memory has been slow, a steady recovery is underway. Demand related to generative AI remains strong, and with the expansion of differentiated high-purity SiC products for SPE, sales are expected to grow from the second half of the fiscal year.

In the industrial equipment-related business, demand for power modules has slowed due to market conditions, but demand for new medical-related products is increasing.

In the lighting equipment-related business, high-end lighting products continue to perform steadily, supported by increasing LED demand due to Japan's upcoming policy to phase out fluorescent lamp production by 2027 and the expansion of the high-end new condominium market in metropolitan areas.

 

On the earnings front, we will continue to enhance profitability through further factory automation and improved yields on new products. Regarding profit figures below ordinary profit, it is difficult to provide forecasts at this time due to the potential volatility caused mainly by exchange rate fluctuations.

 

As part of our medium-term plan, we aim to achieve net sales of 100 billion yen in the fiscal year ending March 31, 2029, and we are pleased to report that steady progress is being made toward this goal, even taking into account ongoing changes in the EV market environment.

 

The assumed exchange rate for the full-year consolidated earnings forecast remains unchanged from the initial forecast at 144 yen per U.S. dollar.

 


Semi-annual consolidated balance sheet

(Millions of yen)

 

As of March 31, 2025

As of September 30, 2025

Assets

 

 

Current assets

 

 

Cash and deposits

71,793

72,499

Notes receivable - trade

139

59

Accounts receivable - trade

12,420

11,140

Electronically recorded monetary claims - operating

1,319

1,163

Merchandise and finished goods

2,645

2,509

Work in process

3,803

4,331

Raw materials and supplies

5,398

5,783

Other

2,832

2,055

Allowance for doubtful accounts

(62)

(7)

Total current assets

100,290

99,535

Non-current assets

 

 

Property, plant and equipment

 

 

Buildings and structures, net

14,996

16,125

Machinery, equipment and vehicles, net

13,039

13,456

Land

5,047

5,053

Construction in progress

5,474

10,514

Other, net

798

852

Total property, plant and equipment

39,356

46,002

Intangible assets

 

 

Other

444

438

Total intangible assets

444

438

Investments and other assets

2,194

1,939

Total non-current assets

41,995

48,380

Total assets

142,285

147,915



 

(Millions of yen)

 

As of March 31, 2025

As of September 30, 2025

Liabilities

 

 

Current liabilities

 

 

Notes and accounts payable - trade

2,965

3,139

Electronically recorded obligations - operating

840

865

Income taxes payable

4,929

3,327

Provision for bonuses

1,191

1,026

Provision for bonuses for directors (and other officers)

149

7

Other

3,856

3,673

Total current liabilities

13,933

12,039

Non-current liabilities

 

 

Deferred tax liabilities

131

149

Other

366

366

Total non-current liabilities

498

515

Total liabilities

14,431

12,555

Net assets

 

 

Shareholders' equity

 

 

Share capital

8,646

8,646

Capital surplus

12,103

12,103

Retained earnings

105,705

112,538

Treasury shares

(198)

(203)

Total shareholders' equity

126,257

133,085

Accumulated other comprehensive income

 

 

Valuation difference on available-for-sale securities

39

117

Foreign currency translation adjustment

1,556

2,156

Total accumulated other comprehensive income

1,596

2,274

Total net assets

127,854

135,360

Total liabilities and net assets

142,285

147,915


Semi-annual consolidated statement of income

(Millions of yen)

 

Six months ended
September 30, 2024

Six months ended
September 30, 2025

Net sales

34,822

33,115

Cost of sales

16,101

16,026

Gross profit

18,720

17,088

Selling, general and administrative expenses

5,930

6,245

Operating profit

12,789

10,843

Non-operating income

 

 

Interest income

99

237

Rental income

66

64

Other

72

111

Total non-operating income

237

413

Non-operating expenses

 

 

Foreign exchange losses

969

50

Interest expenses

0

-

Rent expenses on real estate for investments

31

29

Loss on extinguishment of share-based payment expenses

-

40

Other

27

14

Total non-operating expenses

1,028

133

Ordinary profit

11,999

11,123

Extraordinary income

 

 

Gain on sale of non-current assets

0

1

Gain on sale of investment securities

-

5

Subsidy income

2,576

42

Total extraordinary income

2,576

49

Extraordinary losses

 

 

Loss on sale and retirement of non-current assets

86

31

Loss on tax purpose reduction entry of non-current assets

2,360

42

Other

-

1

Total extraordinary losses

2,447

75

Profit before income taxes

12,128

11,097

Income taxes - current

3,745

3,514

Income taxes - deferred

(58)

170

Total income taxes

3,687

3,684

Profit

8,440

7,413

Profit attributable to owners of parent

8,440

7,413


Semi-annual consolidated statement of comprehensive income

(Millions of yen)

 

Six months ended
September 30, 2024

Six months ended
September 30, 2025

Profit

8,440

7,413

Other comprehensive income

 

 

Valuation difference on available-for-sale securities

(56)

77

Foreign currency translation adjustment

888

600

Total other comprehensive income

832

677

Comprehensive income

9,273

8,090

Comprehensive income attributable to

 

 

Comprehensive income attributable to owners of parent

9,273

8,090


Semi-annual consolidated statement of cash flows

(Millions of yen)

 

Six months ended
September 30, 2024

Six months ended
September 30, 2025

Cash flows from operating activities

 

 

Profit before income taxes

12,128

11,097

Depreciation

2,158

2,429

Increase (decrease) in allowance for doubtful accounts

(31)

(55)

Loss (gain) on sale of investment securities

-

(5)

Loss (gain) on sale and retirement of non-current assets

86

30

Interest and dividend income

(103)

(243)

Interest expenses

0

-

Subsidy income

(2,576)

(87)

Loss on tax purpose reduction entry of non-current assets

2,360

42

Decrease (increase) in trade receivables

333

1,599

Decrease (increase) in inventories

(334)

(733)

Increase (decrease) in trade payables

(1,150)

164

Other, net

1,020

(338)

Subtotal

13,892

13,899

Interest and dividends received

103

243

Interest paid

(0)

-

Income taxes refund (paid)

(2,886)

(5,065)

Net cash provided by (used in) operating activities

11,109

9,077

Cash flows from investing activities

 

 

Proceeds from withdrawal of time deposits

-

23

Purchase of property, plant and equipment

(3,828)

(8,471)

Proceeds from sale of property, plant and equipment

0

9

Payments for retirement of property, plant and equipment

(72)

-

Purchase of intangible assets

(93)

(29)

Purchase of investment securities

(133)

(40)

Proceeds from sale of investment securities

-

189

Subsidies received

2,676

187

Other, net

5

30

Net cash provided by (used in) investing activities

(1,446)

(8,100)

Cash flows from financing activities

 

 

Purchase of treasury shares

(0)

(4)

Dividends paid

(530)

(579)

Net cash provided by (used in) financing activities

(531)

(584)

Effect of exchange rate change on cash and cash equivalents

511

320

Net increase (decrease) in cash and cash equivalents

9,643

712

Cash and cash equivalents at beginning of period

55,013

71,568

Cash and cash equivalents at end of period

64,656

72,280


(Notes on segment information, etc.)

Segment Information

I. Previous interim consolidated accounting period (April 1, 2024 to September 30, 2024)

1. Information on sales and the amount of profit or loss for each reported segment

 

 

 

 

(Millions of yen)

 

Reportable segments

Adjustment amount (Note) 1

Interim Consolidated Statements of Income (Note)2

 

CERAMIC CONPONENT

LIGHTING EQUIPMENT

Total

Sales

 

 

 

 

 

Revenues from external customers

30,718

4,104

34,822

-

34,822

Transactions with other segments

3

28

31

(31)

-

Total

30,721

4,132

34,854

(31)

34,822

Segment Profit

13,036

493

13,529

(739)

12,789

Note: 1. Segment profit adjustment of (739) million yen includes 21 million yen of inter-segment transaction elimination and (761) million yen of company-wide expenses not allocated to each reporting segment. Corporate expenses are selling, general and administrative expenses that are primarily not attributable to the reporting segment.

2. Segment profit is adjusted to operating income in the interim consolidated statements of income.

2. Information on impairment losses or goodwill on fixed assets by reporting segment

Not applicable.

II. The Interim Consolidated Accounting Period (April 1, 2025 to September 30, 2025)

1. Information on sales and the amount of profit or loss for each reported segment

 

 

 

 

(Millions of yen)

 

Reportable segments

Adjustment amount (Note) 1

Interim Consolidated Statements of Income (Note)2

 

CERAMIC CONPONENT

LIGHTING EQUIPMENT

Total

Sales

 

 

 

 

 

Revenues from external customers

28,950

4,164

33,115

-

33,115

Transactions with other segments

4

0

5

(5)

-

Total

28,955

4,165

33,120

(5)

33,115

Segment Profit

10,945

702

11,648

(804)

10,843

Note: 1. Segment profit adjustment of (804) million yen includes 46 million yen of inter-segment transaction elimination and (851) million yen of company-wide expenses not allocated to each reporting segment. Corporate expenses are selling, general and administrative expenses that are primarily not attributable to the reporting segment.

2. Segment profit is adjusted to operating income in the interim consolidated statements of income.

2. Information on impairment losses or goodwill on fixed assets by reporting segment

Not applicable.

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