Teikoku Electric reports profit surge despite sales dip

Teikoku Electric Manufacturing Co. reported consolidated net sales of JPY 13,637 million for the six months ended September 30, 2025, a decrease of 5.2% from the same period last year. Operating profit fell by 11.7% to JPY 2,394 million, and ordinary profit declined by 7.7% to JPY 2,539 million. Despite these reductions, profit attributable to owners of parent saw a substantial increase of 65.0% to JPY 2,349 million. This was largely due to an JPY 868,999 thousand gain on the sale of investment securities and the absence of a JPY 404,183 thousand loss on liquidation of subsidiaries and associates reported in the prior year.

The company's total assets stood at JPY 41,915 million as of September 30, 2025, a decrease from JPY 42,396 million at March 31, 2025. Net assets also slightly decreased to JPY 33,203 million from JPY 33,504 million over the same period, with the equity-to-asset ratio remaining strong at 77.5%. The forecast for the full fiscal year ending March 31, 2026, remains unchanged, projecting net sales of JPY 27,520 million and profit attributable to owners of parent of JPY 3,700 million. The company plans a second quarter-end dividend of JPY 55.00 per share.

Effective from the current interim consolidated accounting period, Teikoku Electric's reporting segments have been consolidated into a single "Pumps Business" segment. This change follows the suspension of operations for a subsidiary involved in the Electronic Components Business, and the reduced quantitative importance of other segments.