Shibaura Machine's profits fall sharply despite strategic acquisitions

Shibaura Machine reported consolidated net sales of JPY 67,640 million for the six months ended September 30, 2025, a 22.1% decrease year-on-year. Operating profit fell 75.8% to JPY 2,037 million, ordinary profit decreased 69.5% to JPY 2,439 million, and profit attributable to owners of parent declined 79.5% to JPY 1,759 million. The company's total assets stood at JPY 187,425 million, with net assets at JPY 118,671 million, resulting in an equity-to-asset ratio of 63.3%.

Despite the profit decline, Shibaura Machine is actively pursuing strategic growth, as evidenced by its acquisition of Functional Fluid Co., Ltd., completed on May 1, 2025, for JPY 528 million. This acquisition, categorized under the "Molding Machine" segment, resulted in a gain on bargain purchase of JPY 118 million. The company also announced a new agreement to acquire 80% of LWB Steinl GmbH for €10 million, expected to close between late November and mid-December 2025, further expanding its European market presence.

The company maintains its full-year forecast, projecting net sales of JPY 140,000 million, operating profit of JPY 5,000 million, ordinary profit of JPY 5,000 million, and profit attributable to owners of parent of JPY 3,300 million.