THK cuts 2025 financial forecasts on weaker industrial demand

THK Co., Ltd. revised its full-year consolidated revenue forecast for 2025 to 360,000 million yen, a 1.0% decrease from the previous forecast of 363,500 million yen. Operating income is now projected at 16,000 million yen, a 31.9% reduction from the earlier 23,500 million yen. Profit attributable to owners of the parent is expected to fall by 44.4% to 10,000 million yen, down from 18,000 million yen, reflecting weaker demand in industrial machinery and structural reform costs.

Non-consolidated forecasts also reflect a downward adjustment, with revenue reduced by 5.7% to 141,400 million yen and operating income by 50.0% to 1,400 million yen. However, ordinary income and net income for non-consolidated operations are projected to increase by 4.1% and 3.6% respectively, driven by higher dividend income from consolidated subsidiaries.

The average exchange rates used for the revised forecasts are $1 = 145.00 yen and €1 = 165.00 yen for the period from October 1 to December 31, 2025. For the nine months ended September 30, 2025, consolidated revenue increased by 1.2% to 268,227 million yen, but operating income decreased by 24.7% to 9,728 million yen, primarily due to costs associated with structural reforms and U.S. tariffs.