Sinko Industries reports Q2 sales growth, maintains profit outlook

Sinko Industries Ltd. announced consolidated net sales of JPY 25.8 bn for the second quarter, marking a 6.9% increase year-on-year. Consolidated operating profit saw a modest rise of 0.4% to JPY 3.57 bn. The company attributed this growth to robust demand in air conditioning, particularly for large-scale redevelopment, industrial facilities, and data centers. Despite rising personnel and logistics costs, the Asia segment turned profitable due to increased equipment sales and project income.

For the full fiscal year ending March 31, 2026, Sinko Industries forecasts net sales of JPY 58.0 bn (up 1.7% year-on-year) and an operating profit of JPY 10.1 bn (up 1.1% year-on-year), with no revision from the forecast announced on May 15, 2025. The company plans an interim dividend of JPY 20 and a year-end dividend of JPY 30, totaling JPY 50 per share.

The company is actively implementing cost of capital management initiatives, including reducing cross-shareholdings and enhancing shareholder returns. Efforts to improve governance transparency and market recognition, such as expanded disclosure and a stock split effective December 1, 2024, are also underway.