Globeride reports mixed Q2, plans buyback and factory expansion

Globeride reported Q2 FY2026 net sales of JPY 65,573 million, a 0.5% increase year-over-year, with gross profit rising 2.4% to JPY 25,363 million due to cost improvements. Operating profit, however, decreased 2.4% to JPY 4,893 million due to higher personnel and logistics costs, while ordinary profit grew 5.3% to JPY 5,094 million, partly from foreign currency receivable valuation gains. The company revised its full-year net sales forecast down by JPY 5,000 million to JPY 125,000 million and operating profit down by JPY 1,600 million to JPY 5,400 million, citing delayed market recovery in Japan and Asia.

To enhance shareholder returns and capital efficiency, Globeride announced the acquisition of 1,200,000 treasury shares for JPY 2,769,600,000, scheduled for cancellation on November 28, 2025. This represents 5.2% of outstanding shares. The company also plans a JPY 10 per share dividend increase for FY2026, aiming for a 15th consecutive annual increase and a payout ratio of 30% or more.

Globeride is also planning a factory reorganization, utilizing land acquired in 2022 to construct a new factory building at its head office. The project, with an estimated construction cost of JPY 15.0 billion and JPY 6.5 billion for new production equipment, is scheduled for completion between 2026 and 2032, with operations commencing in 2029.