ARCHION (543A) 4Q results: FY2026 guidance looks somewhat ambitious; waiting to assess growth strategies, including merger synergies

Research evidence excerpt

ARCHION (543A) 4Q results: FY2026 guidance looks somewhat ambitious; waiting to assess growth strategies, including merger synergies

J P M O R G A N Asia Pacific Equity Research

14 May 2026

ARCHION (543A)

4Q results: FY2026 guidance looks somewhat Neutral

ambitious; waiting to assess growth strategies, 543A.T, 543A JP

including merger synergies Price (14 May 26):¥336

Price Target (Dec-26):¥350

Neutral: The company announced results for the first time as Archion on May Japan Equity Research

14. Following pro forma FY2025 operating profit of ¥72.5 billion (excludes North

Autos & Auto Parts

American certification-related losses), management guides for FY2026 operating

profit of ¥110.0 billion as it expects sales growth, price hikes and COGS Akira Kishimoto AC

improvement to boost earnings and offset impact from surging input prices and (81-3) 6736-8646

akira.x.kishimoto@jpmorgan.com

Middle East risk despite a challenging sales environment. Information disclosure

Wencong Zhang

was limited, so it is difficult to assess guidance at this point, but our impression is (81-3) 6736-8627

that the profit target is somewhat ambitious relative to volume growth wencong.zhang@jpmorgan.com

assumptions, and we await confirmation of details. Management plans to disclose JPMorgan Securities Japan Co., Ltd.

medium- to long-term strategies at its Capital Markets Day event on May 15.

• Want to assess not only short-term earnings but also longer-term growth

strategies: Following pro forma FY2025 operating profit of ¥72.5 billion

(IFRS basis, excludes North American certification-related losses),

management guides for FY2026 operating profit of ¥110.0 billion. It expects

consolidated sales volume to rise 6% YoY to 230,000 units, and guidance has