Expecting a modest rise in FY3/27 earnings

研报英文原文证据摘录

Expecting a modest rise in FY3/27 earnings

m production and SCM reforms, +¥7.7bn from

business structure reform savings and personnel costs (including +¥13.0bn from business

structure reform savings), and +¥23.8bn from other SG&A expenses (+¥14.5bn from business

consolidation, +¥6.9bn from cost reduction in response to US tariffs). Business structure

reform savings and spending cutbacks lifted earnings.

FY3/26 segment results: Digital workplace business recorded ¥610.5bn in sales (-3% ex.

forex effect) and ¥38.8bn in business profit (+¥3.0bn). Hardware sales declined 4% and non-

hardware sales were down 1% ex. forex effect. Professional print business reported ¥255.2bn

in sales (-11% ex. forex effect) and ¥11.1bn in business profit (-¥1.9bn). Hardware sales

dropped 2% and non-hardware sales were up 1% ex. forex effect. Industrial printing came

under pressure from economic weakness in hardware but non-hardware activity was healthy.

Industry business posted ¥126.8bn in sales (+6% ex. forex effect) and ¥22.4bn in business

profit (+¥8.4bn). Sensing sales rose substantially, and functional materials were upbeat too.

Imaging solutions business booked ¥94.5bn in sales (-12% ex. forex effect) and a ¥1.8bn

business loss (-¥10.3bn). The loss in imaging IoT solutions narrowed.

FY3/27 guidance: Konica Minolta guides for ¥1,105.0bn in sales (+1.6% YoY), ¥56.0bn in

business profit, ¥50.0bn in OP (+0.3%), and ¥28.5bn in NP (-5.8%). It plans to pay an ¥18

dividend (+¥6 YoY), and this works out to a 31% dividend payout ratio. Projected segment OP

changes are digital workplace at -¥1.3bn, professional print at +¥4.4bn, industry at +¥2.1bn,

imaging solutions at +¥4.3bn, and corporate at -¥6.8bn. Guidance expects around ¥3-4bn net

impact from memory price hike.