Tsubaki Nakashima Co., Ltd · TSE:6464

Tsubaki Nakashima — FY2025 Earnings Presentation

37 slides from Tsubaki Nakashima's earnings presentation, Feb 13, 2026

  1. Slide 1: FY2025 Results Presentation

    FY2025 Results Presentation (Including Progress of Mid-Term Business Plan 2025-2029) Tsubaki Nakashima Co., Ltd. （Prime Market of TSE 6464） February 13, 2026

  2. Slide 2: Disclaimer

    Disclaimer This presentation is based on the economic, regulatory, market and other conditions as in effect on the date hereof, and Tsubaki Nakashima does not guarantee that this information is accurate or complete. Subsequent developments may affect the information contained in this presentation, w

  3. Slide 3: Table of contents

    1. Tsubaki Nakashima’s Long-term Improvement Perspective Table of contents ・Progress on the Mid-Term Business Plan 2025-2029 2. FY2025 Results and FY2026 Forecasts 3. Report from the Quality Compliance Committee and Sustainability 4. Summary Copyright © 2026 Tsubaki Nakashima Co, Ltd. All rights res

  4. Slide 4: Tsubaki Nakashima's Long-Term Improvement Perspective

    Tsubaki Nakashima’s Long-Term Improvement Perspective Highlight While FY2025 remains a year of addressing legacy issues, our corporate value has been steadily improving through ongoing internal reforms. FY2026 will mark the start of the next phase of improvement, and we will continue to further enha

  5. Slide 5: Progress of the Mid-Term Business Plan (2025–2029)

    Progress of the Mid-Term Business Plan (2025–2029) Highlight The foundation for the Mid-Term Business Plan is firmly in place, and we are steadily progressing toward achieving our goals. As shown on the next page, pillars II, III, and VI are performing particularly well Drastic internal reforms are

  6. Slide 6: Value Creation Pillars (FY2025 Quarterly Progress)

    Progress of the Mid-Term Business Plan: Value Creation Pillars (FY2025 Quarterly Progress) Highlight Procurement and production cost reductions exceeded plan. Six value creation drivers FY29 plan (vs. FY2024) Progress through FY25 Q4 (\ billion) I Global manufacturing footprint optimization ＋ 2.0 Mi

  7. Slide 7: Progress of the Mid-Term Business Plan: Value Creation Pillars

    Progress of the Mid-Term Business Plan: Value Creation Pillars Highlight While steadily advancing the five-year plan, we will focus on leveraging growth segments. Inventory valuation adjustments for CCC had a positive impact on results. Six value creation drivers FY25 Results FY26 Plan Implementatio

  8. Slide 8: Table of contents

    1. Tsubaki Nakashima’s Long-term Improvement Perspective Table of contents ・Progress on the Mid-Term Business Plan 2025-2029 2. FY2025 Results and FY2026 Forecasts 3. Report from the Quality Compliance Committee and Sustainability 4. Summary Copyright © 2026 Tsubaki Nakashima Co, Ltd. All rights res

  9. Slide 9: Key Takeaways on Financial Results and Business Operations

    Key Takeaways on Financial Results and Business Operations Highlight Despite recording one-time inventory valuation losses and impairment charges, strong cash generation strengthened our financial position. FY2025: Significantly exceeded cash generation targets beyond plan, driven by shortening CCC※

  10. Slide 10: BS/CF

    BS/CF Highlight Free cash flow reached a record high through inventory reduction, shorter CCC, and CAPEX restraint. Inventories Cash Conversion Cycle Capital Expenditures Free Cash Flow (¥ billion) (Days) (¥ billion) (¥ billion) ¥10.4 billion reduction 62 days improvement Reexamined and reduced Sign

  11. Slide 11: Cash Flow and Operating Profit

    Cash Flow and Operating Profit Highlight Generating positive free cash flow has stabilized. FY2022 FY2023 FY2024 FY2025 Full Year Full Year Full Year 1Q 2Q 3Q 4Q Full Year (¥ billion) Operating Cash Flow - 4.14 1.41 4.87 1.03 2.92 4.26 2.31 10.52 Investing CF - 3.50 - 4.90 - 3.80 - 0.41 - 0.25 - 0.1

  12. Slide 12: FY2025 Actual vs. Plan

    3 6 FY2025 Actual vs. Plan 3 months 12 months months months Highlight Revenue decreased by 8.6% YoY (excluding foreign exchange impact). Operating profit was ¥0.88 billion excluding one-time losses, similar level as previous year (refer to P16). ‒ Revenue fell short by 2.3% against plan ‒ The impact

  13. Slide 13: FY2025 Full-Year Segment and Regional Revenue (YoY)

    FY2025 Full-Year Segment and Regional Revenue (YoY) 12 months Highlight Japan performed relatively well among the regions, but overall downward trend continued from the previous year. ‒ Segment revenue: Precision Components decreased 8.8% YoY ‒ Asia (excluding China): India (steel balls) performed w

  14. Slide 14: FY2025 Q4 Segment and Regional Revenue (YoY/QoQ)

    FY2025 Q4 Segment and Regional Revenue (YoY/QoQ) 3 months Highlight Precision components increased 1.3% QoQ. The downward trend may have bottomed out. ‒ Regional revenue showed QoQ growth in Japan, Europe, and China. FY2024 ４Q FY2025 ３Q FY2025 Q4 (Oct-Dec) (¥ billion) Actual Actual Actual QoQ (%)３）

  15. Slide 15: Growth Segment (FY2025 Sales Results)

    Growth Segment (FY2025 Sales Results) Highlight While none met targets, India grew 18.5% YoY. Aerospace & Defense and EPC showed resilience. Ceramic Business struggled FY2025 but aims to rebound FY2026 with new products. (See p.22) ‒ Growth segments in the Mid-Term Business Plan: Indian market, Aero

  16. Slide 16: Trends of Ceramic Ball Sales by Applications

    For Reference Trends of Ceramic Ball Sales by Applications Highlight Expecting quarterly sales of ceramic balls to bottom out. Machine tool spindles for Chinese market is recovering. Positive signs are emerging. (See p.22) (\ billion) ■EV ■Machine tool spindle ■General industry ■Semiconductor ■Other

  17. Slide 17: FY2025 Operating Profit Variation Factors (YoY)

    FY2025 Operating Profit Variation Factors (YoY) Highlight Excluding one-time loss of “¥6.5 billion inventory valuation loss” and “¥16.7 billion impairment loss,” operating profit was ¥0.88 billion. (\ billion) Cost Improvement +1.74 Cost reduction through procurement optimization +0.41 Cost reductio

  18. Slide 18: Causes of Inventory Write-Downs and Preventive Measures (1)

    Causes of Inventory Write-Downs and Preventive Measures (1) Overall Perspective ‒ While aiming to establish the SIOP* process as a foundational element of the Mid-Term Business Plan, as part of structural reforms, a company-wide inventory review and management system overhaul revealed that the recov

  19. Slide 19: Causes of Inventory Valuation Decreases and Preventive Measures (2)

    Details of Implemented Causes of Inventory Valuation Decreases and Preventive Measures (2) Preventive Measures １ Appointed external personnel 2 Implemented a clear policy for 3 Established clear KPIs and with strong operational and implemented a rigorous the inventory write-down, inventory managemen

  20. Slide 20: Impairment Losses

    Impairment Losses ‒ In addition to the challenging European business environment, changes in the competitive landscape for the ceramic business led to a reassessment of the future recoverability of previously recorded goodwill, resulting in a ¥16.7 billion impairment charge (part of which was a ¥1.6

  21. Slide 21: FY2026 Full-Year Guidance

    FY2026 Full-Year Guidance Highlight The inventory write-down and impairment losses previously disclosed are one-time, non-cash items and will not impact FY2026 performance. Operating profit of ¥2.5 billion is expected as per the Mid- Term Business Plan 2025-2029, with net income also turning profita

  22. Slide 22: Growth Segment (FY2026 Sales Plan)

    Growth Segment (FY2026 Sales Plan) Highlight Ceramic Balls to bottom out. Other growth areas are projecting double digit increase YoY. Indian Market Aerospace & Defense Ceramic Balls Engineered Plastic Components (EPC) FY25 vs. FY26 +32.1% FY25 vs. FY26 +65.5% FY25 vs. FY26 +5.5% FY25 vs. FY26 +11.5

  23. Slide 23: Growth Business Topics (1) Ceramic Business

    Growth Business Topics (1) Ceramic Business Highlight Positive signs are emerging at the grassroots level in the Ceramic Business. Data Center Cooling Fans New Customer Acquisition Sales of ceramic balls for data center cooling fans have New Ceramic Business leader is significantly increased activel

  24. Slide 24: Growth Business Topics (2) Aerospace & Defense and EPC

    Growth Business Topics (2) Aerospace & Defense and Engineered Plastic Component (EPC) Highlight Nadcap certification has increased customer inquiries in Aerospace & Defense. While EPC search for new opportunity in microfluidic plate business. Aerospace & Defense Engineered Plastic Component (EPC) Ke

  25. Slide 25: Table of contents

    1. Tsubaki Nakashima’s Long-term Improvement Perspective Table of contents ・Progress on the Mid-Term Business Plan 2025-2029 2. FY2025 Results and FY2026 Forecasts 3. Report from the Quality Compliance Committee and Sustainability 4. Summary Copyright © 2026 Tsubaki Nakashima Co, Ltd. All rights res

  26. Slide 26: Report from the Quality Compliance Committee (1) Overview

    Report from the Quality Compliance Committee (1) Overview Oct 2024 Feb 2025 Dec 2025 Quality Quality Compliance Planned Compliance SIC Investigations Committee (QCC) QCC Roll Out actions Incident Established completed QCC Initiatives highlights 1 Companywide quality assurance & Global QC Training qu

  27. Slide 27: Report from the Quality Compliance Committee (2)

    Report from the Quality Compliance Committee (2) ‒ In March, the person in charge for each theme were appointed, and measures for improvement and a schedule (progress check sheet) for each theme was formulated. ‒ Activities are being developed based on the progress check sheet. The company-wide depl

  28. Slide 28: Report from the Quality Compliance Committee (3)

    Report from the Quality Compliance Committee (3) Initiatives Action plans Action status Progress Due date 1. Define Objectives & Scope – Thoroughness of the Essence of Quality Assurance Completed 100％ Dec. 2. Secure Leadership Commitment – Involve top management and engage teams at all levels Comple

  29. Slide 29: Sustainability Initiatives

    Sustainability Initiatives FY2025 Carbon footprint CO2 emissions Key projects （CO2 tons/tons） （CO2 tons） CDP: FY2024 FY2025 YoY 65,469 59,068 Japan 0.68 1.12 +0.44 TN obtained Level B Q４ 13,599 9,688 in FY2025 for “Climate Change” Q4 West 0.65 0.71 +0.06 Q3 16,620 Ceramic 11.80 22.80 +11.00 Q3 16,69

  30. Slide 30: Table of contents

    1. Tsubaki Nakashima’s Long-term Improvement Perspective Table of contents ・Progress on the Mid-Term Business Plan 2025-2029 2. FY2025 Results and FY2026 Forecasts 3. Report from the Quality Compliance Committee and Sustainability 4. Summary Copyright © 2026 Tsubaki Nakashima Co, Ltd. All rights res

  31. Slide 31: Summary

    Summary • While FY2025 remains “a year of addressing legacy issues”, Long-Term our corporate value has been steadily improving through ongoing internal reforms. Improvement • FY2026 will mark “the start of the next phase of improvement”, Perspective and we will continue to further enhance corporate

  32. Slide 32: APPENDIX

    APPENDIX Copyright © 2026 Tsubaki Nakashima Co, Ltd. All rights reserved. 31

  33. Slide 33: Quarterly Trends

    Quarterly Trends Sales / Operating Profit / OP margin (\ billion) Sales Operating profit OP margin 19.84 20.53 19.97 20.34 19.08 19.51 18.86 18.86 18.64 18.02 18.27 17.62 17.59 17.78 16.71 17.08 10.9% 8.7% 7.9% 7.6% 6.9% 5.0% 2.24 3.2% 2.2% 2.4% 2.0% 1.53 -0.27 1.31 0.27 0.6% 1.57 0.94 1.51 1.4% 0.6

  34. Slide 34: Quarterly Trends by Segments: Sales

    Quarterly Trends by Segments Sales (\ billion) 25.0 20.0 15.0 10.0 5.0 0.0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2021 FY2022 FY2023 FY2024 FY2025 Precision 15.81 16.46 15.16 15.42 17.37 18.21 18.81 19.28 18.68 18.68 18.71 19.86 19.62 20.19 17.88 17.41 18.00 17.56 16.60 16.80

  35. Slide 35: Quarterly Trends by Segments: Operating Profit

    Quarterly Trends by Segments Operating Profit (\ billion) 3.0 2.0 1.0 0.0 -1.0 -2.0 -3.0 -4.0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2021 FY2021 FY2022 FY2022 FY2023 FY2023 FY2024 FY2024 FY2025 FY2025 Precision 1.67 1.65 1.51 0.30 1.50 -0.32 1.23 -7.88 1.55 0.26 0.92 2.07 1.35

  36. Slide 36: Sustainability Initiatives (Supplementary Information)

    Sustainability Initiatives (Supplementary Information) Carbon Disclosure Project (CDP) Sustainability development ‒ Carbon Disclosure Project (CDP): the world’s economy looks to CDP as the strategy gold standard of environmental reporting. The aim of CDP is to see a thriving economy that works for p

  37. Slide 37: FOREX (Cumulative Average Rate) Trend

    FOREX (Cumulative Average Rate) Trend FY2022 FY2023 FY2024 FY2025 1Q 2Q 3Q Full Year Full Year Full Year Full Year (Japanese Yen) (3 months) (6 months) (9 months) US$ 131.43 140.56 151.58 152.60 148.60 148.23 149.71 Euro 138.04 152.00 163.95 160.50 162.15 165.54 169.00 Chinese 19.48 19.82 21.02 20.9

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