Hirose Electric Co., Ltd. TSE:6806

Hirose Electric : Financial Results for FY2026 1st Quarter (Apr 2025-Jun 2025)

Published

Source: MarketScreener

Business Results for the First Quarter of FY2025 August 5, 2025 Hirose Electric Co., Ltd.

〔6806〕



Summary of the business results (FY2025.1Q From April, 2025 to June, 2025)

The general industrial equipment segment showed increasing signs of recovery, while the consumer/mobile equipment segment and smartphone segment, performed well. The automotive/mobility-related segment remained steady. As a result, overall sales increased by 9.1% year-on-year. However, operating profit declined by 4.2%, with an operating profit margin of 20.1%. Orders rose by 7.3% compared to the same period last year and by 8.9% compared to the previous quarter.

(Yen in hundred millions)

FY2024.1Q

2024.Apr-Jun

FY2024.4Q

2025.Jan-Mar

FY2025.1Q

2025.Apr-Jun

YoY QoQ

（2025.1Q/2024.1Q） （2025.1Q/2024.4Q）

Orders

484.8

477.4

520.1

+7.3% +8.9%

Sales

448.7

450.0

489.7

+9.1% +8.8%

Operating profit

102.6

84.6

98.3

-4.2% +16.2%

Operating profit ratio

22.9%

18.8%

20.1%

-2.8pt +1.3pt

Changes in sales and operating profit (FY2024.1Q - FY2025.1Q / Consolidated basis)



Business Results for FY2025.1Q

FY2024.1Q

(FY ended June

30, 2024)

FY2025.1Q

（FY ended June 30, 2025)

Increase/ Decrease

(YoY)

Increase/ Decrease ratio

(YoY)

Sales

448.7

489.7

+41.0

+9.1%

COGS Ratio

55.0%

57.6%

+2.6

SGA Ratio

22.3%

22.3%

0.0

Operating profit

102.6

98.3

-4.3

-4.2%

(%)

22.9%

20.1%

-2.8

Profit before tax

118.4

102.4

-16.0

-13.5%

(%)

26.4%

20.9%

-5.5

Net profit

84.0

72.3

-11.7

-14.0%

(%)

18.7%

14.8%

-3.9

Shareholder's Equity

Ratio

89.5%

89.0%

Earnings Per Share

248.41円

213.58円

(Yen in hundred millions)

FY2024.1Q

FY2025.1Q

1US$

155.88 yen

144.59 yen

１€

167.88 yen

163.80 yen

100 won

11.38 yen

10.34 yen

FY2025.1Q Major Changes year-on-year

(Yen in hundred millions)

Sales

41.0 hundred millions yen Increased

(448.7 → 489.7)

General Industrial : +30

Smartphone : +5

Consumer/Mobile equipment : +2 Automotive/Mobility-related : +4

COGS Ratio

2.6 pt Deteriorated（55.0% → 57.6%）

Variable Expense Ratio ：37.6% → 40.8% Depreciation Ratio ： 8.1％ → 7.9％ Labor Cost Ratio ： 7.8% → 7.8%

SGA Ratio

Flat （22.3% → 22.3%）

100.1 → 109.3 (Increased by 9.2）

Financial income / costs

11.8 hundred millions yen Decreased

（+15.8 → +4.0）

Exchange Gain or Loss ：+3.2 → -6.5 Interest Received and Others ：+8.2→ +7.8

(Yen in hundred millions)

Sales

Operating Profit

(%)

Profit before tax

(%)

FY2024.1Q Actual

448.7

102.6

22.9%

118.4

26.4%

Exchange rate

-26.5

-13.6

-24.0

Labor cost increase

-11.5

-11.5

Depreciation cost increase

-2.5

-2.5

Increase in the product

67.5

23.3

22.0

Total amount of changes

41.0

-4.3

-16.0

FY2025.1Q Actual

489.7

98.3

20.1%

102.4

20.9%

Account

Mar 31, 2025

Jun 30, 2025

Increase/ Decrease

Remark

Cash and Cash

856.7

817.7

447.0

254.2

1,565.1

882.4

47.9

190.4

4,204.7

-39.0

Profit before tax +102

Capital Investment(incl. buildings) -52

equivalents

Dividend payment -83

Corporate tax payment -59

Trade and other receivables

403.9

+43.1

Increased by sales increase

Inventories

250.9

+3.3

Other financial assets

1,513.7

+51.4

Securities＋36、Time deposit ＋15

Property, plant and

equipment

863.8

+18.6

Increased by Capital Investment

Right-of-use asset

49.4

-1.5

Others

230.2

-39.8

Refund of uncollected consumption tax

Total Assets

4,168.7

+36.0

Assets

8

Total of cash in bank 1,604.5 1,580.6 -23.9

© 2025 HIROSE ELECTRIC CO., LTD. All rights reserved.

Account Mar 31,

2025

Jun 30, 2025 Increase/

Decrease

Remark

Payables and other debt

129.0

155.1

50.4

46.5

211.2

463.2

+26.1

Increased by purchases and

productions

Lease liabilities

52.0

-1.6

Income taxes payable

81.4

-34.9

Domestic Corporate tax payment

Others

204.8

+6.4

Total

467.2

-4.0

Capital stock and Capital surplus

206.3

206.9

3,479.1

- 274.6

330.1

3,741.5

+0.6

Retained Earnings

3,489.7

-10.6

Net profit +72、Dividends paid -83

Treasury Shares

- 274.6

-0.0

Others

280.1

+50.0

Translation adjustment (KRW appreciation etc.) +44

Total

3,701.5

+40.0

Total Liabilities and

Shareholder's Equity

4,168.7

4,204.7

+36.0

© 2025 HIROS

E ELECTRIC CO., LTD. All rights reserved.

Liabilities

Shareholder's Equity

(Yen in hundred millions)



（※除く土地・建物・ソフトウェア投資）

(*Excluded: Investment in land, building, software)

7.36%

3.73%

7.49%

3.94%

6.65%

4.22%

4.97%

3.97%

4.97%

3.99%

38.41%

42.04%

42.62%

39.90%

41.24%

15.59%

14.50%

15.51%

14.87%

15.20%

1.10%

1.97%

2.25%

3.07%

0.56%

31.27%

29.10%

31.78%

33.99%

33.73%

Treasury Stocks

Individual and Others

Foreign Corporation Other Corporation Securities Firm

Financial Institution

Mar, 2022 Mar, 2023 Mar, 2024 Mar, 2025 Jun, 2025

FY2024

FY2025

YoY

QoQ

1Q

4Q

1Q

Sales 111 121

141

+27% +17%

  • FY2025.1Q Composition ratio Changes in quarterly sales

    29%

    111 115 122 121

    141

    1Q

    2Q

    3Q

    4Q

    1Q

    FY2024

    FY2025

    • Inventory reduction appeared to have progressed further and has been reflected in sales.

      FY2024

      FY2025

      YoY

      QoQ

      1Q

      4Q

      1Q

      Sales 99 102

      104

      +5% +2%

  • FY2025.1Q Composition ratio Changes in quarterly sales

    22%

    133 130

    99

    102 104

    1Q

    2Q

    3Q

    4Q

    1Q

    FY2024

    FY2025

    • A favorable start, as expected.

      FY2024

      FY2025

      YoY

      QoQ

      1Q

      4Q

      1Q

      Sales 84 78

      86

      +2% +10%

      18%

  • FY2025.1Q Composition ratio Changes in quarterly sales

    84

    96 89 86

    78

    1Q

    2Q

    3Q

    4Q

    1Q

    FY2024

    FY2025

    • The start was resilient and stable.

      Sales by Application _ Automotive/Mobility-related

      (Yen in hundred millions)

      FY2024

      FY2025

      YoY

      QoQ

      1Q

      4Q

      1Q

      Sales 124 119

      128

      +3% +8%

  • FY2025.1Q Composition ratio Changes in quarterly sales

    27%

    124

    122

    127

    119

    128

    1Q

    2Q

    3Q

    4Q

    1Q

    FY2024

    FY2025

    • Sales remained robust against the projected 7% growth for fiscal year 2025.

Sales by Application _ Telecommunications infrastructure equipment / OA equipment

(Yen in hundred millions)

FY2024

FY2025

YoY

QoQ

1Q

4Q

1Q

Telecommunications

infrastructure equipment

13

14

13

±0%

-7%

OA equipment

4

4

5

+25%

+25%

  • FY2025.1Q Composition ratio Changes in quarterly sales

Telecommunications infrastructure equipment

3% OA equipment

5

5

1%

4

13

OA equipment

13

14

5

4

Telecommunications infrastructure equipment

13

14

1Q 2Q 3Q 4Q 1Q

FY2024 FY2025

Business Forecast for the Year Ending March 31, 2026 (Consolidated)

There is no change from the forecast announced in May, 2025

FY2024 Actual

(FY ended March 31, 2025)

FY2025 Forecast

(FY ending March 31, 2026)

First Half Over the Previous Actual Amount

For the Year Over the Previous Actual Amount

(Yen in hundred millions)

First Half

For the Year

First Half

For the Year

Amount Change

%

Amount Change

%

Sales

945.2

1,894.2

955.0

1,910.0

+9.8

+1.0%

+15.8

+0.8%

COGS Ratio

54.7%

54.9%

57.1%

57.6%

Operating Profit

222.2

426.7

195.0

385.0

-27.2

-12.2%

-41.7

-9.8%

（%）

23.5%

22.5%

20.4%

20.2%

Profit before tax

238.5

462.2

200.0

400.0

-38.5

-16.1%

-62.2

-13.5%

（%）

25.2%

24.4%

20.9%

20.9%

Net Profit

175.3

330.3

140.0

280.0

-35.3

-20.1%

-50.3

-15.2%

（%）

18.5%

17.4%

14.7%

14.7%

Earnings per share

-

976.37円

-

827.53円

[Exchange rate]

FY2024

Actual

FY2025

Forecast

Dividend per share

245円

490円

245円

490円

1US$

152.58yen

138.00yen

１€

163.75yen

155.00yen

Consolidated Dividend Payout Ratio

-

50.2%

-

59.2%

100won

10.97yen

9.80yen

Announced in May 2025

Decided on a policy to acquire treasury shares up to a total of 60 billion yen over the four-year period from FY2025 to FY2028.

HIROSE ELECTRIC CO., LTD. will execute the Share Buyback to increase the level of shareholder returns and to improve capital efficiency as well as to enable a flexible capital policy in response to changes in the business environment.

Class of shares

Common Stock

Total number of shares to be repurchased

Up to 1,050,000 shares

(3.10% of total shares outstanding, excluding treasury stock)

Total amount to be paid for repurchase

Up to 15,000,000,000 yen

Period of repurchase

From Aug. 5, 2025 to Mar. 31, 2026

Method of repurchase

Purchase on the Tokyo Stock Exchange

Notice Concerning Acquisition of Shares of S.E.R. Corporation

(to Make It a Subsidiary)

July 28, 2025 announced



Medium-Term Management Goals

3 pillars ＋

Explore New Growth Drivers

Initiatives for the "New"

Development of new fields

HRS Key Tech

Cooperation with co-operators on connector peripheral parts and acquisition of new technologies

High-speed/ High-Frequency / High-power / Downsizing

  • Continuous evolution of business looking ahead 5 to 10 years



    -Expanding our "connecting business" into new field

    -Strengthen the ability to read ahead and make

    proposals by diversifying contact points with the industry

  • Enhancing Growth Potential

Bringing in wisdom from the outside and accelerating the speed of evolution

Enhancement and expansion of current technologies and strengths in possession

Acquired connection technologies related to semiconductor testing as seeds for future segment in new fields.

July 28, 2025 Notice Concerning the Acquisition of Shares of S.E.R., Co., Ltd. (Subsidiary)

1．The semiconductor market is expected to accelerate its growth over the long term. 2．Semiconductors are important components, and we aim to better grasp technological

evolution and market trends more quickly. In this way, we will strengthen our ability to

propose leading, advanced, and differentiated solutions.

3．Probes are contacts with excellent high-frequency characteristics and durability. They are expected to be applied not only to semiconductor inspection but also to high-performance connectors that we are aiming for.

Strengthening our connectivity business to ensure long-term company growth

S.E.R. Co., Ltd.

Kunohe Seimitsu Co., Ltd.

(100% subsidiary of SER)

https://www.ser.co.jp/english/ https://kunoheseimitsu.co.jp/en/



Company Profile

Location

・Kunohe District, Iwate Prefecture

・Morioka City,

Iwate Prefecture

Business Description

Probe Manufacturing Sales, Metalworking

Establishment

In 1978

Biography

Former Citizen Fine Device Groups

Company Profile

Location

Shinagawa-ku, Tokyo

Business Description

Manufacturing and sales of Test sockets

and probes

Establishment

In 1984

Biography

Established mainly in sales of socket/ connectors

Test socket Probe



SER excels in sockets and ultra-small probes essential for semiconductor test that are becoming higher density and faster speed. Provides its technology to leading domestic and international companies in the semiconductor test industry

Multi-Coaxial Connector Machining

Extra-thin

Rice

grain

Extra-short

Microscopic probe on a rice grain



Internal structures

Movable contact

(Touch to semiconductors)

Barrel

(Outer shell, Electrical path)

Spring

Movable contact (Touch to test board)

Compact, high electrical performance, durable, and mass-producible -- accelerating semiconductor development and improving test accuracy for greater customer value.


Hirose Electric, General Manager of Finance Department Concurrent duties

Keiji Hara

Auditor

Corporate Planning Office

S.E.R., Kunohe Seimitsu Former Representative Director

Yukio Serizawa

Chairman of the Board of Directors

Hirose Electric Chairman of the Board of Directors Concurrent duties

Kazunori Ishii

Director

Hirose Electric 510 Development Office Manager Concurrent duties

Tatsuya Arai

President and CEO

S.E.R.

Kunohe Precision

Hirose Electric

Hirose Electric will dispatch directors to strengthen the management system. Established a new corporate planning office under the direct control of the president and is responsible for the management and growth strategies of the two companies.

Leveraging the strengths of both HRS/SER companies to accelerate business expansion and technological innovation. We will provide high-quality, high-value-added solutions.

Appendix.

Sales by Applications round number (quarterly basis)

1Q

FY2024

2Q 3Q

4Q

FY2025

1Q

FY2025 1Q

Composition ratio

General Industrial

111

115 122

121

141

29%

Smartphone

99

133 130

102

104

22%

Consumer/Mobile

Equipment

84

96 89

78

86

18%

Automotive/

Mobility-related

124

122 127

119

128

27%

Telecommunications Infrastructure Equipment

13

14 13

14

13

3%

OA Equipment

4

5 5

4

5

1%

Total of Connector Sales

434

485 486

438

478

100%

Others

14

12 13

12

12

Total

449

497 499

450

490

(Yen in hundred millions)





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