Kyoritsu Electric (6874) Earnings: Operating Income Decreases 15.1% YoY to 2.848 Billion Yen

Kyoritsu Electric (6874) has released its financial results, reporting net sales of 37,006 million yen (down 3.2% year-on-year) and operating income of 2,848 million yen (down 15.1% year-on-year). Ordinary income stood at 2,990 million yen (down 13.4% YoY), and net income attributable to owners of the parent was 1,921 million yen (down 10.1% YoY). Despite the decrease in revenue and operating profit, comprehensive income expanded by 19.3% YoY to 2,703 million yen.

From a financial and valuation perspective, the company maintains a robust financial base with an equity ratio of 63.6%. Cash and cash equivalents stand at 10.97 billion yen, and retained earnings are 17.82 billion yen, while interest-bearing debt remains low at 0.65 billion yen. Operating cash flow is strong at 3.60 billion yen, and with investment cash flow at -0.25 billion yen, free cash flow amounts to approximately 3.35 billion yen, highlighting solid cash generation capabilities from core operations. Profitability metrics include an operating profit margin of 7.7%, an ROE of 9.1%, and an ROA of 8.9%.