TOKYO, May 12 (Pulse News Wire) – Futaba Corporation (6986.T) reported a revenue decline of ¥2.076 billion in its fiscal year ending March 2026 compared to the previous year. Despite efforts to reduce costs through structural reforms, the company faced challenges such as reduced demand for certain products and increased price competition, leading to a decrease in sales across key segments.
In the electronic equipment division, revenue fell due to lower orders for modules and touch sensors, while production machinery saw a drop in sales attributed to sluggish automotive markets and higher prices for Chinese imports. Notably, the company achieved cost reductions totaling ¥800 million during the fourth quarter, contributing positively to operating profit. Futaba also recorded a lower net profit of ¥280.4 billion for the fiscal year, despite gains from property sales and restructuring benefits.
Looking ahead, the company forecasts revenue growth of ¥2.017 billion for the next fiscal year, driven by improvements in EMS operations and anticipated recovery in semiconductor industry demand. Additionally, Futaba plans to enhance its product offerings, particularly in AI-integrated systems for injection molding, aiming to capitalize on growing demands for sustainable manufacturing solutions. The company continues to focus on strategic investments and shareholder returns, targeting a dividend payout ratio of 30%.
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