NGK Insulators, Ltd. (TSE: 5333), the Nagoya-headquartered global leader in industrial ceramics, automotive catalyst substrates, beryllium copper and large-scale NAS sodium-sulfur battery systems, reported FY3/2026 consolidated J-GAAP results showing healthy revenue growth and a renewed operating-margin expansion. Revenue rose 8.2% year-on-year to ¥670,125 million, operating profit advanced 16.9% to ¥94,997 million, ordinary profit climbed 21.7% to ¥95,202 million, and net profit attributable to shareholders rose 9.1% to ¥59,936 million. Basic EPS came in at ¥206.32 versus ¥185.96.
The operating margin expanded to 14.2% from 13.1%, while ROE attributable to owners held steady at 7.8%. Comprehensive income surged 149.9% to ¥124,321 million against a particularly weak prior-year reference. Per-share net assets rose to ¥2,811.27 from ¥2,455.87.
Strong cash generation and balance-sheet strengthening
Operating cash flow surged to ¥137,989 million from ¥96,658 million (+42.8%), supporting both expanded capex and accelerated shareholder returns. Investing activities used ¥77,121 million (vs. ¥55,081 million), reflecting continued capacity investment in semiconductor-related products and Energy Storage; financing activities used ¥48,277 million. Cash and equivalents at year-end stood at ¥199,643 million. Total assets grew to ¥1,243,330 million with net assets at ¥817,352 million; the equity ratio strengthened to 65.0% from 63.0%.
Treasury buyback and dividend raised 33%
NGK lifted the FY3/2026 full-year dividend to ¥80.00 per share (¥38 interim + ¥42 year-end), a 33% increase from ¥60.00 a year earlier. Total cash dividends paid totaled ¥23,128 million and the consolidated payout ratio rose to 38.8%. The company also reduced its share count modestly, with treasury shares ending the year at 4.6 million versus 4.9 million prior year. Per-share net assets, dividend and EPS all moved decisively higher in tandem.
FY3/2027 guidance: another step up in profit
For FY3/2027 management guides revenue of ¥710,000 million (+6.0%), operating profit of ¥107,000 million (+12.6%), ordinary profit of ¥105,000 million (+10.3%) and net profit attributable to shareholders of ¥82,000 million (+36.8%), with basic EPS guided to ¥290.67. The annual dividend forecast is ¥106.00 per share (¥53 + ¥53), implying a further 33% increase and a payout ratio of 36.5% — a strong signal of confidence in the through-cycle earnings trajectory of the ceramics and energy-storage portfolio.
| Metric | FY3/2026 | FY3/2025 | YoY |
|---|---|---|---|
| Revenue (¥ million) | 670,125 | 619,513 | +8.2% |
| Operating profit (¥ million) | 94,997 | 81,241 | +16.9% |
| Ordinary profit (¥ million) | 95,202 | 78,249 | +21.7% |
| Net profit (¥ million) | 59,936 | 54,933 | +9.1% |
| Basic EPS (¥) | 206.32 | 185.96 | +11.0% |
| Operating margin | 14.2% | 13.1% | +1.1pp |
| ROE (owners) | 7.8% | 7.8% | ±0.0pp |
| Equity ratio | 65.0% | 63.0% | +2.0pp |
| Annual dividend (¥) | 80.00 | 60.00 | +33.3% |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.