Sales rose, but the bottom line did not
Nichiden Kogyo Co., Ltd. reported net sales of ¥2.35bn in the year to March 2026, up from ¥2.26bn a year earlier. Ordinary income was ¥46.05mn, compared with ¥45.85mn in the previous year, but net income fell to ¥41.65mn from ¥62.44mn. In this set of numbers, higher sales and higher profit were not the same event.
| Period | Net sales | Ordinary income/loss | Net income/loss |
|---|---|---|---|
| Year to March 2022 | ¥2.32bn | ¥44.47mn | ¥41.91mn |
| Year to March 2023 | ¥2.34bn | ¥38.41mn | ¥30.97mn |
| Year to March 2024 | ¥2.10bn | -¥60.41mn | -¥83.19mn |
| Year to March 2025 | ¥2.26bn | ¥45.85mn | ¥62.44mn |
| Year to March 2026 | ¥2.35bn | ¥46.05mn | ¥41.65mn |
The five-year summary adds context. Sales stayed above ¥2bn in each of the past five years, but the year to March 2024 included an ordinary loss of ¥60.41mn and a net loss of ¥83.19mn, before both lines turned positive in the following two years. Across the period shown, sales remained above ¥2bn each year while earnings moved between profit and loss.
Cash flow weakened, payout stayed flat
The cash line also softened. Net cash provided by operating activities was ¥105.3mn, down from ¥159.1mn a year earlier, and basic earnings per share fell to 8.68 yen from 13.01 yen. The dividend stayed at 3 yen a share.
Balance-sheet snapshot
At March-end, net assets were ¥5.79bn and total assets were ¥6.31bn, with an equity-to-asset ratio of 91.7%. Capital stock was ¥240mn and total shares outstanding were 4.8mn.
For readers outside Japan, the main point from the supplied evidence is simple: the company sold more, but reported less net income and less operating cash than a year earlier, while keeping its shareholder payout flat. These are non-consolidated summary figures, and the packet does not include management commentary on what drove the gap between higher sales and lower profit and cash flow.