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DENSO CORPORATION Reports Strong Profit Growth Amidst Revenue Stability

DENSO CORPORATION ( (DNZOF) ) has released its Q4 earnings. Here is a breakdown of the information DENSO CORPORATION presented to its investors.

DENSO CORPORATION is a leading global supplier of advanced automotive technology, systems, and components, operating primarily in the automotive parts industry with a focus on enhancing mobility and environmental sustainability.

DENSO CORPORATION has released its consolidated financial results for the fiscal year ending March 31, 2025, showing a slight increase in revenue and significant growth in profitability despite challenges in the global automotive market.

The company reported a revenue increase of 0.2% to ¥7,161.8 billion, driven by favorable currency exchange rates and cost reduction efforts, despite a decline in vehicle production in Asia. Operating profit surged by 36.4% to ¥518.9 billion, while profit attributable to owners of the parent company rose by 34.0% to ¥419.1 billion. Geographically, North America showed strong performance with a 5.4% increase in revenue, while Europe and Asia faced revenue declines.

DENSO’s financial position saw a decrease in total assets to ¥8,125.0 billion, primarily due to a reduction in other financial assets, while cash and cash equivalents increased significantly by ¥197.1 billion. The company also achieved a notable improvement in operating cash flow, although it experienced a decrease in net cash from operating activities compared to the previous year.

Looking ahead, DENSO expects a slight decrease in revenue for the fiscal year ending March 31, 2026, due to exchange rate impacts, but anticipates continued growth in operating profit and profitability through ongoing cost reduction initiatives and strategic investments in key areas.

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