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Tsubaki Nakashima Warns of Heavy Impairment Charges and Deep FY2025 Loss

Story Highlights
  • Tsubaki Nakashima will book major impairment, inventory and tax charges after reassessing its European, U.S. and ceramics operations.
  • These one-off losses drive a drastic downgrade to FY2025 results, with the company now projecting a deep net loss and negative earnings per share.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Tsubaki Nakashima Warns of Heavy Impairment Charges and Deep FY2025 Loss

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Tsubaki Nakashima Co., Ltd ( (JP:6464) ) just unveiled an update.

Tsubaki Nakashima Co., Ltd. has announced substantial impairment losses, inventory valuation losses, and tax-related charges for the fiscal year ended December 31, 2025, prompting a sharp downward revision to its full-year earnings forecast. The company expects to book around ¥16.7 billion in impairment losses on goodwill and fixed assets in its European and ceramics businesses amid a tougher competitive landscape and slower-than-expected growth in the EV-related ceramics market, though it continues to treat ceramics as a growth field and plans structural reforms and new product launches. In addition, it will record about ¥6.4 billion in inventory valuation losses, mainly tied to obsolete stock at two U.S. plants and in the ceramics unit, and will recognize approximately ¥2.9 billion in income tax expense from the reversal of deferred tax assets and ¥1.5 billion in deferred tax liabilities after revising its group business and dividend policies. As a result, the FY2025 forecast has been cut from a modest loss to a deep net loss of ¥28.4 billion, with basic earnings per share falling to a projected ¥-733.43, underscoring the financial hit from restructuring and market headwinds even as the company signals a strategic reset in its key regions and product lines.

The most recent analyst rating on (JP:6464) stock is a Hold with a Yen358.00 price target. To see the full list of analyst forecasts on Tsubaki Nakashima Co., Ltd stock, see the JP:6464 Stock Forecast page.

More about Tsubaki Nakashima Co., Ltd

Tsubaki Nakashima Co., Ltd., listed on the Tokyo Stock Exchange Prime Market, operates in the precision components sector with a focus on products such as bearings- and ceramics-related offerings. Europe and the ceramics segment, including applications tied to electric vehicles, are key strategic areas, while the company also maintains significant manufacturing operations in the United States.

Average Trading Volume: 263,389

Technical Sentiment Signal: Strong Sell

Current Market Cap: Yen13.92B

For an in-depth examination of 6464 stock, go to TipRanks’ Overview page.

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