Consolidated FY25 financial performance
Revenue JPY 4,429.5 billion (+2% YoY), adjusted operating profit JPY 493.7 billion (+2% YoY, ≈JPY 10.4 billion), profit attributable to owners JPY 327.3 billion (+15% YoY, ≈JPY 42 billion). Adjusted operating margin improved to 11.1% (+0.4 percentage points) and ROIC improved to 8.3% (+0.2 points).
Strong cash generation and shareholder returns
Free cash flow inflow of JPY 435.5 billion; completed planned share buyback (shares cancelled). FY25 dividend JPY 230 per share (+JPY 20). FY26 dividend guidance JPY 125 per share post-split (pre-split JPY 250, +JPY 20). Planned flexible share buyback JPY 150 billion in FY26 (JPY 450 billion total FY24–26).
Business rebuilding and cost reductions delivering results
Business rebuilding largely completed as planned; business cost reduction activities produced effects of approximately JPY 72 billion in FY25, helping offset tariff and raw material headwinds and improve profitability.
Improving regional margins and product profitability
North America: sales down but adjusted operating margin improved by 1.5 percentage points to 11%. Europe: adjusted operating profit margin 5.5% (improvement >2 percentage points). Asia/India/Oceania: adjusted operating profit reached ~11.5%. Truck & Bus segment showed margin improvement; Specialties businesses maintain high profitability (exceeding 20% in parts) and Commercial B2B Solutions margin >11%.
Positive FY26 guidance and expanded product pipeline
FY26 guidance: revenue JPY 4.5 trillion (+2% YoY), adjusted operating profit JPY 515 billion (+4% YoY), adjusted OPM 11.4% (+0.3 points). Plans to launch >25 new passenger tire products globally and >10 new truck & bus products; R&D and CapEx to exceed levels of past two years to support growth-with-quality.
Strategic organizational and brand initiatives
New executive structure emphasizing technology (CIO, CPO, CMO, West CTO reporting to CEO) to accelerate materials, product and manufacturing excellence. Brand-strengthening moves include return to FIA/F1 and sole supply for Formula E and continued motorsports investments (INDYCAR, Super GT) to enhance premium positioning.