EPSON releases first quarter financial results

Q1 Results (YoY)

• Compared to the same period last year when the yen depreciated, in this period we saw steady sales mainly in office & home printing, while some businesses saw sales decrease due to a decline in demand. Revenue and profit were down compared to the same period last year, with effects of the stronger yen having profound effects.
• Against the internal plan: Revenue and business profit exceeded the plan due to foreign exchange effects.

FY2025 full-year financial outlook (vs. the previous outlook)

• Projected business profit remains unchanged at ¥75 billion.
  • The forecast reflects an additional ¥10 billion in foreseeable costs associated with U.S. tariff policy, bringing estimated tariff costs to ¥27 billion.
  • Foreign exchange assumptions were revised in anticipation of a weaker yen.
• Adapt flexibly to changes in the external environment while, in the short term, continuing to control costs and maintain profitability. Meanwhile, steadily invest in future, sustained growth.

Financial Highlights

• Revenue: Revenue in printing solutions and visual communications decreased.
• Business profit: Decreased along with revenue.
• Profit from operating activities: Recorded a foreign exchange loss, etc.
• Profit before tax: Recorded a foreign exchange loss, etc.

Printing Solutions – Office & Home Printing

• IJP hardware: Unit sales of high-capacity ink tank printers increased particularly in emerging markets, while sales of office shared IJPs expanded particularly in Western Europe and emerging markets. Selling prices remained generally in line with last year, but revenue was down due to the effects of yen appreciation.
• IJP ink: Revenue decreased due to a decline in sales of ink cartridges and a large impact from foreign exchange effects.

Printing Solutions – Commercial & Industrial Printing

• Commercial & industrial IJP finished products: Although hurt by the appreciation of the yen, results were flat year-on-year, boosted by increased sales for signage and label applications.
• Printhead sales: Revenue declined compared to the same period last year, when there was a concentrated printhead demand from Chinese printer manufacturers.
• Fiery (acquired in Dec. 2024): Contributed positively to revenue and business profit.
• Small printers, other: Sales remained steady.

Visual Communications

• High-lumen projectors: Sales were firm.
• Business projectors: Sales declined on lower demand from the education markets of Europe and the U.S.

Manufacturing-related & Wearables

• Returned to profitability owing to revenue growth and ongoing fixed cost reductions.
• Manufacturing solutions: Captured new orders in China, but customers in Europe and the U.S. continued to show reluctance to invest.
• Wearable products: Sales remained firm on demand from visitors to Japan.
• Microdevices, other: With the market recovering, there was an increase in sales of crystal devices used in consumer electronics and in promising high-growth areas such as base stations and networks.
• PC: Demand increased as OS support nears its end.

Financial Results Summary (Billion JPY)