Toyoda Gosei Reports Decline in First-Half Earnings

Toyoda Gosei Co ( (TGOSF) ) has released its Q2 earnings. Here is a breakdown of the information Toyoda Gosei Co presented to its investors.

Toyoda Gosei Co., Ltd., a key player in the automotive parts industry, specializes in producing rubber, plastic, and other components for vehicles, with a unique focus on leveraging advanced materials and technology. In its latest earnings report for the first six months of the fiscal year ending March 31, 2025, the company experienced a slight decline in revenue to ¥515.9 billion, attributed primarily to decreased client production volumes in several regions. Operating profit fell to ¥28.8 billion, a 14.3% decrease from the previous year, while profit attributable to owners of the parent dropped by 21.7% to ¥18.2 billion. This decline in profits was driven by lower sales volumes and increased fixed costs, despite efforts in rationalization and benefits from yen depreciation. Regionally, while revenue in India rose significantly by 23.1% due to increased production volumes, other regions such as China and Japan saw declines. The company’s financial position remains stable with total assets at ¥907.8 billion, though there’s been a reduction in both assets and liabilities compared to the previous fiscal year. Looking ahead, Toyoda Gosei maintains its forecast for the fiscal year, expecting revenue of ¥1,050 billion and an operating profit of ¥53 billion, with strategic measures likely focusing on market adaptation and cost management to navigate current challenges.