LIXIL Corporation posted a strong set of full-year results for the fiscal year ending March 31, 2026, with core earnings rising 22.9% to ¥38.5 billion and consolidated revenue edging up 0.4% to ¥1,510.7 billion.
The standout performance came from the IMEA region, covering India, Middle East and Africa, where revenue grew 15% and core earnings increased 4.3 times year on year. The company credited sustained demand across the Middle East and the continued strength of its GROHE brand for driving those gains.
The international business overall grew revenue 0.3% to ¥520.9 billion, though results were uneven. Europe expanded 4% on strong faucet and flushing system sales. Asia-Pacific was flat. The Americas fell 4% as renovation markets remained sluggish, and China dropped 10% amid an ongoing property sector downturn.
Closer to home in Japan, a decline in new housing starts weighed on housing product revenue, but the company offset this through renovation sales and price optimisation. Total Japan revenue rose 0.5% to ¥1,023.4 billion.
Net profit came in at ¥8.1 billion, up ¥6.1 billion year on year, despite higher other expenses and finance costs. EBITDA reached ¥121.6 billion, a ¥7.1 billion improvement on the prior year. The core earnings margin widened by 0.5 percentage points to 2.5%.
Chief Executive Kinya Seto said the results reflected the company’s shift toward higher-value products and structural reform work. “Core earnings exceeded our initial forecast,” he said, adding that the company had been “building a business foundation resilient to external changes” under its LIXIL Playbook strategy.
Seto acknowledged that geopolitical risks, including conditions in the Middle East, remained a live concern for supply chain planning, and that the company was responding by optimising sourcing and expanding its range of circular products. These include PremiAL, a low-carbon aluminium made primarily from scrap, and revia, produced mainly from waste plastic.
For FY2027, LIXIL is targeting revenue of ¥1,600 billion, core earnings of ¥45 billion, and net profit of ¥12 billion. The company noted that potential disruptions from Middle East geopolitics, crude oil price movements, and raw material cost inflation have not been incorporated into that forecast due to difficulty in quantifying their financial impact.
The annual dividend for FY2027 is expected to remain at ¥90 per share, unchanged from the prior year.
