Mitsubishi Heavy Industries (TYO:7011) posted a 35% increase in fiscal 2025 profit, supported by strong growth in its energy and defense businesses.
Profit attributable to owners of the parent rose to 332.1 billion yen in the year ended March 31 from 245.4 billion yen a year earlier, while diluted earnings per share increased to 98.84 yen from 73.02 yen, according to a Tuesday filing with the Tokyo bourse.
Revenue increased 14% to 4.974 trillion yen from 4.361 trillion yen in fiscal 2024.
The Japanese industrial group said revenue growth was driven mainly by its aircraft, defense & space, and energy systems segments, while order intake rose to 7.654 trillion yen from 6.405 trillion yen.
"Business profit increased year over year in all segments," Mitsubishi Heavy said, adding that the strong performance helped offset losses in some thermal power projects and impairment charges in industrial power services.
Mitsubishi Heavy is also revamping its gas turbine production operations to boost capacity and shorten manufacturing lead times as electricity demand from artificial intelligence data centers accelerates, Nikkei reported earlier this month.
The report said President and Chief Executive Eisaku Ito is leading the initiative at the company's Takasago Machinery Works in western Japan, where more than 100 employees reviewed over 1,000 processes across procurement, assembly, testing, and design.
Mitsubishi Heavy said it booked orders for 35 large-frame gas turbines during the year, with order intake surpassing the previous year's record high and the order backlog exceeding 5 trillion yen.
The company added that it is working to expand production capacity and maximize throughput through lean operations to meet strong demand.
Mitsubishi Heavy Industries raised its full-year dividend to 25 yen per share from 23 yen a year earlier and forecast a further increase to 29 yen for fiscal 2026.
For fiscal 2026, the company forecast revenue of 5.4 trillion yen and profit attributable to owners of the parent of 380 billion yen.
Mitsubishi Heavy said the outlook remained uncertain due to U.S. trade policy risks and heightened geopolitical tensions, including the situation in the Middle East.