Konica Minolta reported a sharp rise in profits for the first quarter of fiscal year 2025, despite an 8.2% drop in sales. Revenue fell to ¥251.2 billion, impacted by weak demand and currency headwinds, but operating efficiency and cost-cutting drove profits sharply higher.
The company’s business contribution profit surged 411% year-over-year to ¥9.2 billion. This gain was largely due to structural reforms and reduced selling, general, and administrative (SG&A) expenses, which offset declines in sales and higher labor costs.
Key segments like Digital Workplace and Industry business posted profit growth, even as Professional Print remained flat. These results reflect Konica Minolta’s ongoing strategic shift, which includes divesting non-core businesses and streamlining operations.
Looking ahead, the company still expects a full-year operating loss of ¥53 billion, due to impairment charges and one-time losses from recent divestitures. However, the strong Q1 profit signals that its long-term restructuring efforts may be starting to pay off.
