Kawasaki Kisen Kaisha (9107) investor relations material

Executive summary

• FY2025 saw declines in operating revenues, operating income, ordinary income, and net income attributable to owners, mainly due to lower performance in the car carrier and containership businesses, despite some segmental resilience and asset sales gains.

• The company is executing a Medium-Term Management Plan focused on capital efficiency, growth in core businesses, environmental initiatives, and enhanced shareholder returns.

• Comprehensive income for FY2025 decreased 23.9% to ¥221.9 billion.

Financial highlights

• FY2025 operating revenues were ¥1,018.3 billion, down ¥29.5 billion or 2.8% year-over-year.

• Operating income was ¥84.1 billion, down ¥18.6 billion or 18.2%; ordinary income was ¥109.1 billion, down ¥198.9 billion or 64.6%.

• Net income attributable to owners was ¥132.9 billion, down ¥172.3 billion or 56.5%, impacted by vessel and subsidiary share sales and tax adjustments.

• Equity capital stood at ¥1,802.7 billion; interest-bearing liability was ¥296.0 billion; equity ratio was 76.9%.

• Annual dividend per share for FY2025 was ¥120.00, with a payout ratio of 57.0%.

Outlook and guidance

• FY2026 forecast: operating revenues of ¥1,020.0 billion (+0.2%), operating income of ¥83.0 billion (–1.4%), ordinary income of ¥100.0 billion (–8.3%), and net income of ¥95.0 billion (–28.6%).

• Dividend forecast for FY2026 is ¥120/share, with potential for flexible additional shareholder returns of ¥50.0 billion or more.

• Assumptions include continued closure of the Strait of Hormuz until July and Suez Canal until year-end, with operations rerouted via the Cape of Good Hope.