AeroEdge (7409) Q3 2025 earnings summary

Executive summary

• Revenue for the nine months ended March 31, 2025, increased 15.8% year-over-year to ¥2,776.96 million, driven by higher demand for LEAP engine components and expanded production capacity.

• Operating income rose 31.9% year-over-year to ¥599.89 million, with net income up 9.1% to ¥457.85 million, reflecting improved productivity and cost control despite higher upfront investments.

• The company secured a long-term supply contract extension with SAFRAN, increasing its market share for titanium-aluminum blades from 35% to 40% through 2034.

• New mass production projects and R&D initiatives progressed, including new contracts with major global aerospace manufacturers and efforts to diversify material suppliers.

Financial highlights

• Revenue: ¥2,776.96 million (+15.8% YoY); Operating income: ¥599.89 million (+31.9% YoY); Ordinary income: ¥534.49 million (+10.0% YoY); Net income: ¥457.85 million (+9.1% YoY).

• Gross profit margin improved, with gross profit at ¥1,345.65 million for the period.

• EPS for the period was ¥119.39, up from ¥110.29 in the prior year.

Outlook and guidance

• Full-year revenue forecast revised to ¥3,550 million (+6.0% YoY), with operating income projected at ¥650 million (+7.9% YoY) and net income at ¥555 million (+20.6% YoY).

• Guidance revision announced on May 15, 2025, reflecting updated business conditions.