Air Water (4088) Q3 2025 earnings summary

Executive summary

• Revenue for the first nine months of FY2024 reached ¥784.9B (+5.4% YoY), operating profit was ¥53.2B (+6.8% YoY), and profit attributable to owners of parent rose 12.8% to ¥35.0B, with all segments achieving record sales and profit.

• Growth was driven by price management in domestic industrial gases, increased sales to semiconductor plants, expansion in UPS for data centers, and overseas gas business.

• The company is focusing on digital, semiconductor, and overseas industrial gas businesses, and launched an open innovation facility in Sapporo to drive new business in energy, environment, agriculture, and food.

Financial highlights

• Gross profit increased to ¥169.8B (+5.6% YoY); operating profit margin improved to 6.8%.

• Basic EPS for the quarter was ¥153.19, up from ¥136.32 YoY.

• Free cash flow turned positive at ¥7.1B, up ¥39.9B YoY.

• Total assets grew to ¥1,261.2B (+3.1% YoY); equity ratio attributable to owners improved to 40.8%.

• Cash flows from operating activities increased to ¥59.6B; cash and cash equivalents at period end were ¥65.0B, up ¥2.1B YoY.

Outlook and guidance

• Full-year FY2024 guidance unchanged: revenue ¥1,100.0B (+7.4% YoY), operating profit ¥78.0B (+14.2% YoY), profit attributable to owners ¥50.0B (+12.7% YoY), and basic EPS projected at ¥218.64.

• Annual dividend forecast maintained at ¥64.00 per share, with a payout ratio of 29.3%.