AS ONE (7476) Q2 2025 earnings summary

Executive summary

• Net sales reached ¥48.6 billion, up 10.2% year-over-year, marking the 15th consecutive year of growth and a record high for the 14th year, driven by robust growth in Research, Industrial, and Medical Instruments divisions.

• Operating profit rose 5.9% year-over-year to ¥5.2 billion, exceeding plan by 6.9%, with ordinary profit up 8.0% and net income up 7.7% to ¥3.8 billion.

• Gross margin declined by 1.1pp due to product mix, but gross profit increased by ¥895 million on higher sales.

• Comprehensive income rose to ¥3,082 million from ¥2,612 million a year earlier.

• E-commerce and product lineup expansion drove strong performance in scientific and industrial sectors; hospital & nursing care sector returned to growth.

Financial highlights

• Gross profit was ¥14.7 billion, up 6.5% year-over-year, with a gross margin of 30.3% (down 1.1pp YoY due to product mix).

• Operating profit margin was 10.8%, and net profit margin was 7.9% for the first half.

• EPS for the half was ¥53.37, reflecting a 2-for-1 stock split retroactively.

• SG&A expenses rose 6.8% year-over-year to ¥9.4 billion, mainly from higher advertising, catalog, freight, and personnel costs, but were 3.6% below plan.

• Total assets at September 30, 2024, were ¥90,909 million, down ¥4,922 million from March 31, 2024, mainly due to lower receivables and investment securities.

Outlook and guidance

• Full-year net sales forecast at ¥101.2 billion (+6.0% YoY), with operating profit projected at ¥11.03 billion (+5.7% YoY), and net income forecast at ¥8.06 billion (+7.5% YoY); EPS expected at ¥112.52.

• Annual dividend forecast is ¥57.00 per share post-split, marking the 14th consecutive annual increase.

• Progress in the first half is ahead of last year, with operating profit showing positive momentum due to SG&A control.