BIPROGY (8056) Q3 2024 earnings summary

Executive summary

• Apr–Dec FYMar2024 revenue rose 12.6% YoY to ¥258.9B; operating profit increased 22.9% to ¥24.1B as system services and other businesses drove growth.

• Orders and order backlogs increased YoY; full-year forecasts were revised upward following Q3 progress.

Financial highlights

• Revenue was ¥258.9B vs ¥230.0B, up ¥28.9B or 12.6% YoY; gross profit was ¥68.7B vs ¥61.7B.

• Operating profit was ¥24.1B vs ¥19.6B, up 22.9%; adjusted operating profit was ¥23.6B vs ¥19.3B, up 22.6%.

• Profit attributable to owners of parent increased 33.8% to ¥18.2B from ¥13.6B.

• SG&A expenses rose to ¥45.0B from ¥42.4B amid strengthened investments; gross profit growth absorbed the increase.

Outlook and guidance

• FYMar2024 revenue forecast increased to ¥368.0B from ¥350.0B; operating profit to ¥34.0B from ¥32.5B; profit attributable to owners to ¥23.5B from ¥22.0B.

• Adjusted operating profit forecast rose to ¥34.0B from ¥32.0B; full-year operating margin forecast is 9.2%.

• Forecast revenue increase vs FYMar2023 is ¥28.1B, led by services (+¥24.5B) and products sales (+¥3.6B).