Central Glass (4044) Q3 2024 earnings summary

Executive summary

• Nine-month net sales fell 12.7% YoY to ¥105,459 million, operating profit declined 20.1% to ¥8,434 million, and profit attributable to owners of parent fell 26.1% to ¥6,869 million.

• Semiconductor gas growth was outweighed by weaker electrolyte and medical product sales and soft glass demand.

• Full-year forecasts were revised downward; the ¥170-per-share annual dividend forecast was maintained.

Financial highlights

• Nine-month comprehensive income fell 45.8% to ¥6,898 million; earnings per share was ¥277.21 versus ¥375.34 a year earlier.

• Gross profit was ¥29,971 million, down from ¥31,306 million year over year.

• Profit attributable to owners of parent included a ¥1.8bn loss on sales of shares in subsidiaries and affiliates.

Outlook and guidance

• FY2024 forecasts were cut to net sales of ¥145,000 million, operating profit of ¥10,500 million, ordinary profit of ¥11.8bn, and profit attributable to owners of parent of ¥6,500 million.

• The profit forecast reduction reflected lower recurring profit and an impairment loss at a European electrolyte manufacturing subsidiary.

• Forecast EPS was ¥262.29; the annual dividend forecast remained ¥170 per share, including the ¥85 interim dividend already paid.