Chiyoda (6366) Q2 2026 earnings summary

Executive summary

• All profit indicators increased in 2Q FY2025, driven by strong execution of domestic and overseas projects, with key progress in the Golden Pass LNG project and Qatar's North Field East LNG expansion.

• Overseas and domestic orders increased, especially in the Middle East and advanced materials sectors.

• Major project completions and new contracts led to a 131.4% year-over-year increase in order intake, though backlog declined 5.7% from the previous year-end.

• Shareholders' equity ratio improved to 10% due to solid performance, supporting a stronger financial foundation.

• Full-year financial forecasts were revised upward based on robust 1Q and 2Q results.

Financial highlights

• Revenue for 2Q FY2025 was ¥194.7 billion, down 18.0% year-over-year.

• Gross profit rose to ¥24.2 billion (12.4% margin), up from ¥22.4 billion (9.4% margin) year-over-year.

• Operating income increased to ¥15.6 billion (8.0% margin), up 13.7% year-over-year.

• Ordinary income reached ¥19.6 billion, up 13.2% year-over-year.

• Net income attributable to shareholders grew 24.1% year-over-year to ¥17.6 billion.

Outlook and guidance

• Full-year revenue forecast revised to ¥385.0 billion, up 15.7% year-over-year.

• Operating income projected at ¥19.5 billion (+20.2%), ordinary income at ¥26.5 billion (+17.7%), and net income at ¥22.5 billion (+16.6%).

• EPS forecast for the year is ¥78.72.

• Assumed exchange rate is 145 JPY/USD.

• Profitability for the Golden Pass LNG project will be re-evaluated after final agreement signing.