CKD (6407) Q2 2025 earnings summary

Executive summary

• Net sales rose 13.9% YoY to ¥75,761 million for the six months ended September 30, 2024; operating profit increased 51.2% to ¥9,164 million and profit attributable to owners of parent rose 60.1% to ¥6,340 million.

• Growth was driven by strong semiconductor and automotive battery demand, including generative AI-related investment and electrification trends.

Financial highlights

• Gross profit increased to ¥22,040 million from ¥18,546 million YoY.

• Ordinary profit rose 51.9% to ¥9,223 million; basic earnings per share increased to ¥94.96 from ¥59.36.

• Operating income growth included ¥2.3 billion from higher sales and ¥0.6 billion from cost-rate changes; SG&A added ¥0.3 billion, while exchange-rate fluctuation reduced income by ¥0.1 billion.

• Consolidated operating income margin was 12.1%, versus 9.1% in 1H FY2023.

Outlook and guidance

• FY2024 forecasts remain unchanged: net sales ¥148.0 billion (+10.1%), operating profit ¥17.5 billion (+33.4%), ordinary profit ¥17.5 billion (+34%), and profit attributable to owners of parent ¥11.8 billion (+41.5%).

• Full-year operating income margin forecast is 11.8%, up 2.0 percentage points YoY; estimated USD exchange rate is ¥145 for 2H and FY2024.

• FY segment forecasts: Automatic Machinery sales ¥19.0 billion and segment income ¥3.3 billion; Components sales ¥129.0 billion and segment income ¥18.8 billion.

• Annual dividend forecast raised to ¥79 per share; Automatic Machinery FY orders forecast revised to ¥19.0 billion, down ¥2.5 billion YoY.