Cosmo Energy Holdings (5021) Q1 2025 earnings summary

Executive summary

• Q1 FY2024 ordinary profit excluding inventory valuation was ¥44.4bn, up ¥17.3bn YoY; profit attributable to owners of parent on the same basis was ¥18.6bn, up ¥5.2bn.

• Net sales reached ¥655.1bn, operating profit ¥45.0bn and ordinary profit ¥53.1bn; profit attributable to owners of parent was ¥24.7bn.

• Results exceeded the May forecast; FY2024 guidance remained unchanged despite progress toward exceeding the earnings outlook.

• A ¥5.3bn extraordinary loss followed withdrawal from Round 3 offshore wind bidding, with feasibility-study costs expensed.

Financial highlights

• Net sales increased ¥46.5bn YoY to ¥655.1bn; operating profit rose ¥37.9bn to ¥45.0bn and ordinary profit rose ¥43.1bn to ¥53.1bn.

• Profit attributable to owners of parent was ¥24.7bn, up ¥23.3bn YoY; ordinary profit included a positive ¥8.7bn inventory valuation impact.

• Comprehensive income was ¥28.4bn, up 390.2% YoY; net income per share was ¥282.35 versus ¥16.23 a year earlier.

• Gross profit was ¥85.3bn, compared with ¥46.4bn in Q1 FY2023.

Outlook and guidance

• FY2024 forecast remains unchanged: net sales ¥3,200bn, operating profit ¥154bn, ordinary profit ¥165bn and profit attributable to owners of parent ¥79bn.

• Annual dividend forecast is ¥300 per share, unchanged from FY2023.

• Petroleum profit is expected to decrease slightly; petrochemical and renewable energy profits are forecast to improve.