Cosmo Energy Holdings (5021) Q3 2025 earnings summary

Executive summary

• Achieved record-high ordinary profit excluding inventory valuation at ¥116.7 billion for 3Q FY2024, up ¥11.7 billion year-over-year, driven by strong petroleum margins and oil E&P performance.

• Net sales for the cumulative third quarter of FY2024 were ¥2,038.4 billion, up ¥25.2 billion year-over-year, while operating profit fell to ¥88.1 billion, down ¥13.6 billion year-over-year.

• Ordinary profit decreased to ¥97.5 billion (down ¥16.1 billion year-over-year), and profit attributable to owners of parent was ¥43.3 billion (down ¥13.9 billion year-over-year).

• Shareholder returns increased with a planned dividend of ¥330 per share and a share buyback up to ¥18.0 billion, targeting a total payout ratio of 60%.

• Comprehensive income dropped to ¥41.1 billion, a 40.5% decrease year-over-year.

Financial highlights

• Net sales for 3Q FY2024 were ¥2,038.4 billion, up ¥25.2 billion year-over-year.

• Consolidated ordinary profit was ¥97.5 billion, down ¥16.1 billion year-over-year due to inventory valuation losses.

• Operating profit was ¥88.1 billion, down ¥13.6 billion year-over-year.

• Net worth as of Dec 31, 2024, was ¥586.9 billion, with a net worth ratio of 25.7%.

• Total assets increased to ¥2,287.4 billion, up ¥74.8 billion from the end of FY2023, mainly due to higher inventories.

Outlook and guidance

• FY2024 ordinary profit excluding inventory valuation is forecast at ¥160.0 billion, slightly down from the previous year.

• Full-year FY2024 forecast: net sales ¥3,200.0 billion (+17.2% YoY), operating profit ¥154.0 billion (+3.2% YoY), ordinary profit ¥165.0 billion (+2.1% YoY), profit attributable to owners of parent ¥79.0 billion (-3.7% YoY), and net income per share ¥939.50.

• Profit attributable to owners of parent (excluding inventory valuation) is forecast at ¥75.5 billion.

• Dividend per share planned at ¥330, up ¥30 from FY2023.

• No revision to the business forecast since the previous announcement.