Daiichi Jitsugyo Co (8059) Q2 2025 earnings summary

Executive summary

• Achieved record-high net sales of ¥101,288 million for Q2 FY2024, up 28.8% year-over-year, with significant contributions from the Americas in the Energy Solutions Business.

• Operating income nearly doubled, rising 98.0% year-over-year to ¥6,126 million.

• Profit attributable to owners increased 74.1% year-over-year to ¥4,290 million, and EPS rose by ¥57.47 to ¥135.23.

• Comprehensive income declined 7.2% year-over-year to ¥4,757 million.

Financial highlights

• Orders received decreased 5.1% year-over-year, but net sales and all profit metrics saw substantial growth.

• Gross profit increased to ¥17,881 million from ¥13,788 million year-over-year, and non-operating income also rose.

• Ordinary income rose 104.9% year-over-year to ¥6,214 million.

• SG&A and labor costs increased due to hiring more engineers.

• Overseas net sales surged, especially in the Americas (+169.6%), driven by lithium-ion battery equipment sales.

Outlook and guidance

• FY2024 forecasts: net sales of ¥200,000 million, operating income of ¥10,000 million, and profit attributable to owners of ¥7,300 million.

• Q2 progress rates: net sales at 50.6%, operating income at 61.3%, and profit at 58.8% of full-year targets.

• Basic earnings per share forecasted at ¥230.11 for the fiscal year ending March 31, 2025.

• Dividend payout ratio targeted at 30% of profit, with a forecasted annual dividend of ¥77.0 per share.