Daiko Tsusan (7673) Q1 2025 earnings summary

Executive summary

• Achieved both revenue and profit growth year-over-year in Q1 FY2025, with revenue at ¥4,678 million (up 21.4%), operating profit at ¥233 million (up 72.8%), and net profit at ¥164 million (up 89.3%), driven by increased orders for large-scale data center, medical/welfare facility, CATV, and fire communication equipment projects.

• Growth was supported by proactive sales activities and precise response to customer needs.

• Notable increases in large-scale data center and FTTH projects contributed to performance.

Financial highlights

• Revenue rose 21.4% year-over-year to ¥4,678 million in Q1.

• Gross profit increased 19.8% to ¥698 million, though gross margin slightly declined due to higher procurement costs.

• Operating income surged 72.8% to ¥233 million; ordinary income up 78.1% to ¥243 million.

• Net income grew 89.3% to ¥164 million; EPS for Q1 was ¥30.87, compared to ¥16.31 in the prior year.

Outlook and guidance

• Full-year FY2025 guidance maintained: revenue ¥19,000 million (+10.3%), operating profit ¥983 million (+11.0%), net profit ¥660 million (+9.8%), EPS ¥123.95.

• No revision to full-year guidance at this time; progress rates for both revenue and ordinary income are tracking well.

• Continued focus on expanding customer base, product lineup, and capturing event-driven demand such as FTTH and digitalization projects.