Daytona (7228) Q2 2024 earnings summary

Executive summary

• First-half revenue rose 1.4% year over year to ¥6,838 million; operating profit fell 13.7% to ¥769 million and net income attributable to owners of the parent fell 4.9% to ¥554 million.

• Strong Asian wholesale growth, led by Indonesia, offset some weakness in domestic wholesale and retail.

Financial highlights

• Ordinary profit decreased 8.4% to ¥795 million; EPS was ¥233.70.

• Gross profit fell 1.9% to ¥2,664 million, while SG&A rose 3.8% to ¥1,894 million.

• Q2 revenue was ¥3,858 million and operating profit ¥526 million, versus Q1 revenue of ¥2,979 million and operating profit of ¥243 million.

• Cash and equivalents were ¥1,647 million; operating cash flow was ¥720 million.

Outlook and guidance

• Full-year guidance remains unchanged: revenue ¥14,413 million, operating profit ¥1,772 million, net profit ¥1,214 million and EPS ¥512.68.

• Asian wholesale is expected to continue growing; FX, domestic economic conditions, consumer trends and weather remain uncertainties.

• Operating profit margin was 1% below the February forecast; other performance indicators tracked expectations.