DKS Co (4461) Q1 2025 earnings summary

Executive summary

• For the three months ended June 30, 2025, net sales rose 8.6% YoY and operating income reached a quarterly record, supported by electronics and battery materials.

• For the three months ended June 30, 2024, net sales rose 26.3% YoY to ¥17,531 million; operating income returned to profit at ¥1,058 million, led by Functional Materials growth.

Financial highlights

• In the three months ended June 30, 2025, operating income rose 62.8% to ¥1,723 million, ordinary income rose 41.4% to ¥1,689 million, and profit attributable to owners of parent rose 61.7% to ¥984 million.

• In the three months ended June 30, 2024, ordinary income was ¥1,194 million versus a loss of ¥557 million; profit attributable to owners of parent was ¥608 million versus a loss of ¥477 million.

• Basic EPS for the three months ended June 30, 2024, improved to ¥63.63 from a loss of ¥49.96; comprehensive income increased to ¥1,480 million from ¥16 million.

• Operating income improvement included ¥706 million from sales volume and ¥614 million from the battery materials business launch.

Outlook and guidance

• FY2025 forecasts: net sales ¥70,000 million, operating income ¥4,000 million, profit attributable to owners of parent ¥2,000 million, and basic EPS ¥208.99; forecasts were unchanged.

• FY2025 dividend forecast was ¥70 per share, up from ¥65 in FY2024.

• Planned responses include agile production, expanded sales and R&D in existing markets, next-generation product development, and price pass-through for rising input and fixed costs.