Fullcast Holdings (4848) Q2 2024 earnings summary

Executive summary

• Net sales rose 1.6% year-over-year to ¥33,657 million, driven by the Restaurant Business and recovery in core services.

• Operating profit declined 7.2% year-over-year to ¥4,264 million due to reduced special demand and the exclusion of BOD Co., Ltd. from consolidation.

• Profit attributable to owners of parent increased 10.1% year-over-year to ¥3,525 million, boosted by a ¥1,295 million gain from the sale of BOD Co., Ltd.

• BOD Co., Ltd. was excluded from consolidation after its share transfer on March 29, 2024.

• Comprehensive income grew 7.9% year-over-year to ¥3,653 million.

Financial highlights

• Gross profit increased to ¥12,169 million from ¥10,933 million year-over-year.

• Ordinary profit fell 5.4% year-over-year to ¥4,321 million.

• Basic earnings per share rose to ¥100.10 from ¥89.21 year-over-year.

• Total assets at June 30, 2024, were ¥40,734 million, up from ¥38,977 million at the previous fiscal year-end.

• SG&A expenses rose 24.8% year-over-year.

Outlook and guidance

• No revision to full-year forecasts; 1H progress rates: operating profit 59.2%, ordinary profit 59.7%, profit attributable to owners of parent 69.9%.

• Full-year net sales forecast at ¥70,500 million, up 2.2% year-over-year.

• Operating profit forecast at ¥7,200 million, down 16.8% year-over-year, reflecting anticipated strategic investment expenses in the second half.

• Profit attributable to owners of parent projected at ¥5,045 million, down 14.3% year-over-year.