Grandblue Environment (600323) Q2 2025 earnings summary

Executive summary

• Completed major acquisition of Canvest Environmental, consolidating from June 1, 2025, boosting waste-to-energy capacity to 97,590 tons/day and strengthening industry leadership.

• Net profit attributable to shareholders rose 8.99% year-over-year to ¥966.86 million, despite a 1.05% decrease in revenue to ¥5.76 billion.

• EBITDA reached ¥2.225 billion with a margin of 38.61%.

• Cash flow from operations increased 29.77% year-over-year to ¥1.22 billion, aided by improved receivables collection and consolidation of Canvest.

Financial highlights

• Revenue: ¥5.76 billion, down 1.05% year-over-year; net profit: ¥966.86 million, up 8.99%.

• Operating cash flow: ¥1.22 billion, up 29.77% year-over-year.

• Total assets: ¥63.44 billion, up 61.40% from year-end 2024, mainly due to the Canvest acquisition.

• Basic and diluted EPS: ¥1.19, up 9.17% year-over-year.

• Free cash flow (excluding equity investments): ¥338 million, up ¥495 million year-over-year.

Outlook and guidance

• Management expects continued growth in waste-to-energy and heating businesses, with further synergy from the Canvest integration.

• Capital expenditure is expected to decline as major projects complete.

• Plans for mid-year dividend of ¥0.25 per share, totaling ¥204 million, about 21% of half-year net profit.