HIRAYAMA HOLDINGS (7781) Q2 2024 earnings summary

Executive summary

• H1 net sales rose 12.1% YoY to ¥17,685m; operating profit increased 15.3% to ¥674m and profit attributable to owners of parent rose 15.9% to ¥451m.

• Earnings were generally in line with plan despite higher acquisition, recruiting, staffing, training and business-site costs.

Financial highlights

• Ordinary profit increased 15.0% YoY to ¥708m, including ¥19m in foreign exchange gains; profit before income taxes was ¥711m.

• Gross profit rose to ¥3,064m from ¥2,774m; SG&A increased to ¥2,389m from ¥2,189m.

• Total assets were ¥10,979m at Dec. 31, 2023, up ¥864m from June 30; net assets increased ¥215m to ¥4,203m.

Outlook and guidance

• FY ending June 30, 2024 forecast: net sales ¥34,300m (+8.3%), operating profit ¥1,200m (+34.3%), ordinary profit ¥1,190m (+25.5%), and parent-attributable profit ¥700m (+27.5%).

• Forecast EPS is ¥94.28; full-year earnings and dividend forecasts were unchanged.

• Outlook assumes continued recovery in Japanese manufacturing, high order volume, and job placements for new graduates; recruiting and training for specialized roles are expected to expand.