HIRAYAMA HOLDINGS (7781) Q4 2024 earnings summary

Executive summary

• Achieved record revenue of ¥35,292 million for FY2024, up 11.4% year-over-year, with all segments posting higher sales and profits, driven by post-pandemic recovery, new client acquisitions, and strong inbound demand.

• Operating profit rose 25.3% to ¥1,119 million, and net income attributable to shareholders increased 37.9% to ¥757 million.

• Strategic investments in personnel, expansion, and the acquisition of Hirayama GL contributed to increased sales and profits.

Financial highlights

• Revenue: ¥35,292 million (+11.4% YoY); Operating profit: ¥1,119 million (+25.3% YoY); Net income: ¥757 million (+37.9% YoY); EPS: ¥102.32, up from ¥74.99.

• Gross profit margin improved to 16.9% from 16.5% YoY.

• Free cash flow expanded to ¥1,073 million from ¥461 million in the prior year.

• Total assets increased 21.6% to ¥12,294 million; equity ratio at 36.3%.

• Cash and equivalents at year-end: ¥5,915 million (up from ¥4,300 million).

Outlook and guidance

• FY2025 forecast: Revenue ¥38,000 million (+7.7%), Operating profit ¥1,347 million (+20.4%), Ordinary income ¥1,336 million (+14.5%), Net income ¥850 million (+12.3%), EPS ¥112.62.

• 14th consecutive year of revenue growth expected; all profit stages projected to rise.

• Continued focus on domestic production recovery, robust hiring, and upskilling of high-end technical staff.

• Segment guidance: Insourcing/dispatch +8.8%, technical dispatch +9.3%, overseas -7.7%, other +14.3%.