Hochiki (6745) Q1 2025 earnings summary

Executive summary

• Achieved record high net sales and profits in the first quarter, with consolidated net sales rising 14.7% year-over-year to ¥20,879 million, driven by strong overseas and domestic business performance.

• All business segments reported year-over-year increases in both net sales and profits, with orders received up 6.4% to ¥31,642 million, led by robust domestic refurbishment and overseas system sales.

• Overseas business, positioned as a growth driver, contributed significantly to overall results.

• Operating profit reached ¥2,674 million, with profit attributable to owners of parent increasing by 549.7% year-over-year.

• Security Systems segment reversed a prior-year loss, posting a segment profit of ¥48 million.

Financial highlights

• Gross profit increased to ¥7,140 million from ¥5,807 million year-over-year.

• Ordinary profit rose to ¥879 million from ¥75 million year-over-year.

• Basic earnings per share improved to ¥22.92 from ¥3.51 year-over-year.

• Foreign exchange rate fluctuations positively impacted net sales by ¥689 million and operating profit by ¥101 million.

• Comprehensive income was ¥1,269 million, down from ¥1,513 million year-over-year.

Outlook and guidance

• Full-year net sales forecast is ¥95,000 million, up 1.6% year-over-year, with operating profit projected at ¥7,600 million (up 3.0%).

• Profit attributable to owners of parent is forecast at ¥5,700 million, up 0.7% year-over-year.

• No changes to previously announced earnings or dividend forecasts.