i-mobile Co (6535) Q4 2024 earnings summary

Executive summary

• FY2024 net sales reached a record ¥18,735m, up 14.1% YoY; operating profit rose 0.7% to ¥3,549m, led by Hometown Tax Donation growth.

• Results fell short of forecasts amid delayed sales recognition, accelerated relocation expenses and other factors.

Financial highlights

• FY2024 profit attributable to owners of parent was ¥2,420m, up 0.7% YoY; ordinary profit was ¥3,459m, also up 0.7%.

• Consolidated net sales, operating profit and profit attributable to owners of parent were 93.7%, 93.4% and 93.1% of forecast, respectively.

• Gross profit was ¥18,702m versus ¥16,401m in FY2023; SG&A was ¥15,153m versus ¥12,875m.

Outlook and guidance

• FY2025 guidance under the new revenue-recognition method: net sales ¥23,000m (+22.8%), operating profit ¥4,500m (+26.8%), ordinary profit ¥4,330m (+25.2%) and net profit ¥2,950m (+21.9%).

• FY2025 conventional-method reference: net sales ¥22,280m, operating profit ¥3,800m and net profit ¥2,500m; differences reflect sales timing from changed municipal contracts.

• FY2025 segment guidance under the new method: Consumer Service sales ¥20,200m and profit ¥4,200m; Online Advertising sales ¥2,760m and profit ¥340m.

• FY2027 targets: net sales ¥26,300m, operating profit ¥5,000m and ROE 16.8%; FY2025 plan targets ROE of 18.1%.