KOA Corporation (6999) Q3 2025 earnings summary

Executive summary

• Net sales for the six months ended September 30, 2024, were ¥31,894 million, down 4.9% year-over-year due to weaker demand in industrial equipment and appliances despite strong automotive sales and yen depreciation.

• Operating profit declined 67.3% year-over-year to ¥474 million, impacted by lower sales and higher fixed costs, including depreciation.

• Ordinary loss was ¥167 million, reflecting a ¥1,103 million foreign exchange loss; net loss attributable to owners of parent was ¥572 million, down ¥2,095 million from the prior year.

Financial highlights

• Gross profit for the period was ¥9,082 million, with a gross margin of 28.5%, compared to ¥9,557 million and 28.5% in the prior year.

• Comprehensive income dropped 74.4% year-over-year to ¥1,001 million.

• Cash flows from operating activities were ¥2,810 million; investing activities used ¥13,206 million, and financing activities provided ¥12,329 million.

• Cash and cash equivalents at period-end totaled ¥31,691 million.

Outlook and guidance

• Full-year net sales forecast revised to ¥62,800 million, down 3.1% year-over-year.

• Operating profit forecast at ¥1,150 million (down 65.3%), ordinary profit at ¥830 million (down 81.5%), and profit attributable to owners of parent at ¥80 million (down 97.1%).

• Earnings per share forecast at ¥2.16.

• Dividend forecast revised to ¥40 per share for the year.