Kurabo Industries (3106) Q4 2024 earnings summary

Executive summary

• FY24 revenue fell 1.4% YoY to ¥151.3bn, while operating income rose 5.9% to ¥9.2bn and net income rose 22.1% to ¥6.7bn; each consolidated profit measure reached a record.

• Earnings resilience in chemicals and environmental mechatronics offset a textile downturn; FY25 guidance anticipates a textile return to profitability and modest consolidated growth.

Financial highlights

• FY24 revenue was ¥151,314m, operating income ¥9,186m, ordinary income ¥10,191m and net income attributable to owners ¥6,738m.

• Revenue declined ¥2,208m YoY, partly reflecting the deconsolidation of Kurashiki Machinery and customer inventory adjustments in textiles.

• FY24 capex was ¥4,959m, down 33.9% versus the revised forecast due to timing shifts; depreciation was ¥5,086m.

Outlook and guidance

• FY25 forecast: revenue ¥153.0bn (+1.1%), operating income ¥9.3bn (+1.2%), ordinary income ¥10.2bn (+0.1%) and net income ¥7.2bn (+6.8%).

• FY25 capex is forecast at ¥9.5bn (+91.6% YoY), with depreciation of ¥5.4bn (+6.2%).

• FY25 annual dividend forecast is ¥120 per share, including an interim dividend of ¥60; FY24 paid ¥100 per share.