Marubeni (8002) Q2 2025 earnings summary

Executive summary

• Net profit for Q1–Q2 FYE 3/2025 was ¥238.1bn, down ¥13.2bn or 5.2% year-over-year, with 49.6% progress toward the full-year forecast.

• Revenue rose 3.7% year-over-year to ¥3,891.2bn, with growth in Power, Metals & Mineral Resources, and Chemicals.

• Adjusted net profit was ¥224.0bn, down ¥20.0bn year-over-year, with 49% progress.

• Full-year forecasts for net profit and adjusted net profit remain unchanged at ¥480.0bn and ¥460.0bn, respectively.

• Annual dividend per share is forecasted at ¥90, and a ¥50.0bn share buyback was completed by July 2024.

Financial highlights

• Core operating cash flow for Q1–Q2 was ¥305.9bn, up ¥39.5bn year-over-year, with 54% progress toward the full-year forecast.

• Gross trading profit increased 8.3% year-over-year to ¥566.6bn, with notable gains in Power, Chemicals, and Aerospace & Ship.

• Free cash flow after shareholder distributions was -¥259.0bn as of Sep 30, 2024; free cash flow was negative ¥190.3bn.

• Net DE ratio increased to 0.64 times as of Sep 30, 2024, from 0.55 times at Mar 31, 2024.

• Shareholders' equity stood at ¥3,389.4bn as of Sep 30, 2024.

Outlook and guidance

• Net profit and adjusted net profit forecasts for FYE 3/2025 remain at ¥480.0bn and ¥460.0bn, respectively.

• Core operating cash flow forecast raised to ¥580.0bn, near record high.

• Annual dividend per share forecast unchanged at ¥90; total payout ratio estimated at 42%.

• Full-year basic EPS forecast is ¥288.97.

• ROE expected to be around 15%, with net DE ratio between 0.6–0.7 times.