Maruichi Steel Tube (5463) Q1 2025 earnings summary

Executive summary

• First quarter net sales were ¥67,512 million, up 0.6% year-over-year, with performance aligned to forecasts despite extraordinary losses from human capital investment.

• Operating income declined 11.2% year-over-year to ¥8,286 million, and profit attributable to owners of parent fell 3.8% to ¥6,513 million.

• Comprehensive income decreased to ¥11,340 million from ¥13,871 million year-over-year.

• Plans announced to expand the stainless steel pipe business, including significant capital investments.

Financial highlights

• Consolidated net sales for 1Q FY2025 were ¥67,512 million, up 0.6% year-over-year.

• Operating income declined 11.2% year-over-year to ¥8,286 million.

• Ordinary income decreased 6.4% year-over-year to ¥9,631 million.

• Net income attributable to owners of parent fell 3.8% year-over-year to ¥6,513 million.

• Gross profit for the quarter was ¥13,344 million, down from ¥13,775 million year-over-year.

Outlook and guidance

• Full-year forecast for FY2025 remains unchanged due to market uncertainty, with net sales projected at ¥280,000 million, operating income at ¥34,200 million, and net income at ¥21,600 million.

• Dividend forecast maintained at ¥131 per share.

• Full-year operating profit is projected at ¥34,200 million, down 1.8% year-over-year, and profit attributable to owners of parent is forecast at ¥21,600 million, a 34.7% decrease year-over-year.