Maruichi Steel Tube (5463) Q2 2025 earnings summary

Executive summary

• Consolidated revenue for 1H FY2025 decreased 1.2% year-over-year to ¥133.5 billion, with operating income down 32.5% and net income down 47.7% due to lower sales and a significant extraordinary loss from restricted stock grants.

• US operations faced a compressed working differential and a $10 million inventory write-off, while Asian operations saw strong growth.

• Dividend payout maintained at ¥131 per share.

• Comprehensive income fell 58.0% year-over-year to ¥12,045 million.

Financial highlights

• Net sales: ¥133.5 billion for 1H FY2025, down 1.2% year-over-year.

• Operating income: ¥13.0 billion, down 32.5% year-over-year.

• Net income attributable to owners: ¥7.4 billion, down 47.7% year-over-year.

• Gross profit declined from ¥28,261 million to ¥23,026 million year-over-year.

• Extraordinary loss of ¥3.85 billion due to restricted stock grants.

Outlook and guidance

• Full-year FY2025 net sales forecast at ¥258.0 billion, with some sources noting a 4.9% decrease and others a 4.9% increase year-over-year.

• Operating income forecast at ¥25.2 billion, down 27.6% year-over-year.

• Net income forecast at ¥17.8 billion, down 31.8% year-over-year.

• Dividend forecast unchanged at ¥131 per share.