Meiko Trans Co (9357) Q4 2024 earnings summary

Executive summary

• FY2023 revenue fell 7.6% YoY to ¥77,698 million as lower ocean and air freight rates and reduced domestic warehousing outweighed growth in shipboard work.

• Operating profit declined 15.7% to ¥5,265 million; net income attributable to owners declined 2.1% to ¥4,541 million.

Financial highlights

• FY2023 ordinary profit was ¥6,536 million, down 6.1% YoY; revenue was ¥77,698 million, down ¥6,402 million.

• FY2023 operating profit was ¥5,265 million versus ¥6,247 million in FY2022; net income attributable to owners was ¥4,541 million versus ¥4,641 million.

• FY2023 dividend was ¥38 per share, up ¥4 YoY; FY2024 dividend is forecast at ¥40 per share.

Outlook and guidance

• FY2024 revenue is forecast at ¥77,000 million, down 0.9% YoY; handling is expected to decline in H1 amid weak European and Chinese economies, then recover in H2.

• FY2024 operating profit is forecast at ¥4,900 million, down 6.9%; ordinary profit at ¥6,300 million, down 3.6%; net income at ¥4,450 million, down 2.0%.

• Resource-price inflation and labor shortages are expected to raise costs and reduce profit; the planned dividend is ¥40 per share, with a payout-ratio guideline of at least 25%.