MODEC (6269) Q3 2024 earnings summary

Executive summary

• Revenue for the nine months ended September 30, 2024 rose 20.5% year-over-year to $2,994.7 million, driven by progress in FPSO construction projects and stable charter business.

• Operating profit surged 189.2% year-over-year to $255.5 million, reflecting higher revenue and increased share of profit from equity-method investments.

• Profit attributable to owners of parent increased 376.3% year-over-year to $171.0 million.

• Total comprehensive income for the period was $167.7 million, up from $93.1 million in the prior year.

Financial highlights

• Gross profit for the nine months was $298.9 million, up from $142.5 million year-over-year.

• Basic and diluted EPS for the nine months were $2.50, compared to $0.59 in the prior year.

• Total assets increased to $4,215.1 million as of September 30, 2024, from $3,887.9 million at year-end 2023.

• Total equity rose to $1,129.1 million, mainly due to higher retained earnings.

• Net cash used in operating activities was $(23.4) million, compared to $159.1 million provided in the prior year.

Outlook and guidance

• Full-year 2024 revenue forecast is $4,300 million, up 20.3% year-over-year.

• Operating profit is projected at $290 million, a 50.3% increase year-over-year.

• Profit attributable to owners of parent is forecast at $200 million, up 107.2% year-over-year.

• Basic EPS for the full year is expected to reach $2.93.

• Annual dividend forecast is ¥60 per share, unchanged from previous guidance.