Nippon Densetsu Kogyo (1950) Q1 2025 earnings summary

Executive summary

• Net sales rose 15.5% year-over-year to ¥33,011 million for the quarter ended June 30, 2024.

• Operating loss narrowed to ¥774 million from ¥1,274 million year-over-year.

• Ordinary loss improved to ¥149 million from ¥764 million in the prior year period.

• Loss attributable to owners of parent was ¥42 million, a significant improvement from ¥478 million loss year-over-year.

• Comprehensive income turned negative at ¥520 million, compared to ¥1,717 million positive in the prior year.

Financial highlights

• Gross profit on completed construction contracts increased to ¥2,893 million from ¥2,273 million year-over-year.

• Selling, general and administrative expenses rose slightly to ¥3,667 million from ¥3,548 million.

• Basic earnings per share improved to ¥(0.72) from ¥(7.79) year-over-year.

• Total assets decreased to ¥256,778 million as of June 30, 2024, from ¥282,597 million at March 31, 2024.

• Net assets declined to ¥195,731 million from ¥199,115 million at the previous fiscal year-end.

Outlook and guidance

• Full-year net sales forecasted at ¥205,160 million, up 5.7% year-over-year.

• Operating profit projected to rise 9.1% to ¥14,670 million for the fiscal year ending March 31, 2025.

• Ordinary profit expected to reach ¥15,830 million, up 6.2% year-over-year.

• Profit attributable to owners of parent forecasted at ¥10,500 million, up 4.6% year-over-year.

• Basic earnings per share guidance set at ¥178.05 for the full year.