Nisshinbo (3105) Q2 2024 earnings summary

Executive summary

• Net sales for Jan-Jun 2024 were ¥240,022 million, down 10.9% year-over-year, mainly due to the TMD Group transfer and declines in Micro Devices and real estate businesses.

• Operating income dropped 44.0% year-over-year to ¥6,715 million, with net income attributable to owners of parent down 23.1% to ¥8,936 million.

• Comprehensive income rose to ¥25,875 million from ¥21,830 million year-over-year.

• Wireless and Communications segment saw significant growth, driven by the consolidation of Hitachi Kokusai Electric, offsetting declines in other segments.

• The group maintains its initial full-year forecast despite mixed segment performance.

Financial highlights

• Net sales: ¥240,022 million (down ¥29,345 million year-over-year).

• Operating income: ¥6,715 million (down ¥5,284 million year-over-year).

• Ordinary income: ¥11,092 million (down 29.7% or ¥4,679 million year-over-year).

• Net income attributable to owners of parent: ¥8,936 million (down ¥2,691 million year-over-year).

• Net income per share for the period was ¥56.87, compared to ¥74.04 in the prior year.

Outlook and guidance

• Full-year 2024 net sales forecast at ¥513,000 million, a 5.2% decrease year-over-year.

• Operating income projected at ¥24,000 million, up 92.7% year-over-year.

• Ordinary income forecasted at ¥26,000 million, up 64.7% year-over-year.

• Net income expected to reach ¥19,000 million, with EPS of ¥120.93.

• No revisions to the latest financial forecasts.