OLBA HEALTHCARE (2689) Q2 2025 earnings summary

Executive summary

• Achieved record highs in net sales, gross profit, and interim net income attributable to owners of parent for 2Q FY2025, with strong growth in consumables and successful price negotiations amid global inflation and yen depreciation.

• Net sales for the six months ended December 31, 2024, rose 5.5% year-over-year to ¥60,627 million, with operating profit up 8.2% to ¥808 million and profit attributable to owners of parent up 33.3% to ¥648 million.

• Comprehensive income increased 34.4% year-over-year to ¥643 million for the period.

• Expanded sales activities, improved purchasing, and established a Kansai Branch to acquire new customers and drive regional growth.

• Launched new businesses, including automated settlement machines, up-cycle units, and newborn live streaming services, and expanded into the ASEAN market.

Financial highlights

• 2Q FY2025 net sales: ¥60,627 million (+5.5% YoY), gross profit: ¥6,819 million (+6.0% YoY), operating income: ¥808 million (+8.2% YoY), ordinary income: ¥824 million (+10.5% YoY), net income attributable to owners: ¥648 million (+33.3% YoY).

• Gross profit margin: 11.25%.

• Interim net income per share: ¥109.44.

• Total assets as of December 31, 2024, were ¥46,776 million, up from ¥43,237 million as of June 30, 2024.

• Net assets increased to ¥11,502 million from ¥11,374 million at the previous fiscal year-end.

Outlook and guidance

• FY2025 full-year forecast: net sales ¥123,726 million (+4.4% YoY), gross profit ¥14,446 million (+6.2%), operating income ¥2,270 million (+1.9%), ordinary income ¥2,253 million (+0.4%), net income attributable to owners ¥1,465 million.

• Net income per share forecast: ¥247.65.

• Dividend per share forecast: ¥80, marking five consecutive years of increases.

• Fifth consecutive year of sales, profit, and dividend growth expected.