OYO (9755) Q3 2024 earnings summary

Executive summary

• Net sales for the nine months ended September 30, 2024, rose 15.2% year-over-year to ¥53,835 million, with operating profit up 113.1% to ¥3,279 million and ordinary profit up 93.8% to ¥3,987 million.

• Profit attributable to owners of parent increased 61.1% year-over-year to ¥2,814 million, and basic earnings per share rose to ¥119.23 from ¥72.91.

• Comprehensive income for the period was ¥3,131 million, down from ¥4,524 million in the prior year, reflecting lower other comprehensive income.

Financial highlights

• Gross profit increased to ¥16,939 million from ¥13,755 million year-over-year, while selling, general and administrative expenses rose to ¥13,660 million.

• Extraordinary income of ¥895 million was recorded, mainly from subsidy income and gain on sale of investment securities.

• Total assets as of September 30, 2024, were ¥101,382 million, with net assets at ¥75,043 million and a capital adequacy ratio of 73.1%.

Outlook and guidance

• Full-year net sales are forecast at ¥73,000 million, up 11.3% year-over-year, with operating profit projected at ¥3,500 million and ordinary profit at ¥4,300 million.

• Profit attributable to owners of parent is expected to decline 27.6% year-over-year to ¥2,900 million, with basic earnings per share forecast at ¥123.21.

• Dividend forecast revised to ¥68.00 per share for the year, up from ¥58.00 in the prior year.