PRONEXUS (7893) Q4 2024 earnings summary

Executive summary

• FY24 revenue reached a record for the sixth consecutive year; revenue and profits grew YoY and exceeded initial forecasts.

• Cine Holdings and Cine Focus drove event-business expansion; non-print growth also benefited from electronic-notice services and stronger English disclosure demand.

Financial highlights

• Revenue was ¥30,117 million, up 12.4% YoY; operating profit was ¥2,435 million, up 10.1%.

• Profit before tax rose 5.8% to ¥2,529 million; profit attributable to owners of parent increased 10.0% to ¥1,779 million.

• Gross profit increased 13.9% to ¥11,044 million; SG&A rose 15.4% to ¥8,599 million, including acquisition-related costs and new-service launch expenses.

• Results exceeded initial forecasts: revenue was 100.4%, operating profit 101.5%, profit before tax 105.4%, and parent profit 107.8% of plan.

Outlook and guidance

• FY25 revised targets: revenue ¥31,000 million, operating profit ¥2,500 million, profit before tax ¥3,900 million, and parent profit ¥2,650 million.

• FY25 outlook cites English translation demand from simultaneous Japanese-English disclosure and continued event-business growth; the forecast includes a ¥1,411 million gain on sale of Mitsue-Links shares.

• FY25 targets include an 8.1% operating margin, 10.0% ROE, and 50.1% dividend payout ratio.

• FY25 annual dividend planned at ¥52 per share, comprising ¥36 ordinary and ¥16 special dividend funded partly by the Mitsue-Links share-sale gain.