Raito Kogyo Co (1926) Q2 2025 earnings summary

Executive summary

• Consolidated orders received fell 8.0% year-over-year to ¥79,244 million, mainly due to a reactionary drop after a large U.S. project in the prior year, while non-consolidated orders rose 5.6% year-over-year, driven by both civil engineering and building construction.

• Consolidated net sales decreased 0.2% year-over-year to ¥54,967 million, reflecting fewer project completions.

• All profit categories improved due to enhanced profitability, with gross profit up 5.4% to ¥11,655 million, operating profit up 4.6% to ¥5,503 million, ordinary profit up 4.2% to ¥5,598 million, and profit attributable to owners of parent up 5.0% to ¥3,768 million.

• Non-consolidated net sales declined 1.9% year-over-year, gross profit decreased 0.1%, and operating profit dropped 6.5%.

Financial highlights

• Earnings per share for the period was ¥79.83, up from ¥73.54 a year earlier.

• Comprehensive income fell 35.5% year-over-year to ¥3,145 million.

• Total assets decreased to ¥121,523 million from ¥124,447 million at the previous fiscal year-end.

• Net assets declined to ¥87,089 million from ¥91,094 million, with an equity ratio of 71.0%.

• Net cash provided by operating activities was ¥8,316 million; cash and cash equivalents at period-end were ¥34,489 million.

Outlook and guidance

• Numerous building construction projects have just started in the second quarter, expected to impact future sales positively.

• Full-year net sales forecast at ¥121,000 million, up 3.1% year-over-year, with operating profit projected to rise 21.8% to ¥13,700 million and profit attributable to owners of parent expected to increase 16.1% to ¥9,500 million.

• No revisions to previously announced earnings or dividend forecasts.