Sansan (4443) Q4 2024 earnings summary

Executive summary

• Net sales rose 32.8% year-over-year to ¥33,878 million, with adjusted operating profit up 81.5% year-over-year to ¥1,709 million, exceeding the upper end of the full-year forecast.

• Ordinary profit surged 903.3% year-over-year, and profit attributable to owners of parent turned positive at ¥953 million from a ¥141 million loss.

• Both Sansan (sales DX solution) and Bill One (cloud invoice management) segments delivered strong growth, with Bill One net sales up 155.5% year-over-year.

• The Eight business achieved profitability for the first time on a full-year basis, with net sales up 23.8% year-over-year.

• Growth was driven by significant market share gains in core services.

Financial highlights

• Gross profit increased 32.0% year-over-year to ¥28,814 million, with a gross profit margin of 85.1%.

• Adjusted operating profit reached ¥1,709 million, up 81.5% year-over-year.

• Ordinary profit surged to ¥1,224 million from ¥122 million year-over-year, and EPS improved from -¥1.13 to ¥7.59.

• Cash and cash equivalents at year-end totaled ¥24,729 million, up 17.8% from the previous year.

• Net assets increased to ¥14,772 million, with an equity-to-asset ratio of 37.3%.

Outlook and guidance

• FY2025 net sales forecasted to grow 27.0–30.0% year-over-year to ¥43,026–44,042 million.

• Adjusted operating profit expected to rise 76.2–157.6% to ¥3,012–4,404 million.

• Adjusted operating profit margin expected to improve by 2.0–5.0 points year-over-year, targeting 7.0%–10.0%.

• Bill One net sales projected to increase 60.0%–70.0% year-over-year.

• Medium-term policy targets a 22%–27% CAGR in net sales and an adjusted operating profit margin of 18%–23% by FY2026/FY2027.