Secom (9735) Q4 2024 earnings summary

Executive summary

• FY2024 revenue, ordinary profit and net income attributable to owners of the parent reached record highs.

• Revenue growth reflected Senon consolidation, brisk online security system sales and higher safety merchandise sales.

• AZ-Access was added to the AZ lineup in May 2023; ARTERIA Networks became an equity-method affiliate from September 30, 2023.

Financial highlights

• FY2024 revenue was ¥1,154,740m, up 4.9% YoY; operating profit was ¥140,658m, up 2.9%.

• Ordinary profit was ¥166,859m, up 6.9% YoY; net income attributable to owners of the parent was ¥101,951m, up 6.1%.

• Basic EPS was ¥482.04, versus ¥445.02 in FY2023.

Outlook and guidance

• FY2025 revenue is projected at ¥1,170.0bn, up ¥15.2bn; all segments except geospatial information services are expected to grow.

• FY2025 operating profit is projected at ¥131.2bn, down ¥9.4bn; ordinary profit at ¥138.0bn, down ¥28.8bn; net income at ¥87.0bn, down ¥14.9bn.

• Planned operating profit declines reflect security staff compensation increases, lower geospatial revenue, and data-center start-up investment and operating costs in BPO and ICT.