Seiko Epson (6724) Q3 2025 earnings summary

Executive summary

• Revenue for the nine months ended December 31, 2024 rose 3.2% year-over-year to ¥1,023.8 billion, driven by strong sales in the printing solutions segment and positive foreign exchange effects.

• Business profit increased 36.1% year-over-year to ¥73.9 billion, reflecting revenue growth, cost containment, and FX gains.

• Q3 FY2024 revenue slightly decreased year-over-year, while business profit also declined; however, profit from operating activities and net income rose due to foreign exchange gains from yen depreciation.

• Acquisition of Fiery, LLC completed in December 2024, expanding digital printing software capabilities.

• Profit attributable to owners of the parent company was ¥47.3 billion, up 11.6% from the prior-year period.

Financial highlights

• Q3 FY2024 revenue: ¥349.6B (down ¥3.9B, -1.1% YoY); business profit: ¥22.9B (down ¥6.9B, -23.3% YoY).

• Profit from operating activities: ¥27.9B (+17.5% YoY); profit before tax: ¥34.3B (+61.4% YoY); net income attributable to owners: ¥24.0B (+60.8% YoY); EPS: ¥74.10.

• Gross profit for the period was ¥368.3 billion, up from ¥345.1 billion year-over-year.

• Total assets increased to ¥1,500.9 billion, up ¥87.8 billion from March 2024.

• Equity attributable to owners of the parent company rose to ¥834.3 billion.

Outlook and guidance

• FY2024 full-year revenue outlook raised to ¥1,360.0B (+3.5% YoY); business profit forecast unchanged at ¥85.0B (+31.3% YoY).

• Net income forecast at ¥52.0B, EPS at ¥160.74; Fiery results included in full-year outlook.

• Visual Communications outlook downgraded due to education budget cuts and China slowdown; Printing Solutions outlook raised on strong hardware sales.

• Annual dividend expected at ¥74/share; share repurchase up to ¥30B underway.

• Assumed Q4 exchange rates: ¥153/USD and ¥163/EUR.