SEIKO GROUP (8050) Q3 2025 earnings summary

Executive summary

• Net sales for the nine months ended December 31, 2024, reached 232.5 billion yen, up 13.1% year-over-year, with operating profit at 20.8 billion yen, up 47.1% year-over-year, driven by strong EVS domain, DS recovery, and steady SS performance.

• Profit attributable to owners of parent increased 21.5% year-over-year to 12.9 billion yen.

• The full-year operating profit forecast was revised upward by 2.0 billion yen to 20.0 billion yen, while net sales guidance remains at 306.0 billion yen.

• Year-end dividend projection increased by 5 yen to 50 yen, resulting in an annual dividend of 95 yen per share.

Financial highlights

• Gross profit for 9M FY24 was 105.9 billion yen (+14.3% year-over-year), with gross margin improving by 0.5pt to 45.6%.

• Ordinary profit rose 35.7% year-over-year to 20.8 billion yen.

• 3Q FY24 net sales were 81.5 billion yen (+9.6% year-over-year), with operating profit at 7.4 billion yen (+24.5% year-over-year).

• Free cash flow improved to 17.6 billion yen for 9M FY24, up from 12.8 billion yen in the prior year.

• Basic earnings per share increased to 316.88 yen from 257.96 year-over-year.

Outlook and guidance

• FY24 net sales forecast remains at 306.0 billion yen; operating profit forecast revised up to 20.0 billion yen (+11.1% from previous forecast).

• Segment forecasts: EVS domain to see significant revenue and profit growth; DS and SS domains expected to maintain steady performance.

• Annual dividend per share forecast raised to 95 yen.

• Full-year basic EPS forecast at 306.17 yen.

• Profit attributable to owners of parent projected at 12.5 billion yen, up 24.4% year-over-year.