Seiren (3569) Q2 2025 earnings summary

Executive summary

• H1 FY2025 revenue and major profit measures reached records, led by overseas vehicle-materials growth, particularly in North America and Asia.

• For the six months ended September 30, 2024, revenue rose 17.1% to ¥78,033 million; operating income increased 36.4% to ¥8,221 million, ordinary income 12.8% to ¥9,069 million and net income attributable to owners 16.5% to ¥6,710 million.

Financial highlights

• H1 operating margin was 10.5%, versus 9.0% a year earlier; gross profit increased to ¥21,121 million from ¥18,168 million and SG&A expenses rose to ¥12,900 million.

• Depreciation was ¥2,935 million, up 13.8% YoY; cash-flow-basis capex was ¥2,286 million, up 5.0%.

• Comprehensive income was ¥12,142 million, down 2.5% YoY; cash and cash equivalents at period-end were ¥39,752 million.

Outlook and guidance

• FY2025 forecast raised to revenue ¥156,000 million, operating income ¥16,400 million, ordinary income ¥17,000 million and net income attributable to owners ¥12,600 million.

• Revised revenue forecast is up 9.9% YoY and ¥9,000 million above prior guidance; operating income is up 16.6% YoY and ¥900 million above prior guidance.

• Forecast operating margin is 10.5%; lower-half planning exchange rates are ¥145/USD and ¥20/CNY.

• FY2025 depreciation is forecast at ¥5,980 million and cash-flow-basis capex at ¥7,240 million, including ¥3,650 million overseas.