SERAKU (6199) Q1 2025 earnings summary

Executive summary

• Net sales increased by 15.6% year-over-year to 6,200 million yen, and operating profit rose by 46.4% to 769 million yen, driven by strong growth in the Digital Integration (DX) domain.

• Profit attributable to parent grew 60.0% year-over-year to 481 million yen, with EPS rising to 35.61 yen.

• Progress toward the FY25 plan is steady, with 25.3% of net sales and 30.2% of operating profit achieved in the first quarter.

• Growth was led by Digital Integration, while Midori Cloud declined and Mechanical Design and Engineering posted modest growth.

Financial highlights

• Gross profit rose 30.8% year-over-year to 1,713 million yen, with gross margin improving from 24.4% to 27.6%.

• Ordinary profit increased by 46.4% year-over-year to 775 million yen.

• Comprehensive income grew 60.3% year-over-year to 481 million yen.

• Equity ratio stood at 61.7% as of November 30, 2024.

• Operating profit margin improved from 9.8% to 12.4% year-over-year.

Outlook and guidance

• FY25 full-year targets are net sales of 24,500 million yen (+10.3% YoY) and operating profit of 2,550 million yen (+12.1% YoY).

• Medium-term vision targets operating profit of 4.0 billion yen (15.0% margin) and net sales of 50.0 billion yen by FY27.

• No revisions to previously announced earnings forecasts.