SERAKU (6199) Q2 2025 earnings summary

Executive summary

• Net sales rose 13.6% year-over-year to 12,295 million yen for the six months ended February 28, 2025, driven by strong IT/DX demand, Digital Integration, and service expansion.

• Operating profit increased 22.0% year-over-year to 1,365 million yen, with ordinary profit up 23.4% and profit attributable to parent up 19.4%.

• Multiple JA organizations adopted Midori Cloud Rakuraku Shukka, reflecting successful advance investments.

• Progress rates for FY25 plan reached 50.2% for net sales and 53.5% for operating profit in the first half.

Financial highlights

• Gross profit improved to 3,277 million yen from 2,689 million yen year-over-year, with gross profit margin rising to 26.7% from 24.8%.

• EPS for the period was 68.08 yen, up from 55.42 yen in the prior year.

• Comprehensive income increased to 918 million yen, up 19.5% year-over-year.

• Cash and cash equivalents at period-end were 6,611 million yen.

• Ordinary profit up 23.4% year-over-year; profit attributable to parent up 19.4%.

Outlook and guidance

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

• Net income per share forecast at 127.24 yen; no revisions to previously announced earnings forecasts.

• Medium-term vision aims for 4.0 billion yen operating profit and 50.0 billion yen net sales by FY27.

• Focus on expanding high-value DX and cloud businesses, and increasing partner companies.