Sharp (6753) Q3 2025 earnings summary

Executive summary

• Net sales for Q1–Q3 FY2024 were 1,657.9B yen, down 6.0% year-over-year; Q3 operating profit improved and was 8.8 times higher than last year.

• Operating profit rose to 20.4B yen from a prior year loss; Brand Business segments saw profit growth despite yen depreciation.

• Net profit declined due to foreign exchange and extraordinary losses from restructuring and asset transfers.

• Comprehensive income dropped sharply; ordinary profit and bottom-line profit were negative, impacted by non-operating and extraordinary losses.

• FY2024 forecast revised: net sales 2,130.0B yen, operating profit 20.0B yen, net profit guidance withheld due to estimation difficulties.

Financial highlights

• Q3 FY2024 net sales: 561.5B yen, down 7.4% year-over-year; operating profit: 19.9B yen, up 777.2% year-over-year.

• Gross profit increased to 305.7B yen; cash and deposits at end-Q3: 245.7B yen.

• Ordinary profit fell to 0.8B yen; extraordinary income surged to 44.0B yen, mainly from investment securities sales.

• Extraordinary losses rose to 36.2B yen, including 24.2B yen in impairment and 11.2B yen in restructuring expenses.

• Inventories decreased to 267.8B yen; net interest-bearing debt down to 404.5B yen.

Outlook and guidance

• FY2024 net sales forecast: 2,130.0B yen (down 8.3% year-over-year); operating profit: 20.0B yen.

• Ordinary profit forecast: 1.0B yen; net profit guidance not disclosed due to estimation difficulties.

• Dividend for the year ending March 31, 2025, remains undecided.