ShinMaywa Industries (7224) Q3 2025 earnings summary

Executive summary

• Achieved record-high 3Q orders received and net sales, with operating profit up 32.0% year-over-year and net profit up 35.3%, mainly from Special Purpose Trucks price revisions.

• Orders received increased 1.0% year-over-year to ¥209.1B, and outstanding orders grew 9.7% to ¥314.8B.

• The company is executing Phase 2 of its SG-Vision2030 long-term management plan to enhance corporate value.

• Despite EV market slowdown, truck production stagnation, and aircraft client strike, profit forecasts remain unchanged.

Financial highlights

• 3Q FY2024 net sales: ¥187.2B (+5.4% YoY); operating profit: ¥8.3B (+32.0% YoY); ordinary profit: ¥8.4B (+38.5% YoY); net profit: ¥4.9B (+35.3% YoY).

• Basic earnings per share increased to ¥74.68 from ¥55.26 YoY.

• Comprehensive income was ¥5,160M, down from ¥6,345M in the prior year.

• Equity-to-asset ratio improved to 41.9% from 41.1% YoY.

• Free cash flow turned positive: ¥2.6B (from -¥25.4B YoY).

Outlook and guidance

• FY2024 forecast: orders received ¥287.0B, net sales ¥265.0B (revised down), operating profit ¥13.0B, net profit ¥7.5B; profit guidance unchanged.

• Basic EPS forecast at ¥113.48; annual dividend per share forecast at ¥50 (DOE 3.1%), up ¥3 YoY.

• Each ¥1 depreciation in USD/JPY increases operating profit by ¥10M.