Subaru (7270) Q2 2025 earnings summary

Executive summary

• 1st half FYE 2025 production was 475,000 units (down 3.7% YoY), with consolidated unit sales of 450,000 units (down 4.2% YoY), mainly declining in the first quarter.

• Revenue for the six months ended September 30, 2024 rose 2.4% YoY to ¥2,266.2 billion, driven by favorable FX and price revisions despite lower unit sales and higher incentives.

• Operating profit increased 19.5% YoY to ¥222 billion, while profit before tax declined 2.4% to ¥221 billion.

• Profit attributable to owners grew 8.0% YoY to ¥163 billion.

• Full-year forecasts revised: production and sales both expected at 950,000 units (down 2.0% and 2.7% YoY, respectively).

Financial highlights

• 1st half revenue increased to ¥2,266.2 billion (up ¥52.7 billion YoY); operating profit rose to ¥222 billion (up ¥36.2 billion YoY).

• Profit attributable to owners was ¥163 billion (up ¥12.1 billion YoY).

• Gross profit for the period was ¥484 billion, up from ¥439.3 billion a year earlier.

• Basic EPS for the period was ¥219.09, compared to ¥198.59 in the prior year.

• Cash and cash equivalents at September 2024 were ¥972.8 billion.

Outlook and guidance

• Full-year revenue forecast for FY2025 is ¥4,720 billion, up 0.4% YoY.

• Operating profit forecast remains ¥400 billion (down 14.6% YoY), unchanged despite revised FX assumptions.

• Profit attributable to owners forecast at ¥300 billion (down 22.1% YoY).

• 2nd half operating profit expected to decline sharply YoY to ¥178 billion.

• No revisions have been made to the previously announced consolidated financial forecast.