Sumitomo Osaka Cement (5232) Q3 2025 earnings summary

Executive summary

• Operating income in the cement business returned to profitability, driven by price hikes and a decline in coal prices, resulting in a year-on-year increase in overall operating income.

• Net sales for the nine months ended December 31, 2024, were ¥166.2 billion, down 0.8% year-over-year, while net income declined sharply due to lower extraordinary gains.

• Operating income rose 38.4% to ¥6.61 billion, and ordinary income increased 15.7% to ¥6.85 billion year-over-year.

• Comprehensive income dropped 60.3% year-over-year to ¥3.88 billion.

Financial highlights

• FY2024 3rd quarter net sales: ¥166.2 billion, down ¥1.3 billion year-on-year.

• Operating income: ¥6.61 billion, up ¥1.83 billion year-on-year.

• Net income: ¥6.68 billion, down ¥3.93 billion year-on-year due to lower extraordinary income.

• Gross margin improved as cost of sales decreased to ¥129.1 billion from ¥133.9 billion year-over-year.

• Net income per share for the period was ¥199.74, down from ¥309.61 year-over-year.

Outlook and guidance

• Full-year net sales forecast is ¥223.8 billion, up 0.6% year-over-year.

• Operating income is projected to rise 15.8% to ¥8.4 billion, but net income is expected to fall 49.2% to ¥7.8 billion.

• Dividend per share is expected to remain unchanged at ¥120.