Sun Frontier Fudousan (8934) Q4 2024 earnings summary

Executive summary

• FY2024 sales fell 3.5% to ¥79,868m; operating profit rose 18.1% to ¥17,600m, ordinary profit 18.0% to ¥17,374m and net income 2.6% to ¥11,917m, all profit figures reaching records.

• Earnings growth was supported by Real Estate Revitalization and a sharp improvement in Hotel and Tourism profit.

• Annual dividend rose to ¥58 per share, including a ¥2 commemorative dividend; FY2025 dividend guidance is ¥66 per share.

Financial highlights

• Gross profit increased 15.8% to ¥26,405m; SG&A rose 11.5% to ¥8,804m amid planned human-capital and systems investment.

• EPS was ¥245.50 versus ¥238.98; diluted EPS was ¥230.74 versus ¥238.76.

• Total assets increased 23.7% to ¥188,661m and net assets rose 12.4% to ¥94,416m.

Outlook and guidance

• FY2025 guidance: sales ¥100bn, operating profit ¥20.87bn, ordinary profit ¥20bn, net income ¥14bn and EPS ¥288.41.

• FY2025 guidance targets a 20% ordinary profit margin and ROE of at least 10%.

• FY2028 plan targets ¥135bn sales and ¥27bn ordinary profit; the 2035 vision targets ¥300bn sales and ¥60bn ordinary profit.

• Forecasts depend on assumptions and may differ materially from actual results.