Takuma Co (6013) Q2 2025 earnings summary

Executive summary

• Orders received in Q2 FY2024 surged 122.8% year-over-year to ¥162.0 billion, driven by large municipal solid waste treatment plant projects and equipment improvements.

• Net sales increased 3.3% year-over-year to ¥68.1 billion, with growth across all business segments.

• Operating profit rose 67.0% year-over-year to ¥4.5 billion, mainly due to a favorable EPC project mix and cost eliminations in the Domestic Environment and Energy Business.

• Profit attributable to owners of parent more than doubled year-over-year, supported by a gain on sales of investment securities.

• Growth in all business segments contributed to higher net sales and profits.

Financial highlights

• Orders received: ¥162.0 billion (+122.8% YoY); order backlog: ¥576.6 billion (+20.6% YoY).

• Net sales: ¥68.1 billion (+3.3% YoY); operating profit: ¥4.5 billion (+67.0% YoY); operating margin: 6.7% (+2.6pt YoY).

• Ordinary profit: ¥5.1 billion (+56.3% YoY); profit attributable to owners: ¥4.1 billion (+113.5% YoY); EPS: ¥51.79.

• Comprehensive income decreased 35.1% to ¥2,941 million due to negative other comprehensive income items.

• Cash flows from operating activities improved to ¥15,667 million, while investing and financing activities resulted in net outflows.

Outlook and guidance

• FY2024 orders received forecast at ¥230.0 billion (+43.2% YoY), aiming for a record high.

• Net sales forecast to decrease 4.1% YoY to ¥143.0 billion, mainly due to lower sales in Domestic Environment and Energy.

• Operating profit expected to rise 9.5% YoY to ¥11.2 billion, driven by project mix improvements.

• Annual dividend forecast raised to ¥56.00 per share.

• Management expects continued demand for core products but notes risks from rising material costs and longer lead times.