Techno Ryowa Ltd (1965) Q2 2025 earnings summary

Executive summary

• H1 revenue rose 10.6% YoY to ¥35,023m; operating profit increased 55.6% to ¥2,215m and net income attributable to owners rose 35.8% to ¥1,678m.

• Orders advanced 21.4% to ¥61,474m, led by large industrial projects, including semiconductor-related contracts; ongoing project progress and maintenance sales supported revenue growth.

Financial highlights

• H1 gross profit rose from ¥4,740m to ¥5,908m; ordinary profit was ¥2,361m, up 26.3% YoY.

• Q2 revenue was ¥18,839m, operating profit ¥1,517m and net income ¥1,066m; gross margin was 18.1% versus 15.0%, and operating margin was 8.1% versus 5.2%.

• H1 order backlog reached ¥83,943m, up 24.9% YoY; equity ratio improved to 71.4% from 64.5% at FY2024-end.

• Comprehensive income fell 57.0% YoY to ¥960m as other comprehensive income items declined.

Outlook and guidance

• FY2025 forecasts: revenue ¥83,000m (+12.6%), operating profit ¥7,200m (+24.3%), ordinary profit ¥7,500m (+17.7%) and net income ¥5,250m (+16.5%); guidance was unchanged from the prior announcement.

• Full-year order intake is forecast at ¥89,500m (+8.1%); EPS guidance is ¥249.53, up 19.1%.

• Forecasts assume steady progress on large projects and continued construction demand, including semiconductor-related domestic investment; technician hiring and work-style reform costs are headwinds.