TOA (1885) Q4 2024 earnings summary

Executive summary

• FY2024 net sales rose 32.9% to ¥283,852 million, operating profit increased 162.9% to ¥17,231 million, and parent profit rose 117.5% to ¥10,517 million; orders, operating income and ordinary income reached records.

• Operating cash flow swung to ¥39,350 million from an outflow of ¥13,947 million; FY2025 guidance projects lower profit despite higher sales, with some overseas projects unprofitable.

Financial highlights

• Gross profit rose to ¥30,433 million from ¥18,030 million; SG&A increased to ¥13,202 million from ¥11,475 million.

• Ordinary profit was ¥16,630 million versus ¥6,614 million; comprehensive income was ¥15,703 million versus ¥5,431 million.

• Non-consolidated orders received reached ¥352.6bn, up 19.3% YoY; FY2024 net sales and operating income exceeded February forecasts by ¥13.8bn and ¥1.3bn, respectively.

Outlook and guidance

• FY2025 consolidated forecast: net sales ¥300,000 million (+5.7%), operating profit ¥12,000 million (-30.4%), ordinary profit ¥11,800 million (-29.0%) and parent profit ¥8,000 million (-23.9%).

• FY2025 orders received forecast is ¥210.0bn; the earnings forecast exceeds medium-term plan targets for net sales, operating income and net income.

• Non-consolidated FY2025 forecast: net sales ¥290,000 million, operating profit ¥10,900 million, ordinary profit ¥10,700 million and net income ¥7,400 million.

• FY2025 forecast EPS is ¥100.91, reflecting the April 1, 2024 4-for-1 stock split.