TOKYO KEIKI (7721) Q3 2025 earnings summary

Executive summary

• Net sales for the nine months ended December 31, 2024, rose 11.5% year-over-year to ¥34,241 million, driven by strong Defense & Communications Equipment and Marine Systems performance.

• Operating profit increased 527.1% year-over-year to ¥1,054 million, with ordinary profit up 255.2% to ¥1,229 million.

• Profit attributable to owners of parent surged 691.1% year-over-year to ¥932 million.

• Orders received and order backlog for the first nine months reached record highs, reflecting robust demand across key segments.

• Comprehensive income for the period was ¥683 million, down 7.6% year-over-year.

Financial highlights

• 3Q FY2024 net sales: ¥34,241 million, up ¥3,537 million (+11.5%) year-over-year.

• 3Q FY2024 operating profit: ¥1,054 million, up ¥886 million (+527.1%) year-over-year.

• Ordinary profit: ¥1,229 million (+255.2% YoY); profit attributable to owners: ¥932 million (+691.1% YoY).

• Basic earnings per share for the nine months was ¥56.75, up from ¥7.18 in the prior year.

• Total assets as of December 31, 2024, were ¥75,096 million, up from ¥66,978 million at the previous fiscal year-end.

Outlook and guidance

• FY2024 full-year forecast: net sales ¥57,400 million (+21.7% YoY), operating profit ¥4,570 million (+65.1% YoY), operating margin 8.0%.

• Ordinary profit is forecast at ¥4,730 million, up 58.2% year-over-year.

• Profit attributable to owners of parent is expected to reach ¥3,400 million, a 49.4% increase year-over-year.

• Net income per share for the full year is forecast at ¥206.95.

• Segment outlooks: Marine Systems and Defense & Communications Equipment to remain strong; Hydraulics and Pneumatics to see slight recovery; some project delays in Defense.