Tokyotokeiba (9672) Q4 2024 earnings summary

Executive summary

• Revenue rose 7.7% year-over-year to ¥40,443 million, with growth in SPAT4, amusement park, and warehouse leasing income.

• Operating income increased 4.2% to ¥13,926 million, and net income attributable to shareholders jumped 14.8% to ¥9,706 million, aided by the absence of prior year’s special loss.

• All major segments posted revenue growth, with amusement parks up 19.5% and warehouse leasing up 11.2%.

• Cash and deposits increased by up to ¥2,106 million to ¥16,040 million at year-end.

• All business segments contributed to growth, with notable gains in public racing, amusement parks, and warehouse leasing.

Financial highlights

• Gross profit improved 4.4% year-over-year to ¥16,088 million.

• SG&A expenses rose 5.2% to ¥2,161 million.

• EPS increased to ¥359.94; dividend per share was ¥113, including a ¥5 commemorative dividend.

• Total assets reached ¥122,405 million (+¥6,613 million YoY); net assets increased by ¥4,354 million to ¥91,142 million.

• Capital expenditures totaled up to ¥10,744 million, mainly for facility upgrades and new warehouse construction.

Outlook and guidance

• FY2025 revenue forecast at ¥41,293 million (+2.1%), with operating income of ¥14,132 million (+1.5%) and net income of ¥9,861 million (+1.6%).

• Growth expected from full-year operation of new warehouse and increased SPAT4-related income.

• Segment guidance: steady growth in public racing, amusement parks, and warehouse leasing; service segment profit to decline due to higher costs.

• ROE target set at 10%+, with ROIC at 8.5%+ for FY2025.

• Key management priorities include addressing demographic shifts, digital transformation, and ESG initiatives.