TOPPAN (7911) Q4 2024 earnings summary

Executive summary

• FY ended Mar. 31, 2024 net sales rose 2.4% to ¥1,678.2bn; operating profit fell 3.1% to ¥74.3bn, while profit attributable to owners rose 22.2% to ¥74.4bn.

• Operating profit included one-time integration costs from the move to a holding-company structure; ordinary profit increased 2.0% to ¥82.8bn.

• Results reflected growth across all three reportable segments, partly offset by paper-media demand declines and higher unallocated corporate expenses.

Financial highlights

• Net sales were ¥1,678.2bn versus ¥1,638.8bn; operating profit was ¥74.3bn versus ¥76.6bn; ordinary profit was ¥82.8bn versus ¥81.2bn YoY.

• Profit attributable to owners was ¥74.4bn, up 22.2% YoY; basic EPS was ¥231.57 versus ¥185.07.

• Extraordinary income included ¥74.1bn gain on sale of investment securities; extraordinary losses included ¥23.4bn impairment and ¥6.1bn extra retirement payments.

• Comprehensive income reached ¥172.7bn, including ¥84.7bn other comprehensive income, primarily reflecting securities valuation gains and foreign currency translation.

Outlook and guidance

• FY ending Mar. 31, 2025 forecast: net sales ¥1,720.0bn (+2.5%), operating profit ¥88.0bn (+18.5%), ordinary profit ¥88.5bn (+6.9%), and parent-owner profit ¥55.5bn (-25.4%); EPS ¥201.77.

• Strategy centers on Digital & Sustainable Transformation, cross-selling and cost efficiency across the holding-company structure.

• Growth priorities include marketing DX, digital security and BPO; sustainable packaging expansion; and increased photomask and high-end FC-BGA substrate capacity.

• Annual dividend for FY2025 is planned at ¥48 per share, unchanged from FY2024.