Totech (9960) Q4 2024 earnings summary

Executive summary

• Achieved record-high sales and profits for FY3/24, driven by strong demand in redevelopment, carbon neutrality renovations, and data center projects.

• All core business sectors—air conditioning, instrumentation work, and energy—posted growth, with both domestic and overseas affiliates contributing.

• Upward revision of the medium-term management plan targets, reflecting robust order intake and performance.

• Comprehensive income surged 68.0% year-over-year to ¥10,273 million.

Financial highlights

• Net sales rose 11.1% year-over-year to ¥140.7 billion.

• Operating profit increased 28.1% year-over-year to ¥9.9 billion; ordinary profit up 29.5% to ¥10.5 billion.

• Profit attributable to owners of parent grew 33.9% year-over-year to ¥7.0 billion.

• Gross profit margin slightly decreased by 0.4 ppt to 24.6% due to large-scale projects.

• Basic EPS: ¥170.36 (up from ¥127.43).

Outlook and guidance

• FY3/25 forecast: net sales of ¥146.0 billion (+3.7%), operating profit of ¥10.5 billion (+6.0%), ordinary profit of ¥11.0 billion (+3.9%), and profit attributable to owners of parent of ¥7.5 billion (+7.1%), EPS ¥182.36.

• Medium-term plan targets for FY3/26 revised upward: net sales ¥155.0 billion, ordinary profit ¥12.0 billion, ROE 12% or more.

• Long-term target for FY2030: net sales ¥200.0 billion, ordinary profit ¥15.0 billion.