Tsubakimoto Kogyo (8052) Q4 2024 earnings summary

Executive summary

• FY2024 net sales reached a record ¥113,503 million, up 5.1% YoY; operating profit rose 2.6% to ¥5,233 million and parent-attributable profit increased 9.1% to ¥4,000 million.

• Orders received increased 8.7% to ¥124,773 million and year-end backlog rose 17.4% to ¥76,145 million.

• Comprehensive income rose to ¥7,374 million from ¥4,214 million, driven largely by valuation gains on available-for-sale securities.

Financial highlights

• Ordinary profit increased 2.6% to ¥5,577 million; gross profit was ¥17,495 million versus ¥16,352 million, while SG&A rose to ¥12,262 million from ¥11,250 million.

• Net sales and operating profit exceeded revised targets of ¥107,000 million and ¥5,000 million, respectively; ordinary profit and parent-attributable profit also exceeded revised targets.

• Total assets increased to ¥94,756 million from ¥84,474 million; net assets rose to ¥40,377 million from ¥34,039 million.

• Operating cash flow was ¥5,015 million, investing cash outflow ¥69 million and financing cash outflow ¥1,077 million; year-end cash and equivalents reached ¥26,855 million.

Outlook and guidance

• FY2025 forecast: net sales ¥116,000 million (+2.2%), operating profit ¥5,500 million (+5.1%), ordinary profit ¥5,900 million (+5.8%) and parent-attributable profit ¥3,900 million (-2.5%).

• FY2025 forecast basic EPS is ¥207.54, down 2.5%; the forecast reflects the April 1, 2024 three-for-one share split.

• First-half FY2025 forecast: net sales ¥57,000 million (+2.0%), operating profit ¥2,700 million (+2.4%), ordinary profit ¥2,920 million (+2.8%) and parent-attributable profit ¥1,940 million (+0.6%).

• FY2024 medium-term plan target was consolidated sales of at least ¥120,000 million; FY2025 target ROE is 10%.

• Forecasts are based on information and assumptions available on the announcement date; actual results may differ.