Ushio (6925) Q2 2025 earnings summary

Executive summary

• Net sales for H1 FY2024 rose 0.8% year-over-year to ¥85,643 million, but operating profit declined 14.1% to ¥4,270 million and profit attributable to owners of parent dropped 45.9% to ¥2,304 million; earnings surpassed internal targets.

• Profitability improved through strategic business selection, despite valuation losses in Visual Imaging from a product lineup review and inventory write-downs.

• The global economy remained uncertain, with only gradual recovery in key markets such as semiconductors and electronic devices, and continued sluggishness in capital investments.

• Comprehensive income turned negative at ¥(4,021) million, compared to ¥21,571 million in the prior year period.

• A weaker yen offset adverse conditions in the semiconductor and Hollywood strike-impacted businesses.

Financial highlights

• Net sales for H1 FY2024 were ¥85.6 billion, up 0.8% year-over-year.

• Operating profit was ¥4.2 billion, down 14.1% year-over-year; operating margin fell to 5.0%.

• Profit attributable to owners of parent dropped 45.9% to ¥2.3 billion; EPS fell 37.8% to ¥22.95.

• Gross profit increased slightly to ¥30,966 million from ¥30,458 million year-over-year.

• Extraordinary loss of ¥0.5 billion recorded due to valuation losses on investment securities.

Outlook and guidance

• Full-year forecasts for operating profit and net profit were revised upward, reflecting improved profitability and a weaker yen.

• Net sales forecast remains at ¥175.0 billion; operating profit forecast raised to ¥7.5 billion (+¥2.5 billion); profit attributable to owners of parent forecast at ¥6.0 billion (+¥1.5 billion).

• Basic earnings per share for the full year projected at ¥62.39.

• Dividend floor set at ¥70 per share for FY2024–FY2026.