UT Group Co (2146) Q3 2025 earnings summary

Executive summary

• Net sales reached a record ¥136,882 million for the nine months ended December 31, 2024, up 9.4% year-over-year, driven by workforce expansion, robust hiring, and newly consolidated subsidiaries.

• Extraordinary income from the sale of subsidiaries contributed to record-high EPS and a 45.5% surge in profit attributable to owners of the parent.

• EBITDA declined 13.6% to ¥8,126 million, and operating profit fell 20.1% to ¥6,584 million, reflecting increased costs, lower operating rates, and business restructuring.

• The number of technical employees rose to 58,855, up 11,432 from the previous year.

Financial highlights

• Net sales for 3Q FY3/2025 reached ¥136,882 million, up 9.4% year-over-year.

• Gross profit margin was 17.5%, down from 18.7% in the prior year, with gross profit at ¥23,993 million.

• EBITDA decreased 13.6% year-over-year to ¥8,126 million; EBITDA margin fell to 5.9%.

• Net profit attributable to the group rose 45.5% year-over-year to ¥8,320 million, with EPS up 45.3% to ¥209.03.

• Net assets increased to ¥39,922 million, with an equity ratio of 43.3%.

Outlook and guidance

• Full-year net sales forecast at ¥215,000 million, with net profit forecast at ¥8,100 million.

• Full-year sales forecast is ¥183,100 million, up 9.6% year-over-year.

• Full-year EBITDA is projected at ¥8,700 million, down 20.5% year-over-year.

• 4Q gross margin expected to decline quarter-on-quarter due to fewer operating days and additional hiring expenses.

• No revision to previously announced earnings forecasts.