Yodoko (5451) Q3 2024 earnings summary

Executive summary

• 3Q FY3/24 net sales fell 10.5% YoY to ¥153.46bn and operating profit fell 17.0% to ¥8.93bn, mainly on lower steel-sheet sales volume.

• Profit attributable to owners of parent was ¥7.75bn, down from ¥8.47bn; EPS was ¥268.39 versus ¥293.84.

Financial highlights

• Gross profit was ¥24.10bn versus ¥26.23bn; SG&A was ¥15.16bn versus ¥15.46bn.

• Ordinary profit declined 18.0% YoY to ¥11.94bn; profit before income taxes was ¥12.41bn versus ¥13.78bn.

• Comprehensive income was ¥16.72bn, including ¥4.1bn valuation gains on available-for-sale securities and ¥3.7bn foreign currency translation adjustment.

Outlook and guidance

• FY3/24 forecast: net sales ¥205.0bn, operating profit ¥11.4bn, ordinary profit ¥14.5bn and parent-attributable profit ¥9.1bn.

• Operating profit forecast increased ¥1.4bn from November to ¥11.4bn; ordinary profit rose ¥1.4bn to ¥14.5bn and parent-attributable profit rose ¥0.9bn to ¥9.1bn.

• Forecast sales and earnings remain lower YoY, reflecting steel supply-demand weakness amid slow growth in China and other factors.