Kawasaki Kisen Kaisha (9107) investor relations material

Executive summary

• Operating revenues for the first nine months of FY2025 were JPY 767.7 billion, down JPY 37.2 billion or 4.6% year-on-year; net income attributable to owners was JPY 102.6 billion, a decrease of JPY 182.1 billion year-on-year.

• Operating income declined to JPY 68.7 billion, a decrease of JPY 23.5 billion or 25.5% year-on-year; ordinary income fell to JPY 88.6 billion, down JPY 200.2 billion or 69.3% year-on-year.

• Net income attributable to owners of parent dropped 64.0% year-on-year, mainly due to lower equity-method income from Ocean Network Express (ONE) and weaker segment profits.

• Extraordinary income was recorded from gains on vessel and subsidiary share sales.

• Comprehensive income decreased 53.1% to JPY 157.3 billion.

Financial highlights

• Gross profit for the nine months was JPY 130.6 billion, down from JPY 150.6 billion year-on-year.

• Equity capital stood at JPY 1,739.7 billion; shareholders' equity ratio improved to 76.1%.

• Total assets increased to JPY 2,286.3 billion, and net assets rose to JPY 1,777.4 billion as of December 31, 2025.

• Debt-to-equity ratio improved to 17.8% from 20.9% year-on-year.

• Profit per share for the nine months was JPY 162.35, down from JPY 423.19 year-on-year.

Outlook and guidance

• Full-year FY2025 operating revenues forecast at JPY 1,006 billion, down JPY 41.9 billion year-on-year.

• Operating income expected at JPY 84 billion, ordinary income at JPY 100 billion, and net income at JPY 115 billion, all declining year-on-year.

• Net income guidance was revised upward by JPY 10 billion due to deferred tax asset adjustments.

• Annual dividend for FY2025 is set at JPY 120 per share, unchanged from previous guidance; FY2026 dividend planned at JPY 120 per share, including an additional dividend.

• Management expects firm demand in dry bulk and car carrier businesses but notes ongoing geopolitical and economic risks.