Daikin Industries (6367) Q1 2025 earnings summary

Executive summary

• Net sales increased 14.3% year-over-year to ¥1,251.0 billion for the quarter ended June 30, 2024.

• Operating profit declined 2.1% year-over-year to ¥115.4 billion due to cost pressures and a challenging business environment.

• Ordinary profit fell 8.4% to ¥105.2 billion.

• Profit attributable to owners of parent dropped 21.4% year-over-year to ¥63.1 billion.

• Comprehensive income decreased 7.8% year-over-year to ¥198.6 billion.

Financial highlights

• Gross profit increased to ¥427.4 billion from ¥387.5 billion year-over-year.

• Earnings per share were ¥215.53, down from ¥274.18 in the prior year period.

• Total assets grew to ¥5,251.6 billion from ¥4,880.2 billion as of March 31, 2024.

• Net assets increased to ¥2,846.5 billion, with an equity ratio of 53.2%.

• Net cash provided by operating activities surged to ¥149.6 billion from ¥41.2 billion year-over-year.

Outlook and guidance

• Management aims to accelerate key initiatives and adapt to market changes to ensure net sales and profit growth for the first half of FY2024 (April–September).

• Full-year net sales forecast at ¥4,540.0 billion, up 3.3% year-over-year.

• Operating profit projected at ¥425.0 billion, up 8.4% year-over-year; profit attributable to owners of parent expected at ¥267.0 billion.

• Full-year EPS forecast at ¥912.01.

• Dividend forecast for FY2025 is ¥320 per share, including a ¥50 commemorative dividend.