Kamigumi (9364) Q2 2025 earnings summary

Executive summary

• Operating revenue/net sales for the six months ended September 30, 2024, rose 2.3% year-over-year to ¥137,656 million, driven by recovery in handling volumes of grains, feeds, and fruits and vegetables.

• Operating profit increased 9.3% year-over-year to ¥16,875 million, reflecting changes in revenue structure and improved unit pricing.

• Profit attributable to owners of parent rose 7.2% year-over-year to ¥13,519 million, with earnings per share up to ¥126.98.

• Results exceeded initial forecasts, supported by higher-than-expected gains on equity method investments and lower costs.

• Earnings per share increased from ¥116.32 to ¥126.98 year-over-year.

Financial highlights

• Operating revenue: ¥137,656 million (+2.3% YoY); operating profit: ¥16,875 million (+9.3% YoY); ordinary profit: ¥18,690 million (+7.2% YoY); profit attributable to owners of parent: ¥13,519 million (+7.2% YoY).

• Free cash flow for the period was ¥24,102 million, a significant increase from ¥5,198 million in the prior year.

• Net assets as of September 30, 2024, were ¥393,066 million, with an equity ratio of 80.0%.

• Cash and cash equivalents at period end were ¥99,002 million, up from ¥80,098 million at the start of the period.

• Comprehensive income for the six months was ¥11,565 million, down from ¥19,382 million year-over-year, mainly due to a negative swing in valuation difference on available-for-sale securities.

Outlook and guidance

• Revised full-year forecast for FY2025: operating revenue/net sales ¥274,000 million (+1.1% to +2.7% YoY), operating profit ¥31,300 million, ordinary profit ¥34,200 million, profit attributable to owners of parent ¥25,000 million.

• Full-year earnings per share forecast is ¥239.64; annual dividend forecast is ¥100.00 per share.

• Revenue growth expected from appropriate unit pricing; profit growth tempered by higher outsourcing costs and postponed capital investment.