Nakanishi (7716) Q2 2024 earnings summary

Executive summary

• Net sales rose 36.4% year-over-year to ¥38,557 million for the six months ended June 30, 2024, with EBITDA up 17.8% and operating income up 3.1%.

• Ordinary income declined 4.7% and net income attributable to owners of parent fell 11.9% year-over-year.

• Comprehensive income surged 38.9% year-over-year, driven by strong foreign currency translation gains.

Financial highlights

• Gross profit increased to ¥22,863 million from ¥17,793 million year-over-year.

• Operating income reached ¥8,287 million, up from ¥8,038 million a year earlier.

• Net income attributable to owners of parent was ¥7,027 million, down from ¥7,972 million year-over-year.

• EPS for the period was ¥82.88, compared to ¥93.74 in the prior year.

• Cash and cash equivalents at period-end were ¥30,133 million, up ¥4,160 million from the previous year-end.

Outlook and guidance

• Full-year net sales forecast revised to ¥75,208 million (+26.0% year-over-year).

• Operating income projected at ¥13,427 million (-5.8% year-over-year), and net income at ¥9,652 million (-57.7%).

• EPS for the full year forecast at ¥113.85.

• Dividend forecast raised to ¥52.00 per share for the year.