Nichias (5393) Q1 2025 earnings summary

Executive summary

• Net sales rose to ¥63.3 billion in Q1 FY2024, up 7% year-over-year, driven by strong demand in Energy & Industrial Plants and recovery in Advanced Products.

• Operating income increased 38% year-over-year to ¥10.5 billion.

• Profit attributable to owners reached ¥8.5 billion, up 35% year-over-year.

• Cash and cash equivalents increased by ¥5,829 million from the previous fiscal year-end, reaching ¥61,403 million.

• Basic EPS increased 36% to ¥130.10.

Financial highlights

• Operating margin improved to 16.7% in Q1 FY2024 from 13.1% in Q1 FY2023.

• Gross profit improved to ¥17,996 million from ¥14,787 million year-over-year.

• Dividend per share for Q1 was ¥52, with a payout ratio of 23.1%.

• Total assets increased to ¥294,341 million, and net assets to ¥207,290 million as of June 30, 2024.

• Net income margin for Q1 rose to 13.5% from 10.7% year-over-year.

Outlook and guidance

• Full-year net sales forecast at ¥253.0 billion, up 1% year-over-year, with operating income projected at ¥39.5 billion, up 12%.

• Basic EPS for the full year is forecast at ¥445.90, a 10% increase year-over-year.

• Dividend forecast raised to ¥104.00 per share for FY2024.

• Profit attributable to owners for the full year projected at ¥29.3 billion, up 8.7%.

• Earnings forecasts for the first half and full year were revised upward to reflect strong Q1 performance.