Nippon Sanso (4091) Q1 2025 earnings summary

Executive summary

• Achieved consolidated Q1 FYE2025 revenue of ¥329.2bn, up 6.6% year-over-year, with core operating income rising 18.7% to ¥48.3bn and net income attributable to owners up 18.4% to ¥29.0bn.

• Productivity improvements, price management, and business expansion initiatives contributed to growth, with a focus on sustainability and capital efficiency.

• Board diversity enhanced and director remuneration system revised to align with financial and non-financial KPIs, including ROCE after tax and GHG reduction.

• Significant business expansion in Australia through acquisition of LPG sales business, pending regulatory approval.

• Foreign exchange tailwinds contributed ¥24.1bn to revenue and ¥3.6bn to core operating income.

Financial highlights

• Revenue increased by ¥20.3bn (+6.6%) year-over-year; core operating income up ¥7.6bn (+18.7%).

• Core operating income margin improved to 14.7%; EBITDA margin rose to 23.6%.

• Net income attributable to owners of the parent grew by ¥4.5bn (+18.4%) to ¥29.0bn.

• Basic EPS for Q1 FYE2025 was ¥67.19; ROE at 12.9%, ROCE after tax at 6.7%.

• Total assets grew to ¥2,532,316m, equity attributable to owners at ¥999,013m, equity ratio at 39.5%.

Outlook and guidance

• Full-year FYE2025 revenue forecast at ¥1,300.0bn (+3.6% YoY), core operating income at ¥177.0bn (+6.6%), and net income attributable to owners at ¥105.0bn (-0.9%).

• Core operating income margin expected at 13.6%; EBITDA margin at 22.4%.

• No revisions to previously announced forecasts.