Okano Valve Mfg (6492) Q2 2024 earnings summary

Executive summary

• Revenue for the second quarter was ¥3,770 million, up 22.6% year-over-year, driven by strong sales in both valve manufacturing and maintenance for power plants.

• Operating profit surged to ¥762 million, a 273.2% increase year-over-year, with net profit attributable to shareholders at ¥595 million, up 150.8%.

• Growth was supported by increased demand for replacement parts and efficient resource allocation in maintenance.

Financial highlights

• Gross profit rose to ¥1,292 million from ¥677 million year-over-year.

• Operating profit reached ¥762 million, up from ¥204 million; ordinary profit was ¥835 million, up from ¥258 million.

• EPS for the quarter was ¥372.28, compared to ¥146.54 a year earlier.

• Total assets increased to ¥13,500 million from ¥12,707 million at the previous fiscal year-end.

• Net assets rose to ¥10,618 million, with a capital adequacy ratio of 78.7%.

Outlook and guidance

• Full-year revenue is forecast at ¥7,506 million, up 1.3% year-over-year.

• Full-year operating profit is projected at ¥880 million (up 8.4%), with net profit forecast at ¥650 million (down 6.9%).

• No changes have been made to previously announced guidance.