Osaka Gas (9532) Q4 2025 earnings summary

Executive summary

• FY2025.3 ordinary profit exceeded forecasts due to steady business progress and one-time factors, with ROIC and ROE surpassing targets, but net sales declined year-over-year from lower LNG sales and gas prices.

• Net profit attributable to owners increased 1.3% year-over-year to 134.4 billion yen, supported by extraordinary gains from asset sales.

• Shareholder returns were enhanced with a 40.0 billion yen share buyback and a dividend increase, marking six consecutive years of dividend growth.

• Number of consolidated subsidiaries increased to 163, with 8 added and 4 removed; equity method affiliates rose to 47.

Financial highlights

• FY2025.3 net sales: 2,069.0 billion yen (down 0.7% year-over-year); ordinary profit: 189.6 billion yen (down 16.3%); net profit attributable to owners: 134.4 billion yen (up 1.3%).

• EPS rose to 333.3 yen (up 12.7 yen year-over-year); EBITDA was 308.9 billion yen (down 5.8%).

• Free cash flow decreased to 28.0 billion yen from 96.6 billion yen year-over-year.

• Shareholders’ equity per share rose to 4,254.13 yen from 3,857.51.

• Total assets increased to 3,200.5 billion yen; shareholders' equity ratio at 55.5% (after adjustment).

Outlook and guidance

• FY2026.3 forecasts: net sales 2,040.0 billion yen (down 1.4% year-over-year), ordinary profit 165.0 billion yen (down 13.0%), net profit attributable to owners 127.0 billion yen (down 5.5%).

• Dividend planned at 105 yen per share (up 10 yen), with a share buyback of up to 70.0 billion yen.

• Lower profits expected due to absence of one-time electricity market gains and changes in US renewable energy profit recognition.

• Assumptions: crude oil price at $75/bbl, exchange rate at 150 JPY/USD.

• Operating profit projected at 139.0 billion yen, down 13.5% year-over-year.