Shimizu (1803) Q3 2025 earnings summary

Executive summary

• Net sales for the nine months ended December 31, 2024, were ¥1,327.9 billion, down 8.3% year-over-year; net income attributable to shareholders was ¥40.6 billion, a significant turnaround from a ¥20.8 billion loss in the prior year.

• Operating income reached ¥35.7 billion, compared to a loss of ¥52.0 billion in the previous year; EPS improved to ¥57.96 from negative ¥28.51.

• Comprehensive income for the period was ¥11.4 billion, up from ¥7.0 billion, with a notable decline in other comprehensive income due to unrealized losses on securities.

Financial highlights

• Gross profit margin improved to 9.2% from 1.9% year-over-year; operating margin was 2.7%.

• Total assets as of December 31, 2024, were ¥2,514.1 billion, with net assets at ¥919.3 billion; owners' equity ratio was 34.1%.

• Interest-bearing debt increased to ¥672.5 billion from ¥603.2 billion at the previous fiscal year-end.

• Cash and cash equivalents decreased by ¥50.5 billion to ¥219.8 billion.

Outlook and guidance

• Full-year net sales forecast for FY2025 is ¥1,860.0 billion (down 7.3% year-over-year), with operating income projected at ¥56.0 billion and net income at ¥60.0 billion.

• Dividend forecast remains unchanged at ¥35 per share for the year.

• Orders for the full year are expected to decline 28.7% to ¥1,320.0 billion.