Shoei (7839) Q1 2025 earnings summary

Executive summary

• Net sales for Q1 FY2025.9 were ¥7,838 million, down 3.8% year-over-year from ¥8,145 million.

• Operating income decreased 12.2% to ¥2,183 million compared to the same quarter last year.

• Profit attributable to owners of parent declined 5.7% to ¥1,804 million year-over-year.

• Unit sales fell 7.1% year-over-year, with notable declines in Japan and North America, but a 20% increase in Asia, driven by a 70% surge in China.

• Despite lower volumes, sales decline was limited by higher unit prices due to a weaker yen.

Financial highlights

• Net sales fell by ¥307 million (-3.8%) year-over-year.

• Operating income dropped by ¥347 million (-12.2%) year-over-year.

• Ordinary income decreased 6.0% year-over-year to ¥2,562 million; profit attributable to owners was ¥1,804 million, down 5.7%.

• Gross profit margin declined as cost of sales remained flat despite lower sales.

• Comprehensive income dropped to ¥1,285 million from ¥1,930 million year-over-year, mainly due to negative foreign currency translation adjustments.

Outlook and guidance

• Full-year forecast remains unchanged: net sales of ¥33,920 million, operating income of ¥8,770 million, and net income of ¥6,220 million (EPS: ¥118.38).