Shoei (7839) Q2 2025 earnings summary

Executive summary

• Net sales for Q2 FY2025 were ¥14,562 million, down 11.5% year-over-year, with operating income down 17.1% and profit attributable to owners down 18.7%.

• Global economic uncertainty, weaker consumer spending, and increased trade policy risks impacted performance.

• Motorcycle helmet market saw significant volume declines, especially in Japan and Europe, with only North America showing growth.

Financial highlights

• Operating income fell to ¥4,373 million (down 17.1% year-over-year); ordinary income dropped 18.8% to ¥4,343 million.

• Profit attributable to owners of parent was ¥3,040 million, down 18.7% year-over-year.

• Net sales decreased by ¥1,892 million year-over-year in Q2 FY2025.

• Gross profit margin slightly improved due to higher unit prices from a weaker yen, despite lower volumes.

• Cash and cash equivalents at period end increased to ¥13,605 million from ¥9,599 million a year earlier.

Outlook and guidance

• Full-year forecast maintained: net sales ¥33,920 million, operating income ¥8,770 million, net income ¥6,220 million, EPS ¥118.38.

• Company expects benefits from price increases and moderate market recovery in China and Europe, but uncertainty remains due to economic and FX risks.