The Japan Steel Works (5631) Q1 2025 earnings summary

Executive summary

• Orders received, net sales, and profits for Q1 FY2025 progressed in line with the full-year forecast, with progress ratios around 21–24%.

• Net sales rose 41.9% year-over-year to ¥67,544 million for the quarter ended June 30, 2025.

• Operating profit increased 23.5% year-over-year to ¥5,272 million.

• Profit attributable to owners of parent grew 20.9% year-over-year to ¥4,381 million.

• Impact from the U.S. tariff policy continues to affect orders, particularly in industrial machinery.

Financial highlights

• Q1 FY2025 net sales: ¥67.5B (23.2% of full-year forecast); operating profit: ¥5.2B (21.5%); ordinary profit: ¥5.6B (22.9%).

• Profit attributable to owners: ¥4.3B (23.6%); EBITDA: ¥7.2B (21.2%).

• EPS for Q1: ¥59.53 (full-year forecast: ¥251.34); up from ¥49.24 year-over-year.

• Gross profit reached ¥15,275 million, up from ¥12,766 million year-over-year.

• Equity-to-asset ratio improved to 49.0% from 48.5% at the previous fiscal year-end.

Outlook and guidance

• Orders, sales, and profits are expected to continue progressing in line with the full-year forecast.

• Fiscal year ending March 31, 2026 forecast: net sales ¥290,000 million (+16.7% YoY), operating profit ¥24,500 million (+7.3% YoY), profit attributable to owners of parent ¥18,500 million (+3.0% YoY), EPS ¥251.34.

• No revisions to previously announced earnings or dividend forecasts.

• Forward-looking statements are subject to significant uncertainties and actual results may differ.