TOKAI (9729) Q2 2025 earnings summary

Executive summary

• Net sales for the six months ended September 30, 2024, rose 7.2% year-over-year to ¥72,725 million, marking a record high, driven by rental sales, hotel linen supply growth, and a new subsidiary.

• Operating profit was nearly flat at ¥3,664 million, down 0.6% year-over-year, due to higher depreciation and increased costs in Pharmacy Services.

• Profit attributable to owners of parent increased 15.8% to ¥3,041 million, with basic earnings per share rising to ¥88.82 from ¥74.62.

Financial highlights

• Gross profit for the period was ¥16,990 million, up from ¥16,463 million year-over-year.

• Ordinary profit increased 1.3% to ¥3,917 million year-over-year.

• Comprehensive income declined to ¥2,305 million from ¥3,172 million year-over-year.

• Total assets as of September 30, 2024, were ¥112,406 million, with a capital adequacy ratio of 75.1%.

• Net assets stood at ¥85,055 million, down from ¥86,789 million at the previous fiscal year-end.

Outlook and guidance

• Full-year net sales forecast is ¥142,925 million, up 3.4% year-over-year, with operating profit expected to decline 4.8% to ¥7,695 million.

• Profit attributable to owners of parent is projected at ¥5,578 million, down 4.0%, and basic earnings per share forecast is ¥158.51.

• Forecasts and forward-looking statements are subject to risks and uncertainties, and actual results may differ.