USS (4732) Q4 2025 earnings summary

Executive summary

• Achieved record net sales exceeding ¥104.0 billion and operating profit over ¥54.2 billion for FY2024, with all profit categories at record highs and profit attributable to owners of parent up 14.4%.

• Market share rose to 41.4% in 2024, up from 39.6% the previous year, with a target of 50% over the mid to long term.

• Dividend per share for FY2024 is ¥43.4, with a forecast of ¥48.6 for FY2025, marking 26 consecutive years of dividend increases.

• Strong performance in auction, used vehicle, and auto loan businesses, with continued expansion and digital transformation initiatives.

Financial highlights

• Net sales reached ¥111.8 billion, up 7.5% year-on-year; operating profit was ¥55.8 billion, up 2.9% year-on-year, with gross profit margin at 62.3% and operating margin at 52.1%.

• EPS increased to ¥78.65 in FY2024 from ¥68.28 in FY2023, reflecting a stock split adjustment.

• Equity ratio stood at 76.2% at the end of FY2024.

• Cash flows from operating activities were ¥38,157 million, with cash and cash equivalents at period end of ¥104,719 million.

Outlook and guidance

• FY2025 net sales forecast is ¥111.8 billion (up 7.5% YoY), with operating profit projected at ¥55.8 billion (up 2.9% YoY) and profit attributable to owners of parent to increase 1.8% to ¥38,300 million.

• Planned investment of ¥50 billion over the next three years for growth, including major venue upgrades and digital transformation.

• ROE target raised from 15% to 20% or higher, with a total payout ratio goal of at least 100% by FY2027.

• FY2025 dividend planned at ¥48.6 per share.