W-SCOPE (6619) Q3 2025 earnings summary

Executive summary

• FY25 Q3 sales were JPY 30.7bn, down 15.3% year-over-year, mainly due to sluggish demand in Europe and the deconsolidation of WCP.

• Operating profit dropped 76.4% YoY to JPY 0.8bn, with net profit at JPY 0.7bn, down 83.7% YoY.

• Net income attributable to owners was JPY 0.3bn, down 76.4% YoY.

• Non-operating losses included JPY 1.0bn, with interest and exchange losses, and equity losses from WCP.

Financial highlights

• Sales declined by JPY 5.6bn YoY; operating profit fell by JPY 2.8bn.

• EBITDA for Q3 was JPY 5.6bn, 60.9% of the previous year.

• EPS for the third quarter was JPY 4.88, compared to JPY 14.48 in the prior year period.

• Total assets at the end of the quarter were JPY 171bn, with net assets of JPY 53.11bn.

• Equity ratio stood at 31.3% at quarter-end.

Outlook and guidance

• FY25 sales forecast revised down to JPY 31bn from JPY 50bn due to WCP deconsolidation and weak European EV demand.

• Operating profit forecast reduced to JPY 850m, reflecting higher fixed costs and inventory valuation loss.

• Net income for the full year is forecast at JPY 2.3bn; EPS projected at JPY 41.88.

• Market normalization expected in the second half of 2025.