Dentsu Soken Inc. · TSE:4812
Dentsu Soken — Q1 FY2025 Earnings Presentation
23 slides from Dentsu Soken's earnings presentation, Apr 30, 2025
Slide 1: Presentation Material of Financial Results for the First Quarter of FY2025
Presentation Material of Financial Results for the First Quarter of FY2025 (from January 1, 2025 to March 31, 2025) Note: This English translation is solely for reference purposes and not a legally definitive translation of the original Japanese text. In the event a difference arises regarding the m
Slide 2: Index
INDEX 01 Outline of Financial Results for Q1 FY2025 02 Forecasts for FY2025 Appendix 1. The business classifications under the reporting segments have been changed from the fiscal year ending December 31, 2025. As a result, the results for the previous fiscal year are compared and analyzed with the
Slide 3: Outline of Financial Results for Q1 FY2025
INDEX 01 Outline of Financial Results for Q1 FY2025 02 Forecasts for FY2025 Appendix 3
Slide 4: Summary for the First Quarter of FY2025
Summary for the First Quarter of FY2025 Net sales Increase of +8.5% mainly in Manufacturing Solutions and Communication IT Operating Despite an increase in SG&A expenses due to higher headcount and profit additional sales support workload for engineers, the operating profit +0.4% Orders received +5.
Slide 5: Consolidated Results for the First Quarter of FY2025
Consolidated Results for the First Quarter of FY2025 (Unit: Millions of yen) YoY Progress against H1** (%) Q1 FY2025 (cumulative) Q1 FY2024 Q1 FY2025 Q1 FY2024 Variance % change (cumulative) (cumulative) (cumulative) Net sales 40,244 37,099 +3,145 +8.5 48.5 50.0 Gross profit 14,397 13,566 +831 +6.1
Slide 6: Factors of Increase/Decrease in Operating Profit (YoY)
Factors of Increase/Decrease in Operating Profit (YoY) Operating profit increased due to the effect of increased sales, despite the impact of a decline in gross profit margin and an increase in selling, general and administrative expenses. Gross profit margin declined due to lower net sales from
Slide 7: Non-Operating Income/Expenses and Extraordinary Income/Losses
Non-Operating Income/Expenses and Extraordinary Income/Losses Profit attributable to owners of parent declined, mainly due to the absence of the extraordinary gain on sale of investment securities recorded in the same quarterly period of the previous fiscal year. (Unit: Millions of yen) YoY Q1 FY2
Slide 8: Regarding Changes in the Businesses Managed by Each Reportable Segment
Regarding Changes in the Businesses Managed by Each Reportable Segment Effective from the current fiscal year, the businesses to be recorded in the reportable segments have been changed as follows. 1. Transfer the ERP business from Communication IT to Manufacturing Solutions. 2. Consolidate the bu
Slide 9: Net Sales and Operating Profit by Reportable Segment
Net Sales and Operating Profit by Reportable Segment (Unit: Millions of yen) Q1 FY2025 YoY (cumulative) Variance % change Overview Net sales 8,305 -106 -1.3 Net sales and operating profit decreased due to lower Financial Operating implementation projects of third-party software in the profit 1,105 -
Slide 10: Net Sales by Service Category and Dentsu Group Companies
Net Sales by Service Category and Dentsu Group Companies (Unit: Millions of yen) Q1 FY2025 YoY Service category (cumulative) Variance % change Consulting Services 3,267 +596 +22.3 Custom System Development 8,297 +766 +10.2 In-house Software 7,644 +148 +2.0 Third-party Software 13,618 +329 +2.5 Outso
Slide 11: Net Sales by Industry
Net Sales by Industry (Unit: Millions of yen) Q1 FY2025 (cumulative) YoY Industry Composition Net sales Variance % change ratio (%) Banks 5,995 14.9 +292 +5.1 Other financial institutions 2,294 5.7 +440 +23.7 Financial 8,289 20.6 +731 +9.7 Transportation equipment 8,281 20.6 +1,716 +26.1 Electric ap
Slide 12: Orders Received and Order Backlog
Orders Received and Order Backlog (Unit: Millions of yen) Orders received Order backlog Q1 FY2025 YoY End of YoY (cumulative) % change Q1 FY2025 % change Total 48,518 +5.8 68,132 +8.8 Financial Solutions 9,802 +2.2 10,115 +9.2 Reportable Business Solutions 7,600 +26.1 9,071 +8.9 segment Manufacturin
Slide 13: Forecasts for FY2025
INDEX 01 Outline of Financial Results for Q1 FY2025 02 Forecasts for FY2025 Appendix 13
Slide 14: Earnings Forecasts for FY2025
Earnings Forecasts for FY2025 There is no change from the forecasts announced on February 12, 2025. (Unit: Millions of yen) YoY YoY FY2025 H1 FY2025 (cumulative) FY2024 (cumulative) H1 FY2024 Variance % change Variance % change (cumulative) (cumulative) Net sales 170,000 152,642 +17,358 +11.4 83,0
Slide 15: Net Sales Forecasts by Reportable Segment for FY2025
Net Sales Forecasts by Reportable Segment for FY2025 (Unit: Millions of yen) YoY YoY FY2025 H1 FY2025 (cumulative) FY2024 Variance (cumulative) H1 FY2024 Variance % change % change (cumulative) (cumulative) Financial Solutions 37,000 34,050 +2,950 +8.7 18,000 17,177 +823 +4.8 Business Solutions 27,0
Slide 16: Net Sales Forecasts by Service Category for FY2025
Net Sales Forecasts by Service Category for FY2025 (Unit: Millions of yen) YoY YoY FY2025 H1 FY2025 (cumulative) FY2024 Variance (cumulative) H1 FY2024 Variance % change % change (cumulative) (cumulative) Consulting Services 12,000 10,480 +1,520 +14.5 5,800 4,763 +1,037 +21.8 Custom System Developme
Slide 17: Appendix
INDEX 01 Outline of Financial Results for Q1 FY2025 02 Forecasts for FY2025 Appendix 17
Slide 18: Prior Period Adjustment of Orders Received and Order Backlog: Overview of Corrections
Prior Period Adjustment of Orders Received and Order Backlog (1) Overview of Corrections There have been items to be corrected regarding the figures for orders received and order backlog from the third quarter of the fiscal year ended December 31, 2023, through the fiscal year ended December 31, 2
Slide 19: Prior Period Adjustment: Fiscal Year Ended December 31, 2023
Prior Period Adjustment of Orders Received and Order Backlog (2) The Fiscal Year Ended December 31, 2023 The revised figures for the fiscal year ended December 31, 2023, are as follows. (Unit: Millions of yen) FY2023 *Corrected numbers are underlined. Orders received Order backlog Q1 Q2 Q3 Q4 Full
Slide 20: Prior Period Adjustment: Fiscal Year Ended December 31, 2024
Prior Period Adjustment of Orders Received and Order Backlog (3) The Fiscal Year Ended December 31, 2024 The revised figures for the fiscal year ended December 31, 2024, are as follows. (Unit: Millions of yen) FY2024 *Corrected numbers are underlined. Orders received Order backlog Q1 Q2 Q3 Q4 Full
Slide 21: Reclassification of Reportable Segment Figures: Net Sales and Operating Profit
Reclassification of Reportable Segment Figures (1) Net Sales and Operating Profit The figures for the year ended December 31, 2024, restated to reflect the new segment classifications, are as follows. (Unit: Millions of yen) FY2024 Q1 Q2 Q3 Q4 Full year Net sales 8,411 8,766 8,414 8,458 34,050 Fin
Slide 22: Reclassification of Reportable Segment Figures: Orders Received and Order Backlog
Reclassification of Reportable Segment Figures (2) Orders Received and Order Backlog The revised figures for the fiscal year ended December 31, 2024, reclassified to reflect the new segment classifications, are as follows. (Unit: Millions of yen) FY2024 Orders received Order backlog Q1 Q2 Q3 Q4 Fu
Slide 23: DENTSU SOKEN INC. Executive Office Investor Relations
For further information, please contact: DENTSU SOKEN INC. https://www.dentsusoken.com/english/ir Executive Office g-ir@group.dentsusoken.com Investor Relations +81-3-6713-6160