Kawasaki Kisen Kaisha, Ltd (KAKKF) Q4 2024 Earnings Call

Investor webinar replay

Replay transcript excerpt

Financial highlights brief report for fiscal year 2024. A, financial highlights for fiscal year 2024. A1, financial results for fiscal year 2024. For the fiscal 2024 full year results, operating revenues were 1 trillion 47.9 billion yen. Operating income was 102.8 billion yen, and ordinary income was 308 billion yen. while net income attributable to owners of parent was 305.3 billion yen. Operating revenues through net income attributable to owners of parent increased year on year. The actual exchange rate was 152.73 yen, and the average bunker price was $610 per metric ton. From the beginning of the first quarter of fiscal 2024, We have changed the conversion rate to convert income and expenses of foreign affiliate companies from spot rate on the financial closing date to average rate during the term. The previous fiscal year's figures have been restated here using the newly changed conversion method. Operating income increased mainly due to robust transport demand for K-Line's own businesses, such as dry bulk and car carrier businesses, compared to the same period last year. In addition, due to the rise in short-term freight rates in container ship business, Ocean Network Express, O-N-E, performed well, which led to a significant increase in equity method earnings, an increase in ordinary income, and ultimately, an increase in net income attributable to owners of parent for the fiscal year. At the end of the fiscal year, equity capital was 1,648.4 billion yen, interest-bearing liability was 344.8 billion yen. Debt equity ratio was 21%, and equity ratio was 75%. The consolidated equity ratio, taking into account off-balance sheet assets and liabilities, such as charter hire amounting to approximately 600 to 700 billion yen, is estimated to be 57% to 59%. Lastly, Wit...