Iwatani Corporation TSE:8088

Iwatani : Supplementary Explanation for 3Q FY24 NEW

Published

Source: MarketScreener

Financial Results for 3Q FY2024

(Results for the Nine Months Ended December 31st, 2024)

February 13, 2025

Iwatani Corporation

〔Security Code 8088〕

(Forward-Looking Statements)

This material contains forward-looking statements based on expectations and are not guarantees or assurances of future performance. Accordingly, please be fully aware that results may differ materially from those expectations.

Copyright © Iwatani Corporation. All rights reserved.

3Q FY2024 Overview

Copyright © Iwatani Corporation. All rights reserved.

1

Highlights

Net sales increased. Operating profit decreased. Ordinary profit and profit attributable to owners of parent reached record highs.

Summary of Financial Results for 3Q FY2024

■ Despite the sluggish sales of stainless steel and rechargeable battery for next-generation automobiles,

net sales increased due to the higher LPG import prices than those in the previous fiscal year, leading to an increase in its selling price.

■ Operating profit decreased mainly due to the weakening of helium markets and decline in profitability of the LPG retail sector.

■ Full-year forecasts : No change

Net sales

Operating profit

Ordinary profit

Profit attributable to owners of parent

624.3

27.1

39.2

28.3

billion yen

YoY

+6.8 billion yen

+ 1.1%

billion yen

YoY

(4.7) billion yen

(15.0)%

billion yen

YoY

+2.4 billion yen

+6.7%

billion yen

YoY

+4.2 billion yen

+17.4%

■ Operating profit quarterly trends (100 million yen)

173 187

109

85

60

84

77

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

FY2023FY2024

Copyright © Iwatani Corporation. All rights reserved.

2

Consolidated Operating Results

(100 million yen)

FY24 3Q

FY23 3Q

YoY

FY24

Results

Results

(A)-(B)

Progress

Forecasts

(A)

(B)

(A)/(B)

Net sales

6,243

6,175

+68

9,020

69.2%

+1.1%

Gross profit

1,648

1,632

+15

-

-

+0.9%

Operating profit

271

319

(47)

527

51.5%

(15.0)%

Operating profit

(59)

excluding impact

278

337

527

52.8%

of LPG import

(17.7)%

price fluctuation

Non-operating

120

48

+72

-

-

profit

+48.8%

Equity gains of

+80

affiliated companies

80

-

159

-

related to Cosmo

-

Energy HD

Ordinary profit

392

367

+24

728

53.9%

+6.7%

Profit attributable

+42

to owners of

283

241

540

52.6%

parent

+17.4%

■ Net sales

6,175

137

20

Materials

9

6,243

Integrated

Industrial

(99)

Others

Gases &

Energy Machinery

FY23 3Q

FY24 3Q

■ Operating profit

Industrial

Gases &

319

3

Machinery

Integrated

Materials

0

271

Energy

(47)

(4)

Others,

Adjustments

FY23 3Q

FY24 3Q

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3

Consolidated Operating Results (Segment Analysis)

(100 million yen)

FY24 3Q

FY23 3Q

YoY

YoY

FY24

Progress

Results(A)

Results(B)

(A)-(B)

(A)/(B)

Forecasts

Net sales

6,243

6,175

+68

+1.1%

9,020

69.2%

■ Integrated Energy

2,558

2,420

+137

+5.7%

3,840

66.6%

■ Industrial Gases & Machinery

1,957

1,937

+20

+1.0%

2,750

71.2%

■ Materials

1,490

1,589

(99)

(6.2)%

2,105

70.8%

■ Others

236

227

+9

+4.4%

325

72.9%

Operating profit

271

319

(47)

(15.0)%

527

51.5%

■ Integrated Energy

76

73

+3

+4.9%

210

36.5%

■ Industrial Gases & Machinery

122

169

(47)

(27.9)%

220

55.6%

■ Materials

87

92

(4)

(5.0)%

128

68.4%

■ Others, Adjustments

(15)

(15)

+0

-

(31)

-

Operating profit excluding impact of

278

337

(59)

(17.7)%

527

52.8%

LPG import price fluctuation

Equity gains of affiliated companies

80

-

+80

-

159

-

related to Cosmo Energy HD

Ordinary profit

392

367

+24

+6.7%

728

53.9%

Profit attributable to owners of parent

283

241

+42

+17.4%

540

52.6%

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4

Operating Profit Analysis of Integrated Energy

Results

(100 million yen)

FY24 3Q

FY23 3Q

YoY

YoY

FY24

Results

Results

Progress

(A)-(B)

(A)/(B)

Forecasts

(A)

(B)

Net sales

2,558

2,420

+137

+5.7%

3,840

66.6%

Operating profit

76

73

+3

+4.9%

210

36.5%

Operating profit

83

91

(8)

(9.0)%

210

39.9%

excluding impact of LPG

import price fluctuation

Analysis of Changes in Operating Profit

(million yen)

1,180

7,316

990

7,673

130

(1,700)

(250)

Main factors

(million yen)

  • Impact of LPG import price fluctuation +1,180

(100 million

1Q

2Q

1H

3Q

4Q

Full

yen)

year

FY24

(0.7)

(9.8)

+3.6

(6.9)

-

-

FY23

(17.3)

(34.0)

+32.6

(18.7)

+26.3

+7.5

Changes

+16.6

+24.2

(29.0)

+11.8

-

-

  • Retail (1,700)

-decrease in sales volume of LPG

-decline in profitability due to rising LPG import prices

  • Wholesale (250)

-decrease in sales volume of LPG

  • Industrial +130

-increase in sales of LPG for calorific adjustment for city gas

  • Others +990

-steady sales of portable gas cooking stoves and cassette gas canisters

-increase in sales of energy-related equipment

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5

Operating Profit Analysis of Industrial Gases & Machinery

Results

(100 million yen)

FY24 3Q

FY23 3Q

YoY

YoY

FY24

Results

Results

Progress

(A)-(B)

(A)/(B)

Forecasts

(A)

(B)

Net sales

1,957

1,937

+20

+1.0%

2,750

71.2%

Operating profit

122

169

(47)

(27.9)%

220

55.5%

Analysis of Changes in Operating Profit

(million yen)

300

16,957

500

12,232

(5,020) (500)

FY23 3Q

Air separation

Hydrogen

Specialty

Gas-related

FY24 3Q

gases

business

gases

equipment

Main factors

(million yen)

■ Air separation gases

+500

-increase in sales mainly for the electronic components industry

■ Hydrogen business +300

-sales volume of liquid hydrogen for space development and the semiconductor industry remained strong

■ Specialty gases (5,020)

-increase in sales of semiconductor gases

-expansion of the refrigerant business in Japan and overseas

-helium market weakened mainly in China, resulting in lower profitability

■ Gas-related equipment (500)

-decrease in sales of gas supply facilities and automobile-related equipment

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6

Operating Profit Analysis of Materials

Results

(100 million yen)

FY24 3Q

FY23 3Q

YoY

YoY

FY24

Results

Results

Progress

(A)-(B)

(A)/(B)

Forecasts

(A)

(B)

Net sales

1,490

1,589

(99)

(6.2)%

2,105

70.8%

Operating profit

87

92

(4)

(5.0)%

128

68.4%

Analysis of Changes in Operating Profit

(million yen)

430

9,213

(210)

(120)

8,757

(560)

Main factors

(million yen)

■ Functional plastics products +430 -strong sales of molded products for

air conditioners and consumer resin products

-increase in sales of resin raw materials, mainly for daily household goods

■ Resources & advanced materials (210) -decline in profitability of titanium due to the weakening of the market

■ Metals (120)

-decrease in prices of stainless steel due to sluggish demand

■ Electronic materials (560)

-sluggish sales of rechargeable battery materials for next-generation automobiles due in part to inventory adjustments at sales destination -decrease in sales volumes of functional films

FY23 3Q

Functional

Resources &

Metals

Electronic

FY24 3Q

plastics

advanced

materials

products

materials

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7

FY2024 Forecasts

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8

Forecasts for the year ending March 31, 2025

(100 million yen)

FY24

FY23

Change

Rate

forecasts

results

Net sales

9,020

8,478

+541

+6.4%

■ Integrated Energy

3,840

3,571

+268

+7.5%

■ Industrial Gases &Machinery

2,750

2,621

+128

+4.9%

■ Materials

2,105

1,982

+122

+6.2%

■ Others

325

303

+21

+7.1%

Operating profit

527

506

+20

+4.1%

■ Integrated Energy

210

201

+8

+4.1%

■ Industrial Gases &Machinery

220

217

+2

+1.4%

■ Materials

128

123

+4

+4.0%

■ Others, Adjustments

(31)

(35)

+4

-

Operating profit excluding impact of

527

498

+28

+5.7%

LPG import price fluctuation

Equity gains of affiliated companies

159

93

+65

+69.5%

related to Cosmo Energy HD

Ordinary profit

728

662

+65

+10.0%

Profit attributable to owners of

540

473

+66

+14.0%

parent

Copyright © Iwatani Corporation. All rights reserved.

NO change from original forecasts

Estimated exchange rate

Exchange rate 145 JPY/USD

LPG import price 650 $/ton

(FY23 results)

Exchange rate 143.5 JPY/USD

LPG import price 569 $/ton

Dividend forecast

FY24 32.5 yen per share

*The dividend for FY24 does not include the impact of accounting for Cosmo Energy HD using the equity method

  • On October 1, 2024, the Company conducted a four-for-one stock split of its common stock to shareholders of record as of September 30, 2024.
    The dividend shown are after the stock split.

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