January 14, 2025
Company Name: MANI, INC.
Representative: Masaya Watanabe
Director, President & Representative
Executive Officer
Security Code: 7730, Prime Market of TSE
Inquiries: Naohisa Hashimoto
Managing Executive Officer, CFO
TEL: +81 28-667-1811
Notice Regarding Completion of Interim Review by Certified Public Accountants, etc. of the Japanese-Language Originals of the "Consolidated Financial Results for the Three Months Ended November 30, 2024 (Based on Japanese GAAP)"
MANI, INC. (the "Company") hereby announces that the interim review of the Japanese-language originals of the "Consolidated Financial Results for the Three Months Ended November 30, 2024 (Based on Japanese GAAP)" disclosed on January 8, 2025 have been completed by certified public accountants, etc.
There are no revisions made to the quarterly consolidated financial statements disclosed on January 8, 2025.
Note that the English translation of the quarterly consolidated financial results did not receive a quarterly review by certified public accountants, etc.
Summary of Consolidated Financial Results for the Three Months Ended November 30, 2024 (Based on Japanese GAAP)
January 14, 2025 | ||||
Company name: | MANI, INC. | |||
Stock exchange listing: | Tokyo | |||
Stock code: | 7730 | URL https://www.mani.co.jp/en/ | ||
Representative: | Director, President & Representative Executive Officer | Masaya Watanabe | ||
Inquiries: | Managing Executive Officer, CFO | Naohisa Hashimoto | TEL +81 28-667-1811 |
Scheduled date to commence dividend payments: | - | ||||||||||||||||
Preparation of supplementary material on financial results: | Yes | ||||||||||||||||
Holding of financial results meeting: | Yes | (Presentation on management policy held on January | |||||||||||||||
9, 2025) | |||||||||||||||||
(Amounts less than one million yen are rounded down) | |||||||||||||||||
1. Consolidated Financial Results for the Three Months Ended November 30, 2024 (from September 1, 2024 to November 30, 2024) | |||||||||||||||||
(1) Consolidated Operating Results (cumulative) | (Percentages indicate year-on-year changes) | ||||||||||||||||
Net Sales | Operating income | Ordinary income | Profit attributable to | ||||||||||||||
owners of parent | |||||||||||||||||
Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | ||||||||||
Three months ended November 30, 2024 | 7,655 | 7.6 | 2,107 | (5.2) | 2,298 | (2.2) | 1,598 | 1.6 | |||||||||
Three months ended November 30, 2023 | 7,114 | 16.5 | 2,223 | 27.1 | 2,349 | 35.4 | 1,573 | 21.1 | |||||||||
Note: | Comprehensive income: | ||||||||||||||||
For the three months ended November 30, 2024 | ¥2,280 million | [31.4%] | |||||||||||||||
For the three months ended November 30, 2023 | ¥1,735 million | [28.7%] | |||||||||||||||
Earnings per share | Diluted earnings per share | ||||||||||||||||
Yen | Yen | ||||||||||||||||
Three months ended November 30, 2024 | 16.23 | - | |||||||||||||||
Three months ended November 30, 2023 | 15.98 | - | |||||||||||||||
(2) Consolidated Financial Position | |||||||||||||||||
Total assets | Net assets | Equity capital ratio | |||||||||||||||
Millions of yen | Millions of yen | % | |||||||||||||||
As of November 30, 2024 | 57,334 | 52,345 | 91.3 | ||||||||||||||
As of August 31, 2024 | 57,177 | 52,330 | 91.5 | ||||||||||||||
Reference: | Equity | ||||||||||||||||
As of November 30, 2024 | ¥52,345 million | ||||||||||||||||
As of August 31, 2024 | ¥52,330 million | ||||||||||||||||
2. Cash Dividends | |||||||||||||||||
Annual dividends per share | |||||||||||||||||
1Q-end | 2Q-end | 3Q-end | Year-end | Total | |||||||||||||
Yen | Yen | Yen | Yen | Yen | |||||||||||||
Year ended August 31, 2024 | - | 16.00 | - | 23.00 | 39.00 | ||||||||||||
Year ending August 31, 2025 | - | ||||||||||||||||
Year ending August 31, 2025 (Forecast) | 16.00 | - | 23.00 | 39.00 | |||||||||||||
Note: | Revisions to the forecasts of dividends most recently announced: None |
3. Forecast of Consolidated Financial Results for the Fiscal Year Ending August 31, 2025 (from September 1, 2024 to August 31, 2025) (Percentages indicate year-on-year changes)
Net Sales | Operating income | Ordinary income | Profit attributable to | Earnings per share | |||||||
owners of parent | |||||||||||
Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | Yen | |||
Second quarter | 14,750 | 6.1 | 4,200 | 0.1 | 4,200 | (7.7) | 3,000 | (6.0) | 30.45 | ||
Full year | 30,200 | 5.9 | 8,900 | 6.1 | 8,850 | 4.6 | 6,350 | 1.0 | 64.45 | ||
Note: | Revisions to | earnings forecasts most recently announced: None |
- Notes
-
Significant changes in the scope of consolidation during the period: None
Newly included: -
Excluded: - - Application of special accounting methods in the preparation of quarterly consolidated financial statements: None
- Changes in accounting policies, changes in accounting estimates, and restatement
① Changes in accounting policies due to revisions to accounting standards and other regulations: | None |
②Changes in accounting policies due to other reasons: | None |
③Changes in accounting estimates: | None |
④Restatement: | None |
(4) Number of issued shares (common shares) | |
① Total number of issued shares at the end of the period (including treasury shares) |
As of November 30, 2024 | 107,003,277 shares |
As of August 31, 2024 | 107,003,277 shares |
②Number of treasury shares at the end of the period
As of November 30, 2024 | 8,517,206 shares |
As of August 31, 2024 | 8,484,606 shares |
③Average number of shares during the period (cumulative from the beginning of the fiscal year)
As of November 30, 2024 | 98,488,661 shares |
As of November 30, 2023 | 98,496,979 shares |
Disclosure regarding quarterly review procedures
Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: Yes (voluntary)
- The English translation of the quarterly consolidated financial results will not receive a quarterly review by certified public accountants or an audit firm.
Proper use of earnings forecasts, and other special matters
- The forward-looking statements, including earnings forecasts, contained in these materials are based on information currently available to the Company and on certain assumptions deemed to be reasonable. Consequently, any statements herein do not constitute assurances regarding actual results by the Company. Actual business and other results may differ substantially due to various factors.
- This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.
MANI, INC. (TOKYO 7730) Consolidated Financial Results of the First Quarter of the Fiscal Year Ending August 31, 2025
- Attached Materials Index
1. Overview of Operating Results | 2 | |
(1) | Explanation of Operating Results for the First Quarter | 2 |
(2) | Explanation of Financial Position for the First Quarter | 3 |
(3) | Explanation of Future Forecast Information including Consolidated Business Results Forecasts | 4 |
2. Quarterly Consolidated Financial Statements | 5 | |
(1) | Quarterly Consolidated Balance Sheet | 5 |
(2) | Quarterly Consolidated Income Statements and Quarterly Consolidated Comprehensive Income Statements | 7 |
Quarterly Consolidated Income Statements | ||
For the three months ended November 30, 2023 and November 30, 2024 | 7 | |
Quarterly Consolidated Comprehensive Income Statements | ||
For the three months ended November 30, 2023 and November 30, 2024 | 8 | |
3. Notes to Quarterly Consolidated Financial Statements | 9 | |
(Notes on Premise of Going Concern) | 9 | |
(Notes on Significant Changes in the Amounts of Shareholders' Equity) | 9 | |
(Notes on Quarterly Consolidated Statements of Cash Flows) | 9 | |
(Segment Information, etc.) | 9 | |
(Revenue Recognition) | 10 | |
(Significant Subsequent Events) | 10 |
- 1 -
MANI, INC. (TOKYO 7730) Consolidated Financial Results of the First Quarter of the Fiscal Year Ending August 31, 2025
1. Overview of Operating Results
(1) Explanation of Operating Results for the First Quarter
MANI Group aims to contribute to the well-being of people around the world by providing our products worldwide, based on our commitment "The Best Quality in the World, to the World." To achieve further growth, we have started our medium-term management plan from the fiscal year ended August 31, 2022, and are engaged in realizing our corporate philosophy and evolve to "a true global company" by dramatically evolving and transforming our platforms in sales, production, and development functions.
The following is a summary of major initiatives during the first quarter of the fiscal year ending August 31, 2025.
Business Operations under a New Organizational Structure
A new management team led by Masaya Watanabe, President and Representative Executive Officer, has begun business operations. Please refer to the material scheduled to be released on January 9, 2025 for our progress of the medium-term management plan announced on April 8, 2021 and future management policies.
Established sales subsidiary MANI MEDICAL AMERICA, INC. in California, United States
To expand our business globally, we established a new sales subsidiary, MANI MEDICAL AMERICA, INC., in September 2024, and commenced sales activities. We will promote regional-oriented sales activities in medical advanced countries and expand our business in the North American market.
Launch of the new NiTi Rotary File "JIZAI 020 04"
In September 2024, we launched "JIZAI 020 04," which is a new addition to the "JIZAI"1 series, a series of NiTi rotary files for dental root canal treatment and is designated as a key development product to be developed in the medium-term management plan. "JIZAI 020 04" is an intermediate sized file that has been particularly requested by many dentists, and we have developed this file to encourage more dentists to use "JIZAI." Going forward, we will expand our product lineup of NiTi rotary files to accommodate a range of root canal treatments and expand the scope of treatments available with our products.
The Smart Factory
The Smart Factory, which began construction in Japan in October 2023, is scheduled to be completed at the end of January 2025. During the first quarter of the fiscal year ending August 31, 2025, we have been preparing to build a mass production system for ophthalmic knives, which are used in cataract surgery, and "JIZAI," the NiTi rotary file. The mass production line is scheduled to start operation from 2026.
(References)
1 A flexible nickel titanium dental endodontic instrument used to treat an infected dental root canal in an endodontic treatment, which is one of the treatments for the dental nervous system known as pulp.
Operating Results for the First Quarter of the Fiscal Year Ending August 31, 2025
Net sales were ¥7,655 million (up 7.6% year on year), mainly due to strong sales of Surgical products in Europe and an increase in sales of Eyeless Needle products in Asia, particularly in China, despite a decrease in sales of Dental products in China. The cost of sales was ¥2,653 million (down 0.5% year on year), and the selling, general and administrative expenses were ¥2,893 million (up 30.1% year on year) due to the posting of bonuses associated with the results of the previous fiscal year and an increase in personnel costs. As a result, operating income was ¥2,107 million (down 5.2% year on year). Though ordinary income was ¥2,298 million (down 2.2% year on year), profit attributable to owners of parent was ¥1,598 million (up 1.6% year on year) due to a decrease in income taxes-deferred.
The following is an overview of financial results by segment. Segment sales figures are those from external customers.
Net sales | Segment income (Operating income) | ||||
Millions of yen | Year on year | Millions of yen | Year on year | ||
Surgical products | 2,442 | 25.5% | 838 | 28.8% | |
Eyeless Needle products | 2,844 | 12.9% | 1,046 | 8.2% | |
Dental products | 2,368 | (10.6%) | 222 | (63.2%) | |
Consolidated total | 7,655 | 7.6% | 2,107 | (5.2%) |
- 2 -
MANI, INC. (TOKYO 7730) Consolidated Financial Results of the First Quarter of the Fiscal Year Ending August 31, 2025
(Surgical products)
The segment sales were ¥2,442 million (up 25.5% year on year) and segment income was ¥838 million (up 28.8% year on year). Segment sales and income have increased due to an increase in demand for ophthalmic knives, which are used in cataract surgery, mainly in Europe and Asia, particularly in China from the same period of the previous fiscal year.
(Eyeless Needle products)
The segment sales were ¥2,844 million (up 12.9% year on year) and segment income was ¥1,046 million (up 8.2% year on year). Segment sales and income have increased from the same period of the previous fiscal year, mainly due to an increase in sales in Asia, particularly in China.
(Dental products)
The segment sales were ¥2,368 million (down 10.6% year on year), and segment income was ¥222 million (down 63.2% year on year). Sales declined due to the deterioration in the dental market caused by the stagnant Chinese economy, the impact of the voluntary recall of dental rotary and cutting instruments (dia-burs), and changes in procedures in dental root canal treatment.
Segment income has decreased due to a decrease in net sales and an increase in selling, general and administrative expenses, including personnel expenses.
※Reference: Exchange rates
Previous consolidated accounting period | Current consolidated accounting period | ||||||||||
(Year ended August 31, 2024) | (Year ending August 31, 2025) | ||||||||||
1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | ||||
USD/JPY | 149.10 | 147.92 | 149.66 | 150.78 | 149.03 | - | - | - | |||
EUR/JPY | 159.30 | 159.38 | 161.40 | 162.94 | 161.99 | - | - | - | |||
CNY/JPY | 20.47 | 20.45 | 20.68 | 20.84 | 20.88 | - | - | - | |||
INR/JPY | 1.79 | 1.78 | 1.80 | 1.81 | 1.77 | - | - | - | |||
MYR/JPY | 31.95 | 31.35 | 31.78 | 32.28 | 34.36 | - | - | - |
- Explanation of Financial Position for the First Quarter Financial position
(Millions of yen) | |||
As of August 31, 2024 | As of November 30, 2024 | Change | |
Total assets | 57,177 | 57,334 | 157 |
Current assets | 31,942 | 32,122 | 179 |
Non-current assets | 25,235 | 25,212 | (22) |
Liabilities | 4,846 | 4,989 | 142 |
Net assets | 52,330 | 52,345 | 14 |
Total assets as of the end of the first quarter (November 30, 2024) stood at ¥57,334 million, an increase of ¥157 million from the end of the previous consolidated accounting period. This was primarily due to an increase of ¥179 million in current assets (mainly an increase in inventories).
Total liabilities as of the end of the first quarter (November 30, 2024) stood at ¥4,989 million, an increase of ¥142 million from the end of the previous consolidated accounting period. This was primarily due to an increase in current liabilities such as accrued expenses and accounts payable, despite a decrease in income taxes payable.
Total net assets as of the end of the first quarter (November 30, 2024) stood at ¥52,345 million, an increase of ¥14 million from the end of the previous consolidated accounting period. This was primarily due to an increase of ¥1,598 million in retained earnings resulting from the recording of profit attributable to owners of parent and an increase in foreign currency translation adjustments, despite a decrease in retained earnings due to the payment of cash dividends of ¥2,265 million.
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MANI, INC. (TOKYO 7730) Consolidated Financial Results of the First Quarter of the Fiscal Year Ending August 31, 2025
(3) Explanation of Future Forecast Information including Consolidated Business Results Forecasts
Results for the first quarter of the fiscal year ending August 31, 2025, are as stated in "(1) Explanation of Operating Results for the First Quarter." The consolidated earnings forecast for the full fiscal year remains unchanged from the figures announced in the "Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2024" on October 7, 2024.
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MANI, INC. (TOKYO 7730) Consolidated Financial Results of the First Quarter of the Fiscal Year Ending August 31, 2025
2. Quarterly Consolidated Financial Statements
- Quarterly Consolidated Balance Sheet
(Millions of yen) | |||
As of August 31, 2024 | As of November 30, 2024 | ||
Assets | |||
Current assets | |||
Cash and deposits | 21,644 | 21,214 | |
Notes receivable - trade | 210 | 131 | |
Accounts receivable - trade | 2,710 | 2,931 | |
Securities | 18 | 314 | |
Merchandise and finished goods | 896 | 856 | |
Work in process | 3,244 | 3,469 | |
Raw materials and supplies | 2,221 | 2,292 | |
Other | 1,009 | 926 | |
Allowance for doubtful accounts | (14) | (14) | |
Total current assets | 31,942 | 32,122 | |
Non-current assets | |||
Property, plant and equipment | |||
Buildings and structures, net | 6,779 | 6,789 | |
Machinery, equipment and vehicles, net | 4,456 | 4,611 | |
Land | 4,427 | 4,423 | |
Construction in progress | 6,290 | 6,550 | |
Other, net | 714 | 718 | |
Total property, plant and equipment | 22,669 | 23,093 | |
Intangible assets | |||
Software | 642 | 663 | |
Other | 696 | 661 | |
Total intangible assets | 1,338 | 1,324 | |
Investments and other assets | |||
Investment securities | 303 | 45 | |
Deferred tax assets | 593 | 424 | |
Insurance funds | 214 | 214 | |
Other | 116 | 110 | |
Allowance for doubtful accounts | (0) | (0) | |
Total investments and other assets | 1,228 | 794 | |
Total non-current assets | 25,235 | 25,212 | |
Total assets | 57,177 | 57,334 |
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MANI, INC. (TOKYO 7730) Consolidated Financial Results of the First Quarter of the Fiscal Year Ending August 31, 2025
(Millions of yen) | |||
As of August 31, 2024 | As of November 30, 2024 | ||
Liabilities | |||
Current liabilities | |||
Accounts payable - trade | 181 | 215 | |
Accounts payable - other | 1,153 | 1,355 | |
Lease liabilities | 39 | 38 | |
Income taxes payable | 996 | 533 | |
Provision for bonuses | 401 | 308 | |
Other | 1,139 | 1,593 | |
Total current liabilities | 3,912 | 4,043 | |
Non-current liabilities | |||
Lease liabilities | 44 | 36 | |
Retirement benefit liability | 583 | 590 | |
Asset retirement obligations | 233 | 245 | |
Other | 73 | 72 | |
Total non-current liabilities | 934 | 945 | |
Total liabilities | 4,846 | 4,989 | |
Net assets | |||
Shareholders' equity | |||
Share capital | 1,087 | 1,087 | |
Capital surplus | 1,134 | 1,134 | |
Retained earnings | 48,124 | 47,456 | |
Treasury shares | (3,125) | (3,125) | |
Total shareholders' equity | 47,220 | 46,552 | |
Accumulated other comprehensive income | |||
Valuation difference on available-for-sale | 11 | 9 | |
securities | |||
Foreign currency translation adjustment | 5,057 | 5,739 | |
Remeasurements of defined benefit plans | 42 | 43 | |
Total accumulated other comprehensive income | 5,110 | 5,792 | |
Total net assets | 52,330 | 52,345 | |
Total liabilities and net assets | 57,177 | 57,334 |
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MANI, INC. (TOKYO 7730) Consolidated Financial Results of the First Quarter of the Fiscal Year Ending August 31, 2025
- Quarterly Consolidated Income Statements and Quarterly Consolidated Comprehensive Income Statements (Quarterly Consolidated Income Statements)
(For the three months ended November 30, 2023 and November 30, 2024)
(Millions of yen) | |||
Three months ended | Three months ended | ||
November 30, 2023 | November 30, 2024 | ||
Net sales | 7,114 | 7,655 | |
Cost of sales | 2,667 | 2,653 | |
Gross profit | 4,447 | 5,001 | |
Selling, general and administrative expenses | 2,224 | 2,893 | |
Operating profit | 2,223 | 2,107 | |
Non-operating income | |||
Interest income | 32 | 33 | |
Foreign exchange gains | 88 | 144 | |
Gain on sale of scraps | 9 | 18 | |
Other | 5 | 12 | |
Total non-operating income | 135 | 209 | |
Non-operating expenses | |||
Interest expenses | 0 | 1 | |
Unoperated land-related costs | 8 | 14 | |
Other | 0 | 2 | |
Total non-operating expenses | 9 | 18 | |
Ordinary profit | 2,349 | 2,298 | |
Extraordinary income | |||
Gain on sale of non-current assets | 0 | 12 | |
Total extraordinary income | 0 | 12 | |
Extraordinary losses | |||
Loss on sale of non-current assets | － | 0 | |
Loss on retirement of non-current assets | 3 | 0 | |
Other | － | 3 | |
Total extraordinary losses | 3 | 4 | |
Profit before income taxes | 2,347 | 2,306 | |
Income taxes - current | 561 | 538 | |
Income taxes - deferred | 211 | 169 | |
Total income taxes | 773 | 708 | |
Profit | 1,573 | 1,598 | |
Profit attributable to owners of parent | 1,573 | 1,598 |
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