Rinnai Corporation TSE:5947

Rinnai : Financial Results (1,393KB)

Published

Source: MarketScreener

Financial Results for First Two Quarters (Interim) of Fiscal 2025, ending March 31, 2025

November 7, 2024

Disclaimer

Forecasts, projections, strategies, and other forward-looking statements contained in this document are based on information currently available to the Company and certain assumptions that the Company believes are reasonable. Actual results may differ materially from these statements due to various risks and uncertainties. This material is

for informational purposes only and is not intended as a solicitation to trade.

©Rinnai Corporation

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  1. Results of First Two Quarters (Interim ) of Fiscal 2025/ Fiscal 2025 Performance Forecasts
  2. Business Outlook

3

Fiscal 2025 (First Two Quarters/ Interim):

Consolidated Performance Overview

  • Significant improvement in results due to ongoing recovery in market conditions since previous year despite rising costs

Net sales: ¥212.1 billion (up 10.1% year on year)

Record-high level

Maintained strong momentum from 1Q to post record-high net sales despite difficult market conditions

Record-high level

Operating income: ¥20.9 billion (up 107.5% year on year; Operating income to net sales ratio：9.9%] Price revisions and cost reductions to combat amid rising raw material and energy costs led to record-highoperating income

Record-high level

Ordinary income: ¥22.3 billion (up 49.7% year on year; Ordinary income to net sales ratio：10.5%)

Record-high, foreign exchange loss offset by increased operating income

Net income attributable to owners of the parent company: ¥12.2 billion

(up 55.0% year on year; Net income to net sales ratio: 5.8%)

©Rinnai Corporation

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Fiscal 2025 (First Two Quarters/ Interim):

Consolidated Financial Results

  • Record-highnet sales thanks to price revisions and exchange rate fluctuations despite differing levels of recovery in housing markets according to country
  • Increase in operating income as production cutbacks from previous year returned to normal despite soaring raw material and energy costs

Net Sales

Operating Income

Attributable to owners of the parent company

Net Income

[Billions of Yen]

[Billions of Yen]

250

25

200

20

Operating income to

150

15

net sales ratio

100

11.2%

9.8%

9.9%

10

5.3%

50

5

0

0

FY2022 FY2023

FY2024

FY2025

FY2022 FY2023

FY2024

FY2025

2Q

2Q

2Q

2Q

2Q

2Q

2Q

2Q

[Billions of Yen]

25

20

15

10

Net income to

net sales ratio

7.4%

6.9%

4.1%

5.8%

5

0

FY2022 FY2023

FY2024

FY2025

2Q

2Q

2Q

2Q

Fiscal 2025 (First Two Quarters/ Interim):

Net Sales by Product

Fiscal 2024 2Q

Fiscal 2025 2Q

YOY

Change

[Billions of Yen]

Amount

% of total

Amount % of total

Amount

(%)

Water heaters

114.47

59.4%

126.74

59.8%

+12.27

+10.7%

Kitchen

42.56

22.1%

46.26

21.8%

+3.70

+8.7%

appliances

Air

9.73

5.1%

9.83

4.6%

+0.10

+1.1%

conditioning

appliances

Commercial-

5.34

2.8%

5.70

2.7%

+0.35

+6.7%

use equipment

Others

20.57

10.7%

23.56

11.1%

+2.98

+14.5%

Total

192.69

100.0%

212.12

100.0%

+19.42

+10.1%

©Rinnai Corporation

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Fiscal 2025 (First Two Quarters/ Interim):

Consolidated Sales/Income Results

[Billions of yen]

Net Sales

YOY

Operating

YOY Change

Operating

YOY

Change

Income

Margin

Change

Consolidated

212.12

+10.1%

20.99

+107.5%

9.9%

+4.6pt

[Billions of yen]

Net Sales

YOY

Operating

YOY Change

Operating

YOY

Change

Income

Margin

Change

Japan

91.18

+5.2%

9.48

+105.7%

10.4%

+5.1pt

United States

32.15

+24.5%

0.89

-

2.8%

+15.1pt

Australia

16.21

+9.9%

0.72

-2.4%

4.5%

-0.6pt

China

30.79

+8.7%

4.97

-2.7%

16.2%

-1.9pt

South Korea

16.66

+13.2%

0.56

-

3.4%

+3.1pt

Indonesia

8.72

+12.8%

1.98

+51.5%

22.8%

+5.8pt

Others

16.37

+11.7%

2.58

+31.7%

15.8%

+2.4pt

Adjustments

-

-

-0.22

-

-

-

©Rinnai Corporation

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Fiscal 2025 (First Two Quarters/ Interim):

Consolidated Operating Income Analysis

  • Significant increase in operating income due to growth in sales of high-value-added products and cost reduction effects

[Billions of yen]

Effect of local

revenue

Increased

YOY change

increase at

fixed

Increased

+10.87

overseas

costs in

Cost-

fixed

subsidiaries

Japan

costs

cutting

20.99

billion

Effect of

efforts, etc.

overseas

domestic

Effect of

-1.86

revenue

raw

increase

materials

+5.82

prices

-3.41

-0.56

+4.62

10.12

+3.97

-3.47

+0.42

+6.26

*Overseas local

procurement

FY2024

Forex effect +0.92

FY2025

©Rinnai Corporation

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* From April to September, 2024

Japan Fiscal 2025 (First Two Quarters/ Interim) Results

  • Segment companies

Rinnai (non-consolidated basis), domestic consolidated subsidiaries (manufacture and sales of products)

  • Net sales by product, Fiscal 2025 (2Q) results

Commercial-use

equipment 1.3%

Others

Gas clothes

Air-conditioning 15.3%

dryers

appliances

2.2%

Water

Kitchen

heaters

52.1%

appliances

29.3%

Hybrid water

Built-in hobs

heater

(stovetops)

  • Segment results

[Billions of Yen]

Fiscal 2024

Fiscal 2025

YOY

change

Net Sales

86.67

91.18

+5.2%

Operating Income

4.60

9.48

+105.7%

Operating income

5.3%

10.4%

+5.1pt

to net sales ratio

  • Non-consolidatedresults of major company Rinnai (non-consolidatedbasis)
    - Recovery in market conditions in tandem with real demand despite sluggish consumption due to rising prices
    - Significant growth in sales of highly distinctive hybrid water heaters (up more than 50% year on year) supported by government subsidies
    - Operating income growth driven by increased production utilization ratio amid rising raw material and energy costs

Rinnai (non-consolidated basis), Fiscal 2025 (2Q) Results

■：Net sales ■：Operating income

（Billions of yen）

Progress on

119.83 -●-：Operating income to net sales ratio

quarterly operating income

94.17

107.5

4.35

3.80

11.40

4.06

8.16

Fiscal 2023

Fiscal 2024

Fiscal 2025

[Sales Volume in Japan]

YOY change

[Billions of Yen]

Fiscal

Fiscal

YOY change

Water heater with heating

-8.7%

systems

2024

2025

Net Sales

94.17

107.50

＋14.2%

Hybrid water heaters

+55.2%

Operating Income

4.06

8.16

＋100.7%

Built-in hobs (stovetops)

-8.1%

Operating income

4.3%

7.6%

＋3.3pt

Gas clothes dryers

+13.7%

to net sales ratio

©Rinnai Corporation

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* From January to June, 2024

United States Fiscal 2025 (First Two Quarters/ Interim) Results

  • Segment company Rinnai America
  • Net sales by product, Fiscal 2025 (2Q) results

Commercial-use

Others 7.4%

equipment 0.8%

  • Non-consolidatedresults of major company

Rinnai America

  • Ongoing weakness in consumer confidence due to persistently high interest rates
  • Increase in sales of tankless water units due to the continued benefit of launching new condensing units
  • Significant increase in operating income due to higher revenue and operational efficiency despite increased costs from proactive promotional activities

Air-conditioning

appliances

3.5%

Non-Condensing

Water

Condensing water

water heaters

heaters

heaters (High-

88.3%

efficiency models)

  • Segment results

[Billions of Yen]

Fiscal 2024

Fiscal 2025

YOY

change

Rinnai America, Fiscal 2025 (2Q) Results

■：Net sales ■：Operating income

（Billions of yen）

-●-：Operating income to net sales ratio

25.82

32.15

23.32

-5.4%

-12.6%

-1.24

-3.25

0.77

Fiscal 2023

Fiscal 2024

Fiscal 2025

Progress on

quarterly operating income

0.78

0.00

Net Sales

25.82

32.15

+24.5%

Operating

-3.17

0.89

-

Income

Operating

-12.3%

2.8%

+15.1pt

income to net

sales ratio

Fiscal

Fiscal

YOY change

[Billions of Yen]

2024

2025

Yen

Local

[Sales Volume]

YOY change

currency

Net Sales

25.82

32.15

+24.5%

+11.2%

Tankless water

+12.6%

heaters

Operating Income

-3.25

0.77

-

-

Condensing water

Operating income

-12.6%

2.4%

+15.0pt

heaters of total

+30.9%

(High-efficiency

to net sales ratio

models)

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