Stanley Electric : Consolidated Financial Results for the Nine Months Ended December 31, 2024

Published January 31, 2025 at 7:20 a.m. UTC

Source: MarketScreener

Note: 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.

Consolidated Financial Results

for the Nine Months Ended December 31, 2024

[Japanese GAAP]

January 31, 2025

Company name: Stanley Electric Co., Ltd.

Listing: Tokyo

Securities code: 6923

URL: https://www.stanley.co.jp/

Representative: Yasuaki Kaizumi, President and Representative Director

Inquiries: Ikuo Kuwata, Executive Officer, Executive General Manager, Corporate Administration Division

Telephone: +81-3-6866-2222

Scheduled date to commence dividend payments: -

Preparation of supplementary material on financial results: Yes

Holding of financial results briefing: None

(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated Financial Results for the Nine Months Ended December 31, 2024 (April 1, 2024 to December 31, 2024)

(1) Consolidated Operating Results

(Percentages indicate year-on-year changes.)

Net sales

Operating profit

Ordinary profit

Profit attributable to

owners of parent

Nine months ended

Millions of yen

December 31, 2024

375,897

5.8

32,949

20.2

36,756

5.3

18,967

37.2

December 31, 2023

355,398

9.7

27,414

22.0

34,905

29.0

13,821

(1.7)

(Note) Comprehensive income:

Nine months ended December 31, 2024:

33,409 million

[

(19.2) %]

Nine months ended December 31, 2023:

41,356 million

[

81.9%]

Basic earnings

Diluted earnings per

per share

Nine months ended

Yen

December 31, 2024

120.18

December 31, 2023

84.30

84.29

(2) Consolidated Financial Position

Total assets

Net assets

Capital adequacy ratio

As of

Millions of yen

December 31, 2024

794,067

618,863

63.1

March 31, 2024

708,264

589,362

74.0

(Reference) Equity: As of

December 31, 2024:

501,172 million

As of

March 31, 2024:

524,409 million

2. Dividends

Annual dividends

1st

2nd

3rd

Year-end

Total

quarter-end

Yen

Fiscal year ended March 31, 2024

27.00

28.00

55.00

Fiscal year ending March 31, 2025

32.00

Fiscal year ending March 31, 2025

32.00

64.00

(Forecast)

(Note) Revision to the forecast for dividends

announced most

recently:

None

3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2025(April 1, 2024 to March 31, 2025)

(Percentages indicate year-on-year changes.)

											Profit attributable to	Basic
		Net sales		Operating profit		Ordinary profit	earnings
				owners of parent
											per share

	Millions of yen		%	Millions of yen	%		Millions of yen		%	Millions of yen	%	Yen
Full year		500,000		5.8	50,000	39.5		56,200		16.9	31,100	17.4	198.93
(Note) Revision to the financial results forecast announced most recently:	None
* Notes:
(1) Significant changes in the scope of consolidation during the period:	Yes
Newly included:	１	(Company name: Thai Stanley Electric Public Co., Ltd.				)

Adoption of accounting treatment specific to 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
2. Changes in accounting policies due to other reasons: None
3. Changes in accounting estimates: None
4. Restatement: None
Number of issued shares (common shares)
1. Total number of issued shares at the end of the period (including treasury shares):

	December 31, 2024:	167,500,000 shares
	March 31, 2024:	171,200,000	shares
2)	Number of treasury shares at the end of the period:
	December 31, 2024:	16,138,183 shares
	March 31, 2024:	10,820,114	shares
3)	Average number of shares outstanding during the period:
	Nine months ended December 31, 2024:	157,822,372 shares
	Nine months ended December 31, 2023:	163,963,893 shares

Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: Yes(voluntary)
Proper use of earnings forecasts, and other special matters

At this point in time, there are no changes to the consolidated business forecasts.

The Company made these projections in forecasts based on currently available economic and business information; as such, these projections include certain risks and other uncertainties, and the Company does not intend to guarantee the achievement of these projections. Actual business performance may differ significantly from current projections resulting from various critical factors.

Quarterly Consolidated Financial Statements

Quarterly Consolidated Balance Sheets

		(Millions of yen)
	As of March 31, 2024	As of December 31, 2024

Assets
Current assets
Cash and deposits	194,642	239,465
Notes and accounts receivable - trade	75,060	79,743
Securities	3,998	-
Inventories	55,521	61,532
Other	29,406	44,302
Allowance for doubtful accounts	(17)	(30)
Total current assets	358,610	425,013
Non-current assets
Property, plant and equipment
Buildings and structures, net	74,909	80,058
Machinery, equipment and vehicles, net	65,901	80,935
Tools, furniture and fixtures, net	14,883	16,645
Land	14,963	26,324
Leased assets, net	3,110	3,326
Construction in progress	17,072	28,034
Total property, plant and equipment	190,840	235,324
Intangible assets
Goodwill	673	5,191
Other	8,152	4,921
Total intangible assets	8,825	10,112
Investments and other assets
Investment securities	130,901	86,365
Retirement benefit asset	5,383	6,560
Deferred tax assets	4,489	7,547
Other	9,212	23,142
Total investments and other assets	149,987	123,616
Total non-current assets	349,653	369,053
Total assets	708,264	794,067

		(Millions of yen)
	As of March 31, 2024	As of December 31, 2024

Liabilities
Current liabilities
Notes and accounts payable - trade	40,575	47,795
Short-term borrowings	-	19,000
Current portion of bonds payable	10,000	-
Lease liabilities	1,489	1,473
Income taxes payable	4,949	4,213
Provision for product warranties	9,474	7,792
Provision for bonuses	5,115	4,010
Provision for bonuses for directors (and other	276	217
officers)

Special retirement allowance	-	496
Other	25,826	29,113
Total current liabilities	97,708	114,113
Non-current liabilities
Bonds payable	-	40,000
Lease liabilities	2,788	3,278
Deferred tax liabilities	16,534	13,869
Provision for retirement benefits for directors (and	58	45
other officers)

Other provisions	28	28
Retirement benefit liability	1,134	3,194
Asset retirement obligations	478	482
Other	170	192
Total non-current liabilities	21,193	61,090
Total liabilities	118,901	175,204
Net assets
Shareholders' equity
Share capital	30,514	30,514
Capital surplus	29,669	18,962
Retained earnings	386,872	386,445
Treasury shares	(28,862)	(42,986)
Total shareholders' equity	418,194	392,936
Accumulated other comprehensive income
Valuation difference on available-for-sale	44,860	37,401
securities

Foreign currency translation adjustment	58,233	68,041
Remeasurements of defined benefit plans	3,122	2,793
Total accumulated other comprehensive income	106,215	108,235
Share acquisition rights	388	440
Non-controlling interests	64,564	117,250
Total net assets	589,362	618,863
Total liabilities and net assets	708,264	794,067

Quarterly Consolidated Statements of Income and Comprehensive Income

Quarterly Consolidated Statements of Income (For the nine months)

		(Millions of yen)
	For the nine months	For the nine months
	ended December 31, 2023	ended December 31, 2024

Net sales	355,398	375,897
Cost of sales	291,936	299,882
Gross profit	63,461	76,014
Selling, general and administrative expenses	36,047	43,064
Operating profit	27,414	32,949
Non-operating income
Interest income	3,272	3,810
Dividend income	1,257	1,697
Share of profit of entities accounted for using equity	2,068	329
method

Foreign exchange gains	870	-
Miscellaneous income	529	487
Total non-operating income	7,998	6,324
Non-operating expenses
Interest expenses	141	270
Foreign exchange losses	-	1,652
Miscellaneous losses	365	595
Total non-operating expenses	507	2,517
Ordinary profit	34,905	36,756
Extraordinary income
Gain on sale of non-current assets	137	518
Gain on sale of investment securities	2,473	-
Gain on bargain purchase	-	10,060
Gain on liquidation of subsidiaries	-	170
Total extraordinary income	2,610	10,749
Extraordinary losses
Loss on step acquisitions	-	1,130
Impairment losses	4,081	7,950
Loss on retirement of non-current assets	3,363	2,809
Extra retirement payments	-	2,297
Loss on abandonment of inventories	-	523
Provision for environmental measures	69	-
Special survey costs	-	83
Loss from money transfer scam at foreign subsidiary	3,354	-
Total extraordinary losses	10,869	14,794
Profit before income taxes	26,646	32,710
Income taxes	7,988	8,295
Profit	18,657	24,415
Profit attributable to non-controlling interests	4,836	5,447
Profit attributable to owners of parent	13,821	18,967

Quarterly Consolidated Statements of Comprehensive Income (For the nine months)

		(Millions of yen)
	For the nine months	For the nine months
	ended December 31, 2023	ended December 31, 2024

Profit	18,657	24,415
Other comprehensive income
Valuation difference on available-for-sale securities	10,441	(7,533)
Foreign currency translation adjustment	10,723	16,809
Remeasurements of defined benefit plans, net of tax	(93)	(336)
Share of other comprehensive income of entities	1,627	54
accounted for using equity method

Total other comprehensive income	22,699	8,994
Comprehensive income	41,356	33,409
Comprehensive income attributable to

Comprehensive income attributable to owners of parent

Comprehensive income attributable to non-controlling interests

35,00320,988

6,35312,421

(Notes on segment information, etc.) Segment information

Sales and profit or loss by reportable segment

For the nine months ended December 31, 2023 (from April 1, 2023 to December 31, 2023)

						(Millions of Yen)
						Total amount
			Applied			recognized in
	Automotive	Electronic			quarterly
	Electronic	Others	Adjustment
	Equipment	Components	consolidated
	Products	(Note 1)	(Note 2)
	Business	Business	statements of
	Business
					income

						(Note 3)
Sales
Sales to outside customers	290,674	16,629	48,029	65	-	355,398
Intersegment sales or transfer	978	12,466	41,235	1,954	(56,636)	-
Total	291,653	29,096	89,264	2,019	(56,636)	355,398
Segment profit (loss)	20,586	2,964	9,756	(51)	(5,840)	27,414

Notes: 1. "Others" mainly includes the following project and services not included in the reportable segments: the project for promotion of employment of the physically disabled; and financial and management services provided within the Stanley Group.

(5,840) million yen adjustment to segment profit (loss) mainly includes company-wide expenses not included in the reportable segments of (5,581) million yen. The company-wide expenses are mainly general research and development expenses and administrative expenses, which are not attributable to the reportable segments.
Segment profit (loss) is adjusted to be consistent with operating profit shown on the quarterly consolidated statements of income.

For the nine months ended December 31, 2024 (from April 1, 2024 to December 31, 2024)

						(Millions of Yen)
						Total amount
			Applied			recognized in
	Automotive	Electronic			quarterly
	Electronic	Others	Adjustment
	Equipment	Components	consolidated
	Products	(Note 1)	(Note 2)
	Business	Business	statements of
	Business
					income

						(Note 3)
Sales
Sales to outside customers	322,885	14,388	38,621	2	-	375,897
Intersegment sales or transfer	1,247	13,239	48,545	2,318	(65,350)	-
Total	324,132	27,627	87,166	2,320	(65,350)	375,897
Segment profit (loss)	31,644	2,170	6,367	23	(7,256)	32,949

(7,256) million yen adjustment to segment profit (loss) mainly includes company-wide expenses not included in the reportable segments of (6,851) million yen. The company-wide expenses are mainly general research and development expenses and administrative expenses, which are not attributable to the reportable segments.
Segment profit (loss) is adjusted to be consistent with operating profit shown on the quarterly consolidated statements of income.