T.rad Co., Ltd.TSE: 7236

Summary of Financial Results for the 3rd Quarter of FY2025(February 3, 2025)

Feb 6, 2025 at 4:15 AM UTC · Issued by T.RAD Co., Ltd.

Note: This document has been translated from a part of 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.

Summary of Consolidated Financial Results for the 3rd Quarter of Fiscal Year

Ending March 31, 2025(J-GAAP)

			February 3, 2025
Company name: T.RAD Co., Ltd.	Listing: Tokyo Stock Exchange, Prime Market
Code No.:	7236	URL:	http://www.trad.co.jp
Representative: Tomio Miyazaki, President & CEO & COO
Contact:	Kaoru Kinoshita, Managing Executive Officer,	Tel:	+81-3-3373-1101
In charge of Finance & Accounting

Scheduled date of start of dividend payments:	―
Supplemental materials prepared for consolidated financial results: None
Briefing on consolidated financial results: None

(Amounts less than one million yen have been truncated)

1. Consolidated Financial Performance for the 3rd Quarter of Fiscal Year Ending March 31, 2025 (April 1, 2024 to December 31, 2024)

(1) Consolidated operating performance

(Percentage figures indicate year-on-year change)

Net sales

Operating income

Ordinary income

Profit attributable to

owners of parent

Millions of yen

Nine months ended

113,844

-6.8

3,105

-1.7

4,117

16.6

1,156

-14.5

December31, 2024

Nine months ended

122,135

5.0

3,159

368.0

3,532

138.0

1,352

―

December31, 2023

Note: Comprehensive income

Nine months ended December 31, 2024: ¥

1,394 million (-62.4%)

Nine months ended December 31, 2023: ¥

3,713 million (-9.6%)

Net income per share

Diluted net income per share

Yen

Nine months ended

176.96

―

December31, 2024

Nine months ended

207.04

―

December31, 2023

(2) Consolidated financial position

Total assets

Net assets

Equity ratio

Net assets per share

Millions of yen

Yen

Nine months ended

95,541

44,747

46.8

6,910.48

December31, 2024

Fiscal year ended

103,087

45,286

43.5

6,860.31

March 31, 2024

Reference: Shareholders' equity

As of December 31, 2024: ¥44,700 million

As of March 31, 2024 : ¥44,890 million

2. Dividends

Dividends per Share

Year-end

Total

Yen

Fiscal year ended

―

80.00

―

100.00

180.00

March 31, 2024

Fiscal year ending

―

90.00

―

March 31, 2025

Fiscal year ending

March 31, 2025

90.00

180.00

(Forecast)

Note: Revisions to dividend forecasts since the latest official announcement: No

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

(Percentage figures indicate changes from the same period of the previous year)

							Profit attributable to	Net
	Net sales		Operating income	Ordinary income	income per
		owners of parent
							share

	Millions of	%	Millions of	%	Millions of	%	Millions of	%	Yen
	yen	yen	yen	yen

Fiscal year ending	159,000	0.2	4,000	-8.0	4,500	-15.7	1,500	20.5	229.24
March 31, 2025

Note: Revisions to the forecast of consolidated financial performance since the latest official announcement: No

4. Other

Changes in significant subsidiaries during the current quarter
(changes in specific subsidiaries resulting in changes in the scope of consolidation): No
Adoption of specific accounting policies for quarterly consolidated financial statements: None
Changes in accounting principles, estimation procedures or presentation methods
1. Changes associated with revision of accounting standards: Yes
2. Changes other than 1): None
3. Changes accounting estimation procedures: None
4. Changes in presentation methods: None
Number of shares issued and outstanding (common stock)
1. Number of shares issued and outstanding at end of period (including treasury stock) As of December 31, 2024: 6,592,411 shares
  As of March 31, 2024: 6,592,411 shares
2. Number of shares of treasury stock at end of period As of December 31, 2024: 123,862 shares
  As of March 31, 2024: 48,944 shares
3. Average number of shares outstanding during the period Nine months ended December 31, 2024: 6,536,256 shares Nine months ended December 31, 2023: 6,533,320 shares

Review by certified public accountant or audit firm of the attached quarterly consolidated financial statements: None
Explanations for proper use of forecasts and other specific affairs

The forward-looking statement such as forecast of financial performance etc. described in this report based on information currently available and certain assumptions judged to be reasonable. Actual performance may differ significantly from these projections due to various factors.

Quarterly Consolidated Financial Statements and main notes

(1) Quarterly consolidated balance sheets

		(Millions of yen)
	FY2023	FY2024_3Q
	As of March 31, 2024	As of December 31,
		2024

	Amount	Amount

(Assets)
Current assets
Cash and deposits	20,332	15,620
Notes receivable-trade	1,080	632
Electronically recorded monetary claims-operating	3,191	2,374
Accounts receivable-trade	25,587	24,893
Short-term investment securities	299	－
Merchandise and finished goods	3,572	3,499
Work in process	991	959
Raw materials and supplies	8,985	8,836
Others	2,703	2,916
Allowance for doubtful accounts	(127)	(481)

Total current assets	66,617	59,252
Noncurrent assets

Tangible fixed assets
Building and structures, net	6,175	6,058
Machinery, equipment and vehicles, net	12,694	12,399
Land	2,509	2,529
Lease assets, net	1,422	1,250
Construction in progress	3,650	4,175
Other tangible fixed assets, net	1,682	1,919

Total tangible fixed assets	28,135	28,332
Intangible assets

Others	3,125	1,917

Total intangible assets	3,125	1,917
Investments and other assets

Investment securities	1,998	2,826
Net defined benefit asset	2,431	2,481
Deferred tax assets	226	227
Others	558	502
Allowance for doubtful accounts	(5)	－

Total investments and other assets	5,210	6,038

Total noncurrent assets	36,470	36,288

Total assets	103,087	95,541

		(Millions of yen)
	FY2023	FY2024_3Q
	As of March 31, 2024	As of December 31,
		2024

	Amount	Amount

(Liabilities)
Current liabilities
Notes and accounts payable-trade	15,685	12,899
Electronically recorded obligations - operating	5,917	6,470
Short-term loans payable	7,531	6,674
Lease obligations	447	443
Income taxes payable	1,089	387
Accrued expenses	3,793	3,840
Provision for bonuses	1,667	1,024
Provision for directors' bonuses	32	22
Provision for product warranties	787	1,902
Provision for loss on order received	228	227
Electronically recorded obligations - non-operating	482	572
Others	1,380	1,193

Total current liabilities	39,043	35,660
Noncurrent liabilities

Long-term loans payable	14,340	11,090
Lease obligations	2,596	2,292
Deferred tax liabilities	1,315	1,149
Net defined benefit liability	294	333
Provision for share awards	44	128
Asset retirement obligations	93	94
Others	73	44

Total noncurrent liabilities	18,758	15,132

Total liabilities	57,801	50,793
(Net assets)

Shareholders' equity
Capital stock	8,570	8,570
Capital surplus	6,911	6,864
Retained earnings	22,510	22,418
Treasury stock	(114)	(395)

Total shareholders' equity	37,877	37,458
Accumulated other comprehensive income

Valuation difference on available-for-sale securities	19	20
Foreign currency translation adjustment	5,012	5,408
Remeasurements of defined benefit plans	1,980	1,813

Total accumulated other comprehensive income	7,012	7,242

Non-controlling interests	396	47

Total net assets	45,286	44,747

Total liabilities and net assets	103,087	95,541

Quarterly consolidated statements of income and quarterly consolidated statement of comprehensive income (Quarterly consolidated statements of income)

		(Millions of yen)
	Nine months ended	Nine months ended
	December 31, 2023	December 31, 2024
	(Apr. 1, 2023-December 31, 2023)	(Apr. 1, 2024-December 31, 2024)
	Amount	Amount

Net sales	122,135	113,844
Cost of sales	111,205	100,506

Gross profit	10,929	13,338
Selling, general and administrative expenses

Packing and delivery expenses	1,184	1,296
Salaries and allowances	1,961	1,971
Provision for bonuses	255	299
Provision for directors' bonuses	34	22
Retirement benefit expenses	25	(20)
Welfare expenses	1,127	1,136
Provision for product warranties	203	1,584
Provision of allowance for doubtful accounts	5	352
Research and development expenses	898	1,262
Provision for share awards	11	84
Others	2,061	2,242

Total selling, general and administrative expenses	7,769	10,233

Operating income (loss)	3,159	3,105
Non-operating income

Interest income	175	213
Dividends income	3	3
Equity in earnings of affiliates	400	352
Foreign exchange gains	144	459
Others	176	283

Total non-operating income	901	1,313
Non-operating expenses

Interest expenses	518	298
Others	9	2

Total non-operating expenses	528	301

Ordinary income (loss)	3,532	4,117

		(Millions of yen)
	Nine months ended	Nine months ended
	December 31, 2023	December 31, 2024
	(Apr. 1, 2023-December 31, 2023)	(Apr. 1, 2024-December 31, 2024)
	Amount	Amount

Extraordinary income
Gain on sales of noncurrent assets	81	13
Gain on sales of investment securities	199	－

Total extraordinary income	280	13
Extraordinary loss

Loss on sales of noncurrent assets	10	9
Loss on retirement of noncurrent assets	69	1,161
Loss on sale of shares of subsidiaries and associates	80	－
Impairment loss	－	199

Total extraordinary loss	160	1,371

Income (loss) before income taxes	3,652	2,759

Income taxes-current	2,040	1,650
Income taxes-deferred	231	(55)

Total income taxes	2,271	1,594

Profit (loss)	1,380	1,164

Profit (loss) attributable to non-controlling interests	28	8

Profit (loss) attributable to owners of parent	1,352	1,156

(Quarterly consolidated statement of comprehensive income)

		(Millions of yen）
	Nine months ended	Nine months ended
	December 31, 2023	December 31, 2024
	(Apr. 1, 2023-December 31, 2023)	(Apr. 1, 2024-December 31, 2024)
	Amount	Amount

Profit (loss)	1,380	1,164
Other comprehensive income

Valuation difference on available-for-sale securities	5	0
Foreign currency translation adjustment	2,216	326
Remeasurements of defined benefit plans, net of tax	(51)	(166)
Share of other comprehensive income of associates accounted for using equity	162	68
method

Total other comprehensive income
2,332	229

Comprehensive income	3,713	1,394
(Breakdown)

Comprehensive income attributable to owners of the parent	3,555	1,386
Comprehensive income attributable to non-controlling interests	157	8

(3) Quarterly consolidated statements of cash flows

		(Millions of yen)
	Nine months ended	Nine months ended
	December 31, 2023	December 31, 2024
	(Apr. 1, 2023-December 31, 2023)	(Apr. 1, 2024-December 31, 2024)
	Amount	Amount

Net cash provided by (used in) operating activities
Profit (loss) before income taxes	3,652	2,759
Depreciation and amortization	4,643	3,985
Retirement benefit expenses	(75)	(236)
Increase (decrease) in retirement benefit asset and liability	(5)	(25)
Increase (decrease) in allowance for doubtful accounts	(120)	346
Increase (decrease) in provision for bonuses	(502)	(643)
Increase (decrease) in provision for directors' bonuses	9	(10)
Increase (decrease) in provision for product warranties	(185)	1,108
Loss on retirement of noncurrent assets	69	1,161
Loss(gain) on sales of tangible fixed assets	(70)	(3)
Loss (gain) on sales of investment securities	(119)	－
Interest and dividends income	(179)	(217)
Interest expenses	518	298
Foreign exchange losses (gains)	(206)	(214)
Equity in (earnings) losses of affiliates	(400)	(352)
Impairment loss	－	199
Decrease(increase) in notes and accounts receivable-trade	(1,964)	2,266
Decrease(increase) in inventories	3,797	428
Increase(decrease) in notes and accounts payable-trade	2,358	(2,520)
Decrease(increase) in other current assets	225	(224)
Increase (decrease) in other current liabilities	(703)	124
Other, net	43	74

Subtotal	10,783	8,304

Interest and dividends income received	1,892	400
Interest expenses paid	(506)	(314)
Income taxes paid	(1,881)	(2,329)

Net cash provided by (used in) operating activities	10,288	6,061

		(Millions of yen)
	Nine months ended	Nine months ended
	December 31, 2023	December 31, 2024
	(Apr. 1, 2023-December 31, 2023)	(Apr. 1, 2024-December 31, 2024)
	Amount	Amount

Net cash provided by (used in) investing activities
Purchase of tangible assets	(4,372)	(4,102)
Proceeds from sales of tangible fixed assets	119	10
Purchase of intangible assets	(764)	(250)
Purchase of investment securities	－	(580)
Proceeds from sales of investment securities	202	－
Payments into time deposit	(1,626)	(2,232)
Proceeds from withdrawal of time deposits	1,152	1,289
Others	(151)	132

Net cash provided by (used in) investing activities	(5,440)	(5,732)
Net cash provided by (used in) financing activities

Net increase (decrease) in short-term loans payable	(1,942)	(4,224)
Proceeds from long-term loans payable	3,210	650
Repayment of long-term loans payable	(2,237)	(610)
Purchase of treasury stock	－	(280)
Cash dividends paid	(525)	(1,248)
Cash dividends paid to non-controlling shareholders	(246)	(100)
Payments from changes in ownership interests in subsidiaries that do not	－	(381)
result in change in scope of consolidation

Others	(280)	(299)

Net cash provided by (used in) financing activities	(2,022)	(6,495)

Effect of exchange rate change on cash and cash equivalents	836	212

Net increase (decrease) in cash and cash equivalents	3,662	(5,954)

Cash and cash equivalents at beginning of period	10,361	20,204

Cash and cash equivalents at end of period	14,023	14,250

Company analysis