May 13, 2025
Listed Company Name UNION TOOL CO.
Shares Listed ………………….. Tokyo Stock Exchange Code No. 6278
Head Office …………………… 6-17-1, Minami-Ohi, Shinagawa-ku, Tokyo 140-0013 URL …………………………... https:// https://www.uniontool.co.jp
CEO Takao Katayama
Contact ………………………... Norimasa Kurata, Executive Officer Tel 03-5493-1017
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Financial results for the first quarter of FY2025 (January 1, 2025- March 31, 2025)
( 1 ) Consolidated performance Amounts less than one million yen have been omitted.
Net sales
YonY
Operating profit
YonY
Ordinary profit
YonY
1st quarter of FY 2025
¥m
8,802
18.6 %
¥m
2,210
55.3 %
¥m
2,149
31.8 %
1st quarter of FY 2024
7,423
28.2 %
1,422
49.2 %
1,630
61.5 %
Profit attributable to
owners of parent
YonY
Earnings per share
Earnings per share after dilution
1st quarter of FY 2025
¥m
1,591
32.9 %
¥ 92.15
-
1st quarter of FY 2024
1,198
56.9 %
69.35
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( 2 ) Consolidated financial position Amounts less than one million yen have been omitted.
Total assets
Net assets
Net assets to total assets
1st quarter of FY 2025
¥m 78,218
¥m 72,574
92.8 %
FY 12/2024
78,863
73,136
92.7
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Cash dividends
Per share
Interim cash dividends
Year-end cash dividends
Annual cash dividends
FY 12/2024 actual
¥ 45.00
¥ 60.00
¥ 105.00
FY 12/2025
actual
-
-
-
forecast
¥ 55.00
¥ 55.00
¥ 110.00
Note: Revision of forecast for dividends since the previous announcement … None
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Forecasts for the year ending December 31, 2025 (January 1, 2025 - December 31, 2025)
Net sales
Operating profit
Ordinary profit
Profit attributable to owners of parent
EPS
Half year
¥m 16,500
¥m 3,400
¥m 3,400
¥m 2,450
¥ 141.82
YonY change
4.5 %
9.4 %
1.1 %
-3.1 %
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Full year
¥m 34,000
¥m 7,000
¥m 7,200
¥m 5,100
¥ 295.22
YonY change
4.3 %
1.8 %
0.9 %
-3.5 %
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Note: Revision of forecasted consolidated financial results since the previous announcement … None
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Others
( 1 ) Significant change in the scope of consolidation during the period …… None ( 2 ) Application of accounting methods specific in the preparation of quarterly
consolidated financial statements …… None
( 3 ) Changes in the principles, procedures and presentation method for accounting treatment
Changes associated with revisions in accounting standards ……None
Changes other than above …… None
Changes in accounting estimates …… None
Retrospective restatement …… None
( 4 ) Shares outstanding
Number of shares outstanding ( including treasury stocks ): 3/31/2025 … 19,780,000 12/31/2024 … 19,780,000
Number of treasury stocks:
3/31/2025 … 2,505,172 12/31/2024 … 2,505,172
Number of average shares outstanding (cumulative, consolidated at the end of the first quarter): 3/31/2025 … 17,274,828 3/31/2024 … 17,275,156
*Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: None
*Proper use of earnings forecasts, and other special matters
Request for appropriate use of the business outlook and other special remarks
The forecasts are based on information available to the management at the time of this announcement. Due to variable factors, actual results may be different from the forecast figures.
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Consolidated Financial Results for the First Quarter of Fiscal Year Ending December 31, 2025
During the first quarter of the fiscal year ending December 2025, the global economy faced heightened uncertainty. While inflation showed signs of slowing, several factors contributed to this uncertainty, including the sluggish recovery of the Chinese economy, geopolitical risks such as the invasion of Ukraine and escalating tensions in the Middle East, and policies and economic trends of individual countries. Additionally, concerns over the impact of strict tariff policies introduced by the new U.S. administration-affecting trade with various countries, specific markets, and currency fluctuations-have further deepened the unpredictability of the economic outlook. In the electronics industry, the rapid adoption of generative AI has significantly increased demand for semiconductors, driving strong market growth. This trend has fueled demand for package boards and high multilayer boards designed for data center servers, which led to a sharp rise in demand for our high-value-added tools.
Amid these business conditions, we have prioritized expanding our supply capacity by strengthening production capabilities for high-value-added tools and enhancing collaboration through global production management. The increased sales and higher sales ratio of high-value-added tools-our high-margin products-along with improved operational efficiency at each production site, have enabled us to achieve cost reduction benefits. As a result, we have achieved substantial growth in both revenue and profit compared to the same period last year.
Our net sales for the first quarter of FY12/2025 were ¥8,802 million (YoY +18.6%). Operating profit was ¥2,210 million (YoY +55.3%), ordinary profit ¥2,149 million (YoY +31.8%), and profit attributable to owners of parent
¥1,591 million (YoY +32.9%).
In Japan, we have continued to capture strong demand in the generative AI-related market, which has led to increased revenue. Net sales (including intersegment transaction amount) were ¥5,946 million (YoY +15.9%). Operating profit was ¥1,228 million (YoY -5.5％).
Similar trends have been observed across Asia, excluding Japan. In particular, demand in China is rapidly
expanding for package boards and high-multilayer boards used in data center servers. Strengthened local production efforts have contributed to ongoing improvements in operational efficiency. Net sales in this segment were ¥5,183 million (YoY +35.3%), and the operating profit was ¥608 million (YoY +161.7%).
In North America, net sales were ¥481 million (YoY -1.1%), and operating profit amounted to ¥42 million (YoY
-29.2%). In Europe, net sales and operating profit were ¥656 million (YoY +14.7%) and ¥35 million (YoY -58.1%), respectively.
- Consolidated Financial Forecast and Other Forward-Looking Statements
Regarding the earnings forecast for the fiscal year ending December 2025, we are maintaining the forecast announced on February 14, 2025, based on the performance of the first quarter and other relevant factors.
Meanwhile, the potential impact of U.S. tariff policies on our performance, as well as the measures to address them, is currently under detailed examination. As of now, these effects have not been incorporated into the consolidated earnings forecast for the fiscal year ending December 2025.
Financial Statements Consolidated balance sheet
FY12/2024
as of December 31, 2024
millions of yen FY12/2025 Q1
as of March 31, 2025
Assets Current assets | ||
Cash and deposits | 17,976 | 17,528 |
Notes and accounts receivable - trade | 11,428 | 11,741 |
Securities | 157 | 724 |
Merchandise and finished goods | 6,124 | 6,009 |
Work in process | 1,327 | 1,280 |
Raw materials and supplies | 3,408 | 3,396 |
Other | 824 | 448 |
Allowance for doubtful accounts | -42 | -41 |
Total current assets | 41,205 | 41,088 |
Non-current assets | ||
Property, plant and equipment | ||
Buildings and structures, net | 9,043 | 9,080 |
Machinery, equipment and vehicles, net | 9,106 | 8,923 |
Tools, furniture and fixtures, net | 566 | 580 |
Land | 6,053 | 5,995 |
Construction in progress | 1,062 | 1,207 |
Other, net | 425 | 503 |
Total property, plant and equipment | 26,258 | 26,291 |
Intangible assets | 74 | 109 |
Investments and other assets | ||
Investment securities | 10,788 | 10,170 |
Retirement benefit asset | 50 | 146 |
Other | 485 | 411 |
Total investments and other assets | 11,324 | 10,728 |
Total non-current assets | 37,658 | 37,130 |
Total assets | 78,863 | 78,218 |
Liabilities Current liabilities | ||
Accounts payable - trade | 997 | 1,201 |
Accounts payable - other | 281 | 174 |
Accrued expenses | 1,136 | 1,079 |
Income taxes payable | 1,331 | 760 |
Contract liabilities | 39 | 42 |
Provision for bonuses | 822 | 1,209 |
Provision for bonuses for directors (and other officers) | - | 13 |
Other | 424 | 298 |
Total current liabilities | 5,032 | 4,780 |
Non-current liabilities | ||
Long-term accounts payable - other | 219 | 219 |
Retirement benefit liability | 24 | 111 |
Other | 450 | 532 |
Total non-current liabilities | 694 | 863 |
Total liabilities | 5,726 | 5,644 |
Net assets | ||
Shareholders' equity | ||
Share capital | 2,998 | 2,998 |
Capital surplus | 3,020 | 3,020 |
Retained earnings | 65,553 | 66,109 |
Treasury shares | -6,737 | -6,737 |
Total shareholders' equity | 64,834 | 65,390 |
Accumulated other comprehensive income | ||
Valuation difference on available-for-sale securities | 2,071 | 2,099 |
Foreign currency translation adjustment | 5,986 | 4,842 |
Remeasurements of defined benefit plans | 244 | 242 |
Total accumulated other comprehensive income | 8,301 | 7,184 |
Total net assets | 73,136 | 72,574 |
Total liabilities and net assets | 78,863 | 78,218 |
Consolidated statement of income | ||
millions of yen | ||
FY12/2024 Q1 January 1, 2024 - March 31, 2024 | FY12/2025 Q1 January 1, 2025 - March 31, 2025 | |
Net sales | 7,423 | 8,802 |
Cost of sales | 4,618 | 5,011 |
Gross profit | 2,804 | 3,791 |
Selling, general and administrative expenses | 1,381 | 1,580 |
Operating profit | 1,422 | 2,210 |
Non-operating income | ||
Interest income | 22 | 20 |
Dividend income | 0 | 4 |
Foreign exchange gains | 207 | - |
Rental income from non-current assets | 12 | 12 |
Subsidy income | 0 | 0 |
Subsidy income | 19 | 24 |
Other | 7 | 13 |
Total non-operating income | 271 | 74 |
Non-operating expenses | ||
Interest expenses | 3 | 4 |
Depreciation | 9 | 8 |
Foreign exchange losses | - | 74 |
Commission expenses | 38 | 30 |
Taxes and dues | 4 | 4 |
Other | 8 | 12 |
Total non-operating expenses | 64 | 135 |
Ordinary profit | 1,630 | 2,149 |
Extraordinary income | ||
Gain on sale of investment securities | 22 | - |
Total extraordinary income | 22 | - |
Profit before income taxes | 1,652 | 2,149 |
Income taxes - current | 676 | 569 |
Income taxes - deferred | -221 | -12 |
Total income taxes | 454 | 557 |
Profit | 1,198 | 1,591 |
Profit attributable to non-controlling interests | - | - |
Profit attributable to owners of parent | 1,198 | 1,591 |
Consolidated statement of comprehensive income | ||
millions of yen | ||
FY12/2024 Q1 January 1, 2024 - March 31, 2024 | FY12/2025 Q1 January 1, 2025 - March 31, 2025 | |
Profit | 1,198 | 1,591 |
Other comprehensive income | ||
Valuation difference on available-for-sale securities | 539 | 28 |
Foreign currency translation adjustment | 830 | -1,143 |
Remeasurements of defined benefit plans, net of tax | -29 | -1 |
Total other comprehensive income | 1,341 | -1,117 |
Comprehensive income | 2,539 | 474 |
Comprehensive income attributable to | ||
Comprehensive income attributable to owners of parent | 2,539 | 474 |
Comprehensive income attributable to non-controlling interests | - | - |