Weathernews Inc. TSE:4825

Weathernews : Supplementary material on financial results for Q3 FY2024(English)

Published

Source: MarketScreener

Financial Results for 202５.5 Q3

(ended February 28, 2025)

Weathernews Inc.

April 7, 2025

1.

2025.5 Q3 Results

  • ○ Summary of financial results

  • ○ Sales by Domain

  • ○ Sea Domain business and Internet Domain business

  • 2. Summary of Financial plan

    • ○ Revision of Financial plan

    • ○ Sales Forecast by Domain

    • ○ AI for Profitability

    • ○ Wxtech(WeatherTech) KPI Progress

  • 3. Recent Major Topics

  • 4. Dividend Policy

１．2025.5 Q3 Results - Summary of financial results

【Net sales】 17,428 MJPY（+4.6％ Y/Y）

・Sea and Land domain drove sales growth.

【Operating profit】 3,137 MJPY (+37.1％ Y/Y）

・Profitability improved due to promotion of operation system using AI, etc. ・Profits at each stage reached record highs.

(Millions of Yen)

2024.5 Q3 YTD Actual

2025.5 Q3 YTD Actual

Y/Y

Net sales

16,658

17,428

+4.6%

Operating profit

2,287

3,137

+37.1%

Margin(%)

13.7

18.0

+4.2Pt

Ordinary profit

2,337

3,094

+32.4%

Profit attributable to owners of parent

1,749

2,155

+23.2%

EPS (JPY)

79.3

97.4

+18.1JPY

FOREX Rates (USD/JPY)

146.1

152.4

+6.3JPY

*EPS: The amount after the stock split is stated. (Effective date: December 1, 2024)

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１．2025.5 Q3 Results - Operating Profit Analysis (Y/Y)

  • ● Sales in the stock business are steadily increasing.

  • ● Personnel expenses increased due to strengthening of SaaS-type product development personnel and overseas sales personnel. On the other hand, the increase in operating personnel was controlled.

  • ● Profit increased due to higher operational productivity from systemization and one-time expenses incurred in the same period of the previous fiscal year.

１．2025.5 Q3 Results - Sales by Domain

Millions of Yen

2024.5 Q3 YTD Actual

2025.5 Q3 YTD Actual

Y/Y (%)

Business environment and results

Sea Domain

4,308

4,656

+8.1

・Shipping market softened slightly due to continued logistics disruptions caused by the situation in the Middle East and the impact of U.S. tariff hikes.

・Our sales increased due to contract renewals with large customers, mainly in the European market, which involved higher unit prices, as well as the positive impact of FOREX rates.

Sky Domain

896

982

+9.6

・In the airline market, domestic and international passenger demand remained strong ・Our sales to airline customers in Asia in particular have grown.

Land Domain

4,655

5,005

+7.5

・Increasing need for weather information in terms of base disaster prevention, transportation impact, and safety assurance during extreme weather events.

・Increase in the number of customers in the highway market. Increased sales of WxTech services (SaaS-type products) in the energy and retail markets.

Internet Domain

6,109

6,163

+0.9

・Both subscriber sales and advertising revenues increased due in part to advertising investment effects.

・Sales to mobile carriers remained sluggish, and overall sales were slightly increased.

Subscription Sales Total

15,970

16,807

+5.2

ー

Flow Sales

688

620

△9.8

・One-time sales from research and systems sales that will lead to future stock sales. ・Comments omitted as this represents a small proportion of total sales.

Grand Total

16,658

17,428

+4.6

ー

【Market conditions】

Although there are still disruptions to logistics due to the situation in the Middle East, cargo movement is strong due to the gradual recovery of the global economy.

【Performance】

Number of voyages offered increased Y/Y. Increase due to contract renewals with unit price increases for some customers and the impact of FOREX rates.

  • ● Number of vessels serviced increased Y/Y, mainly large ocean-going vessels of 10,000 tons or more.

  • ● Weatherｎews for business to launch service for domestic vessels in March 2025.

Number of vessels using our services

(counts as one vessel even when using multiple services)

https://jp.weathernews.com/news/51621/ (JP)

１．2025.5 Q3 Results - Internet Domain business

  • ● Sales to mobile carriers have decreased due to a decrease in the revenue share ratio for some customers.

  • ● DAU and subscription sales increased slightly due to stable weather on the Pacific side of East Japan.

  • ● Increase in "others" sales due to flow revenue for mobile carriers and expanded sales of Wx Tech.

*DAU: Daily Active Users

Note: Effective from 2025.5 Q1, the composition of the sales graph has been subdivided into in-house subscriber and mobile carrier sales. In addition, some overseas sales that had been included in "Advertising" are now included in "Others".

Note: Effective from 2025.5 Q1, the scope of aggregation of cumulative DAU has been changed in order to appropriately represent changes in the sales composition ratio and access to in-house content.

The measurement method has been partially revised since 2025.5 Q1.

２. Summary of Financial plan - Revision of Financial plan

【Net sales】 23,500 MJPY（＋5.7％ Y/Y） *No change from the plan at the beginning of the period

【Operating profit】 4,200 MJPY（＋28.4％ Y/Y） *Upwardly revised from the initial plan of 3,800 million yen

Systematization of the operating model using AI, etc. has progressed, and profit margin improvement has been more favorable than initially expected. Aiming for record-high profits at each stage of profit.

２. Summary of Financial plan - Sales Forecast by Domain

【Net sales】 23,500 MJPY（＋5.7％ Y/Y） *No change from the plan at the beginning of the period

Expect lower sales to mobile carriers at Internet Domain, but no change companywide on the back of Sea Domain's growth in Europe.

(Millions of Yen)

2024.5 Actual

2025.5 Forecast (Initial)

2025.5 Forecast (Latest)

Y/Y

Domain

Sea

5,813

6,000

6,200

+6.7%

Sky

1,210

1,260

1,300

+7.4%

Land

6,301

6,740

6,750

+7.1%

Internet

8,082

8,700

8,250

+2.1%

Subscription Sales Total

21,407

22,700

22,500

+5.1%

Others

835

800

1,000

+19.8%

Grand Total

22,242

23,500

23,500

+5.7%

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