Yorozu: FY2024 financial results (Tokyo:7294)

FY2024 Financial Results

Tokyo Stock Exchange Prime Market (Securities Code: 7294)

Tsutomu Hiranaka, President & COO

Note:

This is an internal English translation of the document originally issued in Japanese, created for the convenience of English-speaking readers.

In the case of any discrepancies, the Japanese version will take precedence.

FY2024 Financial Summary
FY2025 Forecast
Shareholder Return

Contents Ⅳ. Topics

Review of YSP2026 Basic Policy
FY2025 Action Policy

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Ⅰ. FY2024 Financial Summary
Copyright © YOROZU Corporation	3

FY2024 Consolidated Financial Summary

Comparison to FY2023 Details on page 6.

Sales dropped mainly due to a decrease in vehicle output volume despite positive exchange rate effects from a weak yen.
Operating income declined due to a decrease in output volume in Japan, the U.S., and Asia, incurred one-time quality costs in the U.S., and YSMC Gifu Factory launch costs.
Ordinary income decreased due to the impact of foreign exchange fluctuations, mainly from evaluation losses on peso-denominated assets.
Net income turned to a loss due to impairment losses from consolidated subsidiaries, driven by accelerated structural reforms outlined in YSP2026.
Differences from initial performance Details on page 7.
forecast released on January 17, 2025
Sales increased due to growth in sales volume from avoiding the risk of output decreases, and additional recovery of inflation-related costs
Operating income improved thanks to cost reduction and intensive rationalization efforts in the Japan segment, including acceleration of activities planned for FY2025, after ransomware attack.
Net income benefitted from a reduction in expected impairment losses, improving from the anticipated ¥14 billion to ¥9.1 billion in the Americas and Asia segments.

4

FY2024 Consolidated Financial Summary (Year-on-Year)
1 Net income attributable to owners of the parent company 2 Estimated figures as of January 17, 2025
Copyright © YOROZU Corporation	5

Consolidated Sales by Customer (FY2023 vs. FY2024)

200,000 Million yen

181,468 178,414

-1,055

（- 4.9％）

150,000

Honda Honda

+5,467

Toyota Toyota （+33.3％）

100,000 -4,909

（-4.1％）

50,000 Nissan Nissan

* Includes sales to Renault and Mitsubishi

0

FY2023 actual FY2024 actual Growth of sales to Toyota is prominent.

6

Million yen	FY2023 Latest Forecast FY2024 for FY2024 *2			Year-on-Year	Against Latest Forecast
Sales	181,468	177,000	178,414	(3,054) （1.7)%	+1,414 (+0.8%)
Operating Income	4,459	(1,200)	298	(4,161) (93.3)%	+1,498 ( -- %)
Ordinary Income	4,517	(3,800)	(2,077)	(6,594) -- %	+1,723 ( -- %)
Net Income*1	(3,926)	(17,000)	(13,448)	(9,522) -- %	+3,552 ( -- %)

	FY2023 A	FY2024 B	Difference B-A	Percentage of Change
Net Income per Share	(162.07) yen	(551.45) yen	(389.38) yen	--
Exchange Rate Applied	140.66 yen/$	151.68 yen/$	+11.02 yen/$	+7.8%

Customer FY2023		(%)	FY2024	(%)
Nissan Gr*.	119,142	65.7%	114,233	64.0%
Toyota Gr.	16,408	9.0%	21,875	12.3%
Honda Gr.	21,628	11.9%	20,573	11.5%
Isuzu Gr.	8,181	4.5%	5,597	3.1%
Mazda	4,024	2.2%	4,106	2.3%
VW	3,040	1.7%	3,925	2.2%
Mercedes Benz	2,088	1.2%	1,973	1.1%
Kubota	2,597	1.4%	1,936	1.1%
Subaru	1,722	0.9%	1,830	1.0%
Suzuki	1,763	1.0%	1,480	0.8%
Other	875	0.5%	886	0.6%
Total 181,468		100.0%	178,414	100.0%

Analysis of Impact on Consolidated Operating Income (FY2023 vs. FY2024)

Million yen

Operating income (loss): (4,161)

Decreased units (other than China)

Decreased units (China)

Streamlining

efforts Dies and

equipment YSMC launch

costs

Quality costs in the U.S. (one time)

Cyber attack

damage

(one time) Others

FY2023 results FY2024 results

Impact from the largely reduced number of vehicles in production in Japan, the U.S., China, Thailand among others as well as one time expenses led to the decrease in operating income.

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Analysis of Impact on Consolidated Operating Income (Latest Forecast vs. FY2024 Results)

Million yen

Operating income will increase by ¥1,498 million.

YSMC launch FY2024 results

costs

Dies and equipment

Streamlining efforts (advanced FY2025 measures)

Latest forecast Increase in sales

Operating income surpassed expectations due to canceled production cuts, additional recovery of inflation cost, and rationalization efforts following a ransomware attack.

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Sales and Operating Income by Region Before Consolidation Adjustment (FY2023 vs. FY2024)

Sales Japan The Americas Asia Million yen
(7,823) +9,444 (10,314) Difference
120,000 (11.6)% +12.2% (20.9)％ % of Change
77,633 87,077
80,000 67,622 59,799
49,357
39,043
40,000
0
Operating (3,839) (1,281) (1,480)

Income (62.1)％ --％ (96.2)％

8,000 6,180

4,000 2,341 1,539

59

0

(1,329)

(4,000) (2,610)

FY2023 FY2024 FY2023 FY2024 FY2023 FY2024

Japan: Both sales and profits declined due to decreased output volume, reduced dies and equipment volume, and YSMC launch costs.
The Americas: While new models and favorable foreign exchange effects pushed up sales, one-time quality costs in the U.S. resulted in a decrease in profits.
Asia: Both sales and profits decreased due to reduced output volume in China and Thailand.

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Financial Standing for the Fiscal Year 2024 (Ended March 31, 2025)
	(Million yen)	March 31, 2024 A			March 31, 2025 B	Difference (B-A)
	Net Worth	66,070			52,009	(14,061)	(21.3)%
	Equity Ratio	46.4%			38.1%	--	--

	D/E ratio Interest-bearing Debt		0.51	33,389	0.82 42,763	9,374	28.1%
	Net D/E ratio Net Interest-bearing Debt	0.17 11,102			0.29 14,833	3,731	33.6%
	Total Assets	142,257			136,601	(5,656)	(4.0)%
	(Million yen)	FY2023 Full Term A			FY2024 Full Term B	Difference (B-A)
	Cash Flow from Operating Activities	12,531			4,742	(7,789)	(62.2)%
	Cash Flow from Investing Activities	(11,851)			(11,814)	37	--
	Cash Flow from Financing Activities	(1,741)			6,758	8,499	--
D/E ratio remains stable based on the properly-planned fund raising.
Copyright © YOROZU Corporation								10

FY2024 Financial Results

Earlier from Yorozu