Gakken Holdings (9470) Q2 2025 earnings summary

Executive summary

• Net sales rose 5.7% year-over-year to ¥98.8 billion, driven by acquisitions and growth in publishing, education, and healthcare segments.

• Operating profit declined 11.7% year-over-year to ¥4.54 billion, mainly due to increased costs in healthcare and nursing.

• Net profit attributable to owners of parent surged 36.8% year-over-year to ¥2.42 billion, aided by extraordinary income and step acquisitions.

• Shareholder returns included a ¥1 billion share buyback completed in February.

Financial highlights

• Ordinary profit dropped 18.3% year-over-year to ¥4.21 billion, impacted by lower equity-method income.

• EBITDA decreased 6.2% year-over-year to ¥6.65 billion.

• Total assets increased 8.5% year-over-year to ¥141.8 billion; equity ratio declined to 36.7%.

• Cash and cash equivalents rose by ¥3.92 billion during the period, reaching ¥22.68 billion.

• Diluted profit per share rose to ¥58.06 from ¥41.19 year-over-year.

Outlook and guidance

• FY Sep-25 forecast: net sales ¥200.0 billion, operating profit ¥7.0 billion, net profit ¥3.5 billion, ROE 6.6%.

• Dividend payout ratio to remain at or above 30%, with a planned annual dividend of ¥26 and a ¥1 billion share buyback.

• Profit per share for the full year projected at ¥83.82, up 58.2% year-over-year.