Fiscal Year Ended January 31, 2024
Financial Results Briefing
Contents
1.
Operating results for the fiscal year ended January 31, 2024
2. VISION 2030 (long-term vision)
Full-year forecasts for the fiscal 3. year ending January 31, 2025
Contents
1.
Operating results for the fiscal year ended January 31, 2024
2. VISION 2030 (long-term vision)
Full-year forecasts for the fiscal 3. year ending January 31, 2025
Highlights of operating results for the fiscal year ended January 31, 2024
◼
Sales grew thanks to a positive trend in systems development as a whole, led by digital transformation (DX) demand among major customers.
◼ Operating income and ordinary income reached record highs. We applied tax deductions to net income based on the tax system to encourage wage increases.
FY ended January 2023 | FY ended January 2024 | YoY | ||
Amount | % | |||
Net sales | 48,206 | 53,124 | +4,917 | +10.2% |
Gross profit | 11,310 | 14,096 | +2,785 | +24.6% |
Gross profit margin | 23.5% | 26.5% | - | +3.0pt |
Operating income | 4,374 | 6,361 | +1,987 | +45.4% |
Operating profit margin | 9.1% | 12.0% | - | +2.9pt |
Ordinary income | 4,413 | 6,409 | +1,996 | +45.2% |
Ordinary profit margin | 9.2% | 12.1% | - | +2.9pt |
Net income attributable to owners of parent | 5,179 | 4,541 | (637)* | (12.3)% |
Margin on net income attributable to owners of parent | 10.7% | 8.5% | - | (2.2)pt |
Quarterly performance trend
◼
Net sales grew in both core and focus businesses.
◼ Operating income grew thanks to higher sales, expanding sales of our security products, and a positive rebound from the recording of provisions for losses on orders received.
◼
We maintained a high operating profit margin through business efficiency improvements and expanding sales of our security products.
Main factors affecting operating income
(287)
+2,032
+242
Digital Industry
◉ Higher income driven by sales growth
Service Integration
◉ Higher income driven by sales growth
◉ Increase from our security products
◉ Growth due to rebound from the recording of provisions for losses on orders received
◉ Personnel costs
◉ Cost of hiring enhancements
◉ Promotional costs
◉ Cost of improving the working environment
Total increase +1,987
Companywide costs
(Million yen)
Year-on-year change by business segment
◼ Sales and profit grew in the Digital Industry segment, powered by growth in the connected and mobility businesses.
◼
In the Service Integration segment, growth in the ICT infrastructure development and systems development businesses, combined with a rebound from the recording of provisions for losses on orders received, boosted bothsales and profit.
(Million yen)
FY ended January 2023 | FY ended January 2024 | YoY | ||||
Net sales | Operating income / operating profit margin | Net sales | Operating income / operating profit margin | Net sales (%) | Operating income (%) | |
Digital Industry | 16,834 | 3,857 22.9% | 18,313 | 4,100 22.4% | +1,479 [+8.8%] | +242 [+6.3%] |
Service Integration | 31,372 | 4,573 14.6% | 34,810 | 6,606 19.0% | +3,438 [+11.0%] | +2,032 [+44.4%] |
Companywide costs | - | (4,057) | - | (4,344) | - | (287) |
Total | 48,206 | 4,374 9.1% | 53,124 | 6,361 12.0% | +4,917 [+10.2%] | +1,987 [+45.4%] |
Digital Industry Business
◼ Net sales (100 million yen)
◼ Operating income, margin (100 million yen, %)
200
150
100
50
0
60
30%
50
40
20%
30
20
10
0
10%
0%
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
FY22/1
FY23/1
FY24/1
FY22/1
FY23/1
FY24/1
Business category | Change in net sales | Change in income | Points |
Smart Factory |
| ||
Connected Services |
| ||
Chubu Services |
| ||
Nishinihon Services |
|
Service Integration Business
◼ Net sales (100 million yen)
◼ Operating income, margin (100 million yen, %)
400
0
300
80
20%
200
60
15%
100
40
10%
20
0
5%
0%
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
FY22/1
FY23/1
FY24/1
FY22/1
FY23/1
FY24/1
Business category | Change in net sales | Change in income | Points |
Service Integration |
| ||
Platform Architect |
| ||
Group companies |
|
Progress of the focus businesses
◼ Proposal of ICT solutions in line with customer DX demand bore fruit, increasing both sales and profit. Results exceeded targets.
◼
The operating profit margin also improved significantly, thanks in particular to growth in the security and migration domains.
Net sales (100 million yen)
売Sa上les高ta目rg標et
180
160
140
120
100
80
60
126
105
106
40
20
0
FY22/1
© Computer Engineering & Consulting Ltd. All rights reserved.
売Ac上tu高al 実sa績les
Up
+12.4%
Operating income / operating profit margin (100 million yen)
目標実績
営業利益 目標営業利益 実績
Operating incometargetActual operating income
利益率目標 Profit margin target | 利益率実績 Actual profit margi |
Actual profit margin
60
Up
27.8% +30.1%
24.0%
50
30%
22.3%
23.7%
23.9%
40
25%
20%
22.2%
30
15%
142
143
127
20
38
39
30
30
10
10%
23
23
0
5%
0%FY23/1
FY24/1
FY22/1
FY23/1
FY24/1
9
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Computer Engineering & Consulting Ltd. published this content on 27 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 27 March 2024 05:16:05 UTC.