Yamato Kogyo KK

5444

Equity

ISIN JP3940400009 / Valor 764035

Tokyo Stock Exchange (2024-12-27)

JPY 7,436.00+0.72%

Yamato Kogyo KK
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About company

Yamato Kogyo KK, founded in 1944, is a Japanese manufacturing company specializing in steel products, with a significant focus on structural steel, particularly H-beams used in civil engineering and construction projects. The company has played a crucial role in the development of social infrastructure through the production of trackwork parts, cast products, and other steel components such as stern frames for large ships. A notable milestone in its history is the joint venture with Nucor Corporation in 1987, which led to the establishment of Nucor-Yamato Steel, a leading producer of H-beams in the North American market. Yamato Kogyo has expanded its operations globally, establishing a presence in seven countries, including the United States, Southeast Asia, the Middle East, and South Korea. The company collaborates with local partners to leverage their market knowledge and management expertise, blending it with Yamato Kogyo’s production technology to foster growth and development in these regions.

Summarized from source with an LLMView SourceSector: Energy

Net Sales

Yamato Kogyo KK reported consolidated net sales of ¥78,359 million for the six months ended September 30, 2024. This represents a decrease of 2.5% compared to the same period in the previous year, where net sales were ¥80,373 million. The decline in sales is attributed to the challenging business environment, including a slump in domestic demand in China and increased competition in the ASEAN region.

Operating Profit

The company's operating profit for the six months ended September 30, 2024, was ¥5,006 million, marking a significant decrease of 36.3% from the previous year's figure of ¥7,854 million. This decline is primarily due to the softening structural steel market and stagnant demand, which affected the company's operations in Japan and other regions.

Ordinary Profit

Yamato Kogyo KK's ordinary profit for the period was ¥41,877 million, a decrease of 17.3% compared to ¥50,621 million in the same period of the previous year. Despite the decrease, the company managed to maintain relatively high consolidated performance, supported by strong earnings in the U.S. and a successful start of its new business base in Indonesia.

Profit Attributable to Owners

The profit attributable to owners of the parent company for the six months ended September 30, 2024, was ¥28,549 million, down 21.4% from ¥36,342 million in the previous year. The decrease in profit is linked to the overall decline in sales and operating profit, as well as the impact of production suspensions and decreased sales volume in Japan.

Dividends and Outlook

Yamato Kogyo KK has announced an interim dividend of ¥200 per share for the fiscal year ending March 31, 2025, which includes a commemorative dividend of ¥50 per share. The company forecasts annual dividends to total ¥400 per share. Looking ahead, the company expects net sales of ¥170,000 million and a profit attributable to owners of ¥52,500 million for the full fiscal year, despite the challenging market conditions.

Summarized from source with an LLMView Source

Key figures

-0.29%1Y

105%3Y

170%5Y

Performance

28.6%1Y

26.8%3Y

29.7%5Y

Volatility