Shimizu Corporation ( (SHMUF) ) has released its Q3 earnings. Here is a breakdown of the information Shimizu Corporation presented to its investors.
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Shimizu Corporation, a prominent player in the construction industry, specializes in architectural and civil engineering projects, with a significant presence in both domestic and international markets. The company’s latest earnings report for the nine months ending December 31, 2024, highlights a mixed financial performance with a notable recovery in profitability despite a decline in net sales.
In the nine-month period, Shimizu Corporation reported net sales of 1,327,922 million yen, reflecting an 8.3% decrease from the previous year. However, the company achieved a significant turnaround in net income, posting a profit of 40,569 million yen compared to a loss of 20,855 million yen in the same period last year. This improvement was driven by enhanced operational efficiency and a reduction in cost of sales.
The company’s operating income rebounded to 35,726 million yen from a loss in the previous year, and ordinary income reached 41,204 million yen. Despite a decline in construction contract sales, Shimizu maintained a healthy gross profit margin in its real estate and other segments, contributing to overall financial stability. The company also forecasts a positive outlook for the fiscal year ending March 2025, with expected net income of 60,000 million yen, a 249.6% increase from the previous fiscal year.
Looking ahead, Shimizu Corporation remains cautiously optimistic about the future, emphasizing strategic growth in overseas markets and further efficiency improvements to sustain its profitability amidst a challenging economic environment.
