Vertex Corporation, First Half Ordinary Profit Unexpectedly Revised Upward by 14%

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Thu Nov 14, 2024 3:30 pm JST Earnings

5290 Vertex Corporation 【J-GAAP】

Earnings Report

Vertex Corporation <5290> [TSE-S] announced its financial results after the market closed on November 14th (15:30). The consolidated ordinary profit for the cumulative second quarter of the fiscal year ending March 2025 (April to September) increased by 13.9% from the same period last year, reaching 2.53 billion yen, resulting in an increase in profits compared to the previous forecast of a 5.8% decrease.

The progress rate against the 6.2 billion yen full-year plan was 41.0%, exceeding the five-year average of 34.7%.

Based on the first-half performance announced by the company and the unchanged full-year plan, our calculation indicates that the consolidated ordinary profit for the October to March period (second half) is expected to grow by 1.2% from the same period last year, reaching 3.66 billion yen.

In the most recent three-month period, from July to September (2Q), the consolidated ordinary profit grew by 24.4% from the same period last year, reaching 1.7 billion yen. The operating profit margin rose from 16.2% in the same period last year to 17.1%.

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Actual Results

Accumulated Results 2nd Quarter

Fiscal Year	Revenue	Operating Profit	Ordinary Profit	Net Profit	Adj. EPS	Progress Rate vs. First Half	Announce	Accounting Standards
Apr - Sep, 2022	16,906	1,867	1,986	1,294	48.4	34.0	Nov 10, 2022	J-GAAP
Apr - Sep, 2023	16,192	2,178	2,230	1,326	50.9	38.1	Nov 9, 2023	J-GAAP
Apr - Sep, 2024	18,006	2,450	2,539	1,451	57.0	41.0	Nov 14, 2024	J-GAAP
YoY	+11.2%	+12.5%	+13.9%	+9.4%	+12.0%

First Half Results vs. Previous Guidance

Fiscal Year	Revenue	Operating Profit	Ordinary Profit	Net Profit	Adj. EPS	Adj. Dividend	Announce	Accounting Standards
Apr - Sep, 2024 Guidance	17,000	2,000	2,100	1,400	55.7	－	May 10, 2024	J-GAAP
Apr - Sep, 2024 Results	18,006	2,450	2,539	1,451	57.0	－	Nov 14, 2024	J-GAAP
Revision Rate	+5.9%	+22.5%	+20.9%	+3.6%	+2.4%

Current Period Guidance

Second Half Results

Fiscal Year	Revenue	Operating Profit	Ordinary Profit	Net Profit	Adj. EPS	Adj. Dividend	Announce	Accounting Standards
Oct - Mar, 2023	20,641	3,549	3,619	2,402	92.7	40	May 10, 2024	J-GAAP
Oct - Mar, 2024 Guidance	21,994	3,550	3,661	2,599	103.4	50	Nov 14, 2024	J-GAAP
YoY	+6.6%	+0.0%	+1.2%	+8.2%	+11.5%

Current Period Guidance

Fiscal Year	Revenue	Operating Profit	Ordinary Profit	Net Profit	Adj. EPS	Adj. Dividend	Announce	Accounting Standards
Mar, 2023	39,095	5,560	5,837	3,742	140.9	30	May 11, 2023	J-GAAP
Mar, 2024	36,833	5,727	5,849	3,728	143.9	40	May 10, 2024	J-GAAP
Mar, 2025 Guidance	40,000	6,000	6,200	4,050	161.1	50	May 10, 2024	J-GAAP
YoY	+8.6%	+4.8%	+6.0%	+8.6%	+12.0%

Quarterly Results

Fiscal Year	Revenue	Operating Profit	Ordinary Profit	Net Profit	Adj. EPS	Operating Profit Margin	Announce	Accounting Standards
Jul - Sep, 2023	8,577	1,391	1,374	794	30.5	16.2	Nov 9, 2023	J-GAAP
Oct - Dec, 2023	10,274	1,818	1,875	1,230	47.3	17.7	Feb 8, 2024	J-GAAP
Jan - Mar, 2024	10,367	1,731	1,744	1,172	45.2	16.7	May 10, 2024	J-GAAP
Apr - Jun, 2024	8,241	781	830	209	8.2	9.5	Aug 8, 2024	J-GAAP
Jul - Sep, 2024	9,765	1,669	1,709	1,242	48.8	17.1	Nov 14, 2024	J-GAAP
YoY	+13.9%	+20.0%	+24.4%	+56.4%	+60.2%