■Future Outlook LeTech <3497> expects an increase in sales and ordinary income of more than 20%, with sales of 2.14 billion yen (+33.8% YoY), operating income of 150 million yen (+7.7% YoY), ordinary income of 100 million yen (+21.7% YoY), and net income of 1.03 billion yen (-11.4% YoY) for the July 2024 term, and has maintained its initial forecast (announced in September 2023).
● Performance outlook for fiscal year March 2025
Genetech <4492>'s financial estimates for the March 2025 period are revenue of 85 billion yen (+18.9% YoY), operating profit of 750 million yen (+19.2% YoY), ordinary profit of 730 million yen (+14.9% YoY), and net income attributable to parent company shareholders of 426 million yen (+2.7% YoY). Note that from the first quarter of the March 2025 period, the segment for the ERP business has been changed from the conventional systems solution business to the engineering solution business, but the impact is minimal. The current business environment is favorable, and there is a high possibility that the full-year plan will be achieved according to our company's assessment.
In the systems solution business, we plan to shift engineers to the PLM business and other areas, so we do not expect as much revenue growth as in the previous period, but we will continue to focus on expanding the business through high unit prices.
In the engineering solution business, we will further strengthen the sales expansion of both "Mastercam" and "FlexSim." Although we expect a certain increase in revenue, we plan to keep the segment profit at the same level as the previous period, as we anticipate costs for departments that require structural improvement, such as the PLM and ERP businesses.
In the GPS business, we plan to develop new services to create new sources of revenue. We also plan to expand overseas after 2024 and have already obtained international patents in Asian, European, and American countries. Going forward, we will accelerate research on overseas app market trends and competition from location-based apps.
(Author: FISCO Guest Analyst Ryoji Mogi)