Serendip Holdings <7318> announced its consolidated financial results for the second quarter (interim period) of the fiscal year ending March 2025 on the 6th. Revenue increased by 3.2% year-on-year to 9.795 billion yen, operating profit decreased by 26.7% to 0.291 billion yen, ordinary profit decreased by 15.3% to 0.397 billion yen, and net income attributable to parent company shareholders for the interim period decreased by 53.0% to 0.177 billion yen.

The sales of the manufacturing business increased by 3.3% year-on-year to 9.088 billion yen, with segment profit decreasing by 5.4% to 0.32 billion yen. In the "Automotive Supplier (manufacture of automotive interior and exterior parts, manufacture of automotive precision parts)", domestic production by auto manufacturers continues to be at a high level, but some vehicle models are affected by production and shipping stoppages. In the "FA Equipment Manufacturing" segment, equipment investments by major customers have not yet significantly recovered from the beginning of the period, resulting in delays in order confirmations. In "Prototype Production", orders are progressing smoothly due to expanded sales channels through group synergies. In "Beauty Tech", on March 25, 2024, the acquisition of all shares of Ladybird was completed, making it a consolidated subsidiary from the beginning of the period.

The sales of the Professional Solution business increased by 34.4% to 0.906 billion yen, with a segment loss of 0.039 billion yen (compared to a loss of 0.076 billion yen in the same period last year). In the "Consulting" sector, there is an increase in business succession and business revitalization projects from mid-sized to small manufacturing companies. In addition, due to the increasing demand for rebuilding core systems of mid-sized and small companies, the IT consulting needs have increased, and the sales of the company's consulting business division have grown by 59.5% compared to the previous period. The incorporation of Serendip Robo Cross Marketing, a subsidiary consolidated by acquiring all shares on April 30, 2024, contributed to the revenue of this segment. In "Engineer Dispatch and Development", efforts are focused on developing new IoT solutions and DX through collaboration with the company's consulting business division to support the growth of mid-sized and small businesses.

The sales of the Investment business decreased by 60.5% to 0.094 billion yen, with segment profit decreasing by 91.8% to 0.011 billion yen. Compensation for management services from the "Japan Monozukuri Business Succession Fund No.1 Investment Business Limited Liability Partnership" established in February 2023 was received. Despite a steady increase in financial advisory projects, delays in revenue confirmation resulted in a decrease in revenue and profit compared to the same interim period last year.

Regarding the full-year consolidated performance forecast for the fiscal year ending March 2025, the Company is currently scrutinizing the impact of the September 4, 2024 announcement "Notice Regarding Acquisition (Subsidiarization) of Iwawi Co., Ltd. Shares" and the October 23, 2024 announcement "Notice Regarding Acquisition (Subsidiarization) of Excel Group Shares" on the full-year consolidated performance. The Company maintains the initial plan with revenue expected to increase by 10.2% to 21.8 billion yen, operating profit to increase by 67.4% to 0.8 billion yen, ordinary profit to increase by 23.3% to 0.735 billion yen, and net income attributable to parent company shareholders to increase by 5.2% to 0.546 billion yen.