Nisshin (9066) announced its consolidated financial results for the second quarter of FY2025 (April-September 24th year). Revenue increased by 13.5% year-on-year to 93.452 billion yen, operating profit increased by 10.1% to 4.543 billion yen, ordinary profit increased by 3.3% to 4.974 billion yen, and net income attributable to parent company shareholders increased by 112.6% to 7.743 billion yen.

Revenue for the logistics business increased by 12.9% year-on-year to 88.355 billion yen, and segment profit (operating profit) increased by 3.2% to 3.578 billion yen. In Japan, handling of automobile-related cargo, food, chemicals, etc., all remained robust, and revenues generally proceeded as planned. In maritime cargo, exports of automobiles, machinery/equipment, and imports of food and sundries remained strong. In air cargo, exports of food and imports of pharmaceuticals remained robust. Warehouse operations progressed smoothly, including the handling of EC-related cargo. In Asia, although there were signs of recovery in some parts in the second quarter, overall performance fell below expectations. In Malaysia, warehouse operations remained strong, and domestic distribution operations in India progressed well. However, export air cargo handling decreased in Thailand and Vietnam. In China, the delayed economic recovery and continued price competition led to lower-than-expected sales and profits. While warehouse operations in Shanghai were robust, Hong Kong saw profit pressures due to rising warehouse rents. Sinotrans Nisshin Sino-Overseas, a consolidated subsidiary, saw lower sales and profits compared to the previous period, despite handling cargo related to the Osaka Expo. In the Americas, there were signs of recovery in handling automobile-related cargo in the second quarter in the US, but it did not meet expectations. Mexico contributed to revenue through the handling of air exports of automobile-related cargo and domestic transport operations. In Europe, warehouse operations in Poland remained strong and led finances above expectations. Machinery and food air exports in Belgium and Austria contributed to revenue.

Revenue for the travel business increased by 23.1% year-on-year to 4.398 billion yen, and segment profit (operating profit) increased by 57.7% to 0.41 billion yen. Handling of core business travel remained steady, and group travel contributed to revenue as it entered the busy season with increases in domestic and international travel.

Revenue for the real estate business increased by 21.9% year-on-year to 0.909 billion yen, and segment profit (operating profit) increased by 39.2% to 0.546 billion yen. Rental real estate business monetization in the Keihin area progressed well, in line with plans.

Regarding the full-year consolidated performance forecast for FY2025, revenue is expected to increase by 7.7% to 183 billion yen compared to the previous year, operating profit is expected to increase by 12.7% to 9.1 billion yen, ordinary profit is expected to increase by 3.6% to 9.8 billion yen, and net income attributable to parent company shareholders is expected to increase by 19.1% to 10.3 billion yen, maintaining the initial plan.

On the same day, the company announced a change in its future dividend policy and the introduction of a cumulative progressive dividend. The company has historically focused on stable dividends and plans to clarify its commitment to maintaining or increasing dividends in the future by setting a cumulative progressive dividend with a minimum shareholder capital dividend yield (DOE) of 4.0%, aiming for further shareholder returns.

The company has historically maintained or increased dividends based on stable dividends over the long term. To further enhance shareholder returns, the dividend policy will be a cumulative progressive dividend with a minimum shareholder capital dividend yield (DOE) of 4.0%, aiming for further shareholder returns.