Transaction Co. revises earnings, boosts dividend forecast

Transaction Co., Ltd. announced revisions to its full-year financial results and dividend forecast for the fiscal year ending August 31, 2025. While net sales and operating profit are projected to be slightly lower than previously forecast, at JPY 27,453m and JPY 5,706m respectively, ordinary profit and profit attributable to owners of parent are now expected to be higher, reaching JPY 6,011m and JPY 4,078m. This leads to a revised basic earnings per share of JPY 70.87.

The upward revision in ordinary profit and beyond is attributed to financial measures, including interest from US dollar-denominated bonds and foreign exchange gains totaling JPY 294m, along with a JPY 42m tax reduction from the wage-increase tax system. The company aims to achieve targets set in its fourth medium-term management plan, focusing on hybrid sales and new product development, despite some Q4 delays.

Consequently, the year-end dividend forecast for the fiscal year ended August 31, 2025, has been revised upwards by JPY 2 per share, from JPY 55 to JPY 57. This marks the 14th consecutive dividend increase since the company's listing, representing an JPY 18 increase compared to the JPY 39 dividend of the prior fiscal year.