Key Facts
• On August 1, Itochu Corporation reported Q2 FY2025 results.
• Net profit rose 37.4% year-on-year to ¥283.9 billion, a record high for Q2.
• Asset sales, including stakes in Thailand’s Charoen Pokphand Group and France’s Provence Huiles, contributed ¥103 billion.
• Non-resource sectors like convenience stores and apparel saw significant growth.
• Non-resource sectors accounted for 90% of net profit, up from 77% last year.
• Resource sectors, including metals and energy, were impacted by market declines.
• U.S. tariff measures had minimal impact on the company.
• Full-year FY2026 net profit forecast remains unchanged at ¥900 billion.
• Analysts’ average forecast for FY2026 net profit is ¥905.5 billion.
• Q2 revenue fell 1.1% to ¥3.5589 trillion, while operating profit dropped 10.4% to ¥170.7 billion.
Summary
Itochu Corporation achieved a 37.4% year-on-year increase in net profit for Q2 FY2025, reaching ¥283.9 billion, driven by asset sales and strong performance in non-resource sectors like convenience stores and apparel. Asset sales, including stakes in Charoen Pokphand Group and Provence Huiles, added ¥103 billion to profits. Non-resource sectors now account for 90% of net profit, up from 77% last year, while resource sectors faced challenges due to market declines. Despite these challenges, the company maintained its full-year FY2026 net profit forecast at ¥900 billion, aligning closely with analysts’ expectations of ¥905.5 billion. Revenue and operating profit for Q2 declined by 1.1% and 10.4%, respectively, but the overall outlook remains stable.
