IINO KAIUN KAISHA, LTD. October 31, 2023 | |
Company Name | : IINO Kaiun Kaisha, Ltd.(IINO LINES) |
Stock Code | : 9119 (shares listed on the Tokyo Stock |
Exchange Prime) | |
Representative | : Yusuke Otani, President |
Contact | : Akiko Hayama, General Manager, |
Stakeholder Relations Department | |
Telephone | : +81-3-6273-3069 |
Announcement of Differences between Financial Forecast and Actual Results for the Six Months Ended
September 30, 2023, Revisions to Consolidated Financial Forecast for the Full Year Ending March 31, 2024,
Distribution of Interim Dividend of Surplus, and Revisions to Year-end Dividend Forecast
IINO Kaiun Kaisha, Ltd. (the Company) hereby announces the differences between financial forecast for the six months ended September 30, 2023 released on July 31, 2023 and actual results released today.
The Company also announces that it has decided today at the Board of Directors Meeting to revise its consolidated financial forecast for the full year ending March 31, 2024, implement interim dividend, and revise year-end dividend forecast.
1. Differences between Financial Forecast and Actual Results
- Differences between Financial Forecast and Actual Results for the Six Months Ended September 30, 2023 (April 1, 2023 to September 30, 2023)
(Millions of yen) | ||||||||
Profit | ||||||||
Operating | Ordinary | attributable | Net income | |||||
Net sales | to owners of | per share | ||||||
profit | profit | |||||||
the parent | (yen) | |||||||
company | ||||||||
Previous Forecast as of | 65,000 | 7,400 | 7,900 | 7,300 | 69.00 | |||
July 31, 2023 (A) | ||||||||
Actual results (Ｂ) | 67,573 | 8,820 | 10,357 | 9,667 | 91.37 | |||
Change (Ｂ－Ａ) | +2,573 | +1,420 | +2,457 | +2,367 | ||||
Change(％) | +4.0% | +19.2% | +31.1% | +32.4% | ||||
Reference: Results for | ||||||||
the six months ended | 70,474 | 10,415 | 11,768 | 14,369 | 135.81 | |||
September 30, 2022 |
Note: Results for the same period of the previous fiscal year are shown as the retroactively adjusted figures due to a change in accounting policy.
(2) Reason for the differences
Operating profit exceeded the previous forecast mainly because the market for large LPG carriers remained at a historically high level and the chemical tanker market, which was expected to soften in the second quarter, was stronger than expected. In addition, ordinary profit and profit attributable to owners of the parent company significantly exceeded the previous forecast due in part to a significant depreciation of yen against the U.S. dollar during the six months ended September 30, 2023.
2. Revision of financial forecast
- Revisions to Consolidated Financial Forecast for the Full-year ending March 31, 2024 (April 1, 2023 to March 31, 2024)
(Millions of yen) | ||||||
Profit | ||||||
Operating | Ordinary | attributable | Net income | |||
Net sales | to owners of | per share | ||||
profit | profit | |||||
the parent | (yen) | |||||
company | ||||||
Previous Forecast as of | 128,000 | 13,000 | 13,300 | 12,300 | 116.25 | |
July 31, 2023 (A) | ||||||
Revised Forecast as of | 135,000 | 16,200 | 17,400 | 17,500 | 165.40 | |
October 31, 2023 (B) | ||||||
Change (Ｂ－Ａ) | +7,000 | +3,200 | + 4,100 | +5,200 | ||
Change(％) | +5.5% | +24.6% | +30.8% | +42.3% | ||
Reference: Results for | ||||||
the full year ended | 141,324 | 20,017 | 20,858 | 23,378 | 220.96 | |
March 31, 2023 |
Note: Results for the same period of the previous fiscal year are shown as the retroactively adjusted figures due to a change in accounting policy.
(2) Reason for the revision
As stated above, financial results for the six months ended September 30, 2023 exceeded the previous forecast. We expect market conditions for chemical tankers and large LPG carriers to be firmer from the third quarter onward than the assumptions made at the time of our most recent earnings forecast announcement (July 31, 2023). We have revised the forecast after considering the depreciating trend of the yen against the U.S. dollar, the expected recording of a gain on sale of a vessel, which was not expected at the time of the most recent forecast was announced, and so on.
The escalation of tensions in the Middle East due to the military clashes between Israel and Hamas, the Islamic organization, has not had any impact on our business performance at this point, and we have not incorporated any impact into our full-year earnings forecast. If it becomes necessary to revise our earnings forecast in light of the situation in the Middle East, we will promptly disclose the revised forecast.
The following shows the exchange rates and bunker oil prices used in the previous forecast and the revised forecast.
＜Previous Forecast (as of July 31, 2023)＞
Foreign exchange rate | 2H: ¥128.0 / US$ |
Bunker oil price | 2H: US$610 / MT |
(Oil Type: Very Low Sulfur Fuel Oil in Singapore) | |
＜Revised Forecast (as of October 31, 2023)＞ | |
Foreign exchange rate | 3Q: ¥145.0 / US$ 4Q: ¥140.0 / US$ |
Bunker oil price | 2H: US$700 / MT |
(Oil Type: Very Low Sulfur Fuel Oil in Singapore) |
3. Distribution of Dividend of Surplus (interim dividend) and Revisions to Year-end Dividend Forecast
- Distribution of Dividend of Surplus (interim dividend)
Previous Forecast | Dividends Paid in fiscal | ||||||||||
Amount decided | year ended March 31, | ||||||||||
as of July 31, 2023 | |||||||||||
2023 | |||||||||||
Record date | September 30, 2023 | September 30, 2023 | September 30, 2022 | ||||||||
Dividends per share | 25.00 yen | 18.00 yen | 27.00 yen | ||||||||
Total dividends | 2,645 million yen | ― | 2,857 million yen | ||||||||
Effective date | November 27, 2023 | ― | November 28, 2022 | ||||||||
Fund used for dividends | Retained earnings | ― | Retained earning | ||||||||
payment | |||||||||||
(2) Revisions to Year-end Dividend Forecast | |||||||||||
Dividend per share | |||||||||||
Interim (End of 2Q) | Year-end | Total | |||||||||
Previous Forecast as | of | 17.00 yen | 42.00 yen | ||||||||
July 31, 2023 | |||||||||||
Dividend Second Quarter | 25.00yen | ||||||||||
of the fiscal year 2023 | |||||||||||
Revised Forecast as | of | 25.00 yen | 50.00 yen | ||||||||
October 31, 2023 | |||||||||||
Reference: Dividends Paid in | |||||||||||
the fiscal year ended March | 27.00 yen | 38.00 yen | 65.00 yen | ||||||||
31, 2023 | |||||||||||
(3) Reason
In addition to continuing to pay stable dividends by increasing corporate value over the long term, the Company's basic policy is to maintain a dividend payout ratio of 30% of full-year results in order to enhance the linkage between dividend amounts and profit growth.
As amended in our full-year consolidated earnings forecast for the fiscal year ending March 31, 2024, the financial results for the current fiscal year are expected to improve from the time of the announcement of latest results and dividend forecasts (as of July 31, 2023). Based on the expected improvement in business performance and the above-mentioned basic policy, the Company decided at the Board of Directors held on October 31, 2023, to increase the interim dividend pre share at the end of the second quarter by 7.00 yen to
25.00 yen. The year-end dividend will be 25.00 yen, an increase of 8.00 yen per share from the latest dividend forecast, for a total dividend of 50.00 yen per share for the full year.
We make continuous efforts to improve the business performance and plan to decide comprehensively on the year-end dividend per share, taking into account our future profit level and financial position as well as the shareholder return policy.
- This report contains various forward-looking statements and other forecasts regarding performance and other matters. Such statements are based on information available at the time of preparation as well as certain reasonable assumptions. Actual results may differ materially from those expressed or implied by forward-looking statements due to a range of factors.
End
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Iino Kaiun Kaisha Ltd. published this content on 31 October 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 31 October 2023 05:09:23 UTC.
