Fact Book 2023 (207KB)

Latest Financial Results

(Millions of Yen)

	2022/12	2023/12	Year on Year
Orders received	47,153	48,190	2.2%
Net sales	35,972	42,189	17.3%
Operating profit	2,416	4,211	74.3%
Ordinary profit	2,695	4,447	65.0%
Profit attributable to owners of parent	1,708	3,085	80.6%

During the first nine months of fiscal 2023, the year ending March 31, 2024, the ESPEC Group’s business environment saw firm electronics- and automotive-related investments against a backdrop of digitalization and decarbonization in society. Demand continued to be strong mainly in the global shift toward electric vehicles (EV). From the production aspect, the parts procurement situation improved primarily for highly versatile standardized products, leading to progress on normalizing product lead times and clearing the order backlog. However, parts procurement for customized products continued to face an unstable situation.
Looking at the Company’s operating results for the first nine months of the fiscal year, orders received reached an all-time high of ¥48,190 million, with the electric vehicle (EV) and battery fields being the driving force in the domestic market. Net sales increased 17.3% year on year to ¥42,189 million, a record high. On the profit front, operating profit was ¥4,211 million, a year-on-year increase of 74.3%. This increase was mainly due to higher sales, which offset the impact of an increase in selling, general and administrative expenses. Profit attributable to owners of parent increased by 80.6% year on year to ¥3,085 million. Both operating profit and profit attributable to owners of parent reached record highs.

Performance by Segment

＜Equipment Business＞

(Millions of Yen)

	2022/12	2023/12	Year on Year
Orders received	41,031	41,586	1.4%
Net sales	30,866	36,322	17.7%
Operating profit	2,329	3,761	61.5%

In the environmental test chambers field, in the Japanese market orders received decreased year on year in highly versatile standardized products but increased in customized products, mainly in automotive-related area. Net sales increased for both standardized products and customized products. In overseas markets, orders received were down year on year due to decreases in China and Europe. Net sales rose year on year, mainly due to increases in North America, Europe, South Korea, and Taiwan.
In the energy devices equipment field, both orders received and net sales substantially increased year on year due to strong sales of chambers for charge-discharge testing mainly in the Japanese market due to the expansion of investment for electric vehicles (EV) and batteries.
In the semiconductor equipment field, orders received decreased year on year, mainly due to the impact of memory-related investment restraint, while net sales increased due to the clearing of the order backlog.
As a result, the equipment business on the whole saw orders received remain on a parallel year on year at ¥41,586 million and net sales increased 17.7% year on year to ¥36,322 million. On the profit front, the Company recorded operating profit of ¥3,761 million, an increase of 61.5% compared to the same period of the previous fiscal year, mainly due to an increase in net sales and despite an increase in selling, general and administrative expenses.

＜Service Business＞

(Millions of Yen)

	2022/12	2023/12	Year on Year
Orders received	5,216	5,720	9.6%
Net sales	4,672	5,364	14.8%
Operating profit	185	542	193.0%

In the after-sales service and engineering field, orders received was on a par year on year and net sales increased year on year as preventative maintenance services and repair services were solid.
In laboratory testing services and facility rentals, orders received and net sales were both increased year on year, due to a brisk performance in laboratory testing services, centered on automotive rechargeable batteries.
As a result, the service business on the whole saw orders received increase 9.6% year on year to ¥5,720 million and net sales increase 14.8% to ¥5,364 million. On the profit front, the Company recorded operating profit of ¥542 million, an increase of 193.0% compared to the same period of the previous fiscal year, mainly due to an increase in net sales and improved cost of sales ratio in the laboratory testing business.

＜Other Business＞

(Millions of Yen)

	2022/12	2023/12	Year on Year
Orders received	1,148	1,162	1.3%
Net sales	656	793	20.8%
Operating loss	-96	-89	-

In the other business field, which is centered on the environmental preservation and plant production systems business, orders received were ¥1,162 million, which was on a par with the same period of the previous fiscal year. This result mainly reflected the capture of orders received for aquaponics, a new field the Company is involved in that combines hydroponics and land-based cultivation, which was offset primarily by a decrease in orders received for reforestation (tree planting). Net sales increased 20.8% year on year to ¥793 million owing to firm sales of plant research devices and vegetables. However, on the profit front, there was an operating loss of ¥89 million.

Related Pages:

• Preliminary Results
• Results Briefings