Shikibo Net Profit Doubles to ¥1.08 Billion Despite Margin Pressure

Shikibo Ltd. (3109.TO) saw its net profit surge to ¥1.08 billion for the three quarters ending in December, a significant jump from the ¥506 million recorded during the same period last year. The textile and industrial materials manufacturer achieved this bottom-line growth on the back of a steady revenue increase, which rose to ¥29.66 billion from ¥28.28 billion a year earlier.

Divergent Profit Margins

While net income saw a substantial boost, the company’s core operational metrics highlighted persistent pressure on profitability. Operating profit fell to ¥808 million, down from ¥904 million in the previous year, suggesting higher input costs or shifting demand in its primary business segments. Pretax profit followed a similar downward trajectory, sliding to ¥642 million from ¥776 million.

The disparity between the operating decline and the net profit spike is reflected in the company's earnings per share, which climbed to ¥84.77 from ¥40.40. According to the report, these results are prepared in accordance with Japanese accounting standards.