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FUJIFILM's Q3 Earnings and Revenues Up Y/Y, Guidance Unchanged

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FUJIFILM Holdings Corporation (FUJIY - Free Report) reported a third-quarter fiscal 2024 (ended Dec. 31, 2024) net income of ¥71.2 billion compared with ¥60.2 billion in the year-ago quarter.

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Revenues of ¥812.8 billion increased 6% year over year. The uptick was primarily driven by strong sales in the Imaging and Electronics segments, along with favorable exchange rates.

Segment Details of FUJIY

In June 2024, the company established the Advanced Functional Materials division by integrating its display materials, industrial products and fine chemicals businesses.

In the fiscal third quarter, Healthcare segment revenues were ¥240.5 billion, down 0.8% from the year-ago quarter.

Within Healthcare, Medical Systems revenues declined 1.3% year over year to ¥162.6 billion. The overall Medical Systems revenues fell due to lower sales of medical equipment and materials in China despite strong endoscope sales in major markets (Japan, the United States, Europe and China). Also, the company opened NURA Global Innovation Center in Kerala, India, as a strategic hub for health screening, medical staff training and remote image interpretation to support NURA’s expansion. Bio CDMO revenues were up 2% to ¥51.3 billion. Life sciences revenues were ¥26.7 billion, down 3.1% year over year.

Fujifilm Holdings Corp. Price, Consensus and EPS Surprise

Fujifilm Holdings Corp. Price, Consensus and EPS Surprise

Fujifilm Holdings Corp. price-consensus-eps-surprise-chart | Fujifilm Holdings Corp. Quote

In the Electronics segment, revenues amounted to ¥108.4 billion, up 15.3% year over year. Semiconductor Materials revenues rose 12.6% year over year to ¥61.9 billion. Revenues grew as semiconductor materials capitalized on the rising demand for advanced materials, including those for generative artificial intelligence (AI). Advanced Functional Materials revenues soared 19.3% to ¥46.5 billion.

The Business Innovation Solutions segment’s revenues were ¥294.4 billion, increasing 4.7% from the year-ago quarter’s figure. Business solutions, Graphic Communications and Office solutions revenues moved up 8.8%, 5.8% and 1.8% on a year-over-year basis, respectively.

The Imaging Solutions segment’s revenues were ¥169.5 billion, up 13.4% from the year-ago quarter’s level. Consumer Imaging and Professional Imaging revenues rose 7.9% and 25.6% on a year-over-year basis, respectively. This growth was driven by strong sales of instax instant photo systems along with robust sales in instax mini 12, instax WIDE 400 and Link 3. Additionally, the company launched the instax WIDE Evo, a high-end hybrid instant camera with the most extensive range of effects in the instax series. Higher sales of digital cameras acted as a catalyst for the Professional Imaging segment.

FUJIY’s Operating Details

In the fiscal third quarter, selling, general and administrative expenses increased 4% to ¥205.6 billion. Research and development expenses jumped 3.9% to ¥40.8 billion.

Operating income increased 10.4% year over year to ¥87.7 billion owing to robust sales in electronics and imaging, along with favorable exchange rates that offset the impact of lower profits in healthcare.

FUJIY’s Balance Sheet & Cash Flow

As of Dec. 31, 2024, cash and cash equivalents were ¥216.2 billion, up from ¥187.1 billion as of Sept. 30, 2024.
Total debt was ¥745.5 billion as of Dec. 31, 2024, compared with ¥619.8 billion as of Sept. 30, 2024.

FUJIFILM is planning an annual dividend of ¥60 per share, marking the 15th consecutive year of increase.

FUJIY’s Guidance Unchanged

FUJIFILM expects revenues of ¥3,150 billion for fiscal 2024, indicating growth of 6.4% year over year. The operating income is anticipated to be ¥315 billion, implying 13.8% growth. Net income is expected to increase 2.7% year over year to ¥250 billion.

Zacks Rank of FUJIY

Currently, FUJIFILM has a Zacks Rank #4 (Sell). In the past three months, shares have lost 2.1% compared with the Zacks Semiconductor Equipment – Photomasks industry’s decline of 11.9%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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Recent Performance of Other Companies in Broader Tech Space

Plexus Corp (PLXS - Free Report) reported first-quarter fiscal 2025 adjusted earnings per share of $1.73, up 40.7% year over year. The figure outpaced the Zacks Consensus Estimate of $1.59 per share.

In the past year, shares of PLXS have gained 51.2%.

Seagate Technology Holdings plc (STX - Free Report) reported second-quarter fiscal 2025 non-GAAP earnings of $2.03 per share, beating the Zacks Consensus Estimate by 7.98%. The company reported non-GAAP earnings of 12 cents per share in the year-ago quarter.

In the past year, STX shares have gained 10%.

Simulations Plus, Inc. (SLP - Free Report) reported first-quarter fiscal 2025 adjusted earnings of 17 cents per share, which declined 5.6% year over year. The figure, however, missed the Zacks Consensus Estimate of 18 cents per share.

Shares of SLP have declined 6.1% in the past year.

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