I'm Takuji of Finance Unit. I'll present the outline of financial results. Please see page four. This is a highlight of FY 2024. With the large-scale contracts in Indonesia, which was announced in December, posted in Q4, new contracts in FY 2024 were JPY 922.5 billion. The final loss contracted to JPY 0.3 billion due to additional gross profit from the completion of several domestic projects as well as higher investment income from equity-based affiliates. Annual dividend per share remained unchanged at JPY 40. Update on issues following the downward revision in Q3 is described here. In Taiwan LNG terminal, we revised the budget due to the delayed handover of part of construction sites, but the handover progressed later. In Saudi Arabia, response to a financially distressed subcontractor is ongoing. In LNG Canada, additional construction workers for completion are being mobilized in line with the plan.
Expenses for the lower operating level were within the forecast and had no additional impact. Please see page five for consolidated income statement. I'll explain in comparison with the forecast that was revised in Q3. Net sales were JPY 858 billion, up JPY 28 billion from the forecast. In the total engineering business, we achieved greater progress than our expectations on large projects. Gross profit was JPY 18.9 billion, up JPY 1.9 billion from the forecast due to the profit upon completion of domestic projects in total engineering business. Operating loss improved JPY 2.6 billion from JPY 14 billion in the forecast to JPY 11.4 billion. Ordinary profit was JPY 11.3 billion, up JPY 5.3 billion from the forecast due to an increase in investment income from equity-based affiliates and interest income in addition to the increased operating profit. Loss attributable to owners apparent improved JPY 3.7 billion from the forecast of JPY 4 billion, resulting in JPY 0.3 billion.
This slide six shows segment information. I'll explain them in comparison to the revised forecast presented in Q3. Net sales in total engineering business were JPY 794.9 billion, up JPY 26.9 billion from the forecast, with progress in large overseas projects. Segment loss improved JPY 1.5 billion from the forecast, ending at JPY 14.5 billion. It resulted in an upside due to an unexpected build-up in profit along with the completion of domestic projects. In functional materials manufacturing business, both sales and profit increased though slightly. Net sales were JPY 54.6 billion, and segment profit was JPY 8.1 billion due to recovering demand in semiconductor-related and hard disk-related materials. Fine chemicals and fine ceramics business were robust. Adjustment is as shown here. Please see page seven for outline of contract. New contracts in fiscal year 2024 were JPY 832 billion overseas, JPY 90.5 billion domestic, and JPY 922.5 billion in total.
Large-scale contract of EGL CCUS project in Indonesia were recorded in Q4. Additional contract for ongoing technical transfer service for refinery upgrading in Iraq were also recorded.
Please refer to slide eight . This shows outstanding contracts. As of the end of March 2025, the outstanding contracts stood at JPY 1.4046 trillion, up approximately JPY 160 billion from the beginning of the fiscal year. In the fourth quarter, we recorded in orders for the EGL CCUS project in Indonesia, which resulted in the following changes by segment: Energy, Transition, and Others. Transition now accounts for 28%. While LNG became 31%, it was 42% at the end of the previous fiscal year, and Oil and Gas fell from 36% to 25%. By region, Asia now represents 37%, while the Middle East, which previously accounted for more than half, now declined to 45%. Among the major projects in the outstanding contracts, orders valued over JPY 100 billion, the Saudi Arabia Crude Oil Gas Separation Unit, and order valued over JPY 30 billion, the Saudi Arabia MGL Plant Expansion Project.
These two have been provisioned for potential losses. The region of the two, the Crude Oil Gas Separation Unit, is progressing according to the plan and is currently in its pre-construction phase. Most equipment has already arrived on site, and installation work is underway. For the MGL Plant Expansion Project, the contract with a financially troubled subcontractor was terminated, and we have switched to direct employment to continue the construction. In addition to these two projects, there are four other pending projects. However, each of them has an order value of less than JPY 30 billion. Now, please refer to slide nine. This slide shows the consolidated financial position and cash flows. Total assets remained flat at JPY 784.1 billion. Total net assets increased slightly to JPY 392.2 billion, mainly due to an increase in valuation gains on other marketable securities. Equity ratio was 49.8%.
Our share of cash held by unconsolidated joint ventures, which is not recorded on the balance sheet, decreased by JPY 54.5 billion from the beginning of the fiscal year to JPY 93.5 billion. Operating cash flow was positive at JPY 46.7 billion, supported by progress in receivables collection from domestic and overseas projects. Investing cash flow recorded an outflow of JPY 21.1 billion, mainly due to the acquisition of property, plant, and equipment. Financing cash flow was negative at JPY 15 billion, reflecting dividend payments and the repayment of the borrowings by overseas subsidiaries. As a result, cash and cash equivalents at the end of the period remained almost flat at JPY 332.7 billion, roughly unchanged from the beginning of the fiscal year. Please refer to slide 11. This is forecast for FY 2025. We forecast orders for total engineering business to reach JPY 650 billion.
A number of large-scale LNG projects are currently under consideration, and we expect to secure multiple FEED contracts. However, the award timing of EPC contract is likely to be in the second half of the fiscal year or beyond, following the Final Investment Decisions. As a result, we anticipate a year-on-year decline in annual order volume. Considering that the award timing of the large EPC projects, which are expected to contribute to revenue, is shifting later, our earnings forecast is based on the assumption that sales and profit contributions from such projects will be limited during this fiscal year. Additionally, as several ongoing large-scale overseas projects are coming into the end, we expect revenue to decrease by approximately 20% year-on-year to JPY 690 billion. Gross profit is expected to be JPY 52 billion, with the gross margin being 7.5%.
Approximately 20% of the total sales are still accounted for by projects with loss provisions, so profit margin still remains in the process of recovering. Operating profit is forecast to return to the black at JPY 21 billion, order profit JPY 22 billion, and net income attributable to owners of the parent at JPY 15 billion. We plan to set the annual dividend at the minimum of JPY 40 per share. Finally, please refer to slide 12 for the performance forecast by segment. In the total engineering business, taking into account the following factors: limited revenue and profit recognition from the large-scale projects, several ongoing large projects are coming into the end, and slow progress on the major projects awarded in the previous fiscal year, which are still in the early phase.
We are forecasting a significant decline in the revenue to JPY 628 billion, but the segment profit is expected to return to the black at JPY 20 billion. In the functional materials business, revenue is expected to remain flat at about JPY 54 billion. Segment profit, however, is projected to decline to JPY 7 billion, mainly due to the anticipated increase in personnel and raw materials costs. This concludes the overview of financial outlook.
I'm Sato. I'll explain business overview. Please turn to page four. First, I'll explain the market environment of total engineering business. As a common trend for a realistic transition to a decarbonized society, demand for natural gas and LNG continues to be solid following fiscal year 2024, and there are abundant plans centering on LNG. On the other hand, due to higher interest rates and construction expenses, clients' investment costs remain high both in Japan and overseas, and the timing for FID is fluid. Additionally, the impact by tariff policy of the Trump administration on the plant market is still uncertain, and the future uncertainty of the global economy is increasing, so we need to continue to monitor the clients' investment trend closely. Overseas, in LNG projects, clients tend to promote the packaged investment plan, including plant electrification and CCS for CO2 emission reduction initiatives.
In the sustainability domain, due to investment cost increase and delay in revision of subsidies, the progress tends to be slower than initially anticipated, although investment plans are put in place. In the industrial infrastructure domain, investment plans for semiconductor-related facilities and data centers in Southeast Asia are progressing. In domestic business, investment plans tend to be delayed in the sustainability domain as overseas, but in the case of SAF, which has a target to replace 10% of domestic airline fuel by 2030, its plans are progressing. Please see page five. This slide shows FY 2025 orders target. We aim to achieve overseas JPY 500 billion, domestic JPY 150 billion, and in total JPY 650 billion. As we see multiple investment plans of clients centering on LNG at present and in the next one or two years, we select projects with the criteria of profit and high feasibility, resource allocation, and future potential.
In the overseas market, we expect to win EPC orders of Oceania LNG, as well as Africa LNG, which was delayed from FY 2024. Furthermore, we work on FEED in LNG projects in North America and Southeast Asia to win orders in EPC orders in the next fiscal year onward. In sustainability and industrial infrastructure domains, we continue to work on the project with high feasibility. In the domestic market, we focus on winning EPC orders of chemical, food-related, and pharmaceutical plants in addition to highly feasible SAF projects of oil companies. Please see page 6. This slide shows progress in major ongoing projects. In LNG Canada, we are focusing on final preparations such as cooling the plant's internal equipment, preparing for the startup of the first train. In Basra refinery upgrading in Iraq, construction is in its final stage.
In the ethylene plant in the USA, design work has completed and procurement has almost completed. In construction work, the steel structure, piping, and electronic and instrument works are steadily progressing. In the gas and oil separation plant project in Saudi Arabia, 80% of the procured items have been delivered to the site, and the construction is at its peak. In domestic business, in ongoing biomass power plant in Sendai, Miyagi, construction of a facility has completed, and now we are focusing on commissioning work for the handover to the client. Please see page seven. I'll explain the initiatives to strengthen the framework for overseas EPC project execution. We continue the first initiative, the effort for more effective engineering resource management in FY 2025 onward. We select projects based on the criteria of profitability and high feasibility, securing resources and future potential.
We also strive to prevent inadequate HR allocation by narrowing down projects for which engineering resource allocation is assured, keeping this in mind from the FEED estimation stage, while also considering the execution framework after awarding EPC. Regarding organization, in the transition energy domain centering on LNG, the steady progress in clients' investment plans is expected in the next few years. While in the sustainability domain, in light of the delay in some EPC projects, we consolidate the organization of transition energy and the organization of sustainability business in JGC Corporation to enable us to flexibly allocate resources toward the project with high feasibility. We put the second initiative efforts toward strengthening the framework for regional management on hold. In FY 2024, we redefined the role of overseas group companies, downsizing some subsidiaries.
Subsidiaries in Saudi Arabia and Indonesia are focused on completing the current project without trying to win orders of local EPC projects.
Regarding the third point, organizational strengthening of EPC execution capabilities, we are working toward stabilizing our performance through the following measures. At the individual project level, in addition to the project sponsor and the project manager, we now appoint a project executive who represents the company and assumes the final responsibility for project outcomes. This structure enhances accountability and ensures rigorous profitability management. Next, at the cross-organizational level, we have established a dedicated review committee comprising experienced project executives, project managers, and senior personnel with deep EPC expertise. This body provides multiple perspectives in order to identify and address issues at an early stage during the project execution. You may say, as outsiders, that such initiatives are quite fundamental or even long overdue. However, may I remind you that project risks associated with EPC processes have changed quite significantly over the past five years.
Each EPC project is highly unique on its own. Risks vary depending on the timing of award, customers, and construction costs. Moreover, during the four to five years in the execution phase, a project can change quite dramatically, much like a living organism. For this reason, there is no quick fix to strengthen EPC execution. We believe that the only path forward is we need to be persistent and repeat efforts in order to reinforce and improve our existing practices. In addition, particularly in large overseas EPC projects, in order to support strategy and development decision-making, execution framework, and support for CEO for key clients' engagement, we have appointed Mr. Akabane, Senior Executive Vice President and CPO at JGC Holdings. Next, please refer to slide nine. I will now provide an overview and outlook for the functional materials manufacturing business.
From a broad perspective, demand in the semiconductor-related market is showing signs of recovery. However, we are closely monitoring the overall situations regarding the uncertain impact of the U.S. tariff policies and others. While some catalyst products saw the delayed replacement demand from some customers and the decline in large lot sales, demand for semiconductor-related products, particularly in our core areas of finance, chemicals, and fine ceramics for semiconductor devices and manufacturing equipment, is now trending upward. As a result, FY 2024 marked a record high in sales, and for FY 2025, we expect the sales to remain at a similar level. Please now refer to slide 10. Here now, I'd like to introduce the progress of the capital investments made by the group companies within the functional materials manufacturing business.
At JGC Holdings, which is responsible for catalyst and fine chemical products, new production facilities for silica salt used in semiconductor polishing agents have been completed. These facilities will enable us to respond to growing customer demand. In addition, we are examining investment plans for a newly acquired site in 2023 to expand production of fine chemical products such as catalyst for the synthetic fields and chemical recycling, as well as materials for high-speed communications in line with advances in decarbonization and digital transformation. At Japan Fine Ceramics JFC, which handles the fine ceramic segment, silicon nitride substrates for power semiconductors used in electric vehicles have been highly rated by customers for their quality, and the product has grown to become one of the company's leading products.
To meet strong demand from our customers, including those for the hybrid and plug-in hybrid vehicles, a new plant is currently under construction, with full-scale operations scheduled to begin in mid-2025. Please refer to slide 12. Finally, I would like to provide an update on our medium-term business plan and highlight key points for us to address going forward. A full review of the current medium-term business plan will be presented at the time of the announcement of our next medium-term business plan. However, today, we disclose our outlook for FY 2025, the final year of the current medium-term business plan. Net sales are expected to generally meet our target, driven by the continued acquisition of large-scale projects in the total engineering business and the steady growth of the functional materials manufacturing business. On the other hand, we expect to fall short of our targets for profit and ROE.
Given this situation, we have identified key areas to address as we move toward the next medium-term plan. First and foremost, it is critical to strengthen the profitability of the EPC business and stabilize overall performance. Second, to ensure stable and sustained growth for the entire group, we aim to further refine and expand the growth strategy for the functional materials manufacturing business. From a mid- to long-term perspective, we will continue our efforts to successfully launch and monetize future growth areas such as the biomanufacturing business, which is already underway. As we are working on the next medium-term business plan, we are also keeping a strong focus on capital costs and stock price, with a view toward enhancing corporate value and defining our business strategies. This concludes my presentation. I'd like to thank you for your kind attention.