Komori
Revision to earnings forecast5035HOUSEI Inc.Information and Communications, Services and Others

Notice Regarding the Recording of an Extraordinary Loss and Revision of Full-Year Earnings Forecast

The consolidated full-year earnings forecast for the fiscal year ending December 2026 has been revised downward. Net sales are now expected to be ¥4,376 million, operating profit and ordinary profit are expected to be losses, and net income attributable to owners of the parent is expected to be a loss of ¥596 million. In addition, ¥331.452 million in goodwill related to the financial systems business in China was recognized as an impairment loss.

Worth reading
67In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Deterioration
Direction inferred from the company’s description.
Scale
-823
¥ million
Wording
Avoiding a definitive answer
How definitive the wording is.

Revised forecast

Fiscal year ending December 2026 · Full yearPrevious forecast published 13 February 2026
Net Sales5,200→4,376million
-15.8%
Operating profit240→-219million
-191.3%
Ordinary income240→-209million
-187.1%
Profit attributable to owners of the parent170→-596million
-450.6%
Net income per share25.03→-88.99yen/sen
-455.5%

The bar length represents the relative magnitude of change, based on the item that changed the most in this document. The percentage change shown by the dotted line is calculated from the two reported figures because the company did not provide the rate.

Reason for the revision

Net sales are expected to decline due to delays in the timing of orders for large contract projects, lost orders and customer-requested cancellations in the domestic IT business, the delayed launch of the logistics systems business, and delays in customer acceptance in the overseas IT business. Increased development costs due to postponed acceptance and higher development costs at the Chinese subsidiary resulting from a weaker yen and stronger yuan will also weigh on profit. In addition, an impairment loss on goodwill will be recorded because the financial systems business in China has not generated the earnings projected in the medium-term business plan.

Details and amount of extraordinary loss

Impairment loss on goodwill: ¥331.452 million

Previous-period resultsFiscal year ended December 2025: Net sales ¥4,779 million, operating profit ¥36 million, ordinary profit ¥54 million, net income attributable to owners of the parent -¥195 million, earnings per share -¥28.52
Consolidated / non-consolidatedConsolidated
Revised forecast
ItemDetails
Net Sales¥5,200 million → ¥4,376 million(-15.8%)
Operating profit¥240 million → ¥-219 million
Ordinary income¥240 million → ¥-209 million
Profit attributable to owners of the parent¥170 million → ¥-596 million
Net income per share25.03 yen/sen → -88.99 yen/sen
Fiscal Period CoveredFiscal year ending December 2026
Period CoveredFull year
Publication date of previous forecast13 February 2026
Previous-period resultsFiscal year ended December 2025: Net sales ¥4,779 million, operating profit ¥36 million, ordinary profit ¥54 million, net income attributable to owners of the parent -¥195 million, earnings per share -¥28.52
Reason for the revisionNet sales are expected to decline due to delays in the timing of orders for large contract projects, lost orders and customer-requested cancellations in the domestic IT business, the delayed launch of the logistics systems business, and delays in customer acceptance in the overseas IT business. Increased development costs due to postponed acceptance and higher development costs at the Chinese subsidiary resulting from a weaker yen and stronger yuan will also weigh on profit. In addition, an impairment loss on goodwill will be recorded because the financial systems business in China has not generated the earnings projected in the medium-term business plan.
Details and amount of extraordinary lossImpairment loss on goodwill: ¥331.452 million
Consolidated / non-consolidatedConsolidated
Items this document does not state (1)
Dividend forecast revision

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

In the domestic IT business, the timing of orders for large contract projects was delayed, orders were lost, and projects were canceled at customers' request. The launch of the logistics systems business was also delayed. In the overseas IT business, customer acceptance was delayed, and development costs are also expected to increase due to postponed acceptance and higher development costs at the Chinese subsidiary resulting from a weaker yen and stronger yuan. In addition, an impairment loss on goodwill was recognized because the financial systems business in China has not generated the earnings projected in the medium-term business plan.

How to read this page

This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Notice Regarding the Recording of an Extraordinary Loss and Revision of Full-Year Earnings Forecast | HOUSEI Inc. (5035) timely disclosure | Komori