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Revision of earnings forecasts6140Asahi Diamond Industrial Co.,Ltd.Machinery

Notice Regarding Differences Between Individual Financial Results and Results for the Previous Fiscal Year

For the fiscal year ending March 2026, non-consolidated net sales, operating income and ordinary income exceeded the previous fiscal year, while net income fell below the previous fiscal year. The main factor behind the decline in net income was the recognition of a valuation loss and provision for allowance for doubtful accounts related to a European subsidiary, as well as impairment losses on idle assets, as extraordinary losses.

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Revised forecast

Fiscal year ending March 2026 · Full year (1 April 2025 to 31 March 2026)
Reason for the revision

Ordinary income exceeded the previous fiscal year due to foreign exchange gains and an increase in dividends received from consolidated subsidiaries. However, net income fell below the previous fiscal year because the Company recorded as extraordinary losses a ¥500 million valuation loss on shares resulting from a European subsidiary becoming insolvent, a ¥1,708 million provision for allowance for doubtful accounts, and a ¥119 million impairment loss on idle assets.

Details and amount of extraordinary loss

¥500 million valuation loss on shares resulting from a European subsidiary becoming insolvent; ¥1,708 million provision for allowance for doubtful accounts; ¥119 million impairment loss on idle assets

Previous-period resultsNet sales: ¥30,554 million; operating income: ¥1,438 million; ordinary income: ¥2,201 million; net income: ¥2,289 million; net income per share: ¥44.41
Consolidated / non-consolidatedNon-consolidated
Revised forecast
ItemDetails
Fiscal Period CoveredFiscal year ending March 2026
Period CoveredFull year (1 April 2025 to 31 March 2026)
Previous-period resultsNet sales: ¥30,554 million; operating income: ¥1,438 million; ordinary income: ¥2,201 million; net income: ¥2,289 million; net income per share: ¥44.41
Reason for the revisionOrdinary income exceeded the previous fiscal year due to foreign exchange gains and an increase in dividends received from consolidated subsidiaries. However, net income fell below the previous fiscal year because the Company recorded as extraordinary losses a ¥500 million valuation loss on shares resulting from a European subsidiary becoming insolvent, a ¥1,708 million provision for allowance for doubtful accounts, and a ¥119 million impairment loss on idle assets.
Details and amount of extraordinary loss¥500 million valuation loss on shares resulting from a European subsidiary becoming insolvent; ¥1,708 million provision for allowance for doubtful accounts; ¥119 million impairment loss on idle assets
Consolidated / non-consolidatedNon-consolidated
Items this document does not state (7)
Net SalesOperating profitOrdinary incomeProfit attributable to owners of the parentNet income per sharePublication date of previous forecastDividend 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.

Ordinary income exceeded the previous fiscal year due to foreign exchange gains and an increase in dividends received from consolidated subsidiaries. However, net income fell below the previous fiscal year because the Company recorded as extraordinary losses a ¥500 million valuation loss on shares resulting from a European subsidiary becoming insolvent, a ¥1,708 million provision for allowance for doubtful accounts, and a ¥119 million impairment loss on idle assets.

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Notice Regarding Differences Between Individual Financial Results and Results for the Previous Fiscal Year | Asahi Diamond Industrial Co.,Ltd. (6140) timely disclosure | Komori