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Revision of earnings forecasts6287SATO CORPORATIONMachinery

Notice Regarding the Recognition of an Extraordinary Loss, Revisions to Earnings Forecasts, and Reductions in Executive Compensation

For the consolidated earnings forecast for the fiscal year ending March 2026, net sales, operating income and ordinary income remain unchanged, while net income attributable to owners of the parent has been reduced by ¥1,000 million due to an impairment loss on system development assets. In addition, the monthly compensation of the representative director and deputy president will be reduced for 3 months.

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Direction
Deterioration
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Scale
-1000
¥ million
Wording
Avoiding a definitive answer
How definitive the wording is.

Revised forecast

Fiscal year ending March 2026 · Full yearPrevious forecast published 12 November 2025
Net Sales161,000→161,000million
0.0%
Operating profit11,000→11,000million
0.0%
Ordinary income10,100→10,100million
0.0%
Profit attributable to owners of the parent6,800→5,800million
-14.7%
Net income per share209.46→178.66yen
-14.7%

The bar length represents the relative magnitude of change, based on the item that changed the most in this document.

Reason for the revision

Net income attributable to owners of the parent is expected to be ¥5,800 million due to the impact of the extraordinary loss.

Details and amount of extraordinary loss

An impairment loss on fixed assets of approximately ¥1.3 billion is expected to be recognized as an extraordinary loss. The amount includes outsourced costs, in-house personnel costs and related license costs.

Previous-period resultsFiscal year ended March 2025: net sales ¥154,807 million, operating income ¥12,341 million, ordinary income ¥11,144 million, net income attributable to owners of the parent ¥7,151 million, earnings per share ¥220.39
Dividend forecast revisionNo change (the year-end dividend remains unchanged at ¥38 per share)
Consolidated / non-consolidatedConsolidated
Revised forecast
ItemDetails
Net Sales¥161,000 million → ¥161,000 million(0.0%)
Operating profit¥11,000 million → ¥11,000 million(0.0%)
Ordinary income¥10,100 million → ¥10,100 million(0.0%)
Profit attributable to owners of the parent¥6,800 million → ¥5,800 million(-14.7%)
Net income per share209.46 yen → 178.66 yen(-14.7%)
Fiscal Period CoveredFiscal year ending March 2026
Period CoveredFull year
Publication date of previous forecast12 November 2025
Previous-period resultsFiscal year ended March 2025: net sales ¥154,807 million, operating income ¥12,341 million, ordinary income ¥11,144 million, net income attributable to owners of the parent ¥7,151 million, earnings per share ¥220.39
Reason for the revisionNet income attributable to owners of the parent is expected to be ¥5,800 million due to the impact of the extraordinary loss.
Details and amount of extraordinary lossAn impairment loss on fixed assets of approximately ¥1.3 billion is expected to be recognized as an extraordinary loss. The amount includes outsourced costs, in-house personnel costs and related license costs.
Dividend forecast revisionNo change (the year-end dividend remains unchanged at ¥38 per share)
Consolidated / non-consolidatedConsolidated

The reasons the company gives

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

In the development of systems for maintenance services, delays against the plan were identified due to proprietary processing requirements arising from the system package and defects in development quality. As it was determined that continuing with the current plan was not reasonable, software under construction that cannot be used will be impaired, and an extraordinary loss of approximately ¥1.3 billion will be recognized. Executive compensation will be reduced to clarify management responsibility following the recognition of the extraordinary loss and the revision of the earnings forecast.

How to read this page

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Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Notice Regarding the Recognition of an Extraordinary Loss, Revisions to Earnings Forecasts, and Reductions in Executive Compensation | SATO CORPORATION (6287) timely disclosure | Komori