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Revision of earnings forecasts6370Kurita Water Industries Ltd.Machinery

Notice Concerning the Recognition of Gain on the Transfer of Shares in a Subsidiary and the Revision of Earnings Forecasts

As income associated with the transfer of shares in Pentagon Technologies Group was expected to be recognized, the consolidated earnings forecasts for the cumulative second quarter and full year of the fiscal year ending March 2027 were revised. The forecasts for net sales and business profit remain unchanged, while profit figures from operating profit onward have been increased.

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Direction
Improvement
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Scale
8700
¥ million
Wording
Avoiding a definitive answer
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Revised forecast

Fiscal year ending March 2027 · Six months and full yearPrevious forecast published 14 May 2026
Net SalesCumulative second-quarter results198,000→198,000million
0.0%
Net SalesFull year425,000→425,000million
0.0%
Operating profitCumulative second-quarter results23,500→23,500million
0.0%
Operating profitFull year60,500→65,500million
+8.3%
Profit attributable to owners of the parentCumulative second-quarter results15,900→24,600million
+54.7%
Profit attributable to owners of the parentFull year42,000→50,700million
+20.7%
Net income per shareCumulative second-quarter results146.66→228.11yen and sen
+55.5%
Net income per shareFull year392.49→475.47yen and sen
+21.1%

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

The foreign operation translation adjustment is expected to be reclassified to profit or loss when Pentagon is removed from the scope of consolidation, with ¥5 billion expected to be recognized as other income. In addition, ¥3.7 billion in profit from discontinued operations is expected to be recognized from the gain on the sale of shares and liquidation gains associated with the termination of lease agreements, among other items.

Previous-period resultsResults for the same period of the previous year (cumulative second quarter of the fiscal year ended March 2026) Net Sales 198,296 Millions of yen (yen and sen for per-share amounts) / Business profit 23,584 Millions of yen (yen and sen for per-share amounts) / Operating profit 24,900 Millions of yen (yen and sen for per-share amounts) / Interim profit before income taxes 17,386 Millions of yen (yen and sen for per-share amounts) / Interim profit attributable to owners of the parent 17,174 Millions of yen (yen and sen for per-share amounts) / Basic interim earnings per share 155.9 Millions of yen (yen and sen for per-share amounts) / Results for the previous fiscal year (full year ended March 2026) Net Sales 402,889 Millions of yen (yen and sen for per-share amounts) / Business profit 57,343 Millions of yen (yen and sen for per-share amounts) / Operating profit 58,290 Millions of yen (yen and sen for per-share amounts) / Income before taxes 58,160 Millions of yen (yen and sen for per-share amounts) / Profit for the period attributable to owners of the parent 15,957 Millions of yen (yen and sen for per-share amounts) / Basic earnings per share 145.34 Millions of yen (yen and sen for per-share amounts)
Consolidated / non-consolidatedConsolidated
Revised forecast
ItemDetails
Net SalesCumulative second-quarter results 198,000 / Full year 425,000 → Cumulative second-quarter results 198,000 / Full year 425,000
Operating profitCumulative second-quarter results 23,500 / Full year 60,500 → Cumulative second-quarter results 23,500 / Full year 65,500(Cumulative second-quarter results Not disclosed / Full year 8.3)
Profit attributable to owners of the parentCumulative second-quarter results 15,900 / Full year 42,000 → Cumulative second-quarter results 24,600 / Full year 50,700(Cumulative second-quarter results 54.7 / Full year 20.7)
Net income per shareCumulative second-quarter results 146.66 / Full year 392.49 → Cumulative second-quarter results 228.11 / Full year 475.47
Fiscal Period CoveredFiscal year ending March 2027
Period CoveredSix months and full year
Publication date of previous forecast14 May 2026
Previous-period resultsResults for the same period of the previous year (cumulative second quarter of the fiscal year ended March 2026) Net Sales 198,296 Millions of yen (yen and sen for per-share amounts) / Business profit 23,584 Millions of yen (yen and sen for per-share amounts) / Operating profit 24,900 Millions of yen (yen and sen for per-share amounts) / Interim profit before income taxes 17,386 Millions of yen (yen and sen for per-share amounts) / Interim profit attributable to owners of the parent 17,174 Millions of yen (yen and sen for per-share amounts) / Basic interim earnings per share 155.9 Millions of yen (yen and sen for per-share amounts) / Results for the previous fiscal year (full year ended March 2026) Net Sales 402,889 Millions of yen (yen and sen for per-share amounts) / Business profit 57,343 Millions of yen (yen and sen for per-share amounts) / Operating profit 58,290 Millions of yen (yen and sen for per-share amounts) / Income before taxes 58,160 Millions of yen (yen and sen for per-share amounts) / Profit for the period attributable to owners of the parent 15,957 Millions of yen (yen and sen for per-share amounts) / Basic earnings per share 145.34 Millions of yen (yen and sen for per-share amounts)
Reason for the revisionThe foreign operation translation adjustment is expected to be reclassified to profit or loss when Pentagon is removed from the scope of consolidation, with ¥5 billion expected to be recognized as other income. In addition, ¥3.7 billion in profit from discontinued operations is expected to be recognized from the gain on the sale of shares and liquidation gains associated with the termination of lease agreements, among other items.
Consolidated / non-consolidatedConsolidated
Items this document does not state (3)
Ordinary incomeDetails and amount of extraordinary lossDividend 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 connection with Pentagon's removal from the scope of consolidation, the foreign operation translation adjustment is expected to be reclassified to profit or loss, with ¥5 billion expected to be recognized as other income. In addition, ¥3.7 billion in profit from discontinued operations is expected to be recognized, mainly from the gain on the sale of Pentagon shares and liquidation gains associated with the termination of lease agreements.

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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 Concerning the Recognition of Gain on the Transfer of Shares in a Subsidiary and the Revision of Earnings Forecasts | Kurita Water Industries Ltd. (6370) timely disclosure | Komori