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Revision to earnings forecasts7120SHINKO Inc.Trading & Wholesale

Notice Regarding the Publication of Consolidated Earnings Forecasts in Connection with the Transition to Consolidated Financial Statements

Following the acquisition of TAC CO., LTD. as a subsidiary, the company will transition to consolidated financial reporting from the second quarter of the fiscal year ending March 2027 and has newly announced a full-year consolidated earnings forecast. Compared with the non-consolidated forecast, net sales are expected to increase, while profit is expected to decline due to the inclusion of one-time costs such as advisory fees and goodwill amortization.

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Revised forecast

Fiscal year ending March 2027 · Full yearPrevious forecast published 14 May 2026
Net Sales21,558→21,807Millions of yen
+1.2%
Operating profit1,031→882Millions of yen
-14.5%
Ordinary income1,030→896Millions of yen
-13.0%
Profit attributable to owners of the parent682→548Millions of yen
-19.6%
Net income per share145.18→116.5Yen/sen
-19.8%

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

While incorporating the results of TAC CO., LTD. into its consolidated results, profit is expected to decline compared with the non-consolidated earnings forecast because one-time costs, including advisory fees related to the acquisition of the shares, as well as goodwill amortization, are anticipated.

Consolidated / non-consolidatedConsolidated
Revised forecast
ItemDetails
Net Sales21,558 Millions of yen → 21,807 Millions of yen
Operating profit1,031 Millions of yen → 882 Millions of yen
Ordinary income1,030 Millions of yen → 896 Millions of yen
Profit attributable to owners of the parent682 Millions of yen → 548 Millions of yen
Net income per share145.18 Yen/sen → 116.5 Yen/sen
Fiscal Period CoveredFiscal year ending March 2027
Period CoveredFull year
Publication date of previous forecast14 May 2026
Reason for the revisionWhile incorporating the results of TAC CO., LTD. into its consolidated results, profit is expected to decline compared with the non-consolidated earnings forecast because one-time costs, including advisory fees related to the acquisition of the shares, as well as goodwill amortization, are anticipated.
Consolidated / non-consolidatedConsolidated
Items this document does not state (3)
Previous-period resultsDetails 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.

While incorporating the results of TAC CO., LTD. into its consolidated results, the company expects profit to decline compared with the non-consolidated earnings forecast because it anticipates one-time costs, including advisory fees related to the acquisition of the shares, as well as goodwill amortization.

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Notice Regarding the Publication of Consolidated Earnings Forecasts in Connection with the Transition to Consolidated Financial Statements | SHINKO Inc. (7120) timely disclosure | Komori