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Revision of earnings forecasts9740CENTRAL SECURITY PATROLS CO.,LTD.Information and Communications, Services and Others

Notice of Differences Between Consolidated Financial Forecasts and Actual Results for the Second Quarter (Interim Period), and Revisions to Full-Year Financial Forecasts

For the cumulative second quarter, net sales, operating income and ordinary income exceeded forecasts, while net income attributable to owners of the parent fell below forecast. For the full year, net sales, operating income and ordinary income forecasts were revised upward, while the net income forecast was revised downward due to the impact of extraordinary losses.

Worth reading
60In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
-21.7
%
Wording
Avoiding a definitive answer
How definitive the wording is.

Revised forecast

Fiscal year ending February 2027 · Cumulative second quarter and full yearPrevious forecast published Cumulative second-quarter results 13 April 2026 / Full year Not disclosed
Net SalesCumulative second-quarter results39,500→40,586million
+2.8%
Net SalesFull year78,000→80,000million
+2.6%
Operating profitCumulative second-quarter results1,900→2,787million
+46.7%
Operating profitFull year3,500→3,900million
+11.4%
Ordinary incomeCumulative second-quarter results1,950→2,867million
+47.1%
Ordinary incomeFull year3,600→4,000million
+11.1%
Profit attributable to owners of the parentCumulative second-quarter results1,200→986million
-17.8%
Profit attributable to owners of the parentFull year2,300→1,800million
-21.7%
Net income per shareCumulative second-quarter results85.52→70.44yen
-17.6%
Net income per shareFull year163.9→128.27yen
-21.7%

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 item initially expected to be recorded as an operating expense was, following a review of its details, recorded as a contract cancellation loss under extraordinary losses, resulting in operating income and ordinary income exceeding the initial forecasts. In addition, a settlement payment related to the settlement of the damages lawsuit announced on 21 April 2026 and 13 August 2026 is expected to be recorded as a litigation-related loss under extraordinary losses. As this had not been incorporated into the initial forecast, it will affect net income attributable to owners of the parent.

Details and amount of extraordinary loss

The contract cancellation loss and the settlement payment related to the settlement of the damages lawsuit are expected to be recorded as litigation-related losses. Amount: Not disclosed.

Previous-period resultsCumulative second-quarter results Net Sales 38,741 Millions of yen, yen and sen / Operating profit 2,533 Millions of yen, yen and sen / Ordinary income 2,628 Millions of yen, yen and sen / Profit attributable to owners of the parent 1,698 Millions of yen, yen and sen / Net income per share 117.41 Millions of yen, yen and sen / Full year Net Sales 78,745 Millions of yen, yen and sen / Operating profit 4,499 Millions of yen, yen and sen / Ordinary income 4,701 Millions of yen, yen and sen / Profit attributable to owners of the parent 2,503 Millions of yen, yen and sen / Net income per share 222.04 Millions of yen, yen and sen
Consolidated / non-consolidatedConsolidated
Revised forecast
ItemDetails
Net SalesCumulative second-quarter results 39,500 / Full year 78,000 → Cumulative second-quarter results 40,586 / Full year 80,000(Cumulative second-quarter results 2.8 / Full year 2.6)
Operating profitCumulative second-quarter results 1,900 / Full year 3,500 → Cumulative second-quarter results 2,787 / Full year 3,900(Cumulative second-quarter results 46.7 / Full year 11.4)
Ordinary incomeCumulative second-quarter results 1,950 / Full year 3,600 → Cumulative second-quarter results 2,867 / Full year 4,000(Cumulative second-quarter results 47.1 / Full year 11.1)
Profit attributable to owners of the parentCumulative second-quarter results 1,200 / Full year 2,300 → Cumulative second-quarter results 986 / Full year 1,800(Cumulative second-quarter results -17.8 / Full year -21.7)
Net income per shareCumulative second-quarter results 85.52 / Full year 163.90 → Cumulative second-quarter results 70.44 / Full year 128.27
Fiscal Period CoveredFiscal year ending February 2027
Period CoveredCumulative second quarter and full year
Publication date of previous forecastCumulative second-quarter results 13 April 2026 / Full year Not disclosed
Previous-period resultsCumulative second-quarter results Net Sales 38,741 Millions of yen, yen and sen / Operating profit 2,533 Millions of yen, yen and sen / Ordinary income 2,628 Millions of yen, yen and sen / Profit attributable to owners of the parent 1,698 Millions of yen, yen and sen / Net income per share 117.41 Millions of yen, yen and sen / Full year Net Sales 78,745 Millions of yen, yen and sen / Operating profit 4,499 Millions of yen, yen and sen / Ordinary income 4,701 Millions of yen, yen and sen / Profit attributable to owners of the parent 2,503 Millions of yen, yen and sen / Net income per share 222.04 Millions of yen, yen and sen
Reason for the revisionThe item initially expected to be recorded as an operating expense was, following a review of its details, recorded as a contract cancellation loss under extraordinary losses, resulting in operating income and ordinary income exceeding the initial forecasts. In addition, a settlement payment related to the settlement of the damages lawsuit announced on 21 April 2026 and 13 August 2026 is expected to be recorded as a litigation-related loss under extraordinary losses. As this had not been incorporated into the initial forecast, it will affect net income attributable to owners of the parent.
Details and amount of extraordinary lossThe contract cancellation loss and the settlement payment related to the settlement of the damages lawsuit are expected to be recorded as litigation-related losses. Amount: Not disclosed.
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.

The contract cancellation loss initially expected to be recorded as an operating expense was recorded as an extraordinary loss following a review of its details, resulting in operating income and ordinary income exceeding forecasts. In addition, a settlement payment related to the settlement of a damages lawsuit is expected to be recorded as a litigation-related loss under extraordinary losses. As this had not been incorporated into the initial forecast, the forecast for net income attributable to owners of the parent was revised downward.

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Notice of Differences Between Consolidated Financial Forecasts and Actual Results for the Second Quarter (Interim Period), and Revisions to Full-Year Financial Forecasts | CENTRAL SECURITY PATROLS CO.,LTD. (9740) timely disclosure | Komori