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Revision of earnings forecasts9885CHARLE CO.,LTD.Trading & Wholesale

Financial Results for the Fiscal Year Ending March 2026 [Japanese GAAP] (Consolidated)

The company disclosed its consolidated results for the fiscal year ended March 2026. Net sales increased, while the operating loss, ordinary loss and net loss widened. It also presented, for the first time, a full-year earnings forecast for the fiscal year ending March 2027, with operating profit, ordinary profit and net profit expected to return to positive territory.

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Revised forecast

Fiscal year ending March 2027 · Full year
Net Sales—→13,500million
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Operating profit—→140million
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Ordinary income—→180million
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Profit attributable to owners of the parent—→110million
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Net income per share—→7.38yen and sen
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The bar length represents the relative magnitude of change, based on the item that changed the most in this document.

Reason for the revision

In the ladies' innerwear business, management issues include surging raw material and energy prices, weaker consumer sentiment resulting from inflation driven by the weaker yen, and the aging of sales staff and decline in staffing levels. In the sportswear business, domestic demand is expected to remain sluggish and competition to intensify. In the fine-bubble business, competition in the showerhead market is also expected to intensify. At the same time, the company plans to develop new products, strengthen its branding, pursue initiatives targeting overseas markets and inbound demand, and implement business-structure reforms.

Details and amount of extraordinary loss

Impairment losses on fixed assets: ¥2,348 million; losses related to the voluntary recall of products: ¥82 million; warehouse closure losses: ¥62 million; total extraordinary losses: ¥2,496 million

Previous-period resultsNet sales: ¥12,932 million; operating loss: ¥1,115 million; ordinary loss: ¥1,049 million; net loss attributable to owners of the parent: ¥3,544 million; net loss per share: ¥231.22
Dividend forecast revisionFiscal year ending March 2027 year-end dividend forecast: ¥8.00 per share; annual dividend forecast: ¥8.00 per share. Explicit statement regarding the revision of the dividend forecast: Not disclosed
Consolidated / non-consolidatedConsolidated
Revised forecast
ItemDetails
Net SalesNot disclosed → ¥13,500 million(4.4% (year-on-year change))
Operating profitNot disclosed → ¥140 million
Ordinary incomeNot disclosed → ¥180 million
Profit attributable to owners of the parentNot disclosed → ¥110 million
Net income per shareNot disclosed → 7.38 yen and sen
Fiscal Period CoveredFiscal year ending March 2027
Period CoveredFull year
Previous-period resultsNet sales: ¥12,932 million; operating loss: ¥1,115 million; ordinary loss: ¥1,049 million; net loss attributable to owners of the parent: ¥3,544 million; net loss per share: ¥231.22
Reason for the revisionIn the ladies' innerwear business, management issues include surging raw material and energy prices, weaker consumer sentiment resulting from inflation driven by the weaker yen, and the aging of sales staff and decline in staffing levels. In the sportswear business, domestic demand is expected to remain sluggish and competition to intensify. In the fine-bubble business, competition in the showerhead market is also expected to intensify. At the same time, the company plans to develop new products, strengthen its branding, pursue initiatives targeting overseas markets and inbound demand, and implement business-structure reforms.
Details and amount of extraordinary lossImpairment losses on fixed assets: ¥2,348 million; losses related to the voluntary recall of products: ¥82 million; warehouse closure losses: ¥62 million; total extraordinary losses: ¥2,496 million
Dividend forecast revisionFiscal year ending March 2027 year-end dividend forecast: ¥8.00 per share; annual dividend forecast: ¥8.00 per share. Explicit statement regarding the revision of the dividend forecast: Not disclosed
Consolidated / non-consolidatedConsolidated
Items this document does not state (1)
Publication date of previous forecast

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 the ladies' innerwear business, sales slowed after price revisions, sales of women's outerwear were weak, and authorized retailers operated at lower levels. In addition, surging raw material and energy prices, higher inventory valuation losses resulting from weak sales, and the voluntary recall of hair-care irons weighed on profit. The company recorded impairment losses on fixed assets, losses related to the voluntary recall of products, and warehouse closure losses as extraordinary losses.

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Financial Results for the Fiscal Year Ending March 2026 [Japanese GAAP] (Consolidated) | CHARLE CO.,LTD. (9885) timely disclosure | Komori