WOWOW revised its full-year ordinary profit forecast to a loss. Based on first-half results and its second-half plan, the full-year loss is expected to be ¥4.3 billion.
WOWOW released its earnings after the afternoon session on 30 October, reporting consolidated ordinary profit of ¥1.95 billion for the cumulative second quarter of the fiscal year ending March 2027 (April–September), down 8.7% year on year. Accordingly, it revised its full-year earnings forecast down from its previous ¥1.0 billion profit forecast to a ¥4.3 billion loss, and is now expected to swing from the previous fiscal year’s ¥2.27 billion profit to a loss.
Based on the first-half results and second-half plan released by the company, our estimate indicates that consolidated ordinary income for October–March (the second half) is expected to fall to a ¥6.25 billion loss, compared with a ¥130 million profit in the same period of the previous year. Ordinary profit for the most recent three months, July–September, was ¥580 million, while the profit margin on sales deteriorated from 2.4% to 1.9%.
In the results section of the earnings summary, revenue for April–September 2024 was ¥37,361 million, operating profit was ¥1,212 million, ordinary profit was ¥1,605 million, and net income was -¥179 million. Compared with the previous fiscal year, revenue declined and net income turned to a loss.
Compared with the first-half results and the previous forecast, revenue was slightly higher than the ¥36,300 million projected under the revised full-year outlook, but ordinary profit and net income turned to losses, while revised earnings per share and dividends were also affected.