After the market close on 9 November, Fumakilla downwardly revised its current fiscal year's consolidated ordinary profit forecast by 34.2% from the previous forecast to ¥1.85 billion. Meanwhile, it upwardly revised its full-year consolidated net profit forecast from ¥1.63 billion to ¥2.1 billion.
Fumakilla announced a revision to its earnings forecast for the current fiscal year. Consolidated ordinary profit was downwardly revised from the previous forecast of ¥2.81 billion to ¥1.85 billion, resulting in an outlook for an 18.2% decline in profit. Meanwhile, full-year net profit was upwardly revised from ¥1.63 billion to ¥2.1 billion, with the projected profit growth rate expanding to 74.1%.
The first-half outlook for April–September was also downwardly revised from the previous forecast of ¥1.83 billion to ¥1.75 billion, with the decline from the same period a year earlier expected to widen. Key factors cited were weak sales of core products, the weaker yen and higher raw-material costs, and aggressive investment in advertising and sales-promotion expenses.
As the background to the revisions, first-half revenue is expected to fall short of plan, due to overseas subsidiaries missing their local-currency targets, higher raw-material costs and foreign-exchange effects. Meanwhile, interim net profit is expected to exceed the previous forecast because of the recognition of extraordinary income. The full-year outlook was revised downward after taking into account foreign-exchange effects at overseas subsidiaries, while net profit is expected to be revised upward because of the impact of extraordinary income recorded during the period.
The revisions for the current fiscal year are based on information available at the time of disclosure, and actual results may differ because of changes in economic and business conditions.