JVC KENWOOD revised its full-year earnings forecast as its domestic products and entertainment businesses remained solid in the first half, while recovery in the wireless systems business was delayed.
Consolidated revenue for the first half was ¥183.8 billion, up year on year. Business profit was ¥12.3 billion, including the impact of US tariff refunds.
In the S&S segment, the wireless systems business was sluggish in the North American public safety market, while the private-sector market recovered. The M&T segment posted higher revenue and profit despite the strong performance of its domestic products business and the impact of higher component prices. The ES segment posted higher revenue and profit on strong performance in its entertainment business.
The full-year earnings forecast calls for revenue of ¥376.0 billion and business profit of ¥22.3 billion. The forecast incorporates a delayed recovery in the North American market for the wireless systems business and the impact of higher component prices, with profit expected to decline from the previously announced forecast.
The company is pursuing structural reforms under VISION2030, including workforce optimisation following its withdrawal from healthcare and the consolidation and closure of overseas sites. From the second half onward, it aims to build its order backlog on the assumption that its domestic products and entertainment businesses will remain solid, including through the launch of a slim model of the VP8000.
As part of shareholder returns, the company has completed its share buyback and expects a total payout ratio of approximately 40%.