After the close of trading on 10 November, ＺＯＡ sharply revised its ordinary profit forecast for the first half of the current fiscal year downward, from the previous forecast of ¥240 million to ¥130 million. Ordinary profit was ¥240 million in the same period of the previous year. Although the company expects to sell real estate properties in the second half, it left its full-year ordinary profit forecast unchanged at the previous forecast of ¥500 million.
ＺＯＡ revised its ordinary profit forecast for the first half of the current fiscal year (cumulative second quarter, April–September) from the previous forecast of ¥240 million to ¥130 million. The revision represents a 46.7% decline, and ordinary profit is expected to fall 46.3% on a non-consolidated basis.
One factor was a sharp rise in personal computer prices caused by shortages of components such as memory and higher market prices, which strengthened consumers’ tendency to defer purchases. Internet sales and the real estate business performed well, but were unable to make up for the shortfall in higher-margin areas.
The full-year ordinary profit forecast was left unchanged at the previous forecast of ¥500 million. However, the company said it expects to sell several real estate properties in the second half and will make a timely disclosure if this could cause fluctuations in its performance.
Going forward, attention will focus on the explanation for the performance revision and the extent to which the revised figures affect subsequent earnings.