On 9 November, ゼネテック sharply downwardly revised its first-half ordinary profit forecast from the previous forecast and also cut its full-year outlook. Ordinary profit for April-September was revised to ¥37 million, a substantial decline from the same period a year earlier, while the full-year forecast was also revised to ¥649 million.
ゼネテック downwardly revised consolidated ordinary profit for the cumulative second quarter of the fiscal year ending March 2027 (April-September) from the previous forecast of ¥65 million to ¥37 million. Ordinary profit was ¥163 million in the same period a year earlier, so the downward revision was substantial, and the rate of decline is expected to widen.
Following this deterioration, the first-half earnings outlook was revised, and full-year ordinary profit was also downwardly revised from the previous forecast of ¥659 million to ¥649 million. The previous year's result was ¥824 million, indicating that full-year profit is also expected to decline.
The reasons cited for the revision include changes in the distribution structure and lower utilization rates in the engineering solutions business, as well as higher personnel expenses, increased depreciation and amortization associated with the introduction of SAP, and costs associated with the introduction of a defined contribution pension plan.