SHANON announced consolidated net income of ¥390 million for the current fiscal year to date and raised its full-year net profit forecast 2.1x, from the previous ¥280 million to ¥600 million. Consolidated net profit for the latest April-June quarter was ¥230 million.
SHANON released its earnings results after the market close on 14 August, reporting consolidated net income of ¥390 million for the six months through the second quarter of the fiscal year ending December 2026. It raised its full-year consolidated earnings forecast from the previous ¥280 million to ¥600 million, further increasing its record-high net profit forecast.
Consolidated net profit for the latest three-month period, April-June, was ¥230 million. The irregular fiscal period in the fiscal year ended December 2019 is excluded from year-on-year comparisons. The company released its earnings summary PDF, citing a management strategy focused on profitability, the restructuring of unprofitable businesses and the optimization of selling, general and administrative expenses as reasons for the revision.
The company expects to reduce cost of sales by approximately ¥110 million and selling, general and administrative expenses by approximately ¥40 million through productivity improvements, reductions in procurement and outsourcing costs, a review of advertising expenses and lower enterprise taxes resulting from a capital reduction. As a result, operating profit, ordinary profit and net income attributable to owners of the parent are expected to exceed the previous forecasts.
Under the current-year earnings forecast, sales remain unchanged at ¥3,000 million, while net profit has been raised from the previous ¥289 million to ¥600 million. The revision is stated as 2.1x. The outlook for the second half includes sales of ¥1,559 million and net profit of ¥204 million.