KONAKA cut its full-year earnings forecast for the fiscal year ended September 2026. Consolidated ordinary profit turned from the previous forecast of a profit to a loss, and the second half is also expected to be loss-making. The main factor was said to be a decline in sales caused by natural disasters, including earthquakes, torrential rain and prolonged rain, as well as unsettled weather.
KONAKA revised its consolidated ordinary profit and loss forecast for the fiscal year ended September 2026 from the previously forecast profit to a loss, and the current outlook shows a wider loss than in the previous fiscal year. The previous fiscal year also recorded a loss.
For the second half of the current fiscal year, consolidated ordinary profit and loss for April-September was also revised down from the previously forecast loss of ¥540 million to a loss of ¥1.8 billion. The same period of the previous year recorded a loss of ¥2.1 billion.
The reasons for the revision include store closures following the expiration of contracts, optimization of the store network through the consolidation and closure of nearby stores, and a decline in sales associated with the disposal of unprofitable stores by Samantha Thavasa Japan Limited. Also cited were lower customer visits caused by natural disasters such as earthquakes, torrential rain and typhoons, as well as prolonged rain and unsettled weather. The recording of extraordinary gains and the occurrence of extraordinary losses also had an impact.