Furuno Electric raised its full-year earnings forecast for the fiscal year ending February 2027, benefiting from expanded marine business sales. Revenue and profit both increased in the second quarter, and the company now expects both revenue and operating profit to reach record highs in the second half.
Furuno Electric said that revenue increased in the second quarter of the fiscal year ending February 2027, one of the highlights of its results, driven by expanded sales of new vessels and fishing equipment to the Chinese market in its marine business. In its industrial business, sales of ITS and defense equipment expanded, while projects in the education market progressed steadily in its wireless LAN and handheld terminal business. As a result, gross profit increased substantially, and operating profit also grew significantly, offsetting higher selling, general and administrative expenses.
The full-year earnings forecast was revised upward, with demand for new vessels, equipment replacements and maintenance services in the merchant shipping market expected to remain firm. Despite factoring in higher component prices in the second half, the company aims to set new records for both revenue and operating profit. Its foreign exchange sensitivity is estimated at approximately ¥140 million for the US dollar and ¥130 million for the euro.
The revised consolidated earnings forecast calls for revenue of ¥158.0 billion, operating profit of ¥21.0 billion, ordinary profit of ¥22.0 billion and net income of ¥17.0 billion, with annual dividends projected at ¥210 per share. The assumed exchange rates are ¥159 to the US dollar and ¥184 to the euro. Under its growth story for the fiscal year ending March 2031, the company outlined a policy of expanding solution offerings and increasing the weighting of its services business under “Sensing Beyond.”