KOHOKU KOGYO substantially raised its current-year ordinary profit forecast, lifting its full-year earnings outlook to a record-high level. The outlook reflects first-half results and the plan for the second half.
KOHOKU KOGYO announced its results after the market close on 6 August, reporting consolidated ordinary profit of ¥3.15 billion for the cumulative second quarter of the fiscal year ending December 2026, up 2.4 times from the previous fiscal year.
The full-year ordinary profit forecast was revised upward from the previous ¥5.24 billion to ¥6.88 billion, with the projected growth rate improving substantially from the previous forecast of 15.4% to 51.5%.
For the second-half outlook, the company said it expects favorable conditions in the market for capacitors used in AI servers to benefit its lead terminal business, while increased orders related to submarine cables are expected to benefit its optical components and devices business. It forecasts both businesses to exceed the assumptions made at the start of the fiscal year.
In the most recent three-month period, consolidated ordinary profit for April–June rose 83.1% year on year to ¥1.82 billion, while the operating margin improved from 26.5% to 31.6%.
The company prepared its earnings forecast based on an assumed exchange rate of ¥160 to the US dollar for the current fiscal year.