Chuo Hatsujo revised down its current-year ordinary profit forecast, substantially lowering its full-year outlook. Cumulative second-quarter results fell sharply year on year, and the outlook for the second half also became more challenging.
Chuo Hatsujo announced consolidated ordinary profit of ¥700 million for the cumulative second quarter (April-September) of the fiscal year ending March 2027, down 64.2% year on year. The company was unable to maintain the strength of its sales and operating profit, and ordinary profit declined sharply.
The full-year ordinary profit forecast was revised down 38.7%, from the previous forecast of ¥3.75 billion to ¥2.3 billion, and is expected to decline substantially from the previous fiscal year. The decline rate is expected to expand from 16.6% to 48.8%.
Based on first-half results and the previous forecast, consolidated ordinary profit for the second half is estimated at ¥1.6 billion, down 37.0% year on year.
The operating profit margin on sales for the July-September quarter, the latest three-month period, deteriorated to 1.3% from 3.2% in the same period of the previous year.
The current-year earnings forecast also includes a substantial reduction in net income for the fiscal year ending March 2027. Adjusted earnings per share is ¥69.4 and the dividend is ¥90, both based on the revised figures.