KTC Co., Ltd. Revises Earnings — Revenue Falls but Consolidated Net Profit Rises 57.7%

KTC Co., Ltd. (TSE:59660) revised its earnings forecast for FY2026 (ending March 2026). While consolidated revenue was cut due to weaker tool sales and a product recall, operating and net profits were raised sharply as accounting investigation costs came in below plan.

Consolidated (百万円)

Item Before After Change
Revenue JPY 8.60bn JPY 8.15bn △JPY 450m (△5.2%)
Operating Profit JPY 570m JPY 640m +JPY 70m (+12.3%)
Ordinary Income JPY 620m JPY 700m +JPY 80m (+12.9%)
Net Profit JPY 260m JPY 410m +JPY 150m (+57.7%)
EPS JPY 107.60 JPY 169.68 +JPY 62.08 (+57.7%)

Non-Consolidated / Individual (百万円)

Item Before After Change
Revenue JPY 8.20bn JPY 7.80bn △JPY 400m (△4.9%)
Operating Profit JPY 630m JPY 700m +JPY 70m (+11.1%)
Ordinary Income JPY 680m JPY 760m +JPY 80m (+11.8%)
Net Profit JPY 330m JPY 210m △JPY 120m (△36.4%)
EPS JPY 136.57 JPY 86.91 △JPY 49.66 (△36.4%)

The company cited a decline in sales from the tool business in the retail and direct sales channels, along with the impact of voluntary recalls of its strategic product, the digital torque wrench, as reasons for the downward revision in individual results.

The revision reflects adjustments to financial statements, including lower-than-expected costs related to an accounting investigation and measures to prevent recurrence, which led to an upward revision in consolidated net profit. However, individual results were adjusted downward due to provisions for bad debt and impairment losses related to Northland KTC. Investors should note that the revisions reflect strategic decisions and financial adjustments, impacting both consolidated and individual performance metrics.

Source: Original filing (TDnet) | 日本語版

This article is for informational purposes only and does not constitute investment advice. Always verify against the original filing.