Iwatsuka Confectionery Co., Ltd. (TSE:2221) revised its earnings forecast for the full fiscal year ending March 2026, citing improved profitability despite challenging raw material costs.
| Item | Before | After | Change |
|---|---|---|---|
| Revenue | JPY 29.0bn | JPY 28.8bn | -0.7% |
| Operating Profit | JPY 300M | JPY 850M | +183.3% |
| Ordinary Income | JPY 2.20bn | JPY 2.85bn | +29.5% |
| Net Profit | JPY 1.60bn | JPY 2.00bn | +25.0% |
| EPS | JPY 15520.00/share | JPY 19448.00/share | +JPY 3928.00/share |
The company attributed the upward revision in operating profit to effective cost management and strong performance from its flagship products, which contributed to an operating profit of JPY 845M in the third fiscal quarter. However, the full-year revenue forecast was slightly lowered due to expected declines in production and sales volume in the fourth quarter, alongside rising raw material costs.
The revision reflects management’s confidence in its ability to mitigate the impact of inflationary pressures through strategic adjustments in product mix and operational efficiency. While revenue is projected to remain in line with initial expectations, the significant increase in operating profit highlights improved cost control and pricing power.