Shinyei Kaisha (TSE:3004) has revised its earnings forecast for the fiscal year ending March 2026, projecting a 13.2% year-over-year decline in net profit.
| Item | Before | After | Change |
|---|---|---|---|
| Revenue | JPY 43.0bn | JPY 43.3bn | +0.6% |
| Operating Profit | JPY 1.75bn | JPY 1.65bn | -6.0% |
| Ordinary Income | JPY 1.70bn | JPY 1.73bn | +1.5% |
| Net Profit | JPY 1.55bn | JPY 1.35bn | -13.2% |
| EPS | JPY 396M | JPY 344M | -13.2% |
The revision is attributed to the planned withdrawal and dissolution of a consolidated subsidiary, which is expected to result in a special loss. This, along with changes in tax expenses, is anticipated to lower net profit for the period.
The company cited the consolidation of the subsidiary's business and associated special losses as the primary reason for the downward revision. The impact of these losses is expected to significantly reduce net profit attributable to the parent company.
Investors should note that the revised forecast reflects the impact of the subsidiary's dissolution and associated costs. The decline in net profit and EPS may affect investor sentiment, particularly given the significant percentage change. The company's ability to manage these costs and maintain profitability will be key to future performance.