Shima Seiki Mfg., Ltd. (TSE:6222) has revised its earnings forecast for the fiscal period ending March 31, 2026, citing production adjustments and losses on investment securities.
| Item | Before | After | Change |
|---|---|---|---|
| Revenue | 33,000 | 33,500 | +JPY 0.5bn (1.5%) |
| Operating Profit | △1,300 | △1,720 | △JPY 0.42bn (-32.3%) |
| Ordinary Income | 200 | 280 | +JPY 0.08bn (40.0%) |
| Net Profit | 1,300 | 850 | △JPY 0.45bn (-34.6%) |
| EPS | 38.28 | 25.03 | △JPY 13.25/share (-34.6%) |
The company attributed the downward revision in operating profit to production adjustments resulting from the delayed deployment of cost-performance model machines, which led to a decline in gross margin. Ordinary income was revised upward due to increased foreign exchange gains and other non-operating items. Net profit was reduced due to the recognition of investment securities valuation losses as extraordinary items.
Investors should monitor the progress of production adjustments and the potential impact of valuation losses on future results. The revision highlights the company’s exposure to both operational and market-related risks.