Poplar Co., Ltd. Revises Earnings Forecast — Net Profit Down 45.7%

Poplar Co., Ltd. (TSE:7601) revised its earnings forecast for the fiscal year ending February 2026, citing weaker-than-expected performance in its core business and increased costs.

Item Before After Change
Revenue JPY 11.5bn JPY 11.7bn +1.4%
Operating Profit JPY 373M JPY 302M -19.0%
Ordinary Income JPY 373M JPY 305M -18.2%
Net Profit JPY 247M JPY 134M -45.7%
EPS JPY 18.05/share JPY 8.45/share -53.2%

The company cited challenges in its flagship "Poplar Living Color" business, where customer numbers fell below prior-year levels from September onward due to competition. Additionally, rising material and logistics costs, along with upfront expenses for new freezing equipment, contributed to the downward revision. The firm also adjusted its tax estimates based on lower-than-expected individual performance.

The revised forecast shows a significant drop in operating profit and net profit, driven by higher costs and investment in new facilities. Investors should monitor the company’s ability to offset these pressures and restore profitability in the coming quarters.