ReYuu Japan Inc. Revises Earnings Forecast — Revenue Up, Profit Down

ReYuu Japan Inc. Revises Earnings Forecast — Revenue Up, Profit Down

ReYuu Japan Inc. (TSE:9425) has revised its earnings guidance for the fiscal year ending October 2026, raising revenue expectations while cutting profit forecasts due to planned inventory restructuring costs.

For the full fiscal year, the company lifted revenue guidance by JPY 1.0bn to JPY 8.0bn (14.3% increase), reflecting expanded dealings with major clients and higher transaction volumes. However, operating profit is now forecast at a loss of JPY 140M versus JPY 125M previously, while ordinary income (keijo rieki) is projected to decline to a loss of JPY 158M from JPY 137M. Net profit is expected to fall to a loss of JPY 150M from JPY 85M, with earnings per share deteriorating to negative JPY 22.10/share from negative JPY 12.47/share.

Management attributed the profit downgrade to accelerated inventory optimization efforts. The company is conducting planned inventory clearance to improve capital efficiency and inventory turnover, with total negative impact expanding from approximately JPY 80M to JPY 125M. Approximately JPY 100M of this impact will be absorbed in the second quarter, with the remaining JPY 25M affecting the second half. The company emphasized this represents a continuation of structural inventory improvements rather than new deterioration.

The upside revenue revision signals business momentum, though near-term profitability remains pressured by one-time inventory charges. Management expects the second half to return to operating profitability as inventory normalization completes, positioning the company for improved earnings quality in subsequent periods.

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.