Seven Bank Revises Earnings Forecast — Ordinary Income Up 13.5%
Seven Bank (TSE:8410) raised its full-year earnings guidance for the fiscal year ending March 2027, driven by a change in accounting policy for automated teller machine depreciation.
| Item | Before | After | Change | Change % |
|---|---|---|---|---|
| H1 FY2027 (Cumulative) | ||||
| Revenue | JPY 114.0bn | JPY 114.0bn | — | 0.0% |
| Ordinary Income | JPY 13.5bn | JPY 15.5bn | JPY 2.0bn | 14.8% |
| Net Profit | JPY 6.5bn | JPY 8.0bn | JPY 1.5bn | 23.0% |
| EPS | JPY 5.56/share | JPY 6.84/share | JPY 1.28/share | 23.0% |
| Full FY2027 | ||||
| Revenue | JPY 235.5bn | JPY 235.5bn | — | 0.0% |
| Ordinary Income | JPY 29.5bn | JPY 33.5bn | JPY 4.0bn | 13.5% |
| Net Profit | JPY 17.0bn | JPY 20.0bn | JPY 3.0bn | 17.6% |
| EPS | JPY 14.55/share | JPY 17.12/share | JPY 2.57/share | 17.6% |
Seven Bank extended the useful life of its fourth-generation ATMs from five to seven years, effective the first quarter of fiscal 2027. The bank reassessed the machines’ economic useful life following their full deployment, determining that the original depreciation schedule did not align with actual usage patterns and future utilization forecasts. The revision reduces depreciation expense by approximately JPY 1.1bn in the first quarter and JPY 4.0bn for the full year.
The upward revision reflects lower depreciation charges rather than operational improvements. While the accounting change boosts reported profitability, investors should note this is a non-cash benefit stemming from revised asset assumptions, not enhanced business performance. Revenue guidance remains unchanged at JPY 235.5bn.
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.