CEC Raises Full-Year Earnings Forecast on Strong Government Contracts
CEC (TSE:9692) has raised its earnings guidance for the fiscal year ending January 2027, citing robust performance in government-sector projects.
| Item | Before | After | Change |
|---|---|---|---|
| Revenue | JPY 68.0bn | JPY 70.5bn | +3.7% |
| Operating Profit | JPY 7.75bn | JPY 8.32bn | +7.4% |
| Ordinary Income | JPY 7.80bn | JPY 8.42bn | +7.9% |
| Net Profit (Parent) | JPY 5.60bn | JPY 5.90bn | +5.4% |
| EPS | JPY 179.43/share | JPY 191.01/share | +JPY 11.58/share |
The company attributed the upward revision primarily to stronger-than-expected execution in government-sector contracts, with second-half earnings now projected to exceed prior guidance. Revenue is forecast to rise JPY 2.5bn to JPY 70.5bn, while operating profit climbs JPY 570M to JPY 8.32bn. Ordinary income (keijo rieki), a Japan-specific metric encompassing operating profit plus non-operating items, is expected to reach JPY 8.42bn, up JPY 620M. Net profit attributable to parent shareholders is raised JPY 300M to JPY 5.90bn, with earnings per share increasing to JPY 191.01/share from JPY 179.43/share.
The revision signals accelerating momentum in CEC’s public-sector business line, with profit margins expanding across all levels. The company maintained its interim guidance unchanged, indicating that the upside is concentrated in the second half of the fiscal year. For international investors, the ordinary income metric warrants attention, as it includes financial income and expenses that differ from Western operating income definitions. The earnings lift, particularly the 7.4% operating profit growth outpacing the 3.7% revenue increase, suggests operational leverage and cost discipline in the revised period.
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.