Komaihaltec shifts to standard market amidst earnings drop

Komaihaltec (TSE:5915) has announced its decision to transition to the Tokyo Stock Exchange Standard Market due to not meeting the requirements for the Prime Market. This strategic shift comes as the company reported a decrease in both revenue and operating profit for the fiscal year ending March 2025. Revenue decreased by 26.8% year-over-year to JPY 40.55 billion, while operating profit saw a steeper decline of 60.1% to JPY 288 million. Net profit attributable to the parent company shareholders, however, increased to JPY 1.27 billion, a 103.8% increase, driven by gains from investment securities sales. The company forecasts further declines in revenue and operating profit for the fiscal year ending March 2026, projecting revenue of JPY 34 billion and operating profit of JPY 90 million. Komaihaltec aims to enhance corporate value through strategic initiatives and improved governance.