Himaraya revises forecasts down, records extraordinary loss

Himaraya will record an extraordinary loss of JPY 316 million for the fiscal year ending August 2025 due to impairment losses on fixed assets for some stores. This reflects a decline in profitability amidst the current business environment.

Concurrently, the company has revised its consolidated earnings forecast for the fiscal year ending August 2025. Sales are now projected at JPY 60,447 million, down from JPY 61,390 million. Operating profit is revised to JPY 285 million from JPY 867 million, and ordinary profit to JPY 382 million from JPY 1,000 million. Profit attributable to owners of parent is significantly reduced to JPY 11 million from JPY 400 million, leading to a revised EPS of JPY 0.90 per share from JPY 32.47.

The revisions are attributed to slower-than-expected recovery in demand for camping goods and climate change impacts on seasonal products, which have affected sales. Profitability has been further impacted by delayed improvement in gross profit margins due to overall market inventory surplus, increased selling, general, and administrative expenses, and the aforementioned extraordinary loss.