Takakita revises down half-year earnings forecasts by up to 87.6%

Takakita Corporation has revised its earnings forecasts for the second quarter of the fiscal year ending March 2026. The revised forecast for net sales is JPY 2,977 million, down JPY 473 million (13.7%) from the previously announced JPY 3,450 million.

Operating profit is now projected at JPY 17 million, a substantial decrease of JPY 120 million (87.6%) from JPY 137 million. Ordinary profit is revised to JPY 40 million, down JPY 117 million (74.5%) from JPY 157 million. Net profit attributable to owners of the parent is now JPY 17 million, a reduction of JPY 84 million (83.2%) from JPY 101 million. This translates to a revised earnings per share of JPY 1.56, down from JPY 8.94.

The company attributes these revisions to a decline in domestic sales due to reduced investment in high-value machinery in the livestock and dairy farming sectors, alongside a general market slowdown despite strong sales in rice farming machinery. Overseas sales also suffered from a decline in demand in the South Korean market. Profitability was further impacted by increased fixed cost burden due to lower production volumes and a higher cost of sales ratio. The full-year earnings and year-end dividend forecasts are currently under review.