Uematsu Shokai revises down Q2 forecast amid client caution

Uematsu Shokai announced a downward revision to its interim financial forecast for the fiscal year ending March 31, 2026. This revision, based on recent business trends, updates the forecast initially released on April 24, 2025.

The company's revised forecast for the second quarter (interim period from March 21, 2025, to September 20, 2025) projects net sales of 3,287 million yen, down from the previous forecast of 3,414 million yen. Operating profit is now expected to be 20 million yen (previously 37 million yen), ordinary profit 68 million yen (previously 82 million yen), and interim net profit 45 million yen (previously 57 million yen). This translates to a decrease in interim net profit per share from 25 yen 46 sen to 20 yen 35 sen.

The adjustment is primarily attributed to a cautious stance from key manufacturing clients regarding inventory adjustments and capital expenditure, influenced by concerns such as potential tariffs. While Uematsu Shokai endeavored to control selling, general, and administrative expenses, the decline in revenue resulted in a reduction in gross profit, which was insufficient to offset the drop in operating, ordinary, and interim net profits. The full-year forecast remains unchanged at this time, with further revisions to be considered based on market and external environmental changes.