WDI revises forecasts down, flags impairment and overseas woes

WDI Corporation is set to record an extraordinary loss of JPY 673 million due to impairment losses on fixed assets related to its stores, following an assessment of their future recoverability. This significant non-operating charge directly impacts the company's profitability.

For the fiscal year ending March 31, 2026, WDI now anticipates net profit attributable to parent company shareholders to be JPY 200 million, a substantial decrease from the previously forecasted JPY 500 million. Despite this, the company's revised sales forecast increased by JPY 1,350 million to JPY 33,850 million, primarily driven by stronger-than-expected performance in its domestic stores.

However, operating profit is now projected at JPY 930 million, down from JPY 1,000 million, and ordinary profit is expected to be JPY 850 million, a reduction from JPY 900 million. These declines are attributed to underperforming overseas operations, which offset the positive domestic sales trend.