Tokai Senko revises full-year earnings forecast up on investment sale gain

Tokai Senko K.K. reported an extraordinary gain of JPY 50 million from the sale of one listed investment security during the second quarter of the fiscal year ending March 31, 2026. This sale aligns with the company's capital strategy to reduce policy-held shares and enhance asset efficiency.

Despite this positive, the company’s Q2 consolidated sales and operating profit are expected to be lower than initially forecast due to reduced sales volumes in domestic dyeing and finishing operations. However, the extraordinary gain is set to elevate the Q2 net profit attributable to parent company shareholders above original expectations.

Consequently, the revised full-year consolidated forecast for the fiscal year ending March 31, 2026, now projects a net profit attributable to parent company shareholders of JPY 100 million, a 100% increase from the previous forecast of JPY 50 million. Full-year sales and operating profit are still anticipated to be below prior estimates.