Cawachi revises forecasts, announces special 65th anniversary dividend

Cawachi Limited announced revisions to its full-year consolidated earnings forecast for the fiscal year ending March 2026, lowering net sales to JPY287,000 million (from JPY292,000 million) and operating profit to JPY6,000 million (from JPY7,800 million). This adjustment, made on October 29, 2025, accounts for lower-than-planned sales in the interim period, attributed to declining consumer sentiment, increased competition, and the inability to fully absorb gross profit shortfalls despite reduced selling, general, and administrative expenses.

In conjunction with the earnings revision, the company also amended its year-end dividend forecast for the fiscal year ending March 2026. The new forecast includes an ordinary dividend of JPY80.00 per share and an additional JPY20.00 per share as a 65th-anniversary commemorative dividend, totaling JPY100.00 per share. This special dividend underscores the company's commitment to shareholder returns while maintaining internal reserves for future growth.

For the first half of the fiscal year ending September 15, 2025, consolidated operating results show net sales of JPY145,357 million, down 1.4% year-on-year, and operating profit of JPY3,209 million, a decrease of 21.9%. Net assets per share as of September 15, 2025, were JPY5,152.27.