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West Holdings, Ordinary Profit Forecast for the Fiscal Year Revised Downward to an Unexpected 25% Decrease
1407 West Holdings corporation 【J-GAAP】
Earnings ReportWest Holdings corporation <1407> [TSE Std] announced its financial results in the morning on July 15th (10:00). The consolidated ordinary profit for the cumulative third quarter of the fiscal year ending August 2025 (September 2024 to May 2025) significantly dropped 55.5% from the same period last year to 1.58 billion yen.
In addition, the full-year forecast for consolidated ordinary profit has decreased 37.1%, from the previous forecast of 11.9 billion yen to 7.50 billion yen (compared to 9.95 billion yen in the previous period). This changes the outlook from an anticipated profit increase to a projection of a 24.7% decrease in profit.
Based on the full-year plan announced by the company after the downward revision, our estimate of the consolidated ordinary profit for the March to August period (second half) has decreased 40.9%, from the previous forecast of 10.8 billion yen to 6.38 billion yen (compared to 7.38 billion yen in the same period of the previous year). This changes the outlook from an anticipated profit increase to a projection of a 13.5% decrease in profit.
In the most recent three-month period, from March to May (3Q), the consolidated ordinary profit significantly dropped to 0.47 billion yen, a 52.4% decrease compared to the same period last year. The operating profit margin significantly dropped from 13.1% in the same period last year to 8.2%.
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Actual Results
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Progress Rate vs. First Half | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Sep - May, 2022 | 26,261 | 4,327 | 3,924 | 2,977 | 73.2 | 49.2 | Jul 14, 2023 | J-GAAP |
| Sep - May, 2023 | 29,708 | 4,197 | 3,562 | 2,595 | 64.0 | 35.8 | Jul 12, 2024 | J-GAAP |
| Sep - May, 2024 | 22,001 | 2,022 | 1,585 | 775 | 19.6 | 21.1 | Jul 15, 2025 | J-GAAP |
| YoY | -25.9% | -51.8% | -55.5% | -70.1% | -69.4% |
Guidance Update
Second Half Update
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Adj. Dividend | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Mar - Aug, 2025 Prev | 41,550 | 11,783 | 10,809 | 7,464 | 188.2 | 65 | Apr 14, 2025 | J-GAAP |
| Mar - Aug, 2025 New | 30,132 | 7,262 | 6,388 | 4,454 | 112.3 | 65 | Jul 15, 2025 | J-GAAP |
| Revision Rate | -27.5% | -38.4% | -40.9% | -40.3% | -40.3% |
Full Year Update
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Adj. Dividend | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Aug, 2025 Prev | 56,418 | 13,221 | 11,921 | 8,010 | 202.0 | 65 | Oct 15, 2024 | J-GAAP |
| Aug, 2025 New | 45,000 | 8,700 | 7,500 | 5,000 | 126.1 | 65 | Jul 15, 2025 | J-GAAP |
| Revision Rate | -20.2% | -34.2% | -37.1% | -37.6% | -37.6% |
Current Period Guidance
Second Half Results
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Adj. Dividend | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Mar - Aug, 2024 | 30,475 | 7,684 | 7,388 | 4,893 | 121.3 | 65 | Oct 15, 2024 | J-GAAP |
| Mar - Aug, 2025 Guidance | 30,132 | 7,262 | 6,388 | 4,454 | 112.3 | 65 | Jul 15, 2025 | J-GAAP |
| YoY | -1.1% | -5.5% | -13.5% | -9.0% | -7.4% |
Current Period Guidance
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Adj. Dividend | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Aug, 2023 | 43,734 | 8,499 | 7,972 | 6,016 | 148.0 | 55 | Oct 13, 2023 | J-GAAP |
| Aug, 2024 | 50,390 | 10,597 | 9,956 | 6,757 | 167.5 | 65 | Oct 15, 2024 | J-GAAP |
| Aug, 2025 Guidance | 45,000 | 8,700 | 7,500 | 5,000 | 126.1 | 65 | Jul 15, 2025 | J-GAAP |
| YoY | -10.7% | -17.9% | -24.7% | -26.0% | -24.7% |
Quarterly Results
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Operating Profit Margin | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Mar - May, 2024 | 9,793 | 1,284 | 994 | 731 | 18.0 | 13.1 | Jul 12, 2024 | J-GAAP |
| Jun - Aug, 2024 | 20,682 | 6,400 | 6,394 | 4,162 | 103.2 | 30.9 | Oct 15, 2024 | J-GAAP |
| Sep - Nov, 2024 | 5,265 | 221 | 105 | -122 | -3.1 | 4.2 | Jan 14, 2025 | J-GAAP |
| Dec - Feb, 2024 | 9,603 | 1,217 | 1,007 | 668 | 16.9 | 12.7 | Apr 14, 2025 | J-GAAP |
| Mar - May, 2025 | 7,133 | 584 | 473 | 229 | 5.8 | 8.2 | Jul 15, 2025 | J-GAAP |
| YoY | -27.2% | -54.5% | -52.4% | -68.7% | -67.9% |
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