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FLECT, Ordinary Profit Forecast for the Fiscal Year Revised Downward by 16%
4414 FLECT Co., Ltd. 【J-GAAP】
Earnings ReportFLECT Co., Ltd. <4414> [TSE Growth] announced its financial results after the market closed on February 5th (16:00). The ordinary profit (non-consolidated) for the cumulative third quarter of the fiscal year ending March 2026 (April to December) was 0.79 billion yen, a 2.7% increase compared to the same period last year.
However, the full-year forecast for ordinary profit has decreased 15.6%, from the previous forecast of 1.42 billion yen to 1.20 billion yen (compared to 1.08 billion yen in the previous period), leading to a reduction in the profit growth rate from 31.7% to 11.2%.
Based on the full-year plan announced by the company after the downward revision, our estimate of the ordinary profit for the October to March period (second half) has decreased 22.0%, from the previous forecast of 1.00 billion yen to 0.78 billion yen (compared to 0.65 billion yen in the same period of the previous year), leading to a reduction in the profit growth rate from 54.3% to 20.3%.
In the most recent three-month period, from October to December (3Q), the ordinary profit grew 9.6% from the same period last year, reaching 0.37 billion yen. The operating profit margin rose from 16.6% in the same period last year to 17.5%.
Kabutan News
Actual Results
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Progress Rate vs. First Half | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Apr - Dec, 2023 | 4,925 | 542 | 538 | 367 | 61.4 | 71.6 | Feb 6, 2024 | J-GAAP |
| Apr - Dec, 2024 | 5,979 | 774 | 769 | 467 | 77.2 | 71.1 | Feb 6, 2025 | J-GAAP |
| Apr - Dec, 2025 | 5,968 | 791 | 790 | 474 | 77.3 | 65.7 | Feb 5, 2026 | J-GAAP |
| YoY | -0.2% | +2.2% | +2.7% | +1.5% | +0.1% |
Guidance Update
Second Half Update
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Adj. Dividend | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Oct - Mar, 2025 Prev | 5,787 | 1,015 | 1,009 | 613 | 99.7 | 0 | Nov 13, 2025 | J-GAAP |
| Oct - Mar, 2025 New | 4,424 | 790 | 787 | 394 | 64.1 | 0 | Feb 5, 2026 | J-GAAP |
| Revision Rate | -23.6% | -22.2% | -22.0% | -35.7% | -35.7% |
Full Year Update
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Adj. Dividend | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Mar, 2026 Prev | 9,600 | 1,429 | 1,424 | 863 | 140.4 | 0 | May 8, 2025 | J-GAAP |
| Mar, 2026 New | 8,237 | 1,204 | 1,202 | 644 | 104.8 | 0 | Feb 5, 2026 | J-GAAP |
| Revision Rate | -14.2% | -15.7% | -15.6% | -25.4% | -25.4% |
Current Period Guidance
Second Half Results
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Adj. Dividend | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Oct - Mar, 2024 | 4,040 | 654 | 654 | 463 | 76.4 | 0 | May 8, 2025 | J-GAAP |
| Oct - Mar, 2025 Guidance | 4,424 | 790 | 787 | 394 | 64.1 | 0 | Feb 5, 2026 | J-GAAP |
| YoY | +9.5% | +20.8% | +20.3% | -14.9% | -16.1% |
Current Period Guidance
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Adj. Dividend | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Mar, 2024 | 6,928 | 757 | 751 | 440 | 73.4 | 0 | May 13, 2024 | J-GAAP |
| Mar, 2025 | 7,949 | 1,085 | 1,081 | 720 | 118.8 | 0 | May 8, 2025 | J-GAAP |
| Mar, 2026 Guidance | 8,237 | 1,204 | 1,202 | 644 | 104.8 | 0 | Feb 5, 2026 | J-GAAP |
| YoY | +3.6% | +11.0% | +11.2% | -10.6% | -11.8% |
Quarterly Results
| Fiscal Year | Revenue | Operating Profit | Ordinary Profit | Net Profit | Adj. EPS | Operating Profit Margin | Announce | Accounting Standards |
|---|---|---|---|---|---|---|---|---|
| Oct - Dec, 2024 | 2,070 | 343 | 342 | 210 | 34.7 | 16.6 | Feb 6, 2025 | J-GAAP |
| Jan - Mar, 2025 | 1,970 | 311 | 312 | 253 | 41.8 | 15.8 | May 8, 2025 | J-GAAP |
| Apr - Jun, 2025 | 1,809 | 117 | 117 | 71 | 11.7 | 6.5 | Aug 7, 2025 | J-GAAP |
| Jul - Sep, 2025 | 2,004 | 297 | 298 | 179 | 29.2 | 14.8 | Nov 13, 2025 | J-GAAP |
| Oct - Dec, 2025 | 2,155 | 377 | 375 | 224 | 36.5 | 17.5 | Feb 5, 2026 | J-GAAP |
| YoY | +4.1% | +9.9% | +9.6% | +6.7% | +5.2% |
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