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Suminoe drops for second day after cutting FY26 earnings, dividend guidance

Mon Apr 13, 2026 9:28 am JST Catalyst

Suminoe Co., Ltd. <3501> shares extended their decline. Following the market close on the 10th last week, the company downgraded its consolidated earnings guidance for the fiscal year ending May 2026, cutting its operating profit target to \2.2 billion from \3.1 billion (down 26.7% year-on-year) and net profit to \400 million from \1.5 billion (down 40.3% year-on-year). The company also slashed its year-end dividend forecast to \18.50 from \21.50 (for an annual dividend of \40), weighing on the stock.

Suminoe raised its revenue guidance to \106 billion from \105 billion (up 1.2% year-on-year), as both its interior and automotive/vehicle interior businesses are progressing largely as planned. However, its profit outlook has been squeezed by fluctuating automaker production schedules at North and Central American bases, deteriorating production efficiency tied to increased orders from new clients, and delays in passing on surging raw material costs amid Middle East tensions. Additionally, corporate tax expenses are expected to exceed initial projections.

Suminoe also announced its results for the first nine months (June 2025 to February 2026), reporting revenue of \79.091 billion (up 3.1% year-on-year), operating profit of \1.315 billion (down 11.8% year-on-year), and a net loss of \30 million (swinging from a net profit of \85 million in the same period last year).

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.

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