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Yamada Holdings slashes profit outlook by 62% as it swings to expected annual decline
Yamada Holdings Co., Ltd. <9831> downgraded its consolidated earnings guidance for the fiscal year ending March 2026 after the market close. The company now projects sales of 1,691.0 billion yen (up 3.8% year-on-year), down from an earlier estimate of 1,697.5 billion yen. Operating profit was slashed to 16.1 billion yen (down 62.4% year-on-year) from the previously forecast 48.9 billion yen, pivoting from expected growth to a full-year contraction.
Despite headwinds from rising prices causing consumer thrift in home appliances, Yamada Holdings achieved top-line growth fueled by solid sales of personal computers and mobile phones. However, the bottom line was hammered by strategic inventory clearance aimed at structural reforms, alongside higher upfront expenses for customer acquisition and the fallout from store closures. The company kept its dividend outlook unchanged.
Source: MINKABU PRESS
*Translated by generative AI. Click here for the original article.
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