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DVx shares fall back as product mix shift raises cost ratio, causing March 2026 operating profit to miss guidance

Tue Apr 21, 2026 10:02 am JST Catalyst

Shares of DVx INC. <3079> retreated on 21st after the company released a disappointing preliminary earnings report for the fiscal year ending March 2026. Disclosed after the market close on 20th, the results revealed an operating profit of 279 million yen, reflecting a sharp 48.0% year-on-year decline that severely missed the 581 million yen target. The bottom line also suffered, with net profit plunging 53.9% to 189 million yen compared to the anticipated 395 million yen, sparking a sell-off as market sentiment soured.

Despite a top-line beat?with sales climbing 11.3% year-on-year to 55.989 billion yen, easily clearing the 51.956 billion yen guidance on robust sales efforts?profit margins were heavily squeezed by a rapid shift in the product mix. The faster-than-anticipated market penetration of Pulsed Field Ablation (PFA) technology for atrial fibrillation treatment triggered a sudden demand shift in DVx's core arrhythmia segment, driving up the cost-of-sales ratio. Earnings were further eroded by inflationary pressures on general expenses and elevated investments in human capital, including higher outsourcing and recruitment costs incurred to support future expansion.

Source: MINKABU PRESS

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

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