kabutan

KOA CORPORATION shares plunge on forecast of operating profit decline for fiscal year ending March 2027 due to soaring precious metal prices

Mon Apr 27, 2026 9:38 am JST Catalyst

KOA CORPORATION <6999> shares plunged. After the close of trading on the 24th last week, KOA announced its consolidated earnings forecast for the fiscal year ending March 2027, projecting sales of 77.4 billion yen (up 7.1% year-on-year) and operating profit of 2.83 billion yen (down 22.4% year-on-year). The forecast indicates a shift to declining profit from the previous year, triggering selling pressure.

While robust demand for automotive and AI-related equipment is expected to provide tailwinds, rising raw material costs due to soaring precious metal prices are anticipated to weigh on profitability. The company noted that the impact of the Middle East situation, including the closure of the Strait of Hormuz, is not factored into the earnings forecast. The dividend forecast was set at 39 yen (compared to 32 yen in the previous year). Meanwhile, the company's fiscal year ended March 2026 results, announced simultaneously, showed sales of 72.287 billion yen (up 12.7% year-on-year) and operating profit of 3.646 billion yen (3.1 times the previous year).

Source: MINKABU PRESS

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

Related Articles