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NITTO DENKO shares fall sharply as profit-taking overshadows positive outlook
NITTO DENKO CORPORATION <6988> shares fell sharply. The company announced its consolidated financial results for the fiscal year ending March 2026 after trading on the 27th. Revenue reached 1,028,100,000,000 yen (up 1.4% year-on-year), while operating profit totaled 183,615,000,000 yen (down 1.1% year-on-year). Production volumes of IT equipment and high-end smartphones exceeded expectations, driving increased demand for various products including electrically debonding tape for battery fixing and optical films. However, the yen's appreciation also contributed to reduced profits.
For the fiscal year ending March 2027, NITTO DENKO forecasts revenue of 1,065,000,000,000 yen (up 3.6% year-on-year) and operating profit of 193,000,000,000 yen (up 5.1% year-on-year). The dividend forecast is 64 yen (compared to 60 yen in the previous period). Although the company indicated an outlook to achieve record operating profit for the first time in two fiscal years, profit-taking appears to dominate trading in the near term on views that the news has been fully priced in.
Source: MINKABU PRESS
*Translated by generative AI. Click here for the original article.
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