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DAISAN plunges to year-to-date low as April 2026 operating profit turns to decline

Wed Jun 3, 2026 9:44 am JST Catalyst

DAISAN CO.,LTD. <4750> plummeted to a fresh year-to-date low on Wednesday. The company announced after the close on June 2 that its full-year earnings for the fiscal year ended April 2026 fell short of prior guidance, with both operating and ordinary profits missing expansion targets to turn into declines, triggering a sell-off.

For the fiscal year ended April 2026, revenue missed the company's previous 11.50 billion yen forecast, coming in at 11.14 billion yen (up 2.8% year-on-year). Operating profit sank 27.5% to 268 million yen against a projected 420 million yen, while net profit dropped 21.8% to 262 million yen, missing the estimated 330 million yen.

While top-line growth progressed steadily, profitability was dragged down by an ahead-of-schedule surge in hiring within the construction services business. Worker outlays also climbed at its Singapore subsidiary due to government regulatory shifts and higher-than-expected dormitory costs. Additionally, SG&A expenses expanded on elevated third-party consulting and structural investigation fees.

Concurrently, Daisan issued its consolidated guidance for the fiscal year ending April 2027. While revenue is projected to rise 7.7% to 12.00 billion yen and operating profit to edge up 4.1% to 280 million yen, net profit is forecast to plunge 50.4% to 130 million yen. The company aims to mitigate persistent labor cost pressures by focusing on margin-focused order pricing in its core division.

Source: MINKABU PRESS

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

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