IRISO ELECTRONICS sharply extends losses to new year-to-date low as company forecasts 36% drop in operating profit for FY3/2027

IRISO ELECTRONICS CO., LTD. <6908> sharply reversed course, falling to a new year-to-date low. IRISO ELECTRONICS manufactures and sells connectors for automotive, consumer, and industrial applications. After market close on Sep 30, IRISO ELECTRONICS disclosed its full-year earnings forecast for the fiscal year ending Mar 2027, alongside consolidated financial results for the fiscal year ended Mar 2026. IRISO ELECTRONICS projected net sales of 67 billion yen (up 8.1% year-on-year), operating profit of 3.5 billion yen (down 35.6%), and net profit of 1.6 billion yen (down 37.3%), drawing selling pressure.

Regarding the market environment, IRISO ELECTRONICS expects the consumer market to face challenging conditions as sluggish demand for gaming consoles continues. Meanwhile, the mobility market is projected to benefit from a rising share of xEVs, with infotainment sales expected to grow on increasing demand for high-speed data transmission. The industrial market is also anticipated to see demand recovery from new areas such as energy management and FA equipment.

For the fiscal year ended Mar 2026, IRISO ELECTRONICS reported net sales of 61.96 billion yen (up 9.9% from the prior fiscal year), operating profit of 5.44 billion yen (down 0.2%), and net profit of 2.55 billion yen (up 1.6%). IRISO ELECTRONICS resolved on Apr 27 to establish a third-party committee following concerns over improper monetary disbursements at an overseas unit, subsequently conducting an investigation. The process of preparing amended financial statements, securities reports, and other documents for prior fiscal years based on investigation findings required significant time, delaying disclosure of the earnings report by more than 50 days after the fiscal year-end.

Source: MINKABU PRESS

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