TOKYO, May 12 (Pulse News Wire) – KEL Corporation (6919.T) reported its consolidated earnings results for the fiscal year ending March 31, 2026, which fell short of previous forecasts released on February 6, 2026. Sales revenue exceeded expectations, reaching ¥12.8 billion compared to the forecasted ¥12.8 billion.
However, operating profit declined to ¥2.95 billion from the estimated ¥3.3 billion due to rising raw material costs and delayed production efficiency improvements at the Chinese factory. Additionally, extraordinary losses totaling ¥40 million were incurred due to quality issues identified in some products, leading to repair and related expenses.
On the cost side, increased investment in research and development for future product innovations, establishment of new domestic bases, and equipment investments associated with the Chinese factory contributed to higher depreciation and selling expenses. Despite strong performance in medical and imaging device connectors, sales in automotive and communication sectors saw a decline, impacting overall profitability.
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