Medical Net Reports FY26 Earnings Miss Estimates Due to Currency Fluctuations

TOKYO, Jul 15 (Pulse News Wire) – Medical Net,inc. (3645.T) reported its fiscal year 2026 earnings, which showed significant differences compared to previously published estimates.

Revenue exceeded forecasts due to strong sales performance by subsidiary Okamura Corporation in dental equipment materials and pharmaceuticals. However, operating profit fell short of expectations due to lower profitability in the dental wholesaling sector despite increased revenue from new services such as Dentwave Prime and marketing support for dental-related enterprises.

Currency fluctuations led to an unexpected foreign exchange gain of ¥84.9 million, boosting extraordinary income and overall net profit. Despite this, individual item profits declined significantly compared to the previous fiscal year, primarily due to reduced advertising revenues from existing media platforms and the closure of beauty portal sites.

In addition, the company noted that individual item earnings for the fiscal year ended May 31, 2026, saw a substantial decrease in operating profit and net income compared to the prior year, largely attributed to higher provisions for bad debts and impairment losses on related company shares in the previous fiscal year.