NFK Holdings Subsidiary Castrico Revises FY26 Forecast, Reports Expected Special Loss

TOKYO, Apr 30 (Pulse News Wire) – NFK Holdings Co.,ltd (6695.T) announced today that its subsidiary, Castrico Co., Ltd. (TSE: 6,695), revised its fiscal year 2026 earnings forecast and reported an expected special loss.

The revision was based on recent performance trends and reflects changes in sales projections and profitability metrics. Castrico's board meeting held on April 30 decided to revise the previously disclosed forecasts for the fiscal year ending March 31, 2026. According to the updated figures, the company now expects: - Sales: ¥1.426 billion (up from ¥1.264 billion) - Operating profit: ¥102 million (up from ¥38 million) - Ordinary profit: ¥99 million (up from ¥34 million) - Net income per share: ¥--¥19.9 million (down from ¥10.90) The adjustments reflect a positive outlook for product orders but also account for increased personnel costs and rising material expenses. Despite these challenges, revenue growth is anticipated to boost operating and ordinary profits. However, due to planned asset impairment related to the discontinuation of a digital transformation initiative, net income is projected lower than initially estimated.

Additionally, Castrico anticipates recognizing a special loss of ¥164 million in the fiscal year 2026. This decision stems from a thorough review of the DX project’s future viability, leading to the conclusion that sustaining the venture would not meet initial revenue targets. As a result, the company plans to write down assets associated with the DX effort, such as tablet devices. Management emphasized that this restructuring is a one-time measure aimed at minimizing long-term losses and limiting impact on the core electronics business. Further updates on the implications for consolidated group results will be communicated as available.