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Kurogane Kosakusho forecasts ¥180 million operating loss, raises net profit view

Thu, Oct 15, 2026 15:30 JST Kurogane Kosakusho (7997.T) Office furniture 中文

Kurogane Kosakusho (7997) cut its sales forecast for the year ending November 2026 by 9.9% to ¥6.71 billion and now expects an operating loss of ¥180 million instead of a ¥70 million profit, while raising its net profit forecast to ¥120 million from ¥90 million on an expected gain of about ¥202 million from selling shareholdings.

Revised sales forecast¥6.71 billion (prev. ¥7.45 billion)
Revised operating forecastLoss of ¥180 million (prev. ¥70 million profit)
Revised net profit forecast¥120 million (prev. ¥90 million)
Expected gain on securities saleAbout ¥202 million
ItemPreviousRevisedFY2025 actual
Net sales¥7.45 billion¥6.71 billion¥6.34 billion
Operating profit¥70 million-¥180 million-¥122 million
Ordinary profit¥75 million-¥130 million-¥7 million
Net profit*¥90 million¥120 million¥403 million
EPS¥53.92¥71.89¥237.75

*Attributable to owners of the parent. Consolidated, Dec. 1, 2025-Nov. 30, 2026.

The company said orders and sales of some custom-made enclosure products for ATMs and other uses fell sharply, while office furniture sales rose on strong new inquiries, particularly in the Tokyo metropolitan area. In building equipment, sales of its mainstay clean air-conditioning units for hospital operating rooms declined, and production of air-conditioning equipment for factories fell short of plan.

Lower output reduced factory utilization and pushed down the gross margin, even as selective order-taking improved per-project margins for its suspended sliding door product for medical and welfare facilities.

The higher net profit forecast reflects a planned sale of two listed stocks, announced the same day, aimed at reducing strategic shareholdings under the Corporate Governance Code and strengthening its financial position. The expected gain of about ¥202 million is calculated from current share prices and may change. The year-end dividend forecast is unchanged at ¥40 per share, comprising a ¥20 ordinary dividend and a ¥20 special dividend.

For the nine months through Aug. 31, 2026, sales fell 3.3% to ¥4.55 billion. The operating loss widened to ¥230 million from ¥102 million a year earlier, and the company posted a net loss of ¥129 million versus a net profit of ¥177 million.

The share sale is scheduled to run for about one month from Oct. 16, 2026. The fiscal year ends Nov. 30, 2026.


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