Construction contractor Yamato Co., Ltd. (1967) raised its net profit forecast for the fiscal year ending March 20, 2027 to ¥5.0 billion from ¥4.3 billion and increased its planned year-end dividend to ¥91 per share from ¥77.
Operating profit is now projected at ¥5.3 billion, up 10.4% from the previous forecast of ¥4.8 billion, and ordinary profit at ¥5.8 billion, up 11.5% from ¥5.2 billion. The net profit forecast was raised 16.3%, lifting projected earnings per share to ¥223.32 from ¥192.08. The sales forecast was left unchanged at ¥55.0 billion.
The company cited improved margins on orders received, a lower construction cost ratio, and gains on the sale of investment securities as it reduces its cross-shareholdings.
On a non-consolidated basis, the net profit forecast was raised 45.7% to ¥5.61 billion from ¥3.85 billion, reflecting an extraordinary gain on extinguishment of tie-in shares from the absorption of a wholly owned subsidiary. The company said the merger has no impact on consolidated results.
For the first half ended Sept. 20, sales fell 5.7% to ¥24.91 billion, while operating profit rose 9.3% to ¥2.64 billion and net profit attributable to owners of the parent rose 11.0% to ¥2.43 billion. Orders received declined 7.6% to ¥28.16 billion.
Under its medium-term plan covering the fiscal years ending March 2027 through March 2029, Yamato targets a consolidated payout ratio of 45% and DOE (dividend on equity) of 4.0%. The revised year-end dividend is ¥14 above the initial forecast; the company paid ¥60 per share for the previous fiscal year.
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