FinancialNippon Ichi Software
Notice Concerning Revision of Earnings Forecast: Japan
1 Feb 20262 pages~1 min full read
The company has issued a downward revision for the fiscal year ending March 2026, projecting net sales of ¥3,475 million, a 27.2% decline from the previous estimate of ¥4,774 million.
Operating profit is now forecasted at a loss of ¥393 million, representing a significant deterioration from the previously projected loss of ¥81 million.
Earnings per share have been revised downward from an expected profit of ¥6.25 to a loss of ¥0.58.
The primary driver for the poor performance is weaker-than-anticipated sales of new software titles in both domestic and international markets.
Profitability has been further constrained by rising selling, general, and administrative expenses, unfavorable foreign-exchange impacts from a weak yen, and a special loss related to retirement allowances at an overseas subsidiary.
Despite the overall decline, the company noted that download revenues from existing game titles have remained steady.
The notice announces a downward revision of the full‑year earnings outlook for the fiscal year ending March 2026 for a Japanese software publisher listed on the Tokyo Stock Exchange Standard market. The revised consolidated forecast projects net sales of ¥3,475 million, a 27.2 % decline from the prior estimate of ¥4,774 million, and operating profit of ¥‑393 million, down ¥474 million from the earlier ¥‑81 million projection. Ordinary profit is now expected at ¥‑80 million, a reduction of ¥235 million, while earnings per share fall from ¥6.25 to ¥‑0.58. The standalone forecast shows a similar contraction, with net sales cut to ¥784 million (‑27.4 %) and operating loss widening to ¥‑263 million, compared with the previous ¥1,081 million and ¥‑118 million respectively.
The revision is attributed primarily to weaker-than‑anticipated sales of new titles in both domestic and overseas markets, despite steady download revenues from existing games. Higher selling, general and administrative expenses, adverse foreign‑exchange effects from a depreciating yen, and a special loss for retirement allowances at an overseas subsidiary further depress profitability.
The forecast reflects information available as of the announcement date and acknowledges that actual results may vary due to unforeseen factors. The scope is limited to the company’s consolidated and individual financial performance for the 12‑month period from April 2025 to March 2026, covering its core software and game publishing operations in Japan and abroad.
