Announcement Regarding Consolidated Earnings Guidance and Dividend Forecast for the Fiscal Year Ending March 2027

Overview of Consolidated Earnings Guidance for Fiscal Year Ending March 2027

France Bed Holdings Co., Ltd. announced its consolidated earnings guidance for the fiscal year ending March 2027. Sales are projected at 63,400 million yen, operating income at 4,600 million yen, ordinary income at 4,700 million yen, and net income attributable to owners of parent at 3,070 million yen. Net income per share is expected to be 92.00 yen, with dividends planned at 42.00 yen annually (interim 17.00 yen, year-end 25.00 yen). These forecasts are based on reasonable assumptions and actual results may vary.

Assumptions Behind Earnings Guidance and Initiatives to Improve Profitability

The business environment is assumed to remain uncertain due to inflation, persistently high raw material and logistics costs, and foreign exchange risk. Continuous pressure on profitability is expected from sluggish sales growth and rising costs. For the next fiscal year, emphasis will be placed on improving the profit structure rather than expanding sales scale. Management resources will be focused on high-profit-generating businesses, and cost structures will be reviewed. Specific measures include expanding rentals and improving cost efficiency in the Medical Services Business, realizing effects from restructuring measures in the Interior Health Business, and reducing indirect costs including headquarters expenses.

Building Foundations for Medium- to Long-Term Growth and Relationship with Mid-Term Management Plan

While prioritizing profitability improvement, there is a policy to gradually advance digitalization of business processes and sophistication of data utilization to support medium- to long-term growth. Although the quantitative earnings targets in the mid-term management plan have been withdrawn, the management policies and priority initiatives focused on profitability improvement remain unchanged. Efforts to promote key initiatives and improve the profit structure will continue towards medium- to long-term growth.