Pacific Metals Co., Ltd.
Notice Regarding Recording of Non-operating Income (Equity Method Investment Gains) and Revision of Earnings Guidance
Revised full-year consolidated earnings forecast for the fiscal year ending March 2026. Net sales increased 7.1% from the previous forecast to 9,138 million yen; ordinary income turned positive from a loss of 1,840 million yen to a profit of 199 million yen; net income attributable to owners of parent improved from a loss of 1,880 million yen to a loss of 181 million yen.
Key Figures
- Net Sales: 9,138 million yen (7.1% increase from previous forecast)
- Ordinary Income: 199 million yen (improved by 2,039 million yen from previous forecast, turning positive)
- Equity Method Investment Gains: 5,981 million yen (expected to be recorded for the cumulative third quarter consolidated period)
AI要約
Overview of Earnings Guidance Revision
Taiheiyo Metals Co., Ltd. announced that it expects to record 5,981 million yen in equity method investment gains from its Philippine equity-method affiliate as non-operating income for the cumulative third quarter consolidated period of the fiscal year ending March 2026. Based on this, the full-year consolidated earnings forecast announced on October 31, 2025 has been revised with net sales projected at 9,138 million yen (7.1% increase from previous forecast), ordinary income at 199 million yen (previously a loss of 1,840 million yen), and net income attributable to owners of parent at a loss of 181 million yen (previously a loss of 1,880 million yen), marking a significant improvement. Operating income is expected to remain almost unchanged at a loss of 6,507 million yen.
Reasons for Revision and Future Outlook
The revision is based on ongoing global uncertainties including stagnation in the Chinese real estate market, high interest rates in Europe and the US, intensified Middle East and Ukraine situations, and US tariff measures. Sales volume of ferronickel products is expected to slightly increase, but sales prices are suppressed, and rising raw material costs are projected to impact profitability. Changes in the amount of inventory write-downs and revisions to equity method investment gains also affect results. While there are concerns about supply chain disruptions due to US tariff measures, the impact on consolidated earnings is expected to be limited. The company intends to continue responding under its medium- to long-term strategy 'PAMCOvision2031' despite the challenging environment.
