KADOKAWA announced on the 13th that it has revised downward its consolidated net profit forecast for the fiscal year ending March 2027, from the previous 5.8 billion yen to 1 billion yen, a 21.8% decrease from the prior year. This is due to a special loss of approximately 5.4 billion yen recorded in the first quarter, the April to June period, in connection with an early retirement program. Net profit for the April to June quarter was a loss of 4.5 billion yen, compared with a profit of 2.8 billion yen in the same period a year earlier. In its core publishing and IP business, domestic operations posted significant revenue and profit growth thanks to the results of business structural reforms such as price revisions and improved return rates, as well as contributions from hit titles, but the special loss from early retirement weighed on results. From the second quarter onward, the company expects personnel cost reductions of approximately 1.1 billion yen.
Kadokawa CorporationKADOKAWA lowered its net profit forecast due to a special loss from early retirement, reducing expected profit significantly.
