March 22, 2024 | |
Company name: | NOK CORPORATION |
Representative: | Masao Tsuru |
Representative Director, | |
CEO | |
Securities code: | 7240 |
Contact person: | Kiyoshi Igarashi |
Manager | |
IR Department | |
(TEL | +81-3-5405-6372) |
Recording Extraordinary Income/Loss and
Revising Consolidated Financial Forecasts for FY2023
NOK Corporation announced that it is recording extraordinary income and loss in the fiscal year ending March 31, 2024 (FY2023), and that it revised its consolidated financial forecasts announced on November 8, 2023. The details are as follows.
1. Gain on sales of investment securities as extraordinary income
As one of measures of its 3-yearmedium-term management plan ending March 2026, NOK is striving to improve its capital efficiency through divesting cross-share-holding stocks. Along with the policy, the company decided to sell a part of its investment securities so that it is anticipated the company records gain on sales of investment securities approximately 22.0 billion yen in the fourth quarter of the FY2023.
2. Impairment loss as extraordinary loss
It is anticipated that NOK recognizes impairment loss of approximately 10.0 billion yen in the fourth quarter of the FY2023 regarding assets for which expected future cashflows are anticipated to be continuously negative through recoverability tests. The relevant assets are booked under the seal business segment, the electronic products segment and the other business segment. The loss amount is based on the latest estimation and subject to change.
3. Revision of consolidated financial forecasts for FY2023 (April 1, 2023 to March 31, 2024)
As a result of gain on sales of investment securities (extraordinary gain) and impairment loss (extraordinary loss) in the fourth quarter of the FY2023 as described above, it is anticipated that profit attributable to owners of parent for FY2023 exceeds the previous financial forecasts disclosed on November 8, 2023 so that the company is revising the financial forecasts as below. Forecasts for net sales, operating income and ordinary income are kept unchanged from the previous forecasts.
Operating | Profit attributable | Earnings |
Net sales | Ordinary income | per share |
income | to owners of parent |
Previously announced | Million yen | Million yen | Million yen | Million yen | Yen |
forecasts (A) | 731,700 | 19,500 | 33,900 | 22,100 | 131.80 |
Revised forecasts (B) | 731,700 | 19,500 | 33,900 | 28,900 | 171.17 |
Change (B-A) | 0 | 0 | 0 | 6,800 | |
Rate of change (%) | - | - | - | 30.8 | |
(Reference) Results for | 709,956 | 15,378 | 26,557 | 13,320 | 77.55 |
FY2022 | |||||
*Any forward-looking statements on business result projections stated in this material are based on information currently available to NOK Corporation and certain assumptions which NOK Corporation deems reasonable, and are not meant to promise the achievement of such projections. Furthermore, actual financial results may differ significantly due to various factors.