Aug 2, 2022
Company Name: Sanrio Company, Ltd.
President and Chief Executive Officer: Tomokuni Tsuji
Securities Code: 8136, TSE Prime Market Section
Inquiries: Jiro Kishimura, Senior Managing Director
Tel.: +81-3-3779-8058
Notice Regarding Revisions to Forecasts for First Half and Full Year for the Fiscal Year
Ending March 31, 2023 and Revisions to Dividend Forecasts
Given recent business performance trends, we have revised our business forecasts for the first half and full year for the fiscal year ending on March 31, 2023, announced on May 13, 2022, and dividend forecasts, as noted below.
1. Revisions to Forecasts for First Half for the Fiscal Year Ending March 31, 2023 (April 1, 2022 to September 30, 2022)
Net Profit | |||||
Sales | Operating | Ordinary | Attributable to | Net Profit | |
Profit | Profit | Owners of | per Share | ||
Parent | |||||
(million yen) | (million yen) | (million yen) | (million yen) | (yen) | |
Prior Forecasts (A) | 25,200 | 700 | 900 | 400 | 4.97 |
Published on May 13,2022 | |||||
Revised Forecasts (B) | 27,800 | 3,300 | 3,500 | 1,300 | 16.13 |
Differences (B-A) | 2,600 | 2,600 | 2,600 | 900 | ― |
Differences (%) | 10.3 | 371.4 | 288.9 | 225.0 | ― |
(Reference) | |||||
Results for 1H of the Fiscal Year | 23,793 | 288 | 636 | 1,949 | 24.20 |
Ended 3/2022 |
2. Revisions to Forecasts for Full Year for the Fiscal Year Ending March 31, 2023 (April 1, 2022 to March 31, 2023)
Net Profit | |||||
Sales | Operating | Ordinary | Attributable to | Net Profit | |
Profit | Profit | Owners of | per Share | ||
Parent | |||||
(million yen) | (million yen) | (million yen) | (million yen) | (yen) | |
Prior Forecasts (A) | 54,600 | 3,000 | 3,500 | 2,100 | 26.07 |
Published on May 13,2022 | |||||
Revised Forecasts (B) | 57,400 | 4,700 | 5,200 | 2,500 | 31.02 |
Differences (B-A) | 2,800 | 1,700 | 1,700 | 400 | ― |
Differences (%) | 5.1 | 56.7 | 48.6 | 19.0 | ― |
(Reference) | |||||
Results for the Fiscal Year | 52,763 | 2,537 | 3,318 | 3,423 | 42.49 |
Ended 3/2022 | |||||
3. Revisions to Dividend Forecasts (April 1, 2022 to March 31, 2023)
Dividend per Share | ||||||
1Q-end | 2Q-end | 3Q-end | Year-end | Total | ||
Yen | Yen | Yen | Yen | Yen | ||
Prior Forecasts (A) | ― | 8.00 | ― | 8.00 | 16.00 | |
Published on May 13,2022 | ||||||
Revised Forecasts (B) | ― | 10.00 | ― | 10.00 | 20.00 | |
Published on Aug 2,2022 | ||||||
Differences (B-A) | ― | 2.00 | ― | 2.00 | 4.00 | |
(Reference) | ||||||
Results for the Fiscal Year | ― | 8.00 | ― | 8.00 | 16.00 | |
Ended 3/2022 |
4. Reasons for Revisions to Forecasts for First Half and Full Year for the Fiscal Year Ending March 31, 2023 and Revisions to Dividend Forecasts
- Reasons for revisions to forecasts for the first half of the fiscal year ending on March 31, 2023
In the first quarter of the consolidated fiscal year, foreign and domestic demand was more solid than expected when plans were established and the cost-to-sales ratio fell due to the implementation of structural reforms in line with the medium-term management plan. Due to these and other factors, sales and earnings both exceeded the consolidated earnings forecasts in the first half of the fiscal year.
Accordingly, we have revised the consolidated earnings forecasts for the first half of the fiscal year, announced on May 13, 2022, to reflect recent business performance.
(2) Reasons for revisions to forecasts for the full fiscal year ending on March 31, 2023
Although the outlook for this consolidated fiscal year remains uncertain due to resurgence of infections from the new COVID strain, we have decided to revise our full-year consolidated earnings forecasts to reflect our upward revisions to the consolidated earnings forecasts for the first half of this fiscal year in the full-year earnings forecasts, and also because we anticipate solid earnings in the second quarter and beyond.
In the revised full-year consolidated earnings forecasts, we expect operating profit to be 4.7 billion yen, which exceeds the plan for the fiscal year ending on March 31, 2024, the last year of our medium-term management plan. As a result, we have begun revision of our targets in this medium-term management plan.
We will consider new targets for the medium-term management plan as we carefully monitor progress with earnings going forward and changes in the business environment. We will release the new figures as soon as they have been finalized.
(3) Reasons for revising dividend forecasts
We believe that returning profits to shareholders is an important management issue.
We have raised our earnings forecasts in light of recent trends in our business performance. As a result, we expect to post 1.3 billion yen in net profit attributable to owners of parent in the first half of the fiscal year and 2.5 billion yen in net profit attributable to owners of parent for the full year. We have also raised our interim dividends for the first half by 2 yen, from our previous forecast of 8 yen per share to 10 yen per share, likewise increasing our year-end dividends by 2 yen to 10 yen per share. As a result, we plan to
pay annual dividends per share of 20 yen, a 4-yen increase from our previous forecast of 16 yen per share.
We will continue striving to improve earnings in order to continue returning earnings to shareholders, and ask for your ongoing support.
The above forecasts are based on the information available to the Company at this point and on certain assumptions deemed reasonable, and are not a guarantee that such results will be achieved. Actual results may differ significantly due to a variety of factors.