AOKI Holdings Inc. has revised its consolidated earnings forecasts for the fiscal year ended March 31, 2014 that was announced on February 7, 2014.
Reasons for revisions
As shown in the above table, sales are likely to exceed our previous forecast and reach a record high, mainly due to the strong sales of men’s and women’s “freshers” items in the Fashion Business. The rush to make purchases in March prior to the April 2014 consumption tax hike is another reason for the sales forecast revision.
Operating profit and ordinary income are also likely to exceed our previous forecasts and reach record high levels because of higher sales and other factors.
Although the ordinary income forecast has been increased, the net income forecast is lower mainly because of higher asset impairment losses associated with idle assets. Despite this decrease, net income is expected to climb to a record high.
The above forecasts are based on judgments made in accordance with information available to management at the time this release was prepared, and actual results may differ substantially from these forecasts for a number of reasons.