NOK : Recording Extraordinary Income/Loss and Revising Consolidated Financial Forecasts for FY202
March 22, 2024 at 02:12 am EDT
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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.
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Nok Corporation published this content on
22 March 2024 and is solely responsible for the information contained therein. Distributed by
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NOK Corp is a company principally involved in the manufacture and sale of sealing materials and flexible circuit boards. The Company operates in four business segments. The Seal segment manufactures and sells seal products mainly for the automobile industry, construction machinery industry, and general industrial machinery industry. The Electronic Component segment manufactures and sells electronic parts and others for the electronic equipment industry. The Roll segment manufactures and sells products for the office machine industry. The Others segment manufactures and sells special lubricants.