Shochiku H1 Final Profit Falls 82.1% on Theater Impairment
Shochiku booked a 2.37 billion yen impairment on Osaka Shochikuza and other facilities, dragging first-half final profit down 82.1%.
Shochiku reported cumulative second-quarter consolidated results for the fiscal year ending February 2027 on October 14, with final profit of 736 million yen, down 82.1% from a year earlier, according to gamebiz.jp.
Net sales came to 48.921 billion yen, down 1.4% year on year. Operating profit fell 18.8% to 3.45 billion yen, and ordinary profit declined 14.5% to 3.73 billion yen.
The results included an impairment loss of 2.372 billion yen on theatrical facilities and rental real estate. The charge breaks down as 30 million yen in the video-related business, 1.871 billion yen in the theater business and 470 million yen in the real estate business. Osaka Shochikuza, which closed in May, was among the facilities written down.
Segment results diverge
The video-related business posted net sales of 25.652 billion yen, down 8.4%, and segment profit of 558 million yen, down 78.3%. The theatrical business moved the other way: net sales rose 17.1% to 15.112 billion yen and segment profit jumped 348.9% to 2.195 billion yen, helped by strong kabuki performances and by films including Chiikawa the Movie: The Secret of Mermaid Island, which surpassed 10 billion yen at the box office, and Toy Story 5, also past 10 billion yen.
For the full year ending February 2027, Shochiku left its consolidated forecast unchanged at net sales of 100 billion yen, operating profit of 3.7 billion yen and final profit of 2.2 billion yen. First-half progress against that plan stands at 48.9% for net sales and 93.2% for operating profit.
Quick answers
What were Shochiku's first-half results for the fiscal year ending February 2027?
Net sales of 48.921 billion yen, operating profit of 3.45 billion yen, ordinary profit of 3.73 billion yen and final profit of 736 million yen.
Why did Shochiku's final profit drop 82.1%?
The company recorded a 2.372 billion yen impairment loss on theatrical facilities including Osaka Shochikuza and on rental real estate.
Did Shochiku change its full-year forecast?
No. The forecast for the fiscal year ending February 2027 remains net sales of 100 billion yen, operating profit of 3.7 billion yen and final profit of 2.2 billion yen.