Claim 50% Off TipRanks Premium
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
ITO EN ( (JP:2593) ) has provided an update.
ITO EN has recognized a significant impairment loss on fixed assets related to its vending machine business, which has been separated organizationally from other operations and transferred to wholly owned subsidiary NEOS Co., Ltd. Amid a deteriorating operating environment marked by declining vending machine sales and rising costs, the company will book an impairment loss of ¥11.8 billion on a non-consolidated basis and ¥13.6 billion on a consolidated basis in the third quarter of the fiscal year ending April 30, 2026. As a result, ITO EN sharply revised its full-year forecasts: while consolidated net sales are now expected to edge up slightly to ¥495 billion, operating income, ordinary income and profit attributable to owners of parent are all projected to decline substantially, with full-year profit slashed from ¥16 billion to ¥1 billion, implying a more than 90% drop in earnings per share. Management cited surging raw material costs—especially for green tea—intensified competition requiring higher rebates and promotional spending, and the impairment charge as the main drivers of the downgrade, signaling mounting profitability pressures in Japan’s beverage sector and a notably weaker earnings outlook for shareholders despite modest top-line growth.
The most recent analyst rating on (JP:2593) stock is a Hold with a Yen3423.00 price target. To see the full list of analyst forecasts on ITO EN stock, see the JP:2593 Stock Forecast page.
More about ITO EN
ITO EN, LTD. is a leading Japanese beverage company best known for its ready-to-drink teas and green tea products, alongside other bottled beverages and related leaf products. The group also operates a vending machine business as part of its distribution network, with a primary focus on the Japanese market where it competes in a cost-sensitive, highly competitive beverage industry.
Average Trading Volume: 398,172
Technical Sentiment Signal: Strong Sell
Current Market Cap: Yen317.3B
For detailed information about 2593 stock, go to TipRanks’ Stock Analysis page.