TOKYO—Onward Holdings said Friday that net profit for the 12 months ended Feb. 28 fell 9.8 percent, as a weakened yen and higher expenses bit into the company’s bottom line.
Net profit for the year totaled 4.2 billion yen, or $39.1 million at average exchange rates for the period.
Onward’s operating profit plummeted 43.8 percent year-on-year to 5.73 billion yen, or $53.3 million. A spokesman for the company said the reasons for the drop included foreign currency translation and increased construction and administrative expenses.
Yearly net sales grew 0.5 percent to 281.5 billion yen, or $2.62 billion.
The company also released its guidance for the current fiscal year, which ends Feb. 29, 2016. While it is expecting profit to increase, it predicts a drop in sales.
Onward said it expects net profit for the year to grow by 18.9 percent to 5 billion yen, or $41.88 million at current exchange rates. It is predicting 57 percent growth in operating profit, to 9 billion yen, or $75.38 million.
The company is forecasting a 6.2 percent drop in sales, totalling 264 billion yen, or $2.21 billion.