Askul forecasts second consecutive year of profit decline

Published 04/07/2025, 10:32
Askul forecasts second consecutive year of profit decline

Investing.com -- Askul Corporation has released its financial guidance for the fiscal year ending May 2026, projecting a 21% year-over-year decline in operating profit alongside 4% sales growth.

This forecast marks a second consecutive year of profit contraction for the company and falls significantly below market consensus expectations. The recently announced fiscal year May 2025 fourth quarter results showed operating profit declined 6% year-over-year, which was in line with the company’s plan.

For the full fiscal year ended May 2025, Askul’s operating profit decreased by approximately 20% compared to the previous year.

The company typically experiences growth in various cost lines each year, which continues to pressure profitability. In its latest results release, negative factors outweigh positive ones regarding the earnings outlook.

With Askul projecting another significant profit decline for fiscal year 2026, questions remain about the company’s ability to return to its historical profit levels.

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