Japanese staffing giant Persol (2181: JP) published a revision to its full year forecast today, downgrading its full year net profit forecast, but upgrading its adjusted net profit forecast.

The company expects to post impairment losses of JPY 12.3 billion (USD 92.4 million) for the fourth quarter of the fiscal year ending 31 March 31, 2023. Reflecting this, the company is revising its full-year consolidated financial forecasts.

Impairment of the Property Services business of Programmed Maintenance Services Limited triggered the downward revision of full-year financial forecast of net profit by JPY 10.1 billion (USD 75.8 million). The group said tax deductions, etc., offset losses by JPY 2.2 billion (USD 16.5 million). The revised forecast is at JPY 20.40 billion (USD 153.2 million), down from the previous forecasted JPY 30.50 billion (USD 229.1 million).

Based in Australia and operating throughout APAC, the Property & Building Maintenance division of Programmed covers a wide range of services including painting, grounds maintenance, landscaping, commercial building services and project management.

While the full-year financial forecasts of net profit will be revised downwards, the impact on adjusted profit, on which dividends are determined, will increase and the company plans to set the target dividend pay-out ratio of approximately 50% under the next mid-term management plan (1 April 2023 to 31 March 2026).

Adjusted net profit is expected to be JPY 41.0 billion (USD 308.0 million), up from the previously forecasted JPY 39.1 billion (USD 293.7 million).

Forecasted revenue for the full year remains unchanged at JPY 1.21 trillion (USD 9.08 billion).

Persol shares closed today at JPY 2,610.00 (USD 19.61), up 1.05% on the day and 20.55% above the 52-week low of JPY 2,165.00 (USD 16.27) set on 13 May 2022. The company has a market cap of JPY 611.41 billion (USD 4.59 billion).