Okinawa Electric Power stock faces lower FY2027 profit outlook

Okinawa Electric Power lowered its fiscal 2027 profit outlook on October 30, even as it raised the consolidated revenue forecast. The revision was reported by JapanIR, which summarized the company disclosure.

Revenue rises while profits weaken

For the fiscal year ending March 2027, Okinawa Electric now expects consolidated revenue of 244.6 billion yen, up from the previous forecast of 238.8 billion yen. Operating income is forecast at 5.0 billion yen, compared with 7.4 billion yen previously, while net income attributable to owners of the parent is expected to reach 1.9 billion yen versus an earlier forecast of 3.4 billion yen.

The revised outlook points to a sharper squeeze on earnings despite stronger sales. JapanIR said the company cited higher fuel costs and repair expenses among the factors behind the weaker profit expectations. The company also noted that crude oil and coal prices, foreign-exchange movements and the fuel-cost adjustment mechanism can affect the outlook.

Dividend outlook remains unchanged

Okinawa Electric left its dividend forecast unchanged while cutting its earnings guidance. For investors, the combination of higher expected revenue and lower profit indicates that cost inflation remains the central issue in the near-term earnings outlook.