Sanrio Shares Seesaw After Full-Year Forecast Beats Estimate

Sanrio Co. shares experienced volatility on May 10, 2024, after the "Hello Kitty" creator projected its full-year operating profit would surpass analyst expectations. The company anticipates an operating profit of 50 billion yen for the fiscal year ending March 2025, a figure that exceeded the 45.1 billion yen average estimate compiled by 17 analysts surveyed by Bloomberg. This forecast represents a 10% increase compared to the previous fiscal year's operating profit of 45.5 billion yen. Despite the positive outlook, Sanrio's stock saw its initial surge of 4.1% on the Tokyo Stock Exchange temper to a 0.5% gain by the market close. For the fiscal year ending March 2024, Sanrio reported a net profit of 31.2 billion yen, a 3.4% decrease from the prior year, attributed to a 23% decline in operating income to 45.5 billion yen. The company's revenue for the fiscal year ending March 2024 reached 120.3 billion yen, marking a 6.7% increase year-over-year. Sanrio's business segments include character licensing, merchandise sales, and theme park operations, with "Hello Kitty" remaining its flagship character.