LOCAL,Inc., the TOKYO PRO Market-listed food e-commerce and hometown-tax-donation operator, has replaced every figure in its full-year forecast with "undetermined". The company said it expects first-half results to fall short of plan and that the earlier target is likely hard to reach.
What was withdrawn
The forecast, published on 14 April 2026 for the year to 28 February 2027, had called for sales of ¥10.31bn, operating profit of ¥436mn and net profit of ¥280mn. The company gave this reason: the outlook for rice supply and demand, sales volumes and prices, and sales progress on inventory it holds is uncertain, so a revised forecast cannot be reasonably calculated. It said it will publish one promptly once it can.
The first half
The interim results, released the same day for March to August 2026, show why. Sales fell 12.8% to ¥3.15bn. The company swung to an operating loss of ¥427.8mn from a ¥210.1mn profit a year earlier, and to a net loss of ¥296.2mn.
The company says the rice market has eased, with commercial prices turning lower, and that an earthquake in Kumamoto Prefecture has affected its purchasing.
The balance sheet is thin. Net assets fell to ¥154mn from ¥471mn at the end of February, and the equity ratio dropped to 3.8% from 8.8%. Short-term borrowings fell by ¥938mn to ¥2.47bn, and cash and equivalents ended the half at ¥524.4mn. Operating cash flow was positive at ¥314.9mn, helped by a ¥766.4mn drop in inventories.
The interim earnings release is outside the scope of audit by a certified public accountant or audit firm. The company plans to submit its interim issuer report on 30 November 2026.