H.I.S. announced on April 22 that one of the largest travel companies in Japan has revised its half-year financial forecast (November 2015 to April 2016) downward and had decided to post a special loss. Reducing both revenue and income, H.I.S. expects to post a half-year net loss is expected to reach 2 billion JPY.
The downward revision mainly results from reductions of revenue due to reduction of fuel surcharges on international flights (about 13 billion JPY) and of customers for profitable products for Europe after the terrorist attacks occurred in Paris in November 2015.
In the travel in Japan market, reduction of ski tours’ customers for a reason of shortage of snow and weaker demand for Huis Ten Bosch, the H.I.S. managing theme park in Kyushu, has a negative impact on the half-year financial result. The revised recurring income forecast includes possible exchange loss under the recent strong yen trend (about 3.2 billion JPY on 110 yen a dollar).
A special loss of 3,508 million JPY may come from reduction of profitability on the ship owned by its consolidated subsidiary Ten Bosch Cruise Panama.
H.I.S. has still examined its full-year financial forecast for FY2016 ending October 31 2016, taking into consideration a negative influence from the series of Kumamoto Earthquake in April 2016.
In Japanese
