Denso, a Toyota Supplier, Lowers Forecast Due to Currency and Quality Cost Concerns
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 31 2025
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Source: SeekingAlpha
Denso's Profit Forecast Cut: Denso has reduced its full-year operating profit forecast for the fiscal year ending March 31, 2025, by 21% to 550 billion yen, primarily due to unfavorable market conditions in China and Asia.
Quarterly Performance: Despite the forecast cut, Denso reported an 11% increase in operating profit for the July-September quarter, reaching 130.7 billion yen.
Toyota Industries' Stake Sale: Toyota Industries announced plans to sell its entire stake in Denso between December 2023 and March 2027.
Stock Market Reaction: Following the profit forecast reduction, Denso's stock price fell over 6% on the Tokyo Stock Exchange.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
