Sumitomo Rubber Industries, Ltd. reported that sales revenue in its Dunlop Sports business increased 19.5 percent to ¥68.15 billion ($504.8 million) in the first half compared to ¥61.53 billion ($500.3 million) in the year-ago comparable period. Sales were forecast on May 15 to reach ¥70.0 billion in the 2023 first half, compared to the previous forecast of ¥75.5 billion.

Business profit for Dunlop increased 3.6 percent to ¥6.44 billion ($47.7 million) from ¥6.21 billion ($50.5 million) in the 2022 H1 period. The business profit forecast on May 15 was ¥7.0 billion for H1, a 16.7 percent increase from the previous ¥6.0 billion forecast for the six-month period.

Golf sales revenue reportedly exceeded the results of the year-ago H1 period as the company keep strong sales of new products launched in the first quarter and existing products as well as maintained strong sales performance primarily in overseas markets such as North America and South Korea

Tennis sales revenue “exceeded the level of the same period of the previous fiscal year, keeping strong sales in each of the markets mainly in Europe.”

Wellness segment sales revenue exceeded the level of the same period of the previous fiscal year “thanks to the effects of the price increases as well as comprehensive facilities newly opened during the period.” As a result, sales revenue and business profit in the sports business were said to have exceeded the level of the same period last year.

While all segments exceeded the year-ago period, they fell short of the revised forecast from May 15 after the company reported its Q1 results.

Looking ahead, the company has reduced its sales forecast for the Dunlop Sports business for the full year to ¥124.5 billion, down from its May 15 forecast of ¥127.5 billion, and up 7 percent versus actual 2022 sales revenue of ¥116.6 billion. The revised forecast for the second half is now ¥56.4 billion, a 2 percent increase over H2 2022.

The company has also revised its profit forecast for the year to ¥10.0 billion, flat to the May 15 forecast and up 12 percent versus the actual 2022 of ¥8.9 billion. The revised forecast for H2 is now ¥3.6 billion, a 30 percent increase over H2 2022’s actual business profit.

Photo courtesy Dunlop