TOKYO (dpa-AFX) - Dentsu Group Inc. (DNTUY), a provider of media and communications services, on Friday reported sharply weaker earnings for the nine months ended September 30, 2025, as results were hit by significant impairment charges and higher business-transformation costs.
The company posted a loss before tax of 19.035 billion yen, compared with a profit of 17.859 billion yen in the same period a year earlier.
Impairment loss widened to 86.606 billion yen from 18.932 billion yen last year, while business transformation cost rose to 12.732 billion from 2.375 billion.
The company recorded an operating loss of 7.447 billion yen, reversing from an operating profit of 28.9 billion yen a year earlier. Excluding one-time items, underlying operating profit increased to 110.975 billion yen from 97.244 billion yen.
Loss attributable to owners of the parent was 61.531 billion yen or 237.04 yen per share, versus a profit of 1.510 billion yen or 5.75 yen per share a year earlier.
Underlying profit increased to 56.557 billion yen or 217.88 yen per basic share from 50.675 billion yen or 193.19 yen per share last year.
Revenue fell 1.2% to 1.014 trillion yen from 1.026 trillion yen in the prior-year period, while net revenue declined 1.7% to 851.332 billion.
For the fiscal year ending December 31, 2025, Dentsu expects net revenue of 1.183 trillion yen. The company forecasts a loss attributable to owners of the parent of 52.9 billion yen, and underlying net profit attributable to owners of the parent of 83.4 billion yen.
Underlying basic earnings per share is expected to be 321.29 yen, while basic earnings per share is projected to be a loss of 203.79 yen per share.
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