Kitanotatsujin Corp. (JP:2930) has released an update.
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Kitanotatsujin Corporation expects profits to materialize three to four months after incurring advertising expenses, viewing these costs as an investment. The company’s financial forecasts are based on the current rate of new customer acquisitions, which are driven by advertising spend. Therefore, a quarterly profit below forecast due to higher advertising expenses is considered a positive indicator of long-term growth, whereas a profit above forecast suggests a potential underinvestment in market expansion.
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