Q1 earnings progress is strong, but sustainability must be confirmed in the first half.

In the first quarter of the fiscal year ending February 2027, covering 1 March to 31 May 2026, consolidated revenue was ¥3,122.013 million, operating profit was ¥409.265 million, ordinary profit was ¥420.845 million and quarterly net income attributable to owners of the parent was ¥257.069 million. Year on year, revenue increased 15.1%, operating profit 95.4%, ordinary profit 79.6% and net income 78.8%, with profit growth outpacing revenue growth.

The FY2027 full-year forecasts are revenue of ¥11,398 million, operating profit of ¥944 million, ordinary profit of ¥1,033 million and net income of ¥492 million. Comparing first-quarter results mechanically with these full-year forecasts gives progress rates of 27.4% for revenue, 43.4% for operating profit and 52.3% for net income. Operating profit and net income in particular appear to be front-loaded from the beginning of the fiscal year, but seasonality and the timing of expenses from the second quarter onward have not been disclosed, so it is not possible to conclude at this stage that the full-year forecasts will be exceeded.

The first-quarter results state that the figures remain unchanged from the full-year forecasts announced on 14 April 2026. However, the latest earnings release does not restate the specific full-year forecast amounts, the first-half forecasts or quarterly profit targets. Accordingly, the information provided does not allow verification of how far operating profit of ¥409.265 million is above plan, or whether personnel expenses, store-opening costs and renovation costs will be concentrated in the second quarter.

In FY2027-H1, the cumulative amounts of revenue, operating profit, ordinary profit and net income, together with their progress against the full-year forecasts, must be reviewed. The 50% benchmark based solely on the passage of time is not a company target but merely a mechanical reference point. However, whether first-half operating profit exceeds this level and whether progress improves further from the first quarter's 43.4% will help determine whether the unchanged full-year forecasts are conservative or whether profit has simply been brought forward.