Revenue is on track for the full-year plan, but operating profit is lagging

First-quarter revenue for the fiscal year ending February 2027 was ¥4,743 million, while operating profit was ¥177 million. Year on year, revenue increased 25.8% and operating profit increased 19.0%, securing higher revenue and operating profit. The full-year forecasts are ¥21,200 million in revenue and ¥1,650 million in operating profit, implying progress rates of 22.4% and 10.7%, respectively, on a simple run-rate basis.

The most important point to check in the H1 results is that profit is progressing more slowly than revenue. Ordinary profit was ¥147 million, and profit attributable to owners of the parent was ¥26 million, representing progress of 9.2% and 2.6%, respectively, against full-year forecasts of ¥1,590 million and ¥1,000 million. Whether the expansion in revenue translates directly into full-year profit accumulation needs to be assessed through both the operating margin and non-operating income and expenses.

Using 50% progress for the first half as a simple benchmark, revenue of ¥10,600 million and operating profit of ¥825 million would be reference points. However, the company has not disclosed the assumptions underlying its earnings outlook or the amount of risks incorporated into it, and has not provided a formal H1 target that reflects seasonality. Accordingly, ¥10,600 million and ¥825 million should be treated as mechanical progress benchmarks, not company targets.