Q1 is broadly on track for the full-year plan, with H1 to confirm the sustainability of growth

In the first quarter of the fiscal year ending March 2027, revenue was ¥3,774 million, operating profit was ¥384 million, ordinary profit was ¥397 million and net income attributable to owners of the parent was ¥307 million. Year on year, revenue increased 14.1%, operating profit 29.4%, ordinary profit 29.4% and net income 46.5%, with earnings growth outpacing revenue growth. The full-year forecasts remained unchanged at revenue of ¥14,500 million, operating profit of ¥1,450 million, ordinary profit of ¥1,486 million and net income of ¥1,040 million.

Progress against the full-year forecasts in Q1 was approximately 26.0% for revenue and 26.5% for operating profit. In the first half of the fiscal year ended March 2026, revenue was ¥6,426 million and operating profit was ¥684 million. At the interim results, the focus should not be merely on repeating Q1’s high growth, but on how far the company exceeds the previous year’s first-half results. In particular, whether H1 revenue can maintain double-digit year-on-year growth and whether the operating margin continues to improve will determine the likelihood of achieving full-year operating profit of ¥1,450 million.

The Q1 earnings summary did not provide a standalone H1 earnings forecast or a specific outlook for progress through Q2 against the full-year plan. At the next results announcement, it will therefore be necessary to review not only cumulative revenue and operating profit but also whether new orders for subscription-based licences, retention of existing contracts, and expansions and additional orders from ongoing projects continued into Q2. Even if the full-year forecasts remain unchanged, it will be important to see how the company explains H1 progress and the level of revenue and profit required in the second half.